HỌC TỐT TIẾNG ANH 11 THEO CHƯƠNG TRÌNH GLOBAL SUCCESS ĐÁP ÁN CHI TIẾT - CẢ NĂ...
Preparing Detailed Project Report and Presenting Business Plan to Investors
1. Preparing Detailed
Project Report and
Presenting Business Plan
to Investors
(A Relevant Case Study)
Priyank Jain (92)
Radhika Sharma (93)
Rahul Sharma (94) Rakesh
2. Project Report
A project plan report is a formal, approved
document used to guide both project execution
and project control.
The objective of a project plan is to define the
approach to be used by the Project Team to deliver
the intended project management scope of the
project.
A complete document for investment decision-
making, approval, planning.
5. Contents
Executive Summary
Introduction and Project Details:
Purpose of the project activity
Projects contribution to sustainable development
Industry overview
Existing Demand supply condition
Cost & Means of Finance
Schedule of commencement
Financial viability
Project Developer Details
6. Contents
Details about proposed project location:
Site topology
Vegetation
Connecting roads
Habitation
Tectonic activity
Land requirement and layout of the project
Site development measures
Land availability and acquisition
7. Contents
Feasibility Study:
Projected power generation from the project
Simulation Reports
Land cost
Transportation
Social impact assessment
Environment Impact Assessment
Economic viability
8. Contents
Technical Aspects & Technology Selection
Key components
Turbine Selection
Operating and design characteristics of the
machine against that site's terrain and wind
resource
Detailed Design, Engineering & Execution
Power Requirement
Water Requirement
Effluent Treatment
11. Grid Connectivity
Check for an appropriate connection point near
site.
Conversations with those who have an
understanding of the system in the area where you
propose to connect your project and contact local
utility or Discom. It provides following information:
Understanding the transmission & distribution
system.
Power line capacity
Substation capacity
Existing protection scheme of power system
Cost estimates for transmission upgrades
12. Approach to Transmission Utility
Next step is to approach transmission utility , with
an application, which includes the following:
Feasibility study
System impact study
Facility study
Interconnection agreement
The final step is executing the agreements and
constructing the additional infrastructure needed to
get your energy on the grid.
14. Revenue earning in wind
power project
1. Sale electricity at preferential tariff to
state Discom/local Discom.
2. Sale electricity at average power
purchase cost of electricity and sale of
REC at power exchange.
15. DEVELOPMENT OF A
FINANCIAL MODEL
A financial model is the most critical element of the
financial assessment process. Most financial
models are structured in a similar way and have the
following features:
Assumptions.
Calculations.
Outputs or Financial Indicators.
16. FINANCIAL INDICATORS
Cash flow – To determine if the project is
economically viable a cash-flow evaluation of the
project should be done.
Benefit-cost ratio (BCR) - It is the ratio
between discounted total benefits and
costs.
Net present value (NPV)
Internal rate of return (IRR)
Payback period
18. Following norms are considered for financial analysis:
a) Debt-Equity ratio
b) Interest rate on long term loan
a. Moratorium
b. Loan repayment period
c) Return on equity
d) Depreciation
e) O&M charges
f) PLF/CUF
g) Equity IRR
h) Earnings before interest, tax, depreciation and
amortization (EBITDA) – This is a measure of the
cash generating potential of the project. EBITDA is
essentially the revenue of the project minus its
operating costs.
19. RISK ANALYSIS
Technique to identify and assess factors that may
jeopardize the success of a project or achieving a
goal.
Objectives :
1. To define preventive measures to reduce the
probability of these factors from occurring.
2. Identify counter measures to successfully deal
with these constraints when they develop.
Importance: To agree, with the project
sponsors, on appropriate means to manage or
mitigate those risks
20. Key risk associated with RE
projects.
Planning phase
i. Feasibility risk
ii. Permit/clearances risk
Construction phase
i. Time over-run risk
ii. Capital cost over-run risk
Operation phase
i. Technology risk
ii. Market risk
iii. Supply risk
iv. Operating risk
v. Political, legal and regulatory risk
vi. Financial risk
vii .Counterparty risk
23. Project planning and
Management
Work Force Management
No. Of Employees, Types of
Employees.
