ppt on project appraisal

Welcome To

Presentation

Group No: 09

1. Ariful Islam Khan 09106070

2. Shamol Reza 09106043

3. Taufiqul Islam 10106057

4. Abdul Alim 10106047

5. Md Hachnayen Ahmed 10106063

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Objectives

• Through this Presentation, we attempt to bring into focus what we believe to be some of the important practical issues that face development planners in the field of project Appraisal.

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Summary

• This session will introduce dimensions of project appraisal, including:– issues of social acceptability/desirability,

environmental friendliness, – technical feasibility/ appropriateness, – gender sensitiveness, – economic soundness and – ability to be sustainable and most importantly

financial viability.

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Appraisal means Assessment and estimation.

Project define as:Non routine Involves number of uncertainties.Definite period of time. ( starts to end ).

Project is the co ordination of the efforts of persons drawn from different functional areas and contribution to external agencies.

Meaning and Overview of Project Appraisal

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Project Appraisal

• When is it done:– After preparation and design of the project

• What is project appraisal:– Provides a comprehensive and systematic review of all

aspects of the project• Why the project Appraisal is Needed:– To development and successful completion of projects

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Project Appraisal (cont.)• Hard questions are asked and the answers determine

whether project proposal is adopted or rejected. • The questions raised rotate around:– appropriateness of project objectives, – size, scope, implementation methods, – modalities, time scale, and – the project technical, financial, economic, institutional,

environmental, social and distributional justification of the project.

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What can a Project Appraisal deliver?

• Be reliable and objective in choosing projects• Make sure their program benefits all sections of the

community• Provide documentation to meet financial and audit

requirements• Appraisal justifies spending money on a project. • Appraisal is an important decision making tool. • Appraisal lays the foundations for delivery.

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Good appraisal systems should ensure that:

• Project application, appraisal and approval functions are separate

• All the necessary information is gathered for appraisal • Race/tribal equality and other equality issues are given

proper consideration• Those involved in appraisal have appropriate technical

expertise• There are realistic allowances for time involved.

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Key issues in appraising projects

• Need, targeting and objectives Applicants should provide detailed description of project,

identifying local needs/ objectives it aims to meet. • Context and connections Are there links between the project and other local

programmes and projects. • Consultation Local consultation determines priorities and secure

community consent and ownership.

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• Options

This is concerned with establishing whether there are different ways of achieving objectives

• Inputs

Important to ensure all the necessary people and resources are in place to deliver project.

• Value for money

This is one of the key criteria against which projects are appraised .

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• Implementation

Appraisal scrutinises the practical plans for implementation, asking whether staffing, timetable and implementers are okay.

• Risk and uncertainty

There should also be contingency plans in place to minimize the estimated risks.

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• Eligibility– Regional Development – Environmental protection

• Legal Frame Work – Policies, public acceptance – Licensing, safety – Environmental compatibility

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• Technology And Design– Project Definition – Viability and performance – Adaptation to technical progress – Local-specific requirements – Appropriate technical capacity – Life expectancy

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• Time Schedule– Preparation of feasibility studies – Environmental studies Licensing requirements – Time needed for procurement – Local conditions (climatic, etc)

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• Environmental and Social Compatibility– Impact analysis, mitigation measures Direct, indirect,

long-distance effects – Compliance with international standards – Least-polluting technology

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• Economic + Financial Viability– Cost effectiveness – Financial international rate of return– Economic international rate of return – Pay-back period, etc

• Investment Cost– Local and foreign currencies– Phasing of expenditure– Cost Justification

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• Forward strategies

Appraisal should also consider mainstream links and implications in case the project funds are over

• Sustainability

Appraisal should include an assessment of a project’s environmental, social and economic impact, its positive and negative effects.

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Checklist for project appraisal

Some Questions worth asking:

• Are appraisals systematic and disciplined with a clear sequence of activities and operating rules?

• Is there an independent assessment of the project?• Does the appraisal process conclude in clear

recommendations that inform approval (or rejection) of the project?

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Checklist (cont.)• Is the approval stage clearly separate?• Is the appraisal process well documented– with key documents signed, – showing ownership and agreement, and– allowing the appraisal documentation to act as basis

for future management, monitoring and evaluation?• Does appraisal system comply with relevant government

guidance?• Are right people involved and, if necessary, how can you

widen involvement?

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Feasibility Study

• Aim of a feasibility study:• Development objectives • Policy framework and detailed project objectives• Technical soundness of the project• Administrative feasibility of the project

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Feasibility Study - Aims (cont.)

• The economic and financial viability of the project proposal• The status of demand for the project

beneficiaries• Other important policy and cross cutting issues

(gender, environment)

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Practical • Appraise your identified projects in terms of the following:– Technical analysis – Economic Analysis– Financial Analysis– Environmental Analysis, and– Social Analysis– Gender Analysis– Ecological Analysis– Political

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Technical Appraisal

• Will the project Work?• Availability of the required quality and quantity of

raw material.• Availability of utilities like power and water etc• Follows anti pollution laws

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Financial Appraisal

• Can the project be financed properly?• Will there be sufficient funds to cover the

expenditure requirements during the life of the project?

• Means of financing

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Economic Appraisal

• Impact of the project one the distribution of income in the society

• Impact of project on the level savings and investment in the society and socially desirable objectives like self sufficiently, employment etc.

• Contribution of project

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Social Aspects

• What will be the effect of the project on different groups? At

– Individual

– Household and

– Community levels

• How will the project impact on women and men?

• Will the social benefits of the project be greater than the social costs over the life of the investment when account is taken of time?

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Environmental Appraisal

• Will the project have any adverse effect on the environment?

• Have remedial measures been included the project design?

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Environmental Damage. Restoration Measures.

Will the project be compatible with government policy, at both central, regional and local level?

Ecological & Political Appraisal

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Conclusion

• It is seen from the previous discussion that the Project Appraisal can be structured to cover the full range of functionality of the project management process. It is a powerful tool which should not be overlooked but which must be judiciously applied .

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Thank You

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Any Question…..?

ppt on project appraisal

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