Assuming that site development costs are fixed (at £10,000,000) – what is the minimum size of site to be developed assuming a finance rate of 7% and a CfD for £65/MWh? The analysis that supports this answer must be shown.
What is the quantitative impact on project profitability if there is a residual value for the site at the end of the CfD period? You should consider a range of scenarios including decommissioning (a cost rather than a value)
How might such a value be calculated? You should state any assumptions about site size and the market value of generated electricity. The marking criteria for the report are appended.
