Economic Analysis <title of the investment proposal>

Summary Table
Wednesday, August 14, 2019

Option 1 Option 2 Option 3 Option 4

<description> <description> <description> <description>
Appraisal period (years) 30 30 30 30
Capital Costs $0 $2,000,000 $30,000,000 $55,000,000
Whole of Life Costs $15,000,000 $17,000,000 $45,000,000 $70,000,000
Cost-benefit analysis of monetary costs and benefits at the Public Sector Discount Rate
Present Value of Benefits $5,849,716 $7,604,631 $39,841,423 $47,718,390
Present Value of Costs $5,849,716 $7,849,716 $35,479,345 $43,903,348
Benefit Cost Ratio 1.00 0.97 1.12 1.09
Net Present Value $0 -$245,085 $4,362,077 $3,815,042
Multi-Criteria Analysis ranking of intangible costs and benefits (if any)
Criteria 1 1.50 2.50 2.50 2.50
Criteria 2 1.25 2.25 1.50
Criteria 3 0.60 0.90 1.20 1.20
Criteria 4 0.40 0.30 0.50 0.80
Weighted Score 3.8 6.0 4.2 6.0
Cost Benefit Analysis <title of the investment proposal>
Option 1: <description of the option>
Wednesday, August 14, 2019

Key Assumptions:
Public Sector Discount Rate 2011 8.00%
Appraisal period (years) 30 years

Summary of the Results of the Analysis:

Capital Costs $0
Whole of Life Costs $15,000,000
Present Value of Benefits $5,849,716
Present Value of Costs $5,849,716
Benefit Cost Ratio 1.00
Net Present Value $0

0 1 2
Year 2012 2013 2014
Discount factor (mid-year) 0.96225 0.89097 0.82497
Discount factor (start of year) 1.00000 0.92593 0.85734

Benefit 1 <description> $100,000 $100,000 $100,000

Benefit 2 <description> $100,000 $100,000 $100,000
Benefit 3 <description> $100,000 $100,000 $100,000
Benefit 4 <description> $100,000 $100,000 $100,000
Benefit 5 <description> $100,000 $100,000 $100,000
Total Benefits (mid-year) $500,000 $500,000 $500,000

Present Value of Benefits (mid-yr) $481,125 $445,486 $412,487

Present Value of Benefits $5,849,716

Cost 1 <description> -$100,000 -$100,000 -$100,000

Cost 2 <description> -$100,000 -$100,000 -$100,000
Cost 3 <description> -$100,000 -$100,000 -$100,000
Cost 4 <description> -$100,000 -$100,000 -$100,000
Cost 5 <description> -$100,000 -$100,000 -$100,000
Total Costs (mid-year) -$500,000 -$500,000 -$500,000

Capital Costs (at start of year) $0 $0 $0

Total Costs -$500,000 -$500,000 -$500,000
Total Capital Costs $0
Total Whole of Life Costs -$15,000,000

Present Value of Costs (mid-year) -$481,125 -$445,486 -$412,487

Present Value of Costs (start year) $0 $0 $0
Present Value of Costs (by year) -$481,125 -$445,486 -$412,487
Present Value of Costs -$5,849,716
Net Cash Flows $0 $0 $0
Net Present Value (by year) $0 $0 $0
Cumulative NPV $0 $0 $0

Chart data only:

Year 0 1 2
Present Value of Benefits ($million) $ 0.481 $ 0.445 $ 0.412
Present Value of Costs ($million) -$ 0.481 -$ 0.445 -$ 0.412
Cumulative Net Present Value ($million) $ - $ - $ -
 3 4 5 6 7 8
2015 2016 2017 2018 2019 2020
0.76387 0.70728 0.65489 0.60638 0.56146 0.51987
0.79383 0.73503 0.68058 0.63017 0.58349 0.54027

$100,000 $100,000 $100,000 $100,000 $100,000 $100,000

$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$500,000 $500,000 $500,000 $500,000 $500,000 $500,000

$381,933 $353,641 $327,446 $303,191 $280,732 $259,937

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

$0 $0 $0 $0 $0 $0
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

-$381,933 -$353,641 -$327,446 -$303,191 -$280,732 -$259,937

$0 $0 $0 $0 $0 $0
-$381,933 -$353,641 -$327,446 -$303,191 -$280,732 -$259,937
 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

3 4 5 6 7 8
$ 0.382 $ 0.354 $ 0.327 $ 0.303 $ 0.281 $ 0.260
-$ 0.382 -$ 0.354 -$ 0.327 -$ 0.303 -$ 0.281 -$ 0.260
$ - $ - $ - $ - $ - $ -
 9 10 11 12 13 14
2021 2022 2023 2024 2025 2026
0.48136 0.44571 0.41269 0.38212 0.35382 0.32761
0.50025 0.46319 0.42888 0.39711 0.36770 0.34046

$100,000 $100,000 $100,000 $100,000 $100,000 $100,000

$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$500,000 $500,000 $500,000 $500,000 $500,000 $500,000

$240,682 $222,854 $206,346 $191,061 $176,909 $163,804

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

$0 $0 $0 $0 $0 $0
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

-$240,682 -$222,854 -$206,346 -$191,061 -$176,909 -$163,804

$0 $0 $0 $0 $0 $0
-$240,682 -$222,854 -$206,346 -$191,061 -$176,909 -$163,804
 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

9 10 11 12 13 14
$ 0.241 $ 0.223 $ 0.206 $ 0.191 $ 0.177 $ 0.164
-$ 0.241 -$ 0.223 -$ 0.206 -$ 0.191 -$ 0.177 -$ 0.164
$ - $ - $ - $ - $ - $ -
 15 16 17 18 19 20
2027 2028 2029 2030 2031 2032
0.30334 0.28087 0.26007 0.24080 0.22297 0.20645
0.31524 0.29189 0.27027 0.25025 0.23171 0.21455

$100,000 $100,000 $100,000 $100,000 $100,000 $100,000

$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$500,000 $500,000 $500,000 $500,000 $500,000 $500,000

$151,671 $140,436 $130,033 $120,401 $111,483 $103,225

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

$0 $0 $0 $0 $0 $0
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

-$151,671 -$140,436 -$130,033 -$120,401 -$111,483 -$103,225

$0 $0 $0 $0 $0 $0
-$151,671 -$140,436 -$130,033 -$120,401 -$111,483 -$103,225
 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

