Choosing the investment business model for the energy industry

Amazonia Investiga. 2019. Vol. 8. No. 20. P. 544–558.

Kosov M., Akhmadeev R. G., Chernov A. Y., Shmigol N. S., Popkov S. Y., Smirnov V. M.

Investment by companies, which target growth of key labor productivity factors, labor attraction, modernization, and development, as well as reduction of production risks and higher investment attractiveness, is the main growth factor for emerging economies. However, the key drawbacks of the existing models of investment attractiveness assessment of state-sponsored projects are the absence of alternative financing from adjacent sources and the lack of the scenario approach when analyzing cash flows of a project. The authors' scientific and practical research offers the choice of the best investment project model, ensuring a lower default risk, lesser expected losses for the state (in case of redeeming the loss, occurring in the case of breach of warranty), and a lower possibility of tax receipt shortfalls under the project. The measures imply the use of the scenario and probabilistic approach, ensuring consideration of all possible alternatives for an investment project of companies, engaged in the energy business, and, consequently, higher efficiency of budget spending.

Keywords: инвестиции, налоги, бюджет, экономика, economy, investment, бюджетное финансирование, budget, budget financing, capital, производство стали, profit, taxes, steel production, добыча и производство угля, COAL PRODUCTION