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1 | Techno Economic Assessment Template | ||||||||
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4 | NOTE: Get started by making a copy of this template via the File menu rather than downloading it. | ||||||||
5 | This template is a simple non-technical starting point for performing Techno Economic Assessments. It's purpose is to do a preliminary assessement of a technology to understand the competitiveness and assess initial feasibility. It should help founders evaluate the potential of their technology and identify cost hot spots. | ||||||||
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9 | Our template is most useful for evaluating early-stage technologies (TRL 1-5) and thus targeted at Preseed and Seed stage founders looking to do their first TEA. It's not suitable for detailed design and manufacturing modelling. This template ist best suited for chemical processes and might not cover all use cases (e.g. LCOE calculations) Please alter and expand the template as needed. | ||||||||
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13 | 1. Technology Description: This sheet should be used to provide a high-level overview of your process. Add Mass Balance/Equipment Sizing calculations here or add a new sheet. 2. Cost Inputs: Fill out all relevant data points in the cost sheet. Standard values are provided as a reference 3. Outputs: Assess key metrics here and perform necessary sensitivity analysis. | ||||||||
14 | Instructions | ||||||||
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17 | Some tips | 1. Technoeconomic Analyses don't needs to be overly complicated - keep it simple. 2. This is just starting point for TEA modelling. Please customise the sheet wherever needed. 3. Provide references and explanations whereever needed. | |||||||
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21 | Stage | Ideation (TRL 1-3) | Preseed/Angel (TRL 4-5) - This template | Seed (TRL 6-7) | Series A (TRL 8-9) | ||||
22 | Data Inputs | Small-scale experimental data / conceptual prototype | Small-scale process unit data / "Minimum Viable Product" | Pilot plant data / Scale Product | Demonstration scale data / For Sale Production | ||||
23 | Process Model | Block Flow Diagram / Bill of Materials | Process Flow Diagram / BOM + rough scematic | Process Simulation / Computer Aided Design | Simulation verified with operating data / Detailed CAD | ||||
24 | Complexity | Price Inputs | Published prices, estimates based on similar products / processes | Vendor discussions to inform major costs, estimates on others | Vendor quotes for most equipment | Negotiated contract data | |||
25 | Level of Detail | Major cost drivers only | Estimates of majority of operating costs and capital equipment 9 | 90% of equipment and operating costs included as a line item | 98% included and verified by an independent 3rd party | ||||
26 | Capital Costing | Recognizing that it will have a required return | Simple assumptions - 10% discount rate | Discount rate based on variability of free cash flow with market | Full Weighted Average Cost of Capital with all Tax Shields included | ||||
27 | Approximate effort | 40 man-hours | 200 man-hours | 2,000 man-hours | 5,000+ man-hours | ||||
28 | Review/Input | Co-Worker Review | Several co-workers from varying disciplines | Input from a potential investor under a NDA | Fully shared with EPC and bank, open to modification/scrutiny | ||||
29 | Cost Model | Use Focusing Research and Development Effort | Developing research targets/goals | Understanding long-term viability of the technology, pitching VC's | Securing Bank Financing, projecting earnings, activity-based costing | ||||
30 | (Table adapted from Arpa-E) | ||||||||
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32 | Limitation | While TEAs assess your cost competitiveness, value is what drives market potential. Doing a TEA only shows one side of the medal. Performing competitive benchmarking across different categories (functional properties etc.) should complement your TEA. | |||||||
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36 | Useful Resources: | Activate TEA Whitepaper | |||||||
37 | Legend: | Blue = Input | Techno-Economic Analysis: Best Practices and Assessment Tools by Sandia National Laboratories | ||||||
38 | Grey = Dropdown | Global Co2 Initiative | |||||||
39 | Towards improved guidelines for cost evaluation of carbon capture and storage | ||||||||
40 | Best Practice Example 1: Techno-economic assessment of CO2 direct air capture plants | ||||||||
41 | Best Practice Example 2: General Techno-Economic Analysis of CO2 Electrolysis Systems | ||||||||
42 | For excellent, more technical templates, which inspired ours, check out Grant Faber's templates | ||||||||
43 | Planet A does not take responsibility for any kind of errors, mistakes or other issues with this template. For questions get back to florian@planet-a.com | ||||||||