Landesbank Berlin. International Division Export Finance ECA-covered financing of renewable energy projects 6 th April 2011

Transcription

1 Landesbank Berlin International Division Export Finance ECA-covered financing of renewable energy projects 6 th April 2011

2 Agenda Introduction of Landesbank Berlin AG Financing of renewable energy projects Financing solution provided by Landesbank Berlin AG 2

3 Agenda Introduction of Landesbank Berlin AG Financing of renewable energy projects Financing solution provided by Landesbank Berlin AG 3

4 Almost 200 years at the heart of Berlin History of Berliner Sparkasse Foundation of Berliner Sparkasse (Berlin Savings Bank) Formation of Girozentrale für Berlin as part of Berliner Sparkasse Reunification of both Berliner Sparkasse of West and East Berlin within the newly formed Landesbank Berlin (LBB) Formation of Bankgesellschaft Berlin, incorporating LBB and Berliner Sparkasse Restructuring of Bankgesellschaft 2006 Berlin Group, LBB now main brand 2007 LBB acquired by the German Savings Bank Association Source: Berliner Sparkasse archives 4

5 Group structure German Savings Banks *) Free float 1% 99% 100% 99.66% 100% 75% -1 share 100% Figures have been rounded up/down *) owned by the Erwerbsgesellschaft and the Beteiligungsgesellschaft der Sparkassen-Finanzgruppe 5

6 Executive summary Landesbank Berlin is a strong customer-oriented bank for the Berlin- Brandenburg area. Landesbank Berlin is the only bank fully owned by the German savings banks and is a member of the Sparkassen-Finanzgruppe (Moody s Aa2 / DBRS A high ), supported by -Joint Liability Scheme (Haftungsverbund). Landesbank Berlin is rated by Moody s, Fitch and DBRS. Moody s Fitch DBRS Senior Unsecured A1 AA- A high all stable Public Sector Pfandbriefe Aaa AAA --- all stable Mortgage Pfandbriefe Aaa all stable Lower Tier II *) A2 A+ A Landesbank Berlin has a large vertically integrated retail business with approx. 1.9m customers. Landesbank Berlin has not required support from government or owners during the financial crisis. *) MTN programme rating 6

7 Business model of Landesbank Berlin Capital Markets - International Division Market presence since 1950 (formerly as Berliner Bank/Bankgesellschaft Berlin) Strength in selected areas of the capital market business as specialised international market participant Focus on Central/Eastern Europe, Turkey and CIS Relationship management with banks, corporates, institutions Customised financing solutions for exports Concentration on commercial banking activities Priority on market share enlargement in trade related activities Business objectives are clearly driven by a B2B multiproductapproach Representative offices in Moscow, Kiev, Almaty, Tashkent 7

8 International Osteuropa Business und GUS - Target Exportmärkte Regions vor unserer Haustür Baltic Countries Russian Federation Czech Republic Slovenia Poland Hungary Belarus Romania Ukraine Kazakhstan Bulgaria Uzbekistan NEW:Turkey Azerbaidjan Turkmenistan Seite 8 Die Landesbank Berlin im Überblick. 8

9 Agenda Introduction of Landesbank Berlin AG Financing of renewable energy projects Financing solution provided by Landesbank Berlin AG 9

10 Renewable Energies and their increasing importance Renewable Energies are: Wind energy (wind) Solar power/ photovoltaics (sun) Hydropower (water) Bioenergy (biogas, plants) Geothermal energy (heat) (from financing point of view also: water supply, waste water treatment, gas) Increasing importance due to: Increasing environmental pollution Obligations under the Kyoto protocol (reduction of carbon emission) With increasing oil price the production of electricity based on oil becomes inefficient 10

11 Challenges in financing renewable energy projects Relatively high investment costs per installed capacity (in comparison to conventional power plants) resulting in higher production costs (although partially offset by lower raw material/production costs) Electricity prices regulated by government need for long repayment periods and flexible repayment structures Often long-term power purchase agreements are not practicable cash-flow based project finance is not feasible need for solvent guarantor/sponsor Possible sponsors: 1. Governments/local authorities 2. Banks 3. Corporates accounting under IFRS High percentage of local costs and foreign sub-suppliers 11

12 Agenda Introduction of Landesbank Berlin AG Financing of renewable energy projects Financing solution provided by Landesbank Berlin AG 12

13 Solution attractive possibilities of ECA-covered long-term loans ECAs offer support through their state export credit programme, which allows LBB to offer long-term financing 1. Advantages of an ECA-covered loan a) Long financing periods of up to 18 years (no alternative long-term sources) b) Grace periods of up to 18 months after readiness for operation c) Flexible repayment structures (e.g. annuity repayments) d) Capitalisation of interest during construction e) Local costs of up to 23 % of contract value and foreign sub-supplies of 30 % of contract value (sometimes even higher) 2. Improvement of project cash flow by CDM (Clean Development Mechanism under Kyoto protocol) For every tonne of reduced carbon emission one carbon emission certificate is issued to the owner of the renewable energy plant (after start-up of production and approval process). Certificates can be sold/traded and thus improve project cash flow 13