15 16 17 18 19 20
$ 0.152 $ 0.140 $ 0.130 $ 0.120 $ 0.111 $ 0.103
-$ 0.152 -$ 0.140 -$ 0.130 -$ 0.120 -$ 0.111 -$ 0.103
$ - $ - $ - $ - $ - $ -
 21 22 23 24 25 26
2033 2034 2035 2036 2037 2038
0.19116 0.17700 0.16389 0.15175 0.14051 0.13010
0.19866 0.18394 0.17032 0.15770 0.14602 0.13520

$100,000 $100,000 $100,000 $100,000 $100,000 $100,000

$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$500,000 $500,000 $500,000 $500,000 $500,000 $500,000

$95,578 $88,498 $81,943 $75,873 $70,253 $65,049

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

$0 $0 $0 $0 $0 $0
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

-$95,578 -$88,498 -$81,943 -$75,873 -$70,253 -$65,049

$0 $0 $0 $0 $0 $0
-$95,578 -$88,498 -$81,943 -$75,873 -$70,253 -$65,049
 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

21 22 23 24 25 26
$ 0.096 $ 0.088 $ 0.082 $ 0.076 $ 0.070 $ 0.065
-$ 0.096 -$ 0.088 -$ 0.082 -$ 0.076 -$ 0.070 -$ 0.065
$ - $ - $ - $ - $ - $ -
 27 28 29 1000 1000 1000
2039 2040 2041 2042 2043 2044
0.12046 0.11154 0.10328 0.00000 0.00000 0.00000
0.12519 0.11591 0.10733 0.00000 0.00000 0.00000

$100,000 $100,000 $100,000 $0 $0 $0

$100,000 $100,000 $100,000 $0 $0 $0
$100,000 $100,000 $100,000 $0 $0 $0
$100,000 $100,000 $100,000 $0 $0 $0
$100,000 $100,000 $100,000 $0 $0 $0
$500,000 $500,000 $500,000 $0 $0 $0

$60,231 $55,769 $51,638 $0 $0 $0

-$100,000 -$100,000 -$100,000 $0 $0 $0

-$100,000 -$100,000 -$100,000 $0 $0 $0
-$100,000 -$100,000 -$100,000 $0 $0 $0
-$100,000 -$100,000 -$100,000 $0 $0 $0
-$100,000 -$100,000 -$100,000 $0 $0 $0
-$500,000 -$500,000 -$500,000 $0 $0 $0

$0 $0 $0 $0 $0 $0
-$500,000 -$500,000 -$500,000 $0 $0 $0

-$60,231 -$55,769 -$51,638 $0 $0 $0

$0 $0 $0 $0 $0 $0
-$60,231 -$55,769 -$51,638 $0 $0 $0
 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

27 28 29 1000 1000 1000

$ 0.060 $ 0.056 $ 0.052 $ - $ - $ -
-$ 0.060 -$ 0.056 -$ 0.052 $ - $ - $ -
$ - $ - $ - $ - $ - $ -
 1000 1000 1000 1000 1000 1000
2045 2046 2047 2048 2049 2050
0.00000 0.00000 0.00000 0.00000 0.00000 0.00000
0.00000 0.00000 0.00000 0.00000 0.00000 0.00000

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

1000 1000 1000 1000 1000 1000

$ - $ - $ - $ - $ - $ -
$ - $ - $ - $ - $ - $ -
$ - $ - $ - $ - $ - $ -
 1000 1000 1000 1000 1000 1000
2051 2052 2053 2054 2055 2056
0.00000 0.00000 0.00000 0.00000 0.00000 0.00000
0.00000 0.00000 0.00000 0.00000 0.00000 0.00000

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

1000 1000 1000 1000 1000 1000

$ - $ - $ - $ - $ - $ -
$ - $ - $ - $ - $ - $ -
$ - $ - $ - $ - $ - $ -
 1000 1000 1000 1000 1000
2057 2058 2059 2060 2061
0.00000 0.00000 0.00000 0.00000 0.00000
0.00000 0.00000 0.00000 0.00000 0.00000

$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0

$0 $0 $0 $0 $0

$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0

$0 $0 $0 $0 $0
$0 $0 $0 $0 $0

$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0

1000 1000 1000 1000 1000

$ - $ - $ - $ - $ -
$ - $ - $ - $ - $ -
$ - $ - $ - $ - $ -
Todays Dollars ($ millions) $0.600 Cost Benefit Analysis: Option 1

$0.400

$0.200

$-

-$0.200

-$0.400
Present Value of Benefits ($million)

Present Value of Costs ($million)

Cumulative Net Present Value ($million)

-$0.600
1 2 3 4 5 6 7 8 9 1 1 1 1 1 1 1 1 1 1 2 2 2 2 2 2 2 2 2 2 3 3 3 3 3 3 3 3 3 3 4 4 4 4 4 4 4 4 4 4 5
0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0
Year
Cost Benefit Analysis <title of the investment proposal>
Option 2: <description of the option>
Wednesday, August 14, 2019

Key Assumptions:
Public Sector Discount Rate 2011 8.00%
Appraisal period (years) 30 years

Summary of the Results of the Analysis:

Capital Costs $2,000,000
Whole of Life Costs $17,000,000
Present Value of Benefits $7,604,631
Present Value of Costs $7,849,716
Benefit Cost Ratio 0.97
Net Present Value -$245,085

0 1 2
Year 2012 2013 2014
Discount factor (mid-year) 0.96225 0.89097 0.82497
Discount factor (start of year) 1.00000 0.92593 0.85734

Benefit 1 <description> $250,000 $250,000 $250,000

Benefit 2 <description> $100,000 $100,000 $100,000
Benefit 3 <description> $100,000 $100,000 $100,000
Benefit 4 <description> $100,000 $100,000 $100,000
Benefit 5 <description> $100,000 $100,000 $100,000
Total Benefits (mid-year) $650,000 $650,000 $650,000

Present Value of Benefits (mid-yr) $625,463 $579,132 $536,234

Present Value of Benefits $7,604,631

Cost 1 <description> -$100,000 -$100,000 -$100,000

Cost 2 <description> -$100,000 -$100,000 -$100,000
Cost 3 <description> -$100,000 -$100,000 -$100,000
Cost 4 <description> -$100,000 -$100,000 -$100,000
Cost 5 <description> -$100,000 -$100,000 -$100,000
Total Costs (mid-year) -$500,000 -$500,000 -$500,000

