Power Project - Debt Financing. Bill Sutherland Senior Managing Director Project Finance April 9, 2014

Size: px
Start display at page:

Download "Power Project - Debt Financing. Bill Sutherland Senior Managing Director Project Finance April 9, 2014"

Transcription

1 Power Project - Debt Financing Bill Sutherland Senior Managing Director Project Finance April 9, 2014

2 Project Finance Investment Manulife Project Finance Defined Principal Risks / Mitigates Challenges 2

3 Manulife Financial Project Finance Canadian based financial services group with 25,000 employees serving customers in 21 countries and territories worldwide. Operates under the Manulife brand in Canada and Asia, and primarily under the John Hancock brand in the United States. Both Manulife and John Hancock have been active investors in the power and renewable power industries with $14B and $2.8B currently invested. Canadian Project Finance team unique amongst NA life insurance companies in that we directly originate the majority of our investment opportunities. Canadian team has developed a strong franchise and reputation, particularly within the renewable power market (wind, hydro, solar): Highly regarded for our technical knowledge, structuring skills, ability to execute Ability to syndicate & close complex transactions on basis of agreed upon terms Typically hold 1 st $100MM and syndicate balance to other institutional investors 3

4 Transactional Summary Canadian Project Finance Team transactional summary: ($ in MM) Number Arranged / Held incl. Held & Total Arrange. Co-arranged Syndicated Participations Arranged Total PF Group Renewable Power - Wind $3,247 $1,524 $2,555 $4,079 - Hydro 9 8 1, ,238 - Solar Geothermal Landfill Gas Biomass Total Renewable $5,445 $2,127 $4,118 $6,245 Gas Fired ,013 Nuclear Coal Fired Total Power $6,449 $2,862 $4,640 $7,502 Non-Power Debt Total Debt $6,449 $2,862 $4,860 $7,722 Infrastructure Equity 7 0 $0 $0 $724 $724 4

5 Project Finance Defined 5 Secured debt financing provided for stand-alone projects (legally and economically) based on the reliability of future cash flows... which are dependent upon: Ability of Sponsors to construct Project on time and on budget Ability of Project to operate at output and efficiency as projected Strength and integrity of contracts and ability of counterparties to meet respective obligations under contracts Ability to withstand resource input, operating and economic risks Limited or non-recourse to Sponsors Lenders only recourse is to security taken (plant, equipment and contracts) Project assets typically have little value except as on-going business with contracts intact or with access to liquid alternative markets Quality of transaction (from a lender s perspective): Not a function of the credit quality of any one party but Function of risks involved degree to which risks are assumed by various counter-parties under contract creditworthiness of each counterparty, and nature of risks assumed by Lenders.

6 Project Finance Defined 6 Lenders focus on technical & contractual aspects of Project to determine and test reliability of future cash flows available to service Project Debt Certain risks mitigated by obligations of counter-parties under contracts Certain other risks born by Lenders and mitigated through statistical analysis, reference to expert opinion or through transactional structure Following must to be in place prior to Financial Close: Power sales agreement Interconnection and transmission contracts Site control (land leases and easements) Major equipment supply and balance of plant EPC contracts Operations and maintenance agreements Material permits 3 rd party resource assessments and engineering reviews Financial model reflecting input from consultants.

7 Principal Risks & Mitigates Sponsorship do sponsors have capability and capacity to execute? Reputation, track record, financial resources must be at risk Technology & Equipment Well proven with examples operating successfully elsewhere Suppliers to provide comprehensive performance warrantees Construction & Start-up Equipment supply & BOP on a fixed-price, turn-key, date certain basis Equipment supplier & BOP contractor to demonstrate necessary experience, track record and financial capacity to meet obligations Equipment supply and BOP contracts comprehensively drafted to apportion responsibility for engineering, procurement, construction and commissioning Liquidated damage provisions to compensate for costs of delay and deficiencies in performance (including servicing debt during delay) Independent engineer to review design, capital bugets, monitor construction and certify accomplishment of milestones 7

