Milestone-Based Development

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1. Purpose of Development Capital

The project is currently in structured early development stage.

Development capital is required not for construction, but for:

• Technical validation

• Risk reduction

• Institutional structuring

• Pilot definition

• Capital stack preparation
  
  

The objective is to transition from structured concept to pilot-ready climate infrastructure within 24 months.

This development phase is structured around defined milestones to ensure disciplined capital deployment and measurable progress.

2. Development Phase Structure

The development process is divided into four milestone gates.

Capital is deployed incrementally upon successful completion of each milestone.

This reduces exposure, improves transparency, and aligns incentives between the promoter and development capital partner.

3. Capital Instrument Options (Indicative)

Development capital may be structured as:

• Recoverable grant linked to financial close

• Convertible development equity

• Milestone-based subordinated facility

• Blended catalytic capital with downside protection
  
  

Instrument structure to be determined through structured dialogue.

The intention is alignment — not capital dependency.

4. Risk Mitigation Framework

The milestone structure ensures:

• Controlled capital exposure

• Transparent reporting

• Technical validation before scale

• Institutional consultation before financing

• Adaptive scope management
  
  

Each milestone acts as a decision gate.

If validation thresholds are not met, scope can be adjusted before advancing.

5. Alignment with Development Finance Objectives

This milestone-based approach supports:

• Climate adaptation infrastructure development

• Risk-managed capital deployment

• Institutional strengthening

• Structured public-private collaboration

• Replicable basin-level climate resilience model
  
  

The development phase prioritizes:

Validation over acceleration
Structure over speculation
Discipline over expansion

6. Transition to Construction Phase

Upon completion of Milestone 4:

• Pilot segment becomes bankable at feasibility level

• Core flood infrastructure capital can be mobilized

• Renewable energy layer financing can be structured

• Long-duration asset investors can be engaged
  
  

Development capital thus serves as catalytic bridge — not terminal financing.

Milestone 1 – Technical Consolidation

Target Timeline: Months 0–6

Deliverables:

• Finalized Preliminary Technical Note

• 1 km Demonstration Segment Layout

• Earthwork and geosynthetic quantity assessment

• Structured Risk Register

• Initial institutional consultation log

Capital Use:

• Engineering documentation

• Technical advisory reviews

• Preliminary modelling inputs

• Project coordination

Outcome:

Concept becomes technically defensible and review-ready.

Capital Release Logic:
Initial tranche released upon milestone completion and documentation review.

Milestone 2 – Screening-Level Validation

Target Timeline: Months 6–12

Deliverables:

• Basin risk mapping

• Hydraulic flow logic diagrams

• Development Capital Concept Note

• Risk allocation framework

• Updated institutional engagement record

Capital Use:

• Basin data analysis

• Technical refinement

• Advisory consultations

• Early structuring work

Outcome:

Project transitions from conceptual platform to structured pre-development initiative.

Capital Release Logic:
Second tranche released upon validation of structured development documentation.

Milestone 3 – Pre-Feasibility & Governance Structuring

Target Timeline: Months 12–18

Deliverables:

• Focused hydraulic screening study (3–5 km zone)

• Preliminary geotechnical screening

• Capital stack framework

• Governance and concession concept

• Environmental screening overview

Capital Use:

• Hydraulic modelling

• Technical consultants

• Legal structuring advisory

• Governance framework drafting
  
  

Outcome:

Pilot segment technically and institutionally defined at screening level.

Capital Release Logic:
Third tranche released upon delivery of pre-feasibility package.

Milestone 4 – Pilot-Ready Development Package

Target Timeline: Months 18–24

Deliverables:

• Defined 1–3 km pilot segment

• Formal hydraulic pre-feasibility (pilot zone)

• Environmental and social baseline assessment

• Detailed development-phase budget

• Development SPV structuring concept

• Decision Gate Memo (Go / No-Go)

Capital Use:

• Detailed modelling

• Site investigation

• Environmental consultants

• Legal structuring

• Project management

Outcome:

Pilot-ready infrastructure module prepared for transition into detailed feasibility and construction financing stage.

Capital Release Logic:
Final development tranche released based on milestone certification and readiness assessment.