This book examines what lies behind the uncertainties surrounding the
fuel and power markets. Exploring the role of renewables and how they
potentially disrupt or create opportunities, it challenges widely
accepted wisdoms in investment. The author asks questions such as: Are
"business as usual" strategies that favour fossil fuels the best route
to future prosperity? What prospects do firms face when their
competitors diversify into renewables? Why do generous subsidies to
renewables often fail to achieve wide-scale deployment? Illustrating how
real options and option games reasoning yield vastly different insights
from those gained from NPVs, Energy Investments offers case studies
and simulations to demonstrate how firms can benefit from the methods it
showcases.