8 Principal Risks & Mitigates 8 Cost Overruns Capital budget fixed through contracts with contractors/suppliers Sufficient contingency reserves in capital budget or sponsors to demonstrate sufficient committed resources Overruns in excess of contingency funded by equity before further draws under debt facility or from construction escrow account Independent engineer certifies cost to complete as a CP to any draw Operations & Maintenance Reputable and experienced operators ideally under contract with remuneration tied to performance Operating & major maintenance reserves (depending on seasonality and fleet performance of equipment or strength of warrantees) Appropriate insurance coverage including business interruption Resource Assessment (if intermittent natural resource) Independent 3 rd party resource assessment Statistical and scenario analysis to quantify risk Risk mitigated through financing structure DSCR profile and debt service and operating reserves

9 Principal Risks & Mitigates Access to Markets Interconnection and transmission secured under long-term contracts with potential for curtailment understood and mitigated Independent engineer to confirm transmission capacity and reliability and Project conformity to grid code Market and Price for Outputs Secured under long-term contracts with high investment grade utility counterparties at predetermined prices Term of contract to be at least as long as term of financing Obligation to deliver should recognize intermittent nature, seasonality and yearly variability of natural resource inputs 9

10 Project Finance Defined: Schematic Investors Sponsors Lenders WTG Supplier Equity Equity Senior & Sub Debt Operator BOP Contractor Supply Agree. & Warrantees EPC Contract Project Company & Physical Assets O&M Contract Permits Government Transmission Provider Interconnection Agreement PPA or Merchant Customers Lease Agreements Land Owners Other potential counter-parties could include equipment and technology suppliers, guarantors, royalty holders, insurers, bonding, land owners and other classes of lenders. 10

11 Financing Challenges 11 Project size... small projects disadvantaged As much time/effort required to arrange a small financing as a large Lenders... minimum transaction size given pipeline and targets Difficult for smaller projects to attract interest of lenders Create critical mass... combine smaller projects into a portfolio Experience of sponsor/developer... Developers with limited experience... harder time attracting lenders Much more time/effort required to close with inexperienced developers Engage experience... partners, consultants, EPC contractor, contract O&M. Financial capacity of sponsor/developer... Financial capacity... lenders require sponsor skin in the game (equity) Vendors may offer to provide equity... not skin in the game FN equity provided by way of OFA guaranteed loans... OK if a passive investor with interest up to 50%... challenging if an active investor with interest >50%... not enough skin in the game Partner with experienced

12 Financing Challenges 12 Quality of resource assessment... Our experience... underperformance correlated to complexity of site Complex sites require more met towers & longer data sets Experienced lenders will require higher level of resource certainty BOP contract structure Developers acting as own general contractors with cost + contracts to save cost (to improve returns or make numbers work) Most developers lack necessary experience/capability to act as GC Often results in far too many contracts and weak interface between contracts... no single point responsibility... finger pointing... LDs?? Who responsible for geotech risk? delay? cost overruns? If financeable... will result in higher contingencies, increased equity requirement, reduction in debt amount, higher interest rates Quality and suitability of equipment to site... Reduce capex... propose equipment/suppliers without track record Boost revenues... propose overly large WTG rotor diameters for site conditions

Non-Merchant Independent Power Projects: An Excellent Source of Yield and Duration for a De-risking Strategy

Non-Merchant Independent Power Projects: An Excellent Source of Yield and Duration for a De-risking Strategy Non-Merchant Independent Power Projects: An Excellent Source of Yield and Duration for a De-risking Strategy Louis Bélanger, CFA, FRM Managing Director, Stonebridge Infrastructure Debt Fund The Stonebridge

More information

Wind Power Business Models:

Wind Power Business Models: Wind Power Business Models: Deal Structures and Economics Project Financing Overview Mohammed Alam Alyra Renewable Energy Finance LLC Steve Krebs Baker Botts L.L.P. Wind Power Development Tutorial Hotel

More information

Financing of Wind Projects: IFC s Perspective. Walid Labadi 2nd IEL-ANADE May, 2012

Financing of Wind Projects: IFC s Perspective. Walid Labadi 2nd IEL-ANADE May, 2012 Financing of Wind Projects: IFC s Perspective Walid Labadi 2nd IEL-ANADE May, 2012 IFC was established in 1956 to promote private sector development and is a member of the World Bank Group IFC Power Sector

More information

Modern insurance solutions protect innovative technologies RENEWABLE ENERGY

Modern insurance solutions protect innovative technologies RENEWABLE ENERGY Modern insurance solutions protect innovative technologies RENEWABLE ENERGY Your projects secure the future we ensure they happen Focus on the renewable energy sector has never been higher. Due to the

More information

Senior Debt for Renewable Project Financing 2 nd Renewable Energy Finance Forum. Capital Investment in Renewable Energy

Senior Debt for Renewable Project Financing 2 nd Renewable Energy Finance Forum. Capital Investment in Renewable Energy Senior Debt for Renewable Project Financing 2 nd Renewable Energy Finance Forum June 23, 2005 John C. S. Anderson Head, Power & Project Finance Team, Boston Capital Investment in Renewable Energy A Debt

More information

Financing Wind Power Projects

Financing Wind Power Projects Financing Wind Power Projects Banks risk assessments and some experiences EWEA wind policy framework workshop Riga, 15 June 2012 Hans Jacob Bull-Berg Director Nordea Export & Project Finance Wind Power

More information

INSURANCE BANKABILITY

INSURANCE BANKABILITY INSURANCE BANKABILITY Innovative Insurance Solutions for Renewable Energy Special Enterprise Risks, Green Tech Solutions Álvaro Núñez Andrada Underwriter Munich Re SER is a unit within Corporate Insurance

More information

Global Infrastructure & Project Finance

Global Infrastructure & Project Finance Project Finance Global Criteria Report Analysts Federico Gronda +44 20 7682 7464 federico.gronda@fitchratings.com Ben Cooper +1 312 368 3173 ben.cooper@fitchratings.com Dan Robertson +44 20 7682 7381 dan.robertson@fitchratings.com

More information

Overcoming financing challenges for Hydro Power Projects Francois Viljoen, Director, Cresco Project Finance, South Africa

Overcoming financing challenges for Hydro Power Projects Francois Viljoen, Director, Cresco Project Finance, South Africa Overcoming financing challenges for Hydro Power Projects Francois Viljoen, Director, Cresco Project Finance, South Africa Contents Features of Project Finance Challenges posed by Project Finance Risk assessment

More information

UIA- INVESTMENT IN ENERGY PROJECTS IN LATIN AMERICA B Y: L I S A D O M I N G U E Z PA N A M A - F E B R U A R Y 2 8, 2 01 5

UIA- INVESTMENT IN ENERGY PROJECTS IN LATIN AMERICA B Y: L I S A D O M I N G U E Z PA N A M A - F E B R U A R Y 2 8, 2 01 5 UIA- INVESTMENT IN ENERGY PROJECTS IN LATIN AMERICA B Y: L I S A D O M I N G U E Z PA N A M A - F E B R U A R Y 2 8, 2 01 5 A. PANAMA: LATEST INTERNATIONAL PUBLIC BIDS ORGANIZED BY THE REGULATOR 2015 No.

More information

IFC ESMAP- RENEWABLE ENERGY TRAINING PROGRAM. Wind Module. II. Wind Project Development, Implementation, and Financing

IFC ESMAP- RENEWABLE ENERGY TRAINING PROGRAM. Wind Module. II. Wind Project Development, Implementation, and Financing IFC ESMAP- RENEWABLE ENERGY TRAINING PROGRAM Wind Module II. Wind Project Development, Implementation, and Financing Washington DC, June 16th 2014 Index Wind Project Development, Implementation, and Financing

More information

B U I L D I N G P A R T N E R S H I P S F O R E N E R G Y S E C U R I T Y www.inogate.org

B U I L D I N G P A R T N E R S H I P S F O R E N E R G Y S E C U R I T Y www.inogate.org "INOGATE Technical Secretariat & Integrated Programme in support of the Baku Initiative and the Eastern Partnership energy objectives" Project B U I L D I N G P A R T N E R S H I P S F O R E N E R G Y

More information

PROJECT FINANCE RE PROJECTS

PROJECT FINANCE RE PROJECTS PROJECT FINANCE RE PROJECTS TURKEY S RENEWABLE MARKET RE regime in Turkey sparked in 2001 when the Electiricity Market Law authorised the EMRA (Energy Market Regulatory Authority) to take measures to promote

More information

Innovative Technology Solutions for Sustainability ABENGOA. Understanding the Value in Concessions. Analyst & Investor Day.

