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IS THE PROJECT TECHNICALLY FEASIBLE?
 Technical Due Diligence
Contract: Technical Advice
Specifications Verification
When you finance a specific project, for example a wind energy farm, in a specific location, such as Taiwan, you need to be sure you have access to relevant technical expertise to evaluate the project feasibility.
We offer a wide range of services helping you to evaluate the feasibility of a project, related technical risks and your return on investment.
Technical Due Diligence
Design and Engineering Survey
Design and engineering surveys are conducted, based on the design and engineering documents provided by the customer and include, but are not limited to:
- Buildings and infrastructure design evaluation according to design standards and local regulations
- Foundation evaluation (if applicable) verifying that the foundation design covers all relevant aspects:
- Basis for certification (foundation certification schema and applied design standards)
- Applied loads in foundation calculations
- Fabrication
- General evaluation of the job and verification of documents provided by the utility company and local authorities
- Review of other civil works - such as access roads, electrical system and interconnection
- Fitness for site review - based on the site-specific conditions as outlined in the Site Assessment Report (below).
Site Survey
Site surveys are based as a minimum on the following elements:
- Specific site study (accessibility, transportation time, weather conditions, etc)
- External site conditions:
- Wind Conditions
- Soil conditions (based on soil investigation and geotechnical reports)
- Corrosion conditions
- Seismic conditions (if relevant)
- Characteristics of the electricity grid
- Regulatory compliance (construction and other permits, etc).
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Contract: Technical Advice
Contract terms (including but not limited to):
- EPC contract and warranty, acceptance and reliability agreement
- Finance (Facility) Agreement
- Operations and maintenance agreement and warranties including inter alia provisions to reduce negative consequences of wake effects
- Grid Connection and / or Power Purchase Agreement
- Evaluation of the adequacy of proposed operation and maintenance reporting
- Regulatory compliance.
Project schedule:
- Review of the schedule presented by the sponsor to identify errors or omissions and to provide an overall opinion on the likelihood of completion
- Review of the adequacy of the milestones as a method of measuring progress and payment of installments.
Project costs estimate:
Review and confirmation of appropriateness of costs as incorporated in the lenders’ financial model:
- Turn-key construction cost
- Contingency to be allowed in construction budget
- Operations and maintenance costs
- Spare parts inventory cost
- Connection cost for electricity and services, including reactive and auxiliary
- Power (project specific).
Manufacturing quality and contractor qualifications, assessment of quality and general capabilities of:
- Main contractor
- Civil subcontractor
- Electrical subcontractor.
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Specifications Verification
Verification of equipment and manufacturer:
- Track record (for the equipment type and the equipment manufacturer)
- Fitness for the site (in view of abovementioned site-specific external conditions)
- Design review
- Certification status.
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