Risks Management

 

Risk Appetite Statement

The proposed plant will operate at a low overall risk of failure. This is primarily due to stringent legislation which could lead to prosecution by the aforementioned regulatory bodies, but also because at NextGen, health and safety during and post-construction has been central to the design methods.

As mentioned in the brief, the plant uses an innovative technology mix in order to maximise resource recovery and energy generation. Consequently, the strategic risk of incorporating both VFA and enzyme recovery into the wastewater treatment process is high because these technologies have not been previously implemented on a scale as big as this. However, as will be seen in the financial summary, the projected benefits will significantly outweigh the costs, therefore such risks have been deemed tolerable. In order to ensure the design is not compromised fully, there have been precautions taken in the design to incorporate back-up systems so that the capacity of the plant is not reduced when maintenance is required.

 

Having consulted with the client, the team was able to identify the top 10 key risks in the risk matrices below. These have been put on a scale of impact vs. probability. In the 1st diagram, the matrix shows the inherent risks and the 2nd matrix shows the residual risks.

 

Risk Matrix

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Inherent Risks and Residual Risks