Innovative Technology Solutions for Sustainability ABENGOA. Understanding the Value in Concessions. Analyst & Investor Day. Innovative Technology Solutions for Sustainability ABENGOA Understanding the Value in Concessions Eduard Soler Analyst & Investor Day May 2012 1 Our Portfolio of Concessions today 2 Our Business Model

More information

Methodology. Rating Solar Power Projects

Methodology. Rating Solar Power Projects Methodology Rating Solar Power Projects january 2014 previous release: august 2012 CONTACT INFORMATION Eric Beauchemin, CFA Managing Director, Public Finance +1 416 597 7552 ebeauchemin@dbrs.com Kent Wideman,

More information

Methodology. Rating Solar Power Projects

Methodology. Rating Solar Power Projects Methodology Rating Solar Power Projects august 2012 CONTACT INFORMATION Eric Beauchemin, CFA Managing Director Public Finance Tel. +1 416 597 7552 ebeauchemin@dbrs.com Kent Wideman Chief Credit Officer

More information

Methodology. Rating Project Finance

Methodology. Rating Project Finance Methodology Rating Project Finance august 2013 previous release: april 2011 CONTACT INFORMATION Eric Beauchemin, CFA Group Managing Director, Co-Head Global Corporate +1 416 597 7552 apassi@dbrs.com Kent

More information

PROJECT FINANCE UNCDF October 2014 Dar Es Salaam

PROJECT FINANCE UNCDF October 2014 Dar Es Salaam Project Finance PROJECT FINANCE UNCDF October 2014 Dar Es Salaam AGENDA History and Definition Structure of Project Finance Transactions Key Players Milestones Role of Debt in PF transactions Risk Management

More information

Community and Renewable Energy Scheme Project Development Toolkit

Community and Renewable Energy Scheme Project Development Toolkit Community and Renewable Energy Scheme Project Development Toolkit Balance Sheet Equity Investment Community Bond Issues Community Vehicle Crowd Funding Debentures a form of bond Debt Debt Service Cover

More information

Two Financing Models

Two Financing Models Two Financing Models Paul Warren (P.Warren@iaea.org) International Atomic Energy Agency FINANCING MODELS: HOST GOVERNMENT BACKED PPA Host Government Backed PPA Both previous presentation and this deal

More information

in North Carolina Tim Kemper, CPA, Partner National Co-leader, Renewable Energy practice CohnReznick LLP

in North Carolina Tim Kemper, CPA, Partner National Co-leader, Renewable Energy practice CohnReznick LLP Using State and Federal Tax Credits in North Carolina Tim Kemper, CPA, Partner National Co-leader, Renewable Energy practice CohnReznick LLP Driving the deal forward in NC Key Elements Certificate of Public

More information

EPC CONTRACTS IN THE POWER SECTOR

EPC CONTRACTS IN THE POWER SECTOR Asia Pacific Projects Update EPC CONTRACTS IN THE POWER SECTOR INTRODUCTION Engineering, procurement and construction (EPC) contracts are the most common form of contract used to undertake construction

More information

THE LATEST TECHNOLOGY AN EMERGING RISK PROFILE THE WILLIS RENEWABLE ENERGY AND SOLAR CONSTRUCTION TEAMS

THE LATEST TECHNOLOGY AN EMERGING RISK PROFILE THE WILLIS RENEWABLE ENERGY AND SOLAR CONSTRUCTION TEAMS SOLAR POWER THE LATEST TECHNOLOGY AN EMERGING RISK PROFILE RISK MANAGEMENT EXCELLENCE THE WILLIS RENEWABLE ENERGY AND SOLAR CONSTRUCTION TEAMS Willis 2 THE SUN IS RISING ON THE SOLAR POWER ALTERNATIVE

More information

Financing in the Energy Sector. EDMUNDO S. SORIANO Executive Vice-President & Head Corporate Banking Group BDO Unibank, Inc.

