MBA643 Project Risk, Finance and Monitoring Report Sample

MBA643 Project Risk, Finance and Monitoring Report

Your task

Individually, you are required to write a summary report that will address the ethical consequences of the project based on the project from assessment 1.

Assessment Description.

In this individual assessment, students will be given an opportunity to demonstrate their ability to analyse ethical consequences associated with project risk-taking and the ways in which it can be monitored. This will also allow students to create comprehensive and reliable project reporting that meet industry standards and objectives. In addition, you are required to provide recommendations, if the project should proceed.

Assessment Instructions

Building on your findings and knowledge about the project in Assessment one, you are now required to prepare a project report at addresses the following:

1. An assessment of the ethical and regulatory considerations the project

2. A summary of the viability of this project with justified recommendations, as to if the project should proceed to the next stage

Your report is aimed at the major decision-makers in the project and should contain the relevant information to provide readers with an understanding of the project and the reasons behind your recommendations, based on the theories and concepts studied over the duration of this course.

It is expected that you will compliment your report, with matrix diagrams, tables or other formats to present your findings in a clear and concise manner that aligns with best practices in project management. All data and assumptions must be based on realistic estimated and current market conditions. You are required to use at least 10 sources of information that must be referenced in accordance with Kaplan Harvard Referencing Style and presented in the form of in-text citations and a reference list at the end of your report. Workshop slides, Wikipedia and other ‘popular’ sites are not to be used.

Solution

Ethical and Regulatory Considerations

Australian company Tilt Renewables Pty Ltd is an electricity production company in a sustainable manner. To renew the energy various technologies, plants, and processes are implemented, adopted, and utilized by Tilt Renewables. All these factors need planning to install and improve renewable energy. According to MBA Assignment Experts, The management of renewable energy projects of Tilt Renewables Pty Ltd requires the project team to consider entire internal and external features. One of the major specifications that need to be identified and analyzed is ethical and regulatory considerations. The project of installing and improving renewable energy requires analyzing its ethical as well as regulatory considerations including potential solutions to ensure sustainable generation by concerning the ethical and regulatory considerations for Tilt Renewables. 

Ethical Considerations

The ethical issues that have been identified in the renewable energy industry including Tilt Renewables Limited are related to sustainability. Most firms fail to do the fairness to the environment or nature. So, sustainability is considered an ethically specified term. On the other hand, it is also an ethical consideration to transition to completely renewable energy sources within a small time period hence, it can affect the present as well as future generations (Hillerbrand 2018). 
In addition, the requirements for transitioning the dynamics boosted towards the queries of justice and ethics that comprise of concern for justified distributing the energy infrastructure as well as services, enabling equal access for making the decisions and fostering hybrid involvements of marginalized groups that are a broader theme of the causes and forms of unfairness exist in current transition perceptions. Consequently, a distributional justice is referred to as the impacts of infrastructure, fairness as identity shows a concern for the activities of stigmatization, disrespect, and other questioning like who is/who is not, involved in such decisions and procedural fairness examines the dynamics through which such decisions has occurred (Jenkins et al. 2018). 

According to Jenkins, ethical issues possibly affect the selected technologies in order to use for energy mix in the renewable procedure. Hence, it considers that transition strategies require integrating the notions of energy fairness. However, Tilt Renewables observed the need for ethical consideration commitments based on their supply chain. One major ethical issue that emerged with Tilt Renewables Limited is repercussions for the justice of energy which are related to the digital program (Milchram et al. 2018). Hence, based on such ethical challenges impact the business of the renewable energy industry such as Tilt Renewables. To reduce as well as remove these issues from the organizational scope, Tilt Renewable organization has cope-up with some core features and protocols. Moreover, organizational values and ethics are not dependent upon only the way of society thinking, but also on the thinking of an individual associated with Tilt Renewables. These opinions can be differed and cause unethical behavior thus, the domain of ethics as well personal values can be highlighted as-
 

Figure 1: Domains of Ethics
(Source: Author)

To obtain the utmost ethical values, Tilt Renewables has decided to select the domain of Codified laws so, that they can ensure the ethics and values in their organization. In this domain, Tilt Renewables company has been committed to maintaining the greatest standards of integrity, honesty, as well as ethical conduct. This code of ethics has been adopted by Tilt Renewables in order to demoralize misconduct/lawlessness & to promote-

• Complete, justice, accurate, understandable, and timely disclosure in documents & reports filed by Tilt Renewables along with other public/social communications conducted by the company.

• Ethical conduct and honesty, involve the ethical managing of apparent or actual conflicts of interest in the middle of professional as well as personal relationships.

• Accountability for resilience to the codes of ethics.

• Prompt internal reporting to organizational BOD (Board of Directors) of this code of ethics violations.

• Compliance includes applicable rules, laws, and regulations (Tilt Annual Report 2022).  

In this manner, it is justified to commit to these lawful policies as, in recent time, Tilt Renewables have faced some critical issues which need stability to the organizational operations, technologies, and other specifications. With these above-mentioned ethical considerations, the company will enable to generate, manage, and distribute its renewable energy services more effectively, authentically, and accurately. Hence, the misleading practices of Tilt Renewable Limited will also be resolved by taking these commitments into consideration (Andoni et al. 2019).  

Regulatory Considerations

Government regulators have enhanced the energy industry’s scrutiny globally and violations of such regulations and laws carry significant losses to an organization and the environment. A variety of regulator issues have been determined in the renewable energy industry including the inability to set up the renewable energy community legally, minimization or removal of available incentives like the FIT, and lack of incentives in order to establish combinedly acting renewable projects. These regulatory issues result in the increment of inequalities as well as energy poverty. This is mandatory for government authorities to restrict unethical and illegal processes by regulating new solution schemes. These solutions can be obtained by implementing new legal models. Some additional issues like energy security, energy poverty, as well as climate change also are visualized to be alerting new policies for self-consumption (Ines et al. 2019). 

During the operations as well as developments of demand response services, available market dynamics have regulatory issues in the form of accounting, supervision, etc. Moreover, energy is one of the most special and essential assets, and its business, as well as operations, require focused supervision. Thus, the corresponding laws & regulatory dynamics are lacking till now. The renewable energy generation company Tilt Renewables is required to imply government-specific policies. The organization has implemented and strived various technological efforts as well as small-scale attempts although, they are facing several challenges including consumption of excessive power and lack of regulatory dynamics (Wu and Tran 2018). In the decentral renewables, the distribution of energy covers regulatory considerations that are controlled and managed by regulatory authorities, energy suppliers, and policy-makers of a particular business or organization. The regulatory, as well as market challenges, can be occurred in organizations due to technology & operational paradigms.

According to the analysis, there are four main categories of the renewable energy industry including Tilt Renewable Limitedto which the regulatory considerations needed to be applied. These categories are offering the new renewable energy generations, grid infrastructure, flexibility, and resource adequacy as defined below-
 

Figure 2: Regulatory-based renewable energy categories
(Source: Author 2022)

Based on the diversity of renewable energy systems worldwide and the regulatory schemes available and proposed are not feasible. Many regulatory issues & considerations are potential hazards that are emerged with the human disclosure in order to violate the environmental, social, and natural assets. The control schemes of such activities are introduced by government parties, private & public organizations, political parties, and some social welfare communities. These regulatory issues can damage the value of renewable energy sources for future usability. In this manner, Tilt Renewables also adopted some ethical and regulatory solutions to leverage renewable energy security. 

Motivating capital investment is an issue in such an uncertain and diverse energy globe. It supports a regulatory model that enables justified and stable results. The distribution system operators are also putting their efforts into determining the networks to maintain the delivering quality energy at lower cost and reliability for users. Regulation must enable that with rewards to boost innovation-investment in new technology or infrastructure as an example. Overall, the model must be designed in order to maintain the energy transitions in the right direction or track. Regulatory changes are required to ensure the sustainability, ethical usability, and other quality features of renewable energy sources. A renewable energy regulatory changes-specified layout is demonstrated below-

Figure 3: Regulatory changes-specified layout
(Source: Colle and Micallef 2019)

In this manner, the Tilt Renewable company should also rely on the most adaptive regulatory model so, that the legal and regulatory fundamentals can be achieved and promoted to ascertain the business goals sustainably. 

Recommendations

According to the overall identification of Tilt Renewable company’s basic ethical and regulatory challenges while generating the electricity, and analyzing the solution features they have adopted and promoted to ensure the sustainability are significantly static. In other words, these solutions are for a particular time period. Using these parameters and solution initiatives, the Tilt Renewable can organize its business and services sustainably but for further generation and distribution, these policies need to be changed, updated, or transformed with other solutions due to the changes in environmental needs, market trends, user’s demands, and political transformation. In this manner, by focusing on all such major points, Tilt Renewable Limited should adopt and implement some advanced and innovative solutions to obtain long-term facilities and solutions. These technologies will help the organization to access, update, change, and distribute renewable energy-based solutions more sustainably, accurately, and authentically. Security can also be obtained to lead the honesty, respect, and integrity (Husin and Zaki 2021). Some relevant recommendations are outlined in the following section that will help Tilt Renewable Limited to understand the major needs of adopting the standard technologies and their corresponding outcomes. This will help them to measure the appropriateness of proposed recommended solutions and immediate acceptance. 

• Blockchain technology and the energy internet can be adopted to sustain the organizational operations and technological aspects. Blockchain technology when implied to the energy internet then it decentralized the trading platform. The automated and effective business trading is ascertained by the deployment of innovative contrasts. The data can be managed using blockchain technology and it can be protected using encryption algorithms. Thus, it is feasible to adopt blockchain technology and foster the Tilt Renewable Limited’s business operations more effectively as well as sustainably. The features of using blockchain technology can be viewed as-
 

Figure 4: Features of Blockchain Technology
(Source: Wu and Tran 2018)

• Smart Grid Systems are also performing well in the establishment of industries more sustainable for energy-specific businesses. These systems are concerned as major enables in transitioning the organizations toward more sustainable energy systems. These systems also help the organizations to evaluate the justice and privacy factors for changing energy systems. Smart grids have significant capabilities to effectively highlight justice challenges for example by offering small-scale electricity production, and reliable, and transparent billing. On the other hand, these smart grid systems are also contributing to energy and costsavings along with advancing the energy system in more democratic and equitable ways. Hence, smart grid technologies should be used by Tilt Renewables so, that they can obtain digitalization of their power systems including an objective to offer the transition to the higher sustainable energy systems (Milchram et al. 2018).

• The use of variable renewable energy solutions has also grabbed the attention of various energy generative organizations recently. These organizations focused on variable renewable energy integration or VRE integration to get positive impacts on the performance features of power systems. By integrating modern energy systems as well as solution technologies with the VRE, all-possible issues can be addressed and operations of organizations can be managed more sustainably (Sinsel et al. 2019). 

• The capability approach is also a recommendation for Tilt Renewables as it is concerned as a helpful conceptual model for interpreting various implications that power or energy systems can have individually. The capability approach facilitates a theme of well-being that can offer sustainable development growth along with a metric for intergenerational concerns of justice as well as hence, for defining the sustainable energy. In this manner, Tilt Renewables will find it better to estimate the capability of their overall energy systems so, that sustainable electricity can be generated and distributed to the corresponding channels (Hillerbrand 2018). 

• A recommendation that can also help Tilt Renewables to ensure their ethical and regulatory business solutions is if they fail to follow the proposed code of ethics there should be a penalty with strict disciplinary actions that can also include dismissal (Tilt Renewables 2022). 

Therefore, the overall recommendations are worthy for Tilt Renewables, and any of them can be utilized or adopted by this organization so, that they can protect their independent value and business scope. Sustainability can be also promoted using such solution adoption that will help future generations to take advantage of such characteristics, facilities, and quality solutions. Consequently, the organization will also get higher growth, recognition, sustainability, productivity, and customer connectivity with the adoption of such recommended best practices.

References

Andoni, M., Robu, V., Flynn, D., Abram, S., Geach, D., Jenkins, D., McCallum, P. and Peacock, A., 2019. Blockchain technology in the energy sector: A systematic review of challenges and opportunities. Renewable and Sustainable Energy Reviews, 100, pp.143-174. https://doi.org/10.1016/j.rser.2019.109489

Colle, S., Micallef, P., 2019. Six Ways for regulators to support the energy transition. [online] Available at: <https://www.ey.com/en_gl/power-utilities/six-ways-for-regulators-to-support-the-energy-transition > [Accessed 13 June 2022].

Hillerbrand, R., 2018. Why affordable clean energy is not enough. A capability perspective on the sustainable development goals. Sustainability, 10(7), p.2485. http://dx.doi.org/10.3390/su10072485

Husin, H. and Zaki, M., 2021. A critical review of the integration of renewable energy sources with various technologies. Protection and Control of Modern Power Systems, 6(1), pp.1-18. https://doi.org/10.1186/s41601-021-00181-3

Inês, C., Guilherme, P.L., Esther, M.G., Swantje, G., Stephen, H. and Lars, H., 2020. Regulatory challenges and opportunities for collective renewable energy prosumers in the EU. Energy Policy, 138, p.111212. https://doi.org/10.1016/j.enpol.2019.111212

Milchram, C., Hillerbrand, R., van de Kaa, G., Doorn, N. and Künneke, R., 2018. Energy justice and smart grid systems: evidence from the Netherlands and the United Kingdom. Applied Energy, 229, pp.1244-1259. https://doi.org/10.1016/j.apenergy.2018.08.053

Sinsel, S.R., Riemke, R.L. and Hoffmann, V.H., 2020. Challenges and solution technologies for the integration of variable renewable energy sources—a review. renewable energy, 145, pp.2271-2285.

Tilt Annual Report, 2022. Delivering with Energy, [Online], Available: <https://www.tiltrenewables.com/documents/775/Tilt_Renewables_2021_Annual_Report.pdf> Accessed 13 June 2022.

Tilt Renewables, 2022, Code of Ethics, [Online] Available: < https://www.tiltrenewables.com/documents/931/Code_of_Ethics_-_December_2021.pdf> Accessed 13 June 2022

Wu, J. and Tran, N.K., 2018. Application of blockchain technology in sustainable energy systems: An overview. Sustainability, 10(9), p.3067. http://dx.doi.org/10.3390/su10093067