Assessment Models for Feasibility Study of Extra Electricity Facilities Investment Projects

Abstract

Numerous recent researches have revisited the issue of the potential conflicting feasibility method of competing investment projects. This paper provides an example of an assessment models can be built and used for feasibility analysis of electricity investment projects. An overview of feasibility assessment methods is presented, consist of general assessment model, risk analysis methods, and a new optimization method used to estimate strategic and financing requirements of electricity investment projects. This research also examines a new method to predict the optimal year to sell the investment. A case study is used to illustrate the use of a model to assess the feasibility assessment of a extra facilities in electricty project. The conclusion found that Net Present Value, Internal Rate of Return, Modified Internal Rate of Return and Payback Period combining with sensitivity analysis, scenario anaysis and simulation to analye the project risk should be used to assess feasibility model study of extra electricity facilities investment projects.