Financing in the Energy Sector. EDMUNDO S. SORIANO Executive Vice-President & Head Corporate Banking Group BDO Unibank, Inc. Financing in the Energy Sector EDMUNDO S. SORIANO Executive Vice-President & Head Corporate Banking Group BDO Unibank, Inc. 1 Status of local banking 10-15 years ago Local banks could not compete with

More information

How KASIKORNBANK Plans to Support Green Projects

How KASIKORNBANK Plans to Support Green Projects How KASIKORNBANK Plans to Support Green Projects Clean Power Asia 29-30 April 2013, Bangkok Thongchai Kangvanchai KASIKORNBANK Pcl. 1 Content Government s Policy of Promoting Green Energy KBank s Green

More information

Renewable Project Business Models:

Renewable Project Business Models: Renewable Project Business Models: Deal Structures and Economics Project Financing Overview Mohammed Alam Alyra Renewable Energy Finance LLC Steve Krebs Baker Botts L.L.P. Infocast s Renewable Power Project

More information

Renewable Energy Finance Fundamentals

Renewable Energy Finance Fundamentals Renewable Energy Finance Fundamentals The US Partnership for Renewable Energy Finance (US PREF) has prepared the following brief summary of the basics of renewable energy project finance. An appreciation

More information

GENERATING VALUE POWERING REVENUE A PARTNER IN SUCCESS: THE WILLIS UTILITIES PRACTICE

GENERATING VALUE POWERING REVENUE A PARTNER IN SUCCESS: THE WILLIS UTILITIES PRACTICE POWER GENERATION GENERATING VALUE POWERING REVENUE A PARTNER IN SUCCESS: THE WILLIS UTILITIES PRACTICE Willis 2 When your generation assets generate your revenue, you need to be sure those assets are properly

More information

Project Matching: Facilitating New Renewable Energy Projects Project Proposal Submittal Form

Project Matching: Facilitating New Renewable Energy Projects Project Proposal Submittal Form RE-Powering America s Land Project Matching: Facilitating New Renewable Energy Projects Project Proposal Submittal Form The EPA Green Power Partnership s (GPP s) Project Matching Initiative works to connect

More information

ENERGY INDUSTRY INSURANCE SOLUTIONS

ENERGY INDUSTRY INSURANCE SOLUTIONS Summer 11 ENERGY INDUSTRY INSURANCE SOLUTIONS ELECTRICITY PRICE & FORCED POWER OUTAGE COVERAGE WEATHER DERIVATIVES SYSTEM PERFORMANCE INSURANCE TRADE CREDIT INSURANCE ACCOUNTS RECEIVABLE PUTS NON CANCELLABLE

More information

Making CfDs work for renewable generators

Making CfDs work for renewable generators Making CfDs work for renewable generators This is in two parts. 1 st a brief introduction to the Green Power Auction Market. 2 nd gives more detail on the structure and follows on. We consider this a critical

More information

Financing Renewable Energy in New Jersey

Financing Renewable Energy in New Jersey Financing Renewable Energy in New Jersey Renewable Energy Procurement Workshop Sustainable Jersey and the Atlantic County Utilities Authority Presenters Douglas J. Bacher, Managing Director Dianna C. Geist,

More information

LEX HELIUS: THE LAW OF SOLAR ENERGY Solar Energy System Design, Engineering, Construction, and Installation Agreements

LEX HELIUS: THE LAW OF SOLAR ENERGY Solar Energy System Design, Engineering, Construction, and Installation Agreements LEX HELIUS: THE LAW OF SOLAR ENERGY Solar Energy System Design, Engineering, Construction, and Installation Agreements Alan R. Merkle Stoel Rives LLP 600 University Street, Suite 3600 Seattle, WA 98101-4109

More information

Who are we? Jens Lohmueller, Credit Union Central of Ontario 3/9/2005

Who are we? Jens Lohmueller, Credit Union Central of Ontario 3/9/2005 Who are we? Credit Union (CUCO) is the trade organization of Ontario credit unions. We work within a collective network of service locations comparable in size to the major banks. There are over 700 branches

More information

MAY 2016 METHODOLOGY. Rating Credit Funds

MAY 2016 METHODOLOGY. Rating Credit Funds MAY 2016 METHODOLOGY Rating Credit Funds Rating Credit Funds DBRS.COM 2 Contact Information Mudasar Chaudhry Vice President European Structured Credit Tel. +44 (0)20 7855 6613 mchaudhry@dbrs.com Jamie

More information

PROCUREMENT GUIDE: CHP FINANCING

PROCUREMENT GUIDE: CHP FINANCING PROCUREMENT GUIDE: CHP FINANCING 1. Overview The decision of whether and how to finance a CHP system is a critical step in the development of a CHP project. CHP systems require an initial investment to

More information

3. Seasonal or cyclical working capital to finance the temporary cash shortfalls due to the nature of the firm s normal business cycle.

3. Seasonal or cyclical working capital to finance the temporary cash shortfalls due to the nature of the firm s normal business cycle. 11.437 Financing Community Economic Development Class 5: Working Capital Financing I. Three different meanings of term working capital 1. Excess of current assets over current liabilities 2. Firm's investment

More information

The UK solar gold rush: Navigating the end of the RO regime and preparing for CfDs ORRICK 1. In association with

The UK solar gold rush: Navigating the end of the RO regime and preparing for CfDs ORRICK 1. In association with The UK solar gold rush: Navigating the end of the RO regime and preparing for CfDs ORRICK 1 In association with U.S. RENEWABLE ENERGY FINANCING AND REGULATORY OUTLOOK 2015 2 ORRICK US renewable energy

More information

Solar Power Purchase Agreements & Leases

Solar Power Purchase Agreements & Leases Solar Power Purchase Agreements & Leases Angela Lipanovich, Esq. March 7, 2012 Copyright 2012, Estriatus Law. All rights reserved. Conditions of Usage and Disclaimer 1 Estriatus Law grants the following

More information

4 DAY Course Outline. Power Purchase Agreements. for Emerging Countries

4 DAY Course Outline. Power Purchase Agreements. for Emerging Countries 4 DAY Course Outline Power Purchase Agreements for Emerging Countries Overview This intensive and highly interactive four day hands-on course will provide a comprehensive analysis of issues associated

More information

CAMBRIAN ENERGY. Financial Engineering s the Key:

CAMBRIAN ENERGY. Financial Engineering s the Key: CAMBRIAN ENERGY Financial Engineering s the Key: How a Long-Term Energy Sale Agreement and Bond Offering Transformed the McCommas Bluff LFG Project; Three Perspectives on One Project LMOP - January 2012

More information

RENEWABLE ENERGY WORKSHOP

RENEWABLE ENERGY WORKSHOP RENEWABLE ENERGY WORKSHOP Development of Bankable PPAs and Opportunities for Cooperation with ECG GIZ House, Reichpietschufer, Berlin January 18, 2016 OUTLINE OF PRESENTATION Introduction and Overview

More information

The Private Sector Role in Clean Energy NGA Clean Energy Financing Workshop Neal Skiver Energy & Power Finance Banc of America Public Capital Corp

The Private Sector Role in Clean Energy NGA Clean Energy Financing Workshop Neal Skiver Energy & Power Finance Banc of America Public Capital Corp The Private Sector Role in Clean Energy NGA Clean Energy Financing Workshop Neal Skiver Energy & Power Finance Banc of America Public Capital Corp February 25, 2010 The American Recovery and Reinvestment

More information

H1 2014 LEVELISED COST OF ELECTRICITY - PV

H1 2014 LEVELISED COST OF ELECTRICITY - PV H1 2014 LEVELISED COST OF ELECTRICITY - PV JENNY CHASE 4 FEBRUARY 2014 LCOE OF PV, FEBRUARY 2014 1 PV EXPERIENCE CURVE, 1976-2013 (2013 $/W) 100 Cost per W (2013 $) 1976 10 1985 2003 2006 1 2012 2013 Q3

More information

Overview of Rooftop Solar PV Green Bank Financing Model

Overview of Rooftop Solar PV Green Bank Financing Model Overview of Rooftop Solar PV Green Bank Financing Model Sponsored by The Connecticut Clean Energy Finance and Investment Authority and The Coalition for Green Capital Developed by Bob Mudge & Ann Murray,

More information

So, What Exactly is Risk Management?

