Feasibility Studies For Construction Projects

Feasibility studies for construction projects
Feasibility studiesare preliminary studies undertaken

in the very early stage of a project.
They tend to be carried out when a project is large or
complex, or where there is some doubt or controversy
regarding the proposed development.
If anenvironmental impact assessment(EIA) is
required, this may involve assessments best
undertaken as part offeasibility studies
Variousstakeholders,statutory authoritiesand other
third parties may need to be consulted in the
preparation offeasibility studies
The assessments carried out should be presented in a
structured way so theclientcan decide whether or not to
proceed to the next stage.
Wherever possible, any information prepared or obtained
should be in a format which can be readily shared and used,
and should be stored and named in a way consistent with the
long-term project and operational needs.
The purpose offeasibility studiesis

to:
Establish whether the project is
viable.
Help identify feasible options.
Assist in the development of other
project documentation such as
thebusiness case,project execution
planandstrategic brief.
feasibility studies considering

issues such as:
Planning permission.
The likelihood that anenvironmental impact assessmentwill be required.
Other legal /statutory approvals.
Analysis of thebudgetrelative toclientrequirements.
Assessment of the potential to re-use existing facilities or doing nothing
rather than building new facilities.
Assessment of anysite informationprovided by theclient.
Site appraisals, including geotechnical studies, assessment of any
contamination, availability of services, uses of adjoining land,
environmental impact and so on.
Considering different solutions to accessing potential sites.
Analysis of accommodation that might be included or excluded.
Assessing operational and maintenance issues.
Appraisal of servicing strategies.
Programme considerations.
Procurementoptions
business case
apreliminary business caseshould be
prepared. This is then developed into a
detailedbusiness casefor the preferred
option afterfeasibility studiesand options
appraisalshave been carried out.
The detailedbusiness caseis the
document that will be used to determine
whether authority should be given for the
preferred option to progress to the next
stage
Business case may include
Confirmation that the project is compatible with theclient'sstated

vision, mission and objectives.
An assessment of the support for the project.
Confirmation thatfeasibility studieshave been completed, the
appropriate options have been explored and a preferred option
identified.
Confirmation that the project is likely to deliver its business goals.
Confirmation that the proposal is affordable, achievable and likely
to delivervalue for money.
Confirmation that the scope and requirements are realistic, clear
and unambiguous.
Confirmation that appropriate advice has been obtained.
Confirmation that market conditions have been properly
considered.
Identification of major risks and possible mitigation.
Identification ofthird party dependenciesand necessary
consultations.
Assessment of the likely need for the appointment of aconsultant
teamorindependent client advisers.
Assessment of long term investment prospects.
Project execution plan PEP

Theproject execution plansets out
the strategy for managing the
project, it describes who does what
and how, defining the policies,
procedures and priorities that will be
adopted
Theproject execution planmight

include
Project definition and a summary of thestrategic briefor later theproject brief.
Drawingsinsofar as they are developed at this stage.
Project programme.
Cost plan,cost managementand accounting procedures.
Contracting andprocurement strategy.
Roles, responsibilities and authorities.
Potential consultations /stakeholder management.
Communications strategy and standards.
Technology strategy.
Risk assessmentand risk allocation.
Strategy for obtainingplanning permissionand other permissions.
Health and safetystrategy.
Sustainabilitystrategy
Quality assurance strategy.
Soft landings strategy, including business change and staff training
requirements,commissioning, handover, migration, aftercare andpost occupation
evaluationstrategy.
Operational strategy.
Equipmentrequirements (inside or outside of thebuilding contract).
Unusual or long-lead items
Environmental impact assessment EIA

The purpose of anenvironmental impact
assessmentis to ensure that the environmental
effects of a proposed development are properly
considered.
Anenvironmental impact assessment provides
thelocal planning authoritywith better information
about certain types of project enabling them to
make a more informed decision about whether
permission should be granted and to allow
imposition of more appropriate conditions and
obligations to mitigate possible negative impacts
EIA is Required for
Power stations.
Refineries.
Certain industrial processes.
Certain transport projects.
Dams
Pipelines.
Airports.
Developments in sensitive or vulnerable locations
(thresholds do not apply in sensitive locations such
asnational parkswhere every project must be screened
forenvironmental impact assessment).
Unusually complex projects that may have adverse
environmental effects.
AnEnvironmental Statementmay
contain
A description of the proposed development and its use.
An estimate of the likely residues and emissions resulting from
the construction and operation of the development. (water, air
and soilpollution, noise, vibration, light, heat,radiation, etc.).
An assessment of how the development complies
withplanning policy.
An assessment of environmental opportunities and
constraints.
An assessment of appropriate alternatives. This may include
an assessment of possible alternative sites, and so it is
important that this is done during the very early stages of the
project, not as a process of post-rationalisation after
theclienthas already selected a site.
An assessment of the likely impacts of the development.
Site information
This could include information about:

Existing uses.
Existingdrawings.
Site availability.
Boundaries.
Covenants,rights of wayandrights to light.
Site history.
Land registrydrawings.
Planning history.
Legal searches.
Insurancedetails.
Flood risk.
Natural drainage.
Known hazards.
Contamination.
Information about neighbours andparty wallissues.
Key views.
Pedestrian and access, roads andrights of way.
Site information
Local transport facilities.

Traffic surveys.
Site access conditions.
Information about existing buildings and property condition.
Information about existing services and statutoryutilities(such as capacities).
Information about tunnels, wells or other underground obstructions.
Leases.
Ownership issues.
Parking restrictions and allowances.
Existing planning approvel , likelyplanning conditionsand the likelihood of requiring an
environmental impact assessment.
Waste storage and collection.
Biodiversityandprotected species.
Trees and hedges (includingtree preservation orders).
Hours of operation.
Potential for phasing.
Local amenities.
Legislative constraints.
Existing policies (such as environmental policies)

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Feasibility studies for construction projects

Feasibility studiesare preliminary studies undertaken

The purpose offeasibility studiesis

feasibility studies considering

Business case may include

Confirmation that the project is compatible with theclient'sstated

Project execution plan PEP

Theproject execution planmight

Environmental impact assessment EIA

EIA is Required for

This could include information about:

Local transport facilities.

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