Figure 2.45 An Example of a RETScreen Financial Summary

As part of the RETScreen Clean Energy Project Analysis Software, an emission analysis worksheet is provided to help the user estimate the greenhouse gas emission reduction (mitigation) potential of the proposed project. A cost analysis worksheet is used to help the user estimate the costs (and credits) associated with the proposed case. These costs are addressed from the initial or investment cost standpoint and from the annual or recurring cost standpoint. The user may refer to the RETScreen Product Database for supplier contact information to obtain prices or other required information.

A fi nancial analysis worksheet is provided for each project evaluated (fi gures 2.45 and 2.46). This fi nancial analysis worksheet contains six sections: fi nancial parameters, annual income, project costs and savings–income summary, fi nancial viability, yearly cash fl ows, and cumulative cash fl ow graphs. One of the primary benefi ts is the fact that the RETScreen software facilitates the project evaluation process for decision makers. The fi nancial analysis worksheet covers fi nancial parameter input items (for example, the discount rate and the debt ratio) and calculated fi nancial viability output items (the internal rate of return, simple payback, net present value, and so on) and allows project decision makers to consider various fi nancial parameters with relative ease.

A sensitivity and risk analysis worksheet is provided to help the user estimate the sensitivity of important fi nancial indicators in relation to key technical and fi nancial parameters. This standard sensitivity and risk analysis worksheet contains a settings section and two main sections: sensitivity analysis and risk analysis. Each section provides information on the relationship between the key parameters and important fi nancial indicators, showing the parameters that have the greatest impact on

Figure 2.45 An Example of a RETScreen Financial Summary

Source: Author compilation (Sebastian Moffatt). Note: The summary refers to the fi nancial viability of a wind energy system for Squamish, Canada.