Capital Costs (at start of year) -$2,000,000 $0 $0

Total Costs -$2,500,000 -$500,000 -$500,000
Total Capital Costs -$2,000,000
Total Whole of Life Costs -$17,000,000

Present Value of Costs (mid-year) -$481,125 -$445,486 -$412,487

Present Value of Costs (start year) -$2,000,000 $0 $0
Present Value of Costs (by year) -$2,481,125 -$445,486 -$412,487
Present Value of Costs -$7,849,716
Net Cash Flows -$1,850,000 $150,000 $150,000
Net Present Value (by year) -$1,855,662 $133,646 $123,746
Cumulative NPV -$1,855,662 -$1,722,017 -$1,598,270

Chart data only:

Year 0 1 2
Present Value of Benefits ($million) $ 0.625 $ 0.579 $ 0.536
Present Value of Costs ($million) -$ 2.481 -$ 0.445 -$ 0.412
Cumulative Net Present Value ($million) -$ 1.856 -$ 1.722 -$ 1.598
 3 4 5 6 7 8
2015 2016 2017 2018 2019 2020
0.76387 0.70728 0.65489 0.60638 0.56146 0.51987
0.79383 0.73503 0.68058 0.63017 0.58349 0.54027

$250,000 $250,000 $250,000 $250,000 $250,000 $250,000

$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$650,000 $650,000 $650,000 $650,000 $650,000 $650,000

$496,513 $459,734 $425,679 $394,148 $364,952 $337,918

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

$0 $0 $0 $0 $0 $0
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

-$381,933 -$353,641 -$327,446 -$303,191 -$280,732 -$259,937

$0 $0 $0 $0 $0 $0
-$381,933 -$353,641 -$327,446 -$303,191 -$280,732 -$259,937
 $150,000 $150,000 $150,000 $150,000 $150,000 $150,000
$114,580 $106,092 $98,234 $90,957 $84,220 $77,981
-$1,483,691 -$1,377,598 -$1,279,364 -$1,188,407 -$1,104,188 -$1,026,207

3 4 5 6 7 8
$ 0.497 $ 0.460 $ 0.426 $ 0.394 $ 0.365 $ 0.338
-$ 0.382 -$ 0.354 -$ 0.327 -$ 0.303 -$ 0.281 -$ 0.260
-$ 1.484 -$ 1.378 -$ 1.279 -$ 1.188 -$ 1.104 -$ 1.026
 9 10 11 12 13 14
2021 2022 2023 2024 2025 2026
0.48136 0.44571 0.41269 0.38212 0.35382 0.32761
0.50025 0.46319 0.42888 0.39711 0.36770 0.34046

$250,000 $250,000 $250,000 $250,000 $250,000 $250,000

$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$650,000 $650,000 $650,000 $650,000 $650,000 $650,000

$312,887 $289,710 $268,250 $248,380 $229,981 $212,946

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

$0 $0 $0 $0 $0 $0
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

-$240,682 -$222,854 -$206,346 -$191,061 -$176,909 -$163,804

$0 $0 $0 $0 $0 $0
-$240,682 -$222,854 -$206,346 -$191,061 -$176,909 -$163,804
 $150,000 $150,000 $150,000 $150,000 $150,000 $150,000
$72,205 $66,856 $61,904 $57,318 $53,073 $49,141
-$954,002 -$887,146 -$825,242 -$767,923 -$714,851 -$665,709

9 10 11 12 13 14
$ 0.313 $ 0.290 $ 0.268 $ 0.248 $ 0.230 $ 0.213
-$ 0.241 -$ 0.223 -$ 0.206 -$ 0.191 -$ 0.177 -$ 0.164
-$ 0.954 -$ 0.887 -$ 0.825 -$ 0.768 -$ 0.715 -$ 0.666
 15 16 17 18 19 20
2027 2028 2029 2030 2031 2032
0.30334 0.28087 0.26007 0.24080 0.22297 0.20645
0.31524 0.29189 0.27027 0.25025 0.23171 0.21455

$250,000 $250,000 $250,000 $250,000 $250,000 $250,000

$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$650,000 $650,000 $650,000 $650,000 $650,000 $650,000

$197,172 $182,567 $169,043 $156,521 $144,927 $134,192

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

$0 $0 $0 $0 $0 $0
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

-$151,671 -$140,436 -$130,033 -$120,401 -$111,483 -$103,225

$0 $0 $0 $0 $0 $0
-$151,671 -$140,436 -$130,033 -$120,401 -$111,483 -$103,225
 $150,000 $150,000 $150,000 $150,000 $150,000 $150,000
$45,501 $42,131 $39,010 $36,120 $33,445 $30,967
-$620,208 -$578,077 -$539,067 -$502,947 -$469,502 -$438,535

15 16 17 18 19 20
$ 0.197 $ 0.183 $ 0.169 $ 0.157 $ 0.145 $ 0.134
-$ 0.152 -$ 0.140 -$ 0.130 -$ 0.120 -$ 0.111 -$ 0.103
-$ 0.620 -$ 0.578 -$ 0.539 -$ 0.503 -$ 0.470 -$ 0.439
 21 22 23 24 25 26
2033 2034 2035 2036 2037 2038
0.19116 0.17700 0.16389 0.15175 0.14051 0.13010
0.19866 0.18394 0.17032 0.15770 0.14602 0.13520

$250,000 $250,000 $250,000 $250,000 $250,000 $250,000

$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$650,000 $650,000 $650,000 $650,000 $650,000 $650,000

$124,252 $115,048 $106,526 $98,635 $91,329 $84,564

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

$0 $0 $0 $0 $0 $0
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

-$95,578 -$88,498 -$81,943 -$75,873 -$70,253 -$65,049

$0 $0 $0 $0 $0 $0
-$95,578 -$88,498 -$81,943 -$75,873 -$70,253 -$65,049
 $150,000 $150,000 $150,000 $150,000 $150,000 $150,000
$28,673 $26,550 $24,583 $22,762 $21,076 $19,515
-$409,861 -$383,312 -$358,729 -$335,967 -$314,891 -$295,377

21 22 23 24 25 26
$ 0.124 $ 0.115 $ 0.107 $ 0.099 $ 0.091 $ 0.085
-$ 0.096 -$ 0.088 -$ 0.082 -$ 0.076 -$ 0.070 -$ 0.065
-$ 0.410 -$ 0.383 -$ 0.359 -$ 0.336 -$ 0.315 -$ 0.295
 27 28 29 1000 1000 1000
2039 2040 2041 2042 2043 2044
0.12046 0.11154 0.10328 0.00000 0.00000 0.00000
0.12519 0.11591 0.10733 0.00000 0.00000 0.00000

