Alternatives Evaluation and Risk Analysis of Municipal Solid Waste Management Project

Abstract

This research paper aims to study the factors affecting the investment decision in the construction and operations management of municipal solid waste with incineration technology for electricity production, total amount of municipal waste was not less than 500 tons per day and to identify risks that may occur when various factors changed by analyzing the financial feasibility of projects using discounted cash flow method and considering net present value, internal rate of return and discounted payback period. This study analyzed various changed risk factors which may affect the decision to invest in construction with the risk analysis by using Monte Carlo simulation, sensitivity analysis method and assessment of changed situation of construction management and project operations. The results of this study showed analyzed risks in order to be concluded in a guideline for investment decision in construction and solid waste management under uncertainty.