Neglecting exit doors: How does regret cost shape the irreversible execution of renewable energy megaprojects?

The energy transition process nowadays is characterized by the replacement of fossil fuels-based means production with renewable (RE). Alongside diffusion decentralized RE, this associated increased promotion RE megaprojects. Such megaprojects, however, are often shaped path-dependent lock-ins and thus continue to be promoted limited changes despite emergence better alternatives along way. This study explores role in irreversibility megaprojects while highlighting notion regret cost. In particular, sheds light on influence within specifically focusing their execution stage. Using establishment Ashalim, a giant thermal solar power station southern Israel, as case study, we demonstrate how various increase regulators’ cost, escalating commitment megaproject causing them neglect diverse “exit doors” during execution. We illuminate question capability meet growing need markets for flexibility.