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Technical due diligence of hydro power assets

Technical due diligence of DNV assesses the technical risks of your hydro energy asset, ensuring an independent evaluation for developers, owners, investors and other stakeholders to rely on.

If you are in business, divestments and acquisitions are daily practice. So when it is time to strike a deal, you need to arrive at a realistic valuation. However, this can be a difficult process: an incorrect assessment can lead to tremendous costs and high risks. DNV offers you independent key technical and operational input to valuate any hydro power generation asset. You can draw on all our wide-ranging experience and global reputation to deliver confidence in the valuation of an asset.

Due diligence supports the investment process
Our hydro power due diligence services ensure that all technical-critical project expectations are independently evaluated and any potential issues, and associated mitigation measures, are identified. Our services are tailored to both small and large hydro power plants (reservoir, pumped storage, run-of-river). A technical and environmental due diligence supports the investment or acquisition process, through an independent evaluation where all stakeholders can rely on.

A thorough assessment
Our assessment process starts with gathering information from a virtual data room. While assessing these data we identify potential risks and issues. Our review targets the technical aspects of a project including, energy production estimates, equipment and technology, associated civil and electrical designs, contracting arrangements, project schedules and budgets, environmental permitting, as well as future operating and maintenance costs. The review can also include project site visits, equipment manufacturer audits, detailed equipment inspections, construction monitoring, and completion verification. By considering all the technical information, we can present a set of conclusions and recommendations which are relevant and appropriate for the hydro power project and the stakeholders involved.

The due diligence leads to a “red flag report” focusing on identified risks as well as the condition of the asset. The issues raised in this report can be verified via a site visit. During this visit, our highly skilled engineers investigate the state of the plant and conduct interviews with key personnel. By comparing information from the virtual data room and the on-site investigation, we further elaborate on the state of the asset and potential issues. You will receive a final report with detailed conclusions and describing potential risks and costs, helping you to mitigate and to arrive at a correct valuation to make a solid investment decision.

30 years experience around the world
Our reputation for quality and reliability is matched only by our experience. Working closely with each customer, DNV has been delivering renewables due diligence services for nearly 30 years. With extensive know-how behind them, our professionals provide a solid basis for informing intelligent decisions, regardless of the project or investment scale, the lifecycle stage, or the region of the world.