The rise of public interests in renewable energy causes the rapid expansion of power generation from renewable sources in Korea. In this paper, using discount flow techniques and real option approaches, we examined the future consumer benefits from ad...
The rise of public interests in renewable energy causes the rapid expansion of power generation from renewable sources in Korea. In this paper, using discount flow techniques and real option approaches, we examined the future consumer benefits from adopting renewable power generators as the alternative power source. Among many alternative energy options prospects can chose, the case of Photovoltaic technology (PV) based generator is carefully examined since PV generators are the most widely adopted and popular choice in Korea. Through applying the model into an ongoing project in Korea, a viability of the PV based power generator for the residential purpose is verified and possible policies to increase a residential user of a PV generator at the present stage are suggested.