14 Advantages offered by LBB One of leading providers of ECA-covered financing to Eastern European banks Practical experience with currently 20 European and North American Export Credit Agencies (ECAs), including Germany s Euler Hermes Structuring of tailor-made, project-specific financing solutions, including smaller volumes Excellent relationships with exporters and banks and long-term experience in Central and East European markets useful in structuring complex transactions Special track record in financing energy projects 14

15 Track record of LBB in energy sector projects Wind farm (ten generators, 25 MW) near Baku, Azerbaijan, EUR 64 million Deal of the Year 2009 Best Deal 2009 (Trade Finance Magazine) (Global Trade Review) Combined Cycle Power Plant in Macedonia (220 MW), EUR 167 million: Deal of the Year 2007 Best Deal 2007 (Trade Finance Magazine) (Global Trade Review) Automated electronic control system for 20 hydroelectric generators, Argentina Dual Fuel Combined Cycle Power Plant (655 MW), Gujarat, India Thermal Power Plant Extension (157 MW) in Kangal, Turkey 15

16 Landesbank Berlin at Hannover Messe 2011 We hope this presentation has been informative. For further information, please visit us at Hall 27, Stand M 20 16

17 Contacts (1) International Division Address: Landesbank Berlin AG Alexanderplatz Berlin, Germany CEE CEE & Turkey Group Detlef Günther Director, Group Head tel.: tel.: 0049 // // detlef.guenther@lbb.de International Division Dr. Dr. Karl Karl Friedrich Hirschhäuser Managing Director tel.: tel.: 0049 // // karl-friedrich.hirschhaeuser@lbb.de Central and and Eastern European Department Dirk Dirk Siemann Director, Department Head tel.: tel.: 0049 // // dirk.siemann@lbb.de CIS CIS Group Ralf Ralf Schuster Director, Group Head tel.: tel.: 0049 // // ralf.schuster@lbb.de Turkey & CEE CEE Kathrin Pock Lutz Lutz Reimann Sales Director Director tel.: tel.: tel. tel kathrin.pock@lbb.de lutz.reimann@lbb.de CEE CEE // Baltics Claudia Pienkny Senior Regional Manager tel.: tel.: claudia.pienkny@lbb.de Russia/Belarus Thorsten Thimm Vera Vera Klioueva Director Senior Regional Manager tel.: tel.: tel. tel thorsten.thimm@lbb.de vera.klioueva@lbb.de Central Asia/Caucasus Hannelore Langescheid Doris Böhme Associate Director Senior Regional Manager tel.: tel.: tel. tel hannelore.langescheid@lbb.de doris.boehme@lbb.de London Desk Edith Pasternak-Albert Director tel.: tel.: 0044 // // edith.pasternak-albert@lbb.de 17

18 Contacts (2) Export Finance Head of of Export Finance Department Knut Richter Fax: Fax: Phone: +49 (0) Alexanderplatz Berlin Product Management Stefan Untergutsch Ute UteBaucks Hesse, Rhineland-Palatinate, Saarland, Berlin, Brandenburg, other new federal states Sascha Händler Leonid Bojko Arnas Bräutigam Susanne Mogel Katharina Rothe Dr. Dr. Bernd Schmidt North-Rhine Westphalia, Bavaria, Baden-Württemberg, Alexander Erwied Béatrice du duhamél Constanze Groggert Gabriele Herrmann Annemarie Mursch Kerstin Facius Lower Saxony, Schleswig-Holstein, Hamburg Alexander Steisslinger Eckehard Bohrisch Barb Barb Hollopp Lars Lars Lehniger Gabriele Schulz

19 Contacts (3) - International Offices Russian Federation Friedhold Hermann, Head of of Rep. Office Kasatschij Per., Moscow tel.: 007 // 495 // fax: 007 // 495 // lbbmoskau@mail.ru Kazakhstan Jochen Wildenhain, Head of of Rep. Office Dostyk ave G, G, 3rd 3rd floor Almaty tel.: 007 // 7272 // fax: 007 // 7272 // lbbalmaty@nursat.kz Ukraine Dr. Dr. Andre Artelt, Head of of Rep. Office B. B. Khmelnitsky Str., Kiev tel.: // // fax: // // andre.artelt@bgb.net.ua Uzbekistan Aziz Inomkhodjayev, Head of of Rep. Office ul. ul. Turab Tula 1, 1, 3rd 3rd floor Tashkent tel.: 0099 // 871 // fax: 0099 // 871 // aziz@lbb.uz United Kingdom Landesbank Berlin AG, London Branch 1 Crown Court, Cheapside London EC2V 6LR tel.: 0044 // 207 // fax: 0044 // 207 // Luxembourg Landesbank Berlin International S.A. 30, 30, Boulevard Royal 2449 Luxembourg tel.: 0035 // 2 // fax: 0035 // 2 //