You are preparing a proposal of 'significant' size and/or complexity. You will need to prepare a full business case, including an appropriate economic assessment.

An output initiative of 'significant' size and/or complexity involves the preparation of a full business case, which requires a detailed evaluation of the shortlisted options and a recommended solution for funding and implementation.

A description of the 'investment lifecycle' covers the full process of developing and implementing initiatives.

An overview of the DTF guidance regarding the process can be found on the DTF website and includes a template for a full business case.

Note that you are encouraged to check with your departmental finance team for the most up-to-date process.

How should I undertake the economic assessment?

Guidance on undertaking economic assessmentGuidance-on-how-to-undertake-economic-assessment-internet.DOCX (DOCX 127.36 KB) has been developed to assist when performing, commissioning and evaluating economic assessments. Further guidance on specific processes, methods and variables is also available.

Cost-benefit analysis is recognised as leading practice economic assessment and is the recommended approach across the Victorian Government. In practice it may not be possible to undertake a cost-benefit analysis for all proposals and other methods may be used on an exceptions basis.

All economic assessments should be guided by the principle of proportionality, such that the investment in undertaking an economic assessment should be proportional to the scale and risk of the particular issue, initiative or investment.