$250,000 $250,000 $250,000 $0 $0 $0

$100,000 $100,000 $100,000 $0 $0 $0
$100,000 $100,000 $100,000 $0 $0 $0
$100,000 $100,000 $100,000 $0 $0 $0
$100,000 $100,000 $100,000 $0 $0 $0
$650,000 $650,000 $650,000 $0 $0 $0

$78,300 $72,500 $67,129 $0 $0 $0

-$100,000 -$100,000 -$100,000 $0 $0 $0

-$100,000 -$100,000 -$100,000 $0 $0 $0
-$100,000 -$100,000 -$100,000 $0 $0 $0
-$100,000 -$100,000 -$100,000 $0 $0 $0
-$100,000 -$100,000 -$100,000 $0 $0 $0
-$500,000 -$500,000 -$500,000 $0 $0 $0

$0 $0 $0 $0 $0 $0
-$500,000 -$500,000 -$500,000 $0 $0 $0

-$60,231 -$55,769 -$51,638 $0 $0 $0

$0 $0 $0 $0 $0 $0
-$60,231 -$55,769 -$51,638 $0 $0 $0
 $150,000 $150,000 $150,000 $0 $0 $0
$18,069 $16,731 $15,491 $0 $0 $0
-$277,307 -$260,577 -$245,085 -$245,085 -$245,085 -$245,085

27 28 29 1000 1000 1000

$ 0.078 $ 0.072 $ 0.067 $ - $ - $ -
-$ 0.060 -$ 0.056 -$ 0.052 $ - $ - $ -
-$ 0.277 -$ 0.261 -$ 0.245 -$ 0.245 -$ 0.245 -$ 0.245
 1000 1000 1000 1000 1000 1000
2045 2046 2047 2048 2049 2050
0.00000 0.00000 0.00000 0.00000 0.00000 0.00000
0.00000 0.00000 0.00000 0.00000 0.00000 0.00000

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
-$245,085 -$245,085 -$245,085 -$245,085 -$245,085 -$245,085

1000 1000 1000 1000 1000 1000

$ - $ - $ - $ - $ - $ -
$ - $ - $ - $ - $ - $ -
-$ 0.245 -$ 0.245 -$ 0.245 -$ 0.245 -$ 0.245 -$ 0.245
 1000 1000 1000 1000 1000 1000
2051 2052 2053 2054 2055 2056
0.00000 0.00000 0.00000 0.00000 0.00000 0.00000
0.00000 0.00000 0.00000 0.00000 0.00000 0.00000

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
-$245,085 -$245,085 -$245,085 -$245,085 -$245,085 -$245,085

1000 1000 1000 1000 1000 1000

$ - $ - $ - $ - $ - $ -
$ - $ - $ - $ - $ - $ -
-$ 0.245 -$ 0.245 -$ 0.245 -$ 0.245 -$ 0.245 -$ 0.245
 1000 1000 1000 1000 1000
2057 2058 2059 2060 2061
0.00000 0.00000 0.00000 0.00000 0.00000
0.00000 0.00000 0.00000 0.00000 0.00000

$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0

$0 $0 $0 $0 $0

$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0

$0 $0 $0 $0 $0
$0 $0 $0 $0 $0

$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0
-$245,085 -$245,085 -$245,085 -$245,085 -$245,085

1000 1000 1000 1000 1000

$ - $ - $ - $ - $ -
$ - $ - $ - $ - $ -
-$ 0.245 -$ 0.245 -$ 0.245 -$ 0.245 -$ 0.245
Todays Dollars ($ millions) $1.000 Cost Benefit Analysis: Option 2

$0.500

$-

-$0.500

-$1.000

-$1.500

-$2.000

-$2.500 Present Value of Benefits ($million)

Present Value of Costs ($million)

Cumulative Net Present Value ($million)

-$3.000
1 2 3 4 5 6 7 8 9 1 1 1 1 1 1 1 1 1 1 2 2 2 2 2 2 2 2 2 2 3 3 3 3 3 3 3 3 3 3 4 4 4 4 4 4 4 4 4 4 5
0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0
Year
Cost Benefit Analysis <title of the investment proposal>
Option 3: <description of the option>
Wednesday, August 14, 2019

Key Assumptions:
Public Sector Discount Rate 2011 8.00%
Appraisal period (years) 30 years

Summary of the Results of the Analysis:

Capital Costs $30,000,000
Whole of Life Costs $45,000,000
Present Value of Benefits $39,841,423
Present Value of Costs $35,479,345
Benefit Cost Ratio 1.12
Net Present Value $4,362,077

0 1 2
Year 2012 2013 2014
Discount factor (mid-year) 0.96225 0.89097 0.82497
Discount factor (start of year) 1.00000 0.92593 0.85734

Benefit 1 <description> $400,000 $800,000 $800,000

Benefit 2 <description> $1,000,000 $1,000,000 $1,000,000
Benefit 3 <description> $100,000 $100,000 $100,000
Benefit 4 <description> $100,000 $100,000 $100,000
Benefit 5 <description> $750,000 $1,500,000 $1,500,000
Total Benefits (mid-year) $2,350,000 $3,500,000 $3,500,000

Present Value of Benefits (mid-yr) $2,261,289 $3,118,404 $2,887,411

Present Value of Benefits $39,841,423

Cost 1 <description> -$100,000 -$100,000 -$100,000

Cost 2 <description> -$100,000 -$100,000 -$100,000
Cost 3 <description> -$100,000 -$100,000 -$100,000
Cost 4 <description> -$100,000 -$100,000 -$100,000
Cost 5 <description> -$100,000 -$100,000 -$100,000
Total Costs (mid-year) -$500,000 -$500,000 -$500,000

Capital Costs (at start of year) -$25,000,000 -$5,000,000 $0

Total Costs -$25,500,000 -$5,500,000 -$500,000
Total Capital Costs -$30,000,000
Total Whole of Life Costs -$45,000,000

Present Value of Costs (mid-year) -$481,125 -$445,486 -$412,487

Present Value of Costs (start year) -$25,000,000 -$4,629,630 $0
Present Value of Costs (by year) -$25,481,125 -$5,075,116 -$412,487
Present Value of Costs -$35,479,345
Net Cash Flows -$23,150,000 -$2,000,000 $3,000,000
Net Present Value (by year) -$23,219,837 -$1,956,712 $2,474,924
Cumulative NPV -$23,219,837 -$25,176,548 -$22,701,624