Trained/Untrained Workforce.
Educational Qualifications.
Construction Schedule
PERT /CPM to find critical path.
25. What Investors Look For
How does the team think?
How detail oriented is the team?
How big is this market?
Is there sustainable competitive advantage?
What’s the growth plan?
What does the technology roadmap look like, short
term or long term play
Returns
25
26. Title Slide
Name of your business
Your name or presenter’s name
Date of presentation
Company logo, image, or photo
1-sentence summary of your business
◦ 5-10 words that concisely articulate the business
How much money are you seeking to raise?
◦ Your funding target
26
27. Overview
Your “elevator pitch”
◦ 2-3 sentences that define the market, customer,
problem/solution, and uniqueness of the business
What market/industry are you in?
What problem are you solving for customers?
How many potential customers are there? How
much potential revenue is possible?
Why will you succeed (differentiation, barriers to
entry, unfair advantage)?
Where is the proof (existing customers, investors,
market research, personal experience)?
27
28. The Problem
Compelling problem(s) to be solved
◦ What’s the pain or need that your potential
customers have?
◦ Faster, better, smaller, etc. are solutions, not
problems
Include any validating quotes
◦ Customer quotes
◦ Analyst quote
28
29. The Solution
Describe your business
◦ What is your product or service?
Compelling benefits
◦ How do you provide value to your customers?
29
30. Opportunity & Market
Market details
◦ Size and growth rate for 3-5 years
◦ Focus on your segment(s) of the target market
How much projected revenue will you earn in 3-5 years?
30
31. Technology / Process
What is the technology (or process) behind your
business?
Do you have an illustration or photo of how your
technology (or process) works?
What is the value proposition?
◦ How does your technology (or process) solve the
problem that customers have? Why should they pay
you for it?
Will you build or buy the technology (or process)?
31
32. Competitive Advantages
What competitive advantages do you have?
◦ How are you better than your competitors?
◦ Do you have a unique team, partner, invention,
intellectual property, insights, or expertise that others
don’t have?
How long will the competitive advantages last?
Why will customers care?
◦ Why will customers choose your product or service,
instead of your competitor’s?
32
33. Competitive Landscape
Who are your current and potential competitors?
◦ What alternatives exist?
◦ How do customers solve the problem today, without
your product or service?
How are you different from your competitors?
◦ How are you better than your competitors?
◦ How will the customer know that you’re better?
Include quotes from prospective customers
◦ What do they say about your competitors?
◦ Why would they rather buy from you?
33
34. Go-to-Market Strategy
Who are the key players?
◦ What is the ideal customer like? What is their profile?
◦ Discuss critical partners (current and future)
◦ Describe who sells your product or service
How and what do customers buy?
◦ What is the price? One-time or recurring payment?
◦ Describe what the customer will get (now and later)
Marketing and sales plan
◦ How will you market and sell your product or service?
◦ Is this comparable to any other company’s
marketing/sales methods?
34
35. Financial Roadmap
Project your revenue and expenses over the next 3-5 years
◦ How do you and how much money you will make?
◦ What are your expenses over the next 3 years?
E.g., Development, Marketing/Sales, Staff/Salaries,
Office Space, Legal, Inventory, etc.
Key milestones
◦ When will your business turn a profit?
When does your revenue exceed expenses?
◦ When does your competitive advantage take effect?
When does it end?
◦ How much revenue will you earn in year 3? In year 5?
◦ When will you complete hiring employees?
◦ When will you need to raise more money to grow your
business?
35
36. Paisa wasool or not?
Debt Equity
Banks , Financial Institutions Venture Capitalist , Angel
Investors
Interest RoE
Moratorium Period Gestation Period
Repayment Period
36
37. The Team
How many people make up your current team?
What are your relevant accomplishments?
◦ Why is your team qualified to run this business?
◦ Include academic credentials
How many employees do you need to hire?
37
38. Current Status
What milestones have you achieved so far?
◦ Business plan complete?
◦ Incorporated your business or formed an LLC?
◦ Is the team complete?
◦ Product, prototype, or sample developed?
