Introducing the Integrated Net Present Value Framework

This report introduces the Integrated Net Present Value (iNPV) framework, developed by RMI and Schneider Electric, to help the US light manufacturing sector better quantify the total value of investments in electrification, automation, and smart manufacturing.

• Traditional cost-benefit analyses in the US light manufacturing sector often undervalue technological transformations because they fail to account for risk mitigation and additional revenue streams, despite decision makers being aware of these value sources.
• The Integrated Net Present Value (iNPV) framework is designed to bridge the gap between decision-maker knowledge and quantitative hurdle rates by measuring and monetizing several value categories: operational flexibility (including energy efficiency, O&M savings, and demand response), risk mitigation (including fuel/technology hedging, reliability via DER and storage, and health/safety/insurance savings), and market differentiation (including brand value and regulatory risk exposure).

APA

RMI (2025). Introducing the Integrated Net Present Value Framework. https://rmi.org/resources/introducing-the-integrated-net-present-value-framework/

Chicago

RMI. Introducing the Integrated Net Present Value Framework. 2025. https://rmi.org/resources/introducing-the-integrated-net-present-value-framework/.

Wikipedia

{{cite report |author=RMI |title=Introducing the Integrated Net Present Value Framework |date=18 November 2025 |url=https://rmi.org/resources/introducing-the-integrated-net-present-value-framework/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{rmi2025introducing, author = {{RMI}}, title = {{Introducing the Integrated Net Present Value Framework}}, institution = {RMI}, year = {2025}, month = nov, url = {https://rmi.org/resources/introducing-the-integrated-net-present-value-framework/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }