Commercial Risks
Commercial risks (also known as project risks) are those inherent in the project itself, or the market in which it operates. The main questions to be considered in the commercial risk-analysis process can be summarized as: Commercial viability: does the project make overall commercial sense for all parties (§9.4)? Construction risks: can the project be built on time and on budget (§9.5)? Revenue risks: will its operating revenues be as projected (§9.6)? Operating risks: is the project capable of operating at the projected performance level and cost (§9.7)? Input supply risks: can raw materials or other inputs be obtained at the projected costs (§9.8)? Force majeure risks: how can the project cope with force majeure ...
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