Chart data only:

Year 0 1 2
Present Value of Benefits ($million) $ 2.261 $ 3.118 $ 2.887
Present Value of Costs ($million) -$ 25.481 -$ 5.075 -$ 0.412
Cumulative Net Present Value ($million) -$ 23.220 -$ 25.177 -$ 22.702
 3 4 5 6 7 8
2015 2016 2017 2018 2019 2020
0.76387 0.70728 0.65489 0.60638 0.56146 0.51987
0.79383 0.73503 0.68058 0.63017 0.58349 0.54027

$800,000 $800,000 $800,000 $800,000 $800,000 $800,000

$1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000
$3,500,000 $3,500,000 $3,500,000 $3,500,000 $3,500,000 $3,500,000

$2,673,529 $2,475,490 $2,292,120 $2,122,334 $1,965,124 $1,819,559

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

$0 $0 $0 $0 $0 $0
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

-$381,933 -$353,641 -$327,446 -$303,191 -$280,732 -$259,937

$0 $0 $0 $0 $0 $0
-$381,933 -$353,641 -$327,446 -$303,191 -$280,732 -$259,937
 $3,000,000 $3,000,000 $3,000,000 $3,000,000 $3,000,000 $3,000,000
$2,291,596 $2,121,848 $1,964,674 $1,819,143 $1,684,392 $1,559,622
-$20,410,028 -$18,288,180 -$16,323,505 -$14,504,362 -$12,819,971 -$11,260,349

3 4 5 6 7 8
$ 2.674 $ 2.475 $ 2.292 $ 2.122 $ 1.965 $ 1.820
-$ 0.382 -$ 0.354 -$ 0.327 -$ 0.303 -$ 0.281 -$ 0.260
-$ 20.410 -$ 18.288 -$ 16.324 -$ 14.504 -$ 12.820 -$ 11.260
 9 10 11 12 13 14
2021 2022 2023 2024 2025 2026
0.48136 0.44571 0.41269 0.38212 0.35382 0.32761
0.50025 0.46319 0.42888 0.39711 0.36770 0.34046

$800,000 $800,000 $800,000 $800,000 $800,000 $800,000

$1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000
$3,500,000 $3,500,000 $3,500,000 $3,500,000 $3,500,000 $3,500,000

$1,684,777 $1,559,978 $1,444,425 $1,337,430 $1,238,361 $1,146,631

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

$0 $0 $0 $0 $0 $0
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

-$240,682 -$222,854 -$206,346 -$191,061 -$176,909 -$163,804

$0 $0 $0 $0 $0 $0
-$240,682 -$222,854 -$206,346 -$191,061 -$176,909 -$163,804
 $3,000,000 $3,000,000 $3,000,000 $3,000,000 $3,000,000 $3,000,000
$1,444,094 $1,337,124 $1,238,078 $1,146,369 $1,061,452 $982,826
-$9,816,254 -$8,479,130 -$7,241,052 -$6,094,683 -$5,033,230 -$4,050,404

9 10 11 12 13 14
$ 1.685 $ 1.560 $ 1.444 $ 1.337 $ 1.238 $ 1.147
-$ 0.241 -$ 0.223 -$ 0.206 -$ 0.191 -$ 0.177 -$ 0.164
-$ 9.816 -$ 8.479 -$ 7.241 -$ 6.095 -$ 5.033 -$ 4.050
 15 16 17 18 19 20
2027 2028 2029 2030 2031 2032
0.30334 0.28087 0.26007 0.24080 0.22297 0.20645
0.31524 0.29189 0.27027 0.25025 0.23171 0.21455

$800,000 $800,000 $800,000 $800,000 $800,000 $800,000

$1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000
$3,500,000 $3,500,000 $3,500,000 $3,500,000 $3,500,000 $3,500,000

$1,061,695 $983,051 $910,232 $842,808 $780,378 $722,572

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

$0 $0 $0 $0 $0 $0
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

-$151,671 -$140,436 -$130,033 -$120,401 -$111,483 -$103,225

$0 $0 $0 $0 $0 $0
-$151,671 -$140,436 -$130,033 -$120,401 -$111,483 -$103,225
 $3,000,000 $3,000,000 $3,000,000 $3,000,000 $3,000,000 $3,000,000
$910,024 $842,615 $780,199 $722,407 $668,895 $619,347
-$3,140,380 -$2,297,764 -$1,517,565 -$795,158 -$126,263 $493,084

15 16 17 18 19 20
$ 1.062 $ 0.983 $ 0.910 $ 0.843 $ 0.780 $ 0.723
-$ 0.152 -$ 0.140 -$ 0.130 -$ 0.120 -$ 0.111 -$ 0.103
-$ 3.140 -$ 2.298 -$ 1.518 -$ 0.795 -$ 0.126 $ 0.493
 21 22 23 24 25 26
2033 2034 2035 2036 2037 2038
0.19116 0.17700 0.16389 0.15175 0.14051 0.13010
0.19866 0.18394 0.17032 0.15770 0.14602 0.13520

$800,000 $800,000 $800,000 $800,000 $800,000 $800,000

$1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000
$3,500,000 $3,500,000 $3,500,000 $3,500,000 $3,500,000 $3,500,000

$669,048 $619,489 $573,601 $531,112 $491,770 $455,343

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

$0 $0 $0 $0 $0 $0
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

-$95,578 -$88,498 -$81,943 -$75,873 -$70,253 -$65,049

$0 $0 $0 $0 $0 $0
-$95,578 -$88,498 -$81,943 -$75,873 -$70,253 -$65,049
 $3,000,000 $3,000,000 $3,000,000 $3,000,000 $3,000,000 $3,000,000
$573,470 $530,991 $491,658 $455,239 $421,517 $390,294
$1,066,554 $1,597,544 $2,089,202 $2,544,441 $2,965,958 $3,356,252

21 22 23 24 25 26
$ 0.669 $ 0.619 $ 0.574 $ 0.531 $ 0.492 $ 0.455
-$ 0.096 -$ 0.088 -$ 0.082 -$ 0.076 -$ 0.070 -$ 0.065
$ 1.067 $ 1.598 $ 2.089 $ 2.544 $ 2.966 $ 3.356
 27 28 29 1000 1000 1000
2039 2040 2041 2042 2043 2044
0.12046 0.11154 0.10328 0.00000 0.00000 0.00000
0.12519 0.11591 0.10733 0.00000 0.00000 0.00000

