Which of the following energy-saving projects receives a high priority for implementation from authorities?

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MPPGCL JE Electrical 28 April 2023 Shift 1 Official Paper
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  1. Medium cost, medium return
  2. Low cost, high return
  3. High cost, medium return
  4. High cost, high return

Answer (Detailed Solution Below)

Option 2 : Low cost, high return
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Explanation

Authorities and decision-makers prioritize energy-saving projects based on their cost-effectiveness and impact. The primary goal is to achieve the maximum return on investment (ROI) while minimizing expenses.

Cost Efficiency:

  • Projects with low cost require minimal investment, making them easier to fund and implement.
  • Governments and organizations have limited budgets, so they prefer projects that yield significant results without heavy financial burdens.


High Return on Investment (ROI):

  • A high return means the project will result in substantial energy savings, reducing operational costs and environmental impact.
  • High ROI ensures that the benefits (such as lower energy bills and reduced emissions) outweigh the investment.


Comparison with Other Options:

  1. Medium cost, medium return – Less efficient than low-cost, high-return projects.
  2. High cost, medium return – Not cost-effective, as investment outweighs the benefits.
  3. High cost, high return – Though beneficial, the high investment requirement makes it harder to approve and fund.
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