Efficiency evaluation of innovation investment projects in the agricultural sector with regard to environmental and climatic risks

Agriculture transformation is one of the main priorities of the Russian Federation’s economy development. Therefore, active implementation of innovation investment projects in this sphere takes place. Project efficiency evaluation is an obligatory element for the implementation of such projects. There is no method for the evaluation of innovation investment projects in agriculture in place today. Some methods do not consider specific features of the sphere, other ones are focused on the investment project evaluation methodology without regard to innovation side of the projects. This is what makes the subject of the study relevant. The study is based on analysis of historical development of the investment project evaluation methods, in which accepted methods and approaches of economic analysis were used for the problem research. This study is focused on the upgrade of existing method of agricultural investment project evaluation with regard to innovation component proposed by S. L. Kulagin through the inclusion of environmental and climatic risk value in the efficiency evaluation formula. A formula for the calculation of environmental and climatic risk value based on calculated and expert estimates was proposed. Criterion scoring of expert evaluation metrics was presented and a threshold value of environmental and climatic risk when deciding on the project implementation was recommended. Upon results of the study, it can be summarized that the undertaken upgrade of the project efficiency evaluation method will enable project evaluation with due regard to particularities of the agricultural sector based on the use of criteria for decision making on the project implementation and selection of practicable projects.