Photovoltaic Solar Energy in Forest Nurseries: A Strategic Decision Based on Real Options Analysis

With the growing demand for investment projects in renewable energy, it is essential economic feasibility analysis to consider inherent uncertainties of these and enable more accurate decisions. In this way, we analyze whether photovoltaic panels produce electrical energy a forest nursery are economically viable through real options. We with an initial USD 90,417 panels. The managerial flexibilities deferral, expansion 30.0% production capacity, project’s abandonment were inserted into binomial model decision tree, built discrete time. expanded net present value was 79.2% higher than traditional value, capturing managers. deferral option one that most impacted value. Investment electricity when analyzed