Project Background

Tidal energy is a kind of clean, pollution-free and abundant renewable energy. The principle of tidal power generation is similar to that of ordinary hydropower generation. By going out of the reservoir, seawater is stored in the reservoir at high tide and stored in the form of potential energy. Then, seawater is released at low tide, and the drop between high and low tide levels is used to push the turbine to rotate and drive the generator to generate electricity.

Tidal power generation has unique advantages, such as strong predictability, good dispatchability, does not occupy land, does not affect the landscape, and does not produce noise.2On a global scale, tidal energy is one of the most mature technologies and the largest utilization scale among ocean energy. European countries and South Korea maintain leading advantages in the research and development of tidal power generation.

China is near.30010,000 square kilometers of sea area and3.2The 10,000-kilometer-long coastline is rich in tidal energy resources. The development and utilization of tidal energy is of great significance for alleviating China's energy crisis, optimizing the power structure and promoting the upgrading of energy structure.

Customer pain points

A well-known domestic investment group (hereinafter referred to as the customer) intends to invest in a tidal power generation facility located in a coastal area, and plans to build it into a leading domestic tidal power generation company in the next five years. Before investing, customers need to conduct a comprehensive and in-depth due diligence on the tidal power generation facility to assess its technical level, operating conditions, market prospects, risk factors, etc., and to formulate reasonable investment plans and revenue forecasts.

Project Purpose

The client entrusts Shangpu Consulting Company (hereinafter referred to as Shangpu) to provide professional business investment due diligence services to help the client understand the real situation of the tidal power generation facility, analyze its strengths and weaknesses, assess its value and potential, and formulate appropriate investment strategies and recommendations.

Research object

Champ conducted a comprehensive survey of the tidal power facility, including the following objects:

Tidal power generation facility itself: including its technical parameters, equipment conditions, operation data, safety performance, etc;

Tidal power generation enterprises: including their organizational structure, management team, financial status, market share, competitive advantage, etc;

Involving stakeholders: including its partners, suppliers, customers, government departments, social organizations, etc;

Industry environment: including industry status, policies and regulations, market demand, competitive landscape, etc.

Project Content

According to the needs and expectations of customers, Champ has developed a detailed due diligence plan and method, including the following:

Document collection and analysis: by obtaining relevant information and reports from tidal power generation enterprises, such as business license, financial statements, contract agreements, technical plans, etc., preliminary data collation and analysis;

On-site investigation and interview: through on-site investigation to the tidal power generation facility, observe its equipment operation status, safety measures, environmental impact, etc., and conduct in-depth interviews with the management, employees, partners, etc. of the tidal power generation enterprise to obtain first-hand information and feedback;

Market research and evaluation: by collecting and analyzing industry reports, policy documents, market data, etc., to understand the development status and prospects of the tidal power generation industry, and to assess the market demand and competitiveness of tidal power generation facilities;

Risk identification and response: by identifying the technical risks, operational risks, legal risks, market risks, etc. that may be faced by tidal power generation facilities, as well as analyzing their possible impacts and consequences, and proposing corresponding risk response measures and recommendations;

Investment plan and income forecast: according to the results of due diligence, combined with the client's investment objectives and budget, to develop a reasonable investment plan and income forecast, including investment amount, mode, term, rate of return, etc.

Project Value

Champ provides clients with a high-quality business investment due diligence report that fully demonstrates the real situation, value assessment, risk analysis and investment advice of the tidal power facility. The report provides the customer with the following value:

Help customers accurately grasp the technical level, operating conditions, market prospects and other key information of the tidal power generation facility, and enhance customers' investment confidence and decision-making basis;

Help customers to identify and avoid all kinds of risks that may exist in the tidal power generation facility, and protect the investment interests and safety of customers;

Help clients to formulate appropriate investment strategies and programs, optimize their investment structure and efficiency, and improve their return on investment;

Help customers and tidal power generation enterprises to establish a good cooperative relationship, and promote the win-win development of both sides.