IHR 304

For a sustainable future, India should be utilizing (multiple answers)

• Clean sources of energy

• Non conventional sources of energy

• Renewable sources of energy

• Fossil fuels

Why should India move away from fossil fuels use?

• CO2 emissions

• Import dependence

• Price fluctations

• All of the above

Which is not a major energy consuming sectors

• Industrial sector

• Transportation sector

• IT sector

• Residential sector

Which of the following pathways has the potential to reverse the temperature change rise

• Increasing energy efficiency

• Limiting consumption

• Limiting population

• Reducing emission intensity of energy production to zero

Which of the following approach is expected to give the best estimate with respect to extinction of a resouce

• Logistic supply curve (Hubbert curve)

• Static R/P model

• Exponential growth model

• All models will give the same estmate

The time value of money is related to

• Return on capital

• Interest rate or discount rate

• Current and expected inflation

• all of the above

The discount rate for a particular project would not depend on

• Inherent risk of the project

• Net present value (NPV) of project

• The length of the project

• The ease of borrowing capital

An optimum appraisal method of project evaluation must have the following characteristics:

• It takes into account the entire time horizon (life cycle) of the project.

• It takes into account all the cash flows pertinent to the project for the entire time horizon.

• It encompasses a suitable method to discount future cash flows and uses an equivalent basis of the future cash flows.

• All of the above

Which of the following policies could be utilized for inducing profitability in renewable energy projects

• Accelerated depreciation

• Offering tax credits

• Guaranteeing a favourable price

• All of the above

For the free market to result in an optimally efficient solution, the following conditions need to be satisfied:

• Existance of economies of scale

• All industries are competitive

• desire for maximum financial gain

• no external or ignored social costs such as damage to society