EnergoPlasma’s management must allocate limited resources between competing opportunities. In general, each opportunity is assessed via a discounted cash flow (DCF) valuation, and the opportunity with the highest value, as measured by net present value is selected by the management.
In this approach, project returns are discounted by the project's hurdle rate. The returns valued are assessed in the incremental cash flows generated by the expected investment and must include all costs and benefits. The EnergPlasma hurdle rate is the minimum acceptable return on an investment in order to ensure its viability and minimize the risk to EnergoPlasma, and all participating.
In order for EnergoPlasma to consider an investment in waste-to-energy plasma gasification facilities the management and EnergoPlasma advisors focus on the highest value path trying to minimize financial risk and ensure the financial stability and profitability of the project during the contract as well as minimize technological risks involved.
EnergoPlasma considers its relation with clients as long-term partnership agreement in order to work together effectively and to deliver its programme and benefits to both the client and EnergoPlasma. The company expects partnerships to be built on goodwill, mutual trust and agreed upon procedures fostering collective decision-making and delegated responsibility.