Title: Cost-effectiveness of investments in drip irrigation projects in Ukraine

Authors: Nadia Frolenkova; Anatoliy Rokochinskiy; Pavlo Volk; Andrii Shatkovskyі; Nataliia Prykhodko; Ruslan Tykhenko; Ivan Openko

Addresses: National University of Water and Environmental Engineering, Rivne, 33028 Rivne Oblast, Ukraine ' National University of Water and Environmental Engineering, Rivne, 33028 Rivne Oblast, Ukraine ' National University of Water and Environmental Engineering, Rivne, 33028 Rivne Oblast, Ukraine ' Institute of Water Problems and Land Reclamation NAAS of Ukraine, Kyiv, Ukraine ' National University of Water and Environmental Engineering, Rivne, 33028 Rivne Oblast, Ukraine ' National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine ' National University of Life and Environmental Sciences of Ukraine, Kyiv, Ukraine

Abstract: The article focuses on a topical subject - the evaluation of cost-effectiveness of investments in drip irrigation projects. Drip irrigation is a modern, advanced, high-tech and environmental technology, which providing right scientific support, enables to get high yields and economic benefits with minimum consequences for the environment. The proposed methodological approaches to calculating the cost-effectiveness of investments were tested at various sites of the irrigation zone of Ukraine. The results of the calculations showed that the cultivation of high-productivity hybrids of vegetables and fruit when using modern technology of drip irrigation provides high yields and standard quality of production, that is the crop production is transformed into a stable profitable business. At the same time, applying modern methods of evaluation of the feasibility of investment will increase the validity of management decisions as to the selection of crops and their combinations and will facilitate investment attraction.

Keywords: cost-effectiveness; investments; water management projects; drip irrigation; discount rate; irrigation regime; NPV; net present value; profitability index; DPP; discounted pay-back period.

DOI: 10.1504/IJGE.2020.112570

International Journal of Green Economics, 2020 Vol.14 No.4, pp.315 - 326

Received: 21 May 2020
Accepted: 05 Dec 2020

Published online: 11 Jan 2021 *

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