How to prepare a project report?
BRIEF DESCRIPTION OF THE PROJECT AREA
- Name of utility and distribution cycle .
- District town village covered
- Location latitude and longitude
- Area population and boundaries
- Climate condition
- Status of development , access to electricity
- Economic structure socio economic feature
- Predominantly urban rural
- Data collection of existing system
- Category wise number of consumers and connected load
- Peak demand
- Annual energy consumption
- Sub transmission system and distribution system
- Single line diagram and of sub transmission and distribution network
- Equipment parameter data
DATA VALIDATION
- Correctness and consistency of data collection.
Project cost details
- Basic equipment cost
- Duties taxes and fright (Exercise duty , custom duty , sales tax)
- Freight and transit insurance
- Civil engineering works (foundation / building)
- Erection works (storage/ handaling/ installation / t&c )
MAJOR BENEFITS FROM THE PROJECT
- Reduction of losses
- Additional sale
- Improved reliability and availability
PROJECT INVESTMENT CRITERIA
- Cost benefit analysis
- Investment criteria
- Payback period
Discounted cash flow technique
a)net present worth
b)benefit cost ratio
c)internal rate of return
project investment criteria
- payback period
- · Length of time required by the cumulative net cash inflow to cover up the fixed capital investment
Payback period = total capital
investment
Total cash inflow or net benefit /year
- · Easy to understand
- · Investment should include fixed capital and working capital
- · Net benefits to be adjusted for interest and tax liabilities.
PROJECT INVETMENT CRITERIA
- Discounted cash flow technique
- A technique which brings past and future cost benefits to their present worth
- Takes into account time value of money
DCF TECHNIQUES
- Past benefit cost – compounding
- Future benefit cost- discounting
NET PRESENT WORTH
NPW= present value of incremental benefit – present value of
cost
Selection criteria npw =0 or <0 p="">0>
·
Internal rate of return
(IRR)
Discount rate at which the npw of project
is equals to 0
Or
It is the maximum interest rate that a
project can pay and still breaks even
DPR structure
- Title page: name affiliation and date etc
- Acknowledgement
- Content list
- Abbreviation
- Executive summary
- Introduction background
- Recommended action plan
- Technical and financial analysis chapter
- Appendices