So, What Exactly is Risk Management? So, What Exactly is Risk Management? By Paul Wielgus, Managing Director, GDS Associates, Inc. Buyers, sellers, and others in the energy business need to understand the risks in this very uncertain environment

More information

Renewable Natural Gas (Biomethane)

Renewable Natural Gas (Biomethane) Renewable Natural Gas (Biomethane) Critical Barriers Impeding RNG as a Transportation Fuel in California Suggested Policy Solutions September 17, 2015 Meet the Presenter Evan Williams President of Cambrian

More information

PPPs in Renewable Energy: IFC Advisory Perspective. April 2012

PPPs in Renewable Energy: IFC Advisory Perspective. April 2012 PPPs in Renewable Energy: IFC Advisory Perspective April 2012 IFC s Role Financing IFC is the world s largest multilateral provider of financing for private enterprises with over US$26 billion in outstanding

More information

Recommended Project Finance Structures for the Economic Analysis of Fossil-Based Energy Projects

Recommended Project Finance Structures for the Economic Analysis of Fossil-Based Energy Projects Recommended Project Finance Structures for the Economic Analysis of Fossil-Based Energy Projects September 29, 2011 DOE/NETL-2011/1489 Disclaimer This report was prepared as an account of work sponsored

More information

Asset-Backed Securities. Project Financing. Prof. Ian Giddy. Stern School of Business New York University. Asset-Backed and Project Financing

Asset-Backed Securities. Project Financing. Prof. Ian Giddy. Stern School of Business New York University. Asset-Backed and Project Financing Project Financing/1 Asset-Backed Securities Project Financing Prof. Ian Giddy Stern School of Business New York University Asset-Backed and Project Financing Collateralized debt Securitized loans Non-recourse

More information

Financing PPPs: Project Finance June 2006

Financing PPPs: Project Finance June 2006 Financing PPPs: Project Finance June 2006 Index Section I. Section II. Section III. Project Finance Spanish Market Advantages Risk Matrix P. 2 Section I Project Finance Project Finance Definition Definition:

More information

CT Public Act No. 11-80 Opportuni8es in Solar PV. July 28, 2011

CT Public Act No. 11-80 Opportuni8es in Solar PV. July 28, 2011 CT Public Act No. 11-80 Opportuni8es in Solar PV July 28, 2011 The Company Independent solar power producer (IPP). We develop, build, own and operate solar PV systems for customers with no upfront capital

More information

PROJECT FINANCE & PPPs

PROJECT FINANCE & PPPs PROJECT FINANCE & PPPs EIB Presentation, BOAD, 40 th Anniversary 1 14 November 2013 Definition of PPPs 1) An agreement between a government and one or more private partners whereby the private partner(s)

More information

HOW A central TO role for utilities & grid operators Need for an effective energy remuneration system. Richard Perez ASRC, University at Albany

HOW A central TO role for utilities & grid operators Need for an effective energy remuneration system. Richard Perez ASRC, University at Albany HOW A central TO role for utilities & grid operators Need for an effective energy remuneration system Richard Perez ASRC, University at Albany renewable finite 70-120 per year WIND 1,2 Waves1 1,3 0.2-2

More information

Financing Wind Energy in Turkey. Emre Hatem Head of Project & Acquisition Finance Garanti Bank

Financing Wind Energy in Turkey. Emre Hatem Head of Project & Acquisition Finance Garanti Bank Financing Wind Energy in Turkey Emre Hatem Head of Project & Acquisition Finance Garanti Bank DISCLAIMER This document has been drafted with an informative purpose, having the information contained herein

More information

Renewable Energy Certificates

Renewable Energy Certificates EPA s Green Power Partnership Renewable Energy Certificates Last updated: July 2008 U.S. Environmental Protection Agency 1200 Pennsylvania Ave, NW (Mail Code 6202J) Washington, DC 20460 www.epa.gov/greenpower

More information

Public-Private Partnerships

Public-Private Partnerships Public-Private Partnerships Closing Critical Issues Washington, Background In limited recourse finance, the primary source of debt service is the cash flow generated by the Project will evaluate all factors

More information

Geneva: 2-4 April 2007 Insurance Instruments for GHG Projects: Private Sector Options. UNECE Ad Hoc Group of Experts on Coal Mine Methane