$800,000 $800,000 $800,000 $0 $0 $0

$1,000,000 $1,000,000 $1,000,000 $0 $0 $0
$100,000 $100,000 $100,000 $0 $0 $0
$100,000 $100,000 $100,000 $0 $0 $0
$1,500,000 $1,500,000 $1,500,000 $0 $0 $0
$3,500,000 $3,500,000 $3,500,000 $0 $0 $0

$421,614 $390,383 $361,466 $0 $0 $0

-$100,000 -$100,000 -$100,000 $0 $0 $0

-$100,000 -$100,000 -$100,000 $0 $0 $0
-$100,000 -$100,000 -$100,000 $0 $0 $0
-$100,000 -$100,000 -$100,000 $0 $0 $0
-$100,000 -$100,000 -$100,000 $0 $0 $0
-$500,000 -$500,000 -$500,000 $0 $0 $0

$0 $0 $0 $0 $0 $0
-$500,000 -$500,000 -$500,000 $0 $0 $0

-$60,231 -$55,769 -$51,638 $0 $0 $0

$0 $0 $0 $0 $0 $0
-$60,231 -$55,769 -$51,638 $0 $0 $0
 $3,000,000 $3,000,000 $3,000,000 $0 $0 $0
$361,383 $334,614 $309,828 $0 $0 $0
$3,717,635 $4,052,249 $4,362,077 $4,362,077 $4,362,077 $4,362,077

27 28 29 1000 1000 1000

$ 0.422 $ 0.390 $ 0.361 $ - $ - $ -
-$ 0.060 -$ 0.056 -$ 0.052 $ - $ - $ -
$ 3.718 $ 4.052 $ 4.362 $ 4.362 $ 4.362 $ 4.362
 1000 1000 1000 1000 1000 1000
2045 2046 2047 2048 2049 2050
0.00000 0.00000 0.00000 0.00000 0.00000 0.00000
0.00000 0.00000 0.00000 0.00000 0.00000 0.00000

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$4,362,077 $4,362,077 $4,362,077 $4,362,077 $4,362,077 $4,362,077

1000 1000 1000 1000 1000 1000

$ - $ - $ - $ - $ - $ -
$ - $ - $ - $ - $ - $ -
$ 4.362 $ 4.362 $ 4.362 $ 4.362 $ 4.362 $ 4.362
 1000 1000 1000 1000 1000 1000
2051 2052 2053 2054 2055 2056
0.00000 0.00000 0.00000 0.00000 0.00000 0.00000
0.00000 0.00000 0.00000 0.00000 0.00000 0.00000

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$4,362,077 $4,362,077 $4,362,077 $4,362,077 $4,362,077 $4,362,077

1000 1000 1000 1000 1000 1000

$ - $ - $ - $ - $ - $ -
$ - $ - $ - $ - $ - $ -
$ 4.362 $ 4.362 $ 4.362 $ 4.362 $ 4.362 $ 4.362
 1000 1000 1000 1000 1000
2057 2058 2059 2060 2061
0.00000 0.00000 0.00000 0.00000 0.00000
0.00000 0.00000 0.00000 0.00000 0.00000

$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0

$0 $0 $0 $0 $0

$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0

$0 $0 $0 $0 $0
$0 $0 $0 $0 $0

$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$4,362,077 $4,362,077 $4,362,077 $4,362,077 $4,362,077

1000 1000 1000 1000 1000

$ - $ - $ - $ - $ -
$ - $ - $ - $ - $ -
$ 4.362 $ 4.362 $ 4.362 $ 4.362 $ 4.362
Todays Dollars ($ millions)
$10.000 Cost Benefit Analysis: Option 3

$5.000

$-

-$5.000

-$10.000

-$15.000

-$20.000

-$25.000 Present Value of Benefits ($million)

Present Value of Costs ($million)

Cumulative Net Present Value ($million)

-$30.000
1 2 3 4 5 6 7 8 9 1 1 1 1 1 1 1 1 1 1 2 2 2 2 2 2 2 2 2 2 3 3 3 3 3 3 3 3 3 3 4 4 4 4 4 4 4 4 4 4 5
0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0
Year
Cost Benefit Analysis <title of the investment proposal>
Option 4: <description of the option>
Wednesday, August 14, 2019

Key Assumptions:
Public Sector Discount Rate 2011 8.00%
Appraisal period (years) 30 years

Summary of the Results of the Analysis:

Capital Costs $55,000,000
Whole of Life Costs $70,000,000
Present Value of Benefits $47,718,390
Present Value of Costs $43,903,348
Benefit Cost Ratio 1.09
Net Present Value $3,815,042

0 1 2
Year 2012 2013 2014
Discount factor (mid-year) 0.96225 0.89097 0.82497
Discount factor (start of year) 1.00000 0.92593 0.85734

Benefit 1 <description> $400,000 $800,000 $1,200,000

Benefit 2 <description> $1,000,000 $1,000,000 $1,000,000
Benefit 3 <description> $100,000 $100,000 $500,000
Benefit 4 <description> $100,000 $100,000 $100,000
Benefit 5 <description> $750,000 $1,500,000 $1,500,000
Total Benefits (mid-year) $2,350,000 $3,500,000 $4,300,000

Present Value of Benefits (mid-yr) $2,261,289 $3,118,404 $3,547,391

Present Value of Benefits $47,718,390

Cost 1 <description> -$100,000 -$100,000 -$100,000

Cost 2 <description> -$100,000 -$100,000 -$100,000
Cost 3 <description> -$100,000 -$100,000 -$100,000
Cost 4 <description> -$100,000 -$100,000 -$100,000
Cost 5 <description> -$100,000 -$100,000 -$100,000
Total Costs (mid-year) -$500,000 -$500,000 -$500,000

Capital Costs (at start of year) -$25,000,000 -$5,000,000 $0

Total Costs -$25,500,000 -$5,500,000 -$500,000
Total Capital Costs -$55,000,000
Total Whole of Life Costs -$70,000,000

Present Value of Costs (mid-year) -$481,125 -$445,486 -$412,487

Present Value of Costs (start year) -$25,000,000 -$4,629,630 $0
Present Value of Costs (by year) -$25,481,125 -$5,075,116 -$412,487
Present Value of Costs -$43,903,348
Net Cash Flows -$23,150,000 -$2,000,000 $3,800,000
Net Present Value (by year) -$23,219,837 -$1,956,712 $3,134,904
Cumulative NPV -$23,219,837 -$25,176,548 -$22,041,645