◦ Filed for intellectual property, such as a patent?
◦ Leased office space, or setup home office?
◦ Website and business cards created?
◦ First customers acquired?
◦ Lined up key partners and business advisors?
Have you raised previous funding from investors?
◦ If so, how much, and how did you use the funding?
Where do you plan to go from here?
◦ What are your next steps? How will you get there?
38
39. Till Now….
Summarize your three key points
◦ What is your business? What problem do you solve?
Who cares?
Ask your audience to make an investment
◦ How much funding do you need? For what?
◦ How much are you asking from each investor?
◦ Why should they invest in you and your business?
Will they receive anything in return?
Questions and next steps
◦ Answer any questions from your audience
◦ Give your contact information and link to your Raise
39
40. DPR (DETAILED PROJECT REPORT)
(A CASE STUDY OF WIND BASED
POWER PLANT & FINANCIAL MODEL)
41. What is a DPR?
Detailed project report is prepared for the investment
decision-making approval, for execution of the
project and preparation of the plan.
Detailed project report is a complete document for
investment decision-
making, approval, planning, implementing.
42. Broad Structure of DPR of Wind Based
PP(1/2)
Introduction
Energy
Demand and
Forecast
Future(eg
Maharashtra)
Proposed
Location
-Site Identified
-Land Development
-Environmental
Aspects
Project
Design
-Site Development
-Foundation Criteria
-Tower Construction
-Mechanical
Completion
-Project Completion
43. Broad Structure of DPR of Wind Based
PP(2/2)
Wind Energy
Purchase
Agreement
-RPO
-Sources of Non
Conventional
Energy
-Procedure of
procurement from
NCE Sources
-Effect of Default
Permit and
Authorization
s
-Requirements of
Inputs &
Clearances
Signature
Page
Financial
Modeling of
Proposed
PP
45. ENERGY DEMAND AND FUTURE
FORECAST
Demand – Supply of Maharashtra
Energy Surplus/Deficit for last 3-4 years
Energy Demand from Various sectors
Future Forecast of Energy Requirement
46. Proposed Location
Selection is Time consuming, Complex,
numerous decisions.
Selection of Wind Turbine Generators – a
related decision
Transport and Road Connectivity .
Issues related to Soil, EPC etc.
47. Proposed Location
a. Identified Site
Setting of 3 Wind turbines 1500 Kw Rating in
Nagaon (Dhule) in Maharashtra.
Wind Speed acc to C-WET at 50 mtr height – 5.49
m/sec – 6.1 m/sec (Moderate acc to C-WET).
CUF - 27% (as proposed by CERC).
Land Req. - 50 acres (4 acre/MW).
Location Characteristics(nearest railway station,
type of land, cost of land, compensation for loss of
forest land etc.)
48. Proposed Location
b. Land for the Project
Site Terrain, Accessibility, and
Complexity(Proximity of site by access roads.
Terrain Orientation to Prevailing Wind(Arranged
perpendicular to wind direction).
Within Rows, Min Spacing between Wind Mills –
1.5 – 5 times to Rotor Diameter(d)
◦ Row-Row distance vary from 10 – 20 times*(d)
Cost of Land, Soil Conditions, Density of Flying
Insects
Environmental and Cultural Concerns
Aviation and Telecommunication Conflicts
49. Proposed Location
c. Environmental Aspects
Advantages:
◦ CDM Benefits are given to Wind farms
Disadvantages:
◦ Aspects related to Noise Pollution
50. Project Design
Stage where project gets green light
Site Development(Leveling of site,
Building of approach roads,
installation of equipment)
Foundation
Construction(Type
of Tower, Capacity
of WTG, Wind
Class)
51. Project Design (contd..)
Tower Construction
Types of Towers available
◦ Tubular Steel towers are used and their
specifications
Mechanical Completion
◦ Schedule of assembling of Wind Turbine parts
like Wind Blades, Nacelle etc.
