SWOT-AHP-TOWS analysis of private investment behavior in the Chinese biogas sector. (20th May 2018)

• Record Type: Journal Article
• Authors: Gottfried, Oliver; De Clercq, Djavan; Blair, Elena; Weng, Xin; Wang, Can
• Is Part Of: Journal of cleaner production. Volume 184(2018)
• Page Start: 632
• Page End: 647
• Publication Date: 2018-05-20
• Subjects: Biogas -- China -- Investment -- Stakeholder analysis -- SWOT-AHP-TOWS; Factory and trade waste -- Management -- Periodicals; Manufactures -- Environmental aspects -- Periodicals; Déchets industriels -- Gestion -- Périodiques; Usines -- Aspect de l'environnement -- Périodiques; 628.5
• DOI: 10.1016/j.jclepro.2018.02.173
• Languages: English
• ISSNs: 0959-6526

Abstract

Abstract: Biogas is one of the important renewable energy sources, which is expected to significantly contribute not only for the successful achievement of a low carbon transition but also to achieve global climate change policy targets. Private investment is identified as a critical factor for biogas sector to fulfill its expected role. Hence, this paper emphasizes on identifying private stakeholder's investment criteria in order to increase its active involvement for biogas in China. This study focused on banks, insurance companies, pension funds, private equity funds and high network individuals as the primary stakeholders. It applies an SWOT-AHP-TOWS analysis, in which the Strengths, Weaknesses, Opportunities, and Threats (SWOT) of stakeholders are identified and then prioritized by using the analytical hierarchy process (AHP). Finally, the TOWS matrix supports the development of private investment strategies, which serve as a foundation for Chinese policy makers to promote private investments in the biogas sector. The following strategies have been identified as the most important ones: (1) Promoting financial tailored biogas products in terms of volume, interest rate and duration for banks; (2) Permitting insurance companies and pension funds directly investing into biogas equity; (3) Encouraging public-private partnerships and (4) Improving project cooperation by introducing professional guidance. Highlights: Combined SWOT-AHP-TOWS analysis for the Chinese biogas sector is conducted. Criteria for private stakeholders to invest in biogas projects are identified. Strategic policies to promote private investment for biogas in China are proposed. Tailored financial products and direct equity investment are high-potential policies.