Chart data only:

Year 0 1 2
Present Value of Benefits ($million) $ 2.261 $ 3.118 $ 3.547
Present Value of Costs ($million) -$ 25.481 -$ 5.075 -$ 0.412
Cumulative Net Present Value ($million) -$ 23.220 -$ 25.177 -$ 22.042
 3 4 5 6 7 8
2015 2016 2017 2018 2019 2020
0.76387 0.70728 0.65489 0.60638 0.56146 0.51987
0.79383 0.73503 0.68058 0.63017 0.58349 0.54027

$1,200,000 $1,200,000 $1,200,000 $1,200,000 $1,200,000 $1,200,000

$1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000
$500,000 $500,000 $500,000 $500,000 $500,000 $500,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000
$4,300,000 $4,300,000 $4,300,000 $4,300,000 $4,300,000 $4,300,000

$3,284,621 $3,041,316 $2,816,033 $2,607,438 $2,414,295 $2,235,458

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

$0 $0 $0 -$5,000,000 $0 $0
-$500,000 -$500,000 -$500,000 -$5,500,000 -$500,000 -$500,000

-$381,933 -$353,641 -$327,446 -$303,191 -$280,732 -$259,937

$0 $0 $0 -$3,150,848 $0 $0
-$381,933 -$353,641 -$327,446 -$3,454,039 -$280,732 -$259,937
 $3,800,000 $3,800,000 $3,800,000 -$1,200,000 $3,800,000 $3,800,000
$2,902,689 $2,687,675 $2,488,588 -$846,600 $2,133,563 $1,975,521
-$19,138,956 -$16,451,281 -$13,962,694 -$14,809,294 -$12,675,731 -$10,700,210

3 4 5 6 7 8
$ 3.285 $ 3.041 $ 2.816 $ 2.607 $ 2.414 $ 2.235
-$ 0.382 -$ 0.354 -$ 0.327 -$ 3.454 -$ 0.281 -$ 0.260
-$ 19.139 -$ 16.451 -$ 13.963 -$ 14.809 -$ 12.676 -$ 10.700
 9 10 11 12 13 14
2021 2022 2023 2024 2025 2026
0.48136 0.44571 0.41269 0.38212 0.35382 0.32761
0.50025 0.46319 0.42888 0.39711 0.36770 0.34046

$1,200,000 $1,200,000 $1,200,000 $1,200,000 $1,200,000 $1,200,000

$1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000
$500,000 $500,000 $500,000 $500,000 $500,000 $500,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000
$4,300,000 $4,300,000 $4,300,000 $4,300,000 $4,300,000 $4,300,000

$2,069,869 $1,916,545 $1,774,579 $1,643,128 $1,521,415 $1,408,718

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

$0 $0 -$5,000,000 $0 $0 $0
-$500,000 -$500,000 -$5,500,000 -$500,000 -$500,000 -$500,000

-$240,682 -$222,854 -$206,346 -$191,061 -$176,909 -$163,804

$0 $0 -$2,144,414 $0 $0 $0
-$240,682 -$222,854 -$2,350,761 -$191,061 -$176,909 -$163,804
 $3,800,000 $3,800,000 -$1,200,000 $3,800,000 $3,800,000 $3,800,000
$1,829,186 $1,693,691 -$576,182 $1,452,067 $1,344,506 $1,244,913
-$8,871,024 -$7,177,333 -$7,753,515 -$6,301,448 -$4,956,941 -$3,712,028

9 10 11 12 13 14
$ 2.070 $ 1.917 $ 1.775 $ 1.643 $ 1.521 $ 1.409
-$ 0.241 -$ 0.223 -$ 2.351 -$ 0.191 -$ 0.177 -$ 0.164
-$ 8.871 -$ 7.177 -$ 7.754 -$ 6.301 -$ 4.957 -$ 3.712
 15 16 17 18 19 20
2027 2028 2029 2030 2031 2032
0.30334 0.28087 0.26007 0.24080 0.22297 0.20645
0.31524 0.29189 0.27027 0.25025 0.23171 0.21455

$1,200,000 $1,200,000 $1,200,000 $1,200,000 $1,200,000 $1,200,000

$1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000
$500,000 $500,000 $500,000 $500,000 $500,000 $500,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000
$4,300,000 $4,300,000 $4,300,000 $4,300,000 $4,300,000 $4,300,000

$1,304,368 $1,207,748 $1,118,286 $1,035,450 $958,750 $887,731

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

$0 -$5,000,000 $0 $0 $0 $0
-$500,000 -$5,500,000 -$500,000 -$500,000 -$500,000 -$500,000

-$151,671 -$140,436 -$130,033 -$120,401 -$111,483 -$103,225

$0 -$1,459,452 $0 $0 $0 $0
-$151,671 -$1,599,888 -$130,033 -$120,401 -$111,483 -$103,225
 $3,800,000 -$1,200,000 $3,800,000 $3,800,000 $3,800,000 $3,800,000
$1,152,698 -$392,140 $988,252 $915,049 $847,267 $784,507
-$2,559,330 -$2,951,470 -$1,963,218 -$1,048,169 -$200,902 $583,604

15 16 17 18 19 20
$ 1.304 $ 1.208 $ 1.118 $ 1.035 $ 0.959 $ 0.888
-$ 0.152 -$ 1.600 -$ 0.130 -$ 0.120 -$ 0.111 -$ 0.103
-$ 2.559 -$ 2.951 -$ 1.963 -$ 1.048 -$ 0.201 $ 0.584
 21 22 23 24 25 26
2033 2034 2035 2036 2037 2038
0.19116 0.17700 0.16389 0.15175 0.14051 0.13010
0.19866 0.18394 0.17032 0.15770 0.14602 0.13520

$1,200,000 $1,200,000 $1,200,000 $1,200,000 $1,200,000 $1,200,000

$1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000
$500,000 $500,000 $500,000 $500,000 $500,000 $500,000
$100,000 $100,000 $100,000 $100,000 $100,000 $100,000
$1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000 $1,500,000
$4,300,000 $4,300,000 $4,300,000 $4,300,000 $4,300,000 $4,300,000

$821,973 $761,086 $704,710 $652,509 $604,175 $559,421

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000

-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$100,000 -$100,000 -$100,000 -$100,000 -$100,000 -$100,000
-$500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$500,000

