Techno Economic Viability Study (TEV)
Techno Economic Viability (TEV) Study provides an appraisal of technological parameters of projects and its impact on the financial viability of projects. A TEV study is a risk mitigation exercise undertaken by banks and financial institutions prior to decision taken by a bank or financial institutions on its lending decisions for projects.
It is an investigation of a business or person prior to signing a contract, or an act with a certain standard of care.
No project can be absolutely risk less and hence the analysis of the degree of technical risk and associated financial viability, through a Techno-Economic Viability Study (TEVS) is to assist lenders take a view on the acceptability of the degree of risk involved in a project.
A TEV study considers an analysis of technological risk, market risk, regulatory risk, financial risk. A critical evaluation of these parameters is essential for a meaningful TEV study. S. T RISK CONSULTANT, with the right skill sets to deliver, assists banks and financial institutions perform TEV studies.
Points considered during TEV - Study:
Description & Objective of project.
Geographical Advantage of Project.
Details of Sponsors & its Agreement.
Project Sites.
Government Agreements.
Source of fund.
Feedstock Agreement.
Off take Agreement.
Construction Contract.
Management of Project.
Capital Cost.
Working Capital.
Equity Sourcing.
Debt Sourcing.
Financial Projection.
Project SWOT & PEST analysis.
Market Study.
Assumption.
TEV-Study report is vast & covers all the parameters of the project and clarifies each & everything about the proposed project. Above mentioned are some of the Templets related to the TEV-STUDY but it varies according to scope & nature of the project / assignment.
We at S. T RISK CONSULTANT have a team of industry experts, engineers, consultant C.A and senior experts having ample experience in the field of TEV - Study.
Domain experts as per Project requirement are allocated the task to complete the entire scope of work in a time frame which enable us to provide end to end service in a transparent manner related to TEV - Study.
Flow Chart For TEV-Study:
Key Benefits Of TEV-STUDY:
Provides historical background of the business or project.
Identifies new opportunities.
Identify the strengths and weaknesses of an existing business or proposed venture.
Determination of technical aspects of the business / project.
Helps in cost estimation, cost benefit analysis & financial resources allocation for the project.
Helps in crafting the strategies for the project operations.
Helps in assessment of legal requirements like land laws, zoning laws, environmental laws or social media laws related to projects.
Helps to estimate how much time the project will take to complete.
Identifies a valid reason to undertake the project.
It evaluates the project's potential for success.
The purpose of Techno Economic Viability study is to aid the sanctioning authority to arrive at an informed judgment as regards acceptability of the project for lending (or investment) purpose.
S. T RISK CONSULTANT has the capability of undertaking technical and economic viability studies and has worked effectively with engineering organizations, land appraisers, stock brokers, investment bankers, accounting and auditing companies and legal consultants. These techno economic viability studies will be prepared in compliance with the requirements and guides of all concerned regulatory authorities.
S. T RISK CONSULTANT`S Techno Economic Viability Study provides appraisal of techno commercial parameters of a project and its impact on the financial viability.
Our services include appraisal of technical aspects of the project, study of the competitive business environment and its impact on the finances.
We provide end to end services in this space by providing detailed forecast assessment of any new or existing project, detailed analysis of costs, independent market research, viability of the project, and providing suggestions and recommendations to the project owner.