Test Condition of Wind PP
Technological Description of Wind Turbine
(Motors, Yaw, Generator ,etc. and
mechanisms involved)
52. Wind Energy Purchase
Agreement
1. Applicability of Renewable Power Purchase
Obligation
Every Distribution Licensee, captive
power consumer open access consumer and
scheduled consumer shall be required to purchase
electricity at the percentage specified hereinabove of
its total consumption of electricity within the area of a
distribution licensee from non-conventional
energy sources.
2. Sources of Non-conventional Energy
53. Wind Energy Purchase
Agreement
3. Procedure of procurement of electricity from NCE
sources.
-Distribution licensees can enter into long-term
PPAs with the NCE developers of relevant category.
-Every person requiring to purchase power from
NCE sources under Order shall file before the
Commission annually, by 30th November, the
details of total requirement of power under RPPO
in the ensuing financial year.
4. Effect of default
- shall be liable for penalty as may be decided by
the Commission under section 142 of the Act
54. Permit and Authorization
Requirement of inputs and clearances
Sr. No Clearances Authority
1 Pollution (water and air) State Pollution Control
Board
2 No Objection Certificate for setting up the
facility
State Pollution Control
Board
3 Consent for Operation State Pollution Control
Board
4 Environmental Clearance Ministry of Environment &
Forest
5 NOC for Tallest Structure National Airport Authority
of India
6 Land Availability State Gov./Private Land
7 Real State, Right to access and use of site
including right of way for all corridors to
the facility
State Gov. Concerned
Authorities
55. Contd…
9 Local Approval of other Architectural
plans
Municipal
Corporation/Local
Bodies
10 Commencement Certificate up to Plinth Municipal
Corporation/Local Bodies
11 Commencement Certificate up to Full
Height
Municipal
Corporation/Local Bodies
12 Consent under the Factories ACT,1948
relating to fire fighting capacities
Directorate of Town and
Planning of State Gov.
13 Clearance of Lifts Inspector of Lifts, State
Gov.
14 Approval/ Clearances for labour / man
power like License from Labour
commissioner for construction labour,
Registration of Workers or exemption to be
claimed if group insurance taken for some,
etc
Concerned Authorities
15 All Other clearances Appropriate Authorities
56. Financial Model
CERC (Terms & Conditions for Tariff
Determination from Renewable Energy
Sources) Regulation, 2012 Notification: No.:
L-1/94/CERC/2011 Dated:06-02-2012.
The GBI is according to the new provision
done by the finance minister(0.50 Rs per
unit ).
Financial Model
CDM Benefits :1500 Rs per REC.
Editor's Notes
9Approval of Fire Protection Scheme Authorised Agencies approved by Insurance Regulatory Development Authority, New Delhi 10Allocation and Approval of Electric Supply for Construction Power State Electricity distribution Company 11Carriage entrance to property Municipal Corporation, Assistant Engineer, Roads or concerned authorities 12Approval of Building proposals and layoutMunicipal Corporation, Executive Engineer, Building Proposal or concerned authorities 13Approval of building layout with fire safety concerns and receipt of NOC Municipal Corporation: Chief Fire Officer or concerned authorities 14Approval of reinforced cement and concrete design calculation Municipal Corporation: Executive Engineer, Building Proposals or concerned authorities 15NOC for plant layout with regard to electrical equipment, operational safety Chief Electrical Engineer of state 16NOC for Storage of construction Materials and chemicals Factory Inspector 17NOC for road opening and asphalting work including traffic workMunicipal Corporation/Local Bodies18Local Approval of Architectural plans for townshipMunicipal Corporation/Local Bodies19Local Approval of other Architectural plans Municipal Corporation/Local Bodies20Commencement Certificate up to PlinthMunicipal Corporation/Local Bodies21Commencement Certificate up to Full HeightMunicipal Corporation/Local Bodies22Consent under the Factories ACT,1948 relating to fire fighting capacitiesDirectorate of Town and Planning of State Gov.23Clearance of LiftsInspector of Lifts, State Gov.24Approval/ Clearances for labour / man power like License from Labour commissioner for construction labour, Registration of Workers or exemption to be claimed if group insurance taken for some, etcConcerned Authorities25All Other clearancesAppropriate Authorities26Export / Import Authorisation (Export/ Import license )Appropriate Authorities of exporting country