Geneva: 2-4 April 2007 Insurance Instruments for GHG Projects: Private Sector Options. UNECE Ad Hoc Group of Experts on Coal Mine Methane Geneva: 2-4 April 2007 Insurance Instruments for GHG s: Private Sector Options UNECE Ad Hoc Group of Experts on Coal Mine Methane Warren Diogo Risk Consulting Practice, Marsh Ltd Agenda Risk Profile of

More information

Wholesale Renewable Energy Generation Feasibility Presented to Las Gallinas Valley Sanitary District Board June 27, 2013

Wholesale Renewable Energy Generation Feasibility Presented to Las Gallinas Valley Sanitary District Board June 27, 2013 Wholesale Renewable Energy Generation Feasibility Presented to Las Gallinas Valley Sanitary District Board June 27, 2013 Clean Energy Solutions Overview of the Feasibility Study Site Characteristics and

More information

Financing Renewables and Energy Efficiency Projects in Developing Countries

Financing Renewables and Energy Efficiency Projects in Developing Countries Mobilising Private Capital to reduce Climate Change Instruments and Policies to mobilise International Green Energy Investment Berlin June 29-30, 2010 Financing Renewables and Energy Efficiency Projects

More information

SECOND QUARTER 2015 CONFERENCE CALL & WEBCAST Results, mid-year review & outlook AUGUST 6, 2015

SECOND QUARTER 2015 CONFERENCE CALL & WEBCAST Results, mid-year review & outlook AUGUST 6, 2015 SECOND QUARTER 2015 CONFERENCE CALL & WEBCAST Results, mid-year review & outlook AUGUST 6, 2015 FORWARD-LOOKING INFORMATION This document contains forward-looking information within the meaning of securities

More information

KEY CONSIDERATIONS IN POWER PURCHASE AGREEMENT (PPA) RISK ALLOCATION AND COMMON CLAUSES WHICH FORM PART OF A PPA

KEY CONSIDERATIONS IN POWER PURCHASE AGREEMENT (PPA) RISK ALLOCATION AND COMMON CLAUSES WHICH FORM PART OF A PPA KEY CONSIDERATIONS IN POWER PURCHASE AGREEMENT (PPA) RISK ALLOCATION AND COMMON CLAUSES WHICH FORM PART OF A PPA AFRICA UTILITY WEEK CONFERENCE Yesufu Longe Alonge Head, Power Procurement & Power Contracts

More information

SMALL SOLAR. 2014 Nebraska Wind and Solar Conference and Exhibition. Guy C. Smith October 29, 2014

SMALL SOLAR. 2014 Nebraska Wind and Solar Conference and Exhibition. Guy C. Smith October 29, 2014 SMALL SOLAR 2014 Nebraska Wind and Solar Conference and Exhibition Guy C. Smith October 29, 2014 TYPES OF SOLAR PROJECTS Concentrated Solar Projects (CSP) Systems generate solar power using mirrors or

More information

PPP GLOSSARY. Availability. Base Case. Bidder BOOT BOT. Business Case. Commercial Operations Date (COD) Concession

PPP GLOSSARY. Availability. Base Case. Bidder BOOT BOT. Business Case. Commercial Operations Date (COD) Concession PPP GLOSSARY Availability Base Case Bidder Bond BOOT BOT Term Business Case Capex Commercial Operations Date (COD) Concession Meaning The period when the facility (or the relevant part thereof) is able

More information

Statement of Qualifications

Statement of Qualifications Statement of Qualifications Submitted on: December 6, 2012 By: Hecate Energy, LLC 115 Rosa L. Parks Blvd. Nashville, Tennessee 37203 USA Chris Bullinger President Phone: 1-480-239-5617 Fax: 1-312-284-4514

More information

Customer Bill Impacts of Generation Sources in Ontario. Canadian Wind Energy Association

Customer Bill Impacts of Generation Sources in Ontario. Canadian Wind Energy Association Customer Bill Impacts of Generation Sources in Ontario Prepared for: Canadian Wind Energy Association February 15, 2013 poweradvisoryllc.com 978 369-2465 Table of Contents Executive Summary... i 1. Introduction

More information

CP FOR THE DRAFT RTS ON ASSIGNING RISK WEIGHTS TO SPECIALISED LENDING EXPOSURES EBