Transcription of The Five-Step Process Framework for Project Development
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The Five-Step Process Framework for Project Development
DOE OFFICE OF INDIAN ENERGY The Five-Step Process Framework for Project Development Project Development Process : What Is It? Framework based on experience Focuses on key decision points Shows that Project Development is iterative Emphasizes that delaying or deciding against a Project that does not meet current goals is a viable outcome and option 2 Project Uncertainty/Capital at Risk 3 Unknowns Investment Revenue pays off invested $ Project Operation Financial Close Step 1, Step 2, Step 3 Step 4 Step 5 Construction Development 1 Potential 3 Refinement 5 Operations & Maintenance 2 Options 4 Implementation 1 Potential 4 Potential Options Refinement Implementation Operations & Maintenance Step 1: Site, Scale, Resource, and Community Market Potential 5 Purpose: Determine whether basic
generation (owned by the customer or a 3 rd party) and maximize value •Excess generation flows to the grid and can be credited back to the customer at the wholesale rate, retail rate or a higher incentive rate (or sometimes not at all) •Often credit for net excess generation can be carried over to future months
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