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Modeling the Relationship between the Cost of Energy Companies and the Use of Renewable Energy Sources in the Context of Climate Change

Student: Georgiy Mironov

Supervisor: Alexander V. Voyko

Faculty: Graduate School of Business

Educational Programme: Business Administration (Bachelor)

Year of Graduation: 2021

Since the beginning of existence, mankind has relied on various sources of energy as the basis for its progress. In prehistoric times, humans used only the energy of their own bodies, eating and then expending energy to obtain new food. With the domestication of fire, mankind found the energy contained in wood. This allowed a technological leap, opening warm homes and crafts to people. The next developmental milestone was coal. Coal allowed civilizations to master such a complex occupation as blacksmithing. The economy grew, new occupations and factories appeared. Eventually coal discovered the secrets of the steam engine and mankind began to develop at an even faster pace than before. The 20th century saw the energy transition from coal to oil, marking a new era. We still live in this era, but shocks such as the COVID-19 epidemic and the threat of global warming make the next energy transition a prospect for the increasingly near future. The global challenges of today require us to find a more environmentally friendly and, most importantly, infinite source of energy to meet the ever-growing needs of mankind. Natural energy from the wind, sun, rivers and oceans will be such a source. That is why the topic of this study is modeling the relationship between the cost of energy companies and the use of renewable energy sources.

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