-$5,000,000 $0 $0 $0 $0 -$5,000,000
-$5,500,000 -$500,000 -$500,000 -$500,000 -$500,000 -$5,500,000

-$95,578 -$88,498 -$81,943 -$75,873 -$70,253 -$65,049

-$993,279 $0 $0 $0 $0 -$676,009
-$1,088,857 -$88,498 -$81,943 -$75,873 -$70,253 -$741,058
 -$1,200,000 $3,800,000 $3,800,000 $3,800,000 $3,800,000 -$1,200,000
-$266,884 $672,588 $622,767 $576,636 $533,922 -$181,637
$316,721 $989,309 $1,612,075 $2,188,711 $2,722,633 $2,540,997

21 22 23 24 25 26
$ 0.822 $ 0.761 $ 0.705 $ 0.653 $ 0.604 $ 0.559
-$ 1.089 -$ 0.088 -$ 0.082 -$ 0.076 -$ 0.070 -$ 0.741
$ 0.317 $ 0.989 $ 1.612 $ 2.189 $ 2.723 $ 2.541
 27 28 29 1000 1000 1000
2039 2040 2041 2042 2043 2044
0.12046 0.11154 0.10328 0.00000 0.00000 0.00000
0.12519 0.11591 0.10733 0.00000 0.00000 0.00000

$1,200,000 $1,200,000 $1,200,000 $0 $0 $0

$1,000,000 $1,000,000 $1,000,000 $0 $0 $0
$500,000 $500,000 $500,000 $0 $0 $0
$100,000 $100,000 $100,000 $0 $0 $0
$1,500,000 $1,500,000 $1,500,000 $0 $0 $0
$4,300,000 $4,300,000 $4,300,000 $0 $0 $0

$517,983 $479,614 $444,087 $0 $0 $0

-$100,000 -$100,000 -$100,000 $0 $0 $0

-$100,000 -$100,000 -$100,000 $0 $0 $0
-$100,000 -$100,000 -$100,000 $0 $0 $0
-$100,000 -$100,000 -$100,000 $0 $0 $0
-$100,000 -$100,000 -$100,000 $0 $0 $0
-$500,000 -$500,000 -$500,000 $0 $0 $0

$0 $0 $0 $0 $0 $0
-$500,000 -$500,000 -$500,000 $0 $0 $0

-$60,231 -$55,769 -$51,638 $0 $0 $0

$0 $0 $0 $0 $0 $0
-$60,231 -$55,769 -$51,638 $0 $0 $0
 $3,800,000 $3,800,000 $3,800,000 $0 $0 $0
$457,752 $423,845 $392,449 $0 $0 $0
$2,998,749 $3,422,593 $3,815,042 $3,815,042 $3,815,042 $3,815,042

27 28 29 1000 1000 1000

$ 0.518 $ 0.480 $ 0.444 $ - $ - $ -
-$ 0.060 -$ 0.056 -$ 0.052 $ - $ - $ -
$ 2.999 $ 3.423 $ 3.815 $ 3.815 $ 3.815 $ 3.815
 1000 1000 1000 1000 1000 1000
2045 2046 2047 2048 2049 2050
0.00000 0.00000 0.00000 0.00000 0.00000 0.00000
0.00000 0.00000 0.00000 0.00000 0.00000 0.00000

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$3,815,042 $3,815,042 $3,815,042 $3,815,042 $3,815,042 $3,815,042

1000 1000 1000 1000 1000 1000

$ - $ - $ - $ - $ - $ -
$ - $ - $ - $ - $ - $ -
$ 3.815 $ 3.815 $ 3.815 $ 3.815 $ 3.815 $ 3.815
 1000 1000 1000 1000 1000 1000
2051 2052 2053 2054 2055 2056
0.00000 0.00000 0.00000 0.00000 0.00000 0.00000
0.00000 0.00000 0.00000 0.00000 0.00000 0.00000

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0

$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
 $0 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0 $0
$3,815,042 $3,815,042 $3,815,042 $3,815,042 $3,815,042 $3,815,042

1000 1000 1000 1000 1000 1000

$ - $ - $ - $ - $ - $ -
$ - $ - $ - $ - $ - $ -
$ 3.815 $ 3.815 $ 3.815 $ 3.815 $ 3.815 $ 3.815
 1000 1000 1000 1000 1000
2057 2058 2059 2060 2061
0.00000 0.00000 0.00000 0.00000 0.00000
0.00000 0.00000 0.00000 0.00000 0.00000

$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0

$0 $0 $0 $0 $0

$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0

$0 $0 $0 $0 $0
$0 $0 $0 $0 $0

$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$0 $0 $0 $0 $0
 $0 $0 $0 $0 $0
$0 $0 $0 $0 $0
$3,815,042 $3,815,042 $3,815,042 $3,815,042 $3,815,042

1000 1000 1000 1000 1000

$ - $ - $ - $ - $ -
$ - $ - $ - $ - $ -
$ 3.815 $ 3.815 $ 3.815 $ 3.815 $ 3.815
Todays Dollars ($ millions)
$10.000 Cost Benefit Analysis: Option 4

$5.000

$-

-$5.000

-$10.000

-$15.000

-$20.000

-$25.000 Present Value of Benefits ($million)

Present Value of Costs ($million)

Cumulative Net Present Value ($million)

-$30.000
1 2 3 4 5 6 7 8 9 1 1 1 1 1 1 1 1 1 1 2 2 2 2 2 2 2 2 2 2 3 3 3 3 3 3 3 3 3 3 4 4 4 4 4 4 4 4 4 4 5
0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0 1 2 3 4 5 6 7 8 9 0
Year
Multi-Criteria Analysis <title of the investment proposal>

Option 1 Option 2
<description> <description>
Score Score
Criteria (out of Weighted (out of
Criteria Weight 10) Score 10)
<description> 50.0% 3 1.50 5
<description> 25.0% 5 1.25 9
<description> 15.0% 4 0.60 6
<description> 10.0% 4 0.40 3

Overall 100.0% 16 3.8 23

refer to the comments on the marked cells for guidance

 Option 3 Option 4
<description> <description> <description>
Score Score
Weighted (out of Weighted (out of Weighted
Score 10) Score 10) Score
2.50 5 2.50 5 2.50
2.25 0 6 1.50
0.90 8 1.20 8 1.20
0.30 5 0.50 8 0.80

6.0 18 4.2 27 6.0