Valuation and modelling
Concepts used in valuation, financial modelling, scenario analysis and project risk assessment.
Dispatch
Dispatch is the operational decision process determining when an asset charges, discharges or remains idle.
IRR
IRR, or Internal Rate of Return, is a measure of the expected profitability of an investment based on its cash flows.
NPV
NPV, or Net Present Value, is the present value of future project cash flows after deducting investment outlays.
Scenario analysis
Scenario analysis assesses how project results change under different market, technical, operational and financing assumptions.
Stress test
A stress test checks how a project behaves under adverse assumptions and identifies the limits of its resilience.
WACC
WACC, or Weighted Average Cost of Capital, is the average cost of capital used to finance a project.