TY - JOUR T1 - Independent Engineering Review—More Than a Matter of Course JF - The Journal of Structured Finance SP - 31 LP - 37 DO - 10.3905/jsf.2001.320256 VL - 7 IS - 3 AU - Michael S. Robinson Y1 - 2001/10/31 UR - https://pm-research.com/content/7/3/31.abstract N2 - Some may view the independent engineering review, or technical due diligence, as simply a box to be checked off, a report to be filed away. After all, based on the experience and sophistication of many developers and the standardization of many project designs, it is reasonable to expect a clean independent engineer's report at financial closing. However, this is not the case. Not all developers are sophisticated when it comes to project financing. Their pro forma assumptions are often overly optimistic; their designs often include evolving technologies; and every design is subject to local conditions and offsite particulars. The “clean report” is a product of the process, but rarely, if ever, representative of initial findings. The independent engineering review is an interactive, intensive process that involves a comprehensive review of a project's technical and environmental aspects, identification of risks, and assistance with the mitigation of such risks'thereby adding value to the project financing process, both to financiers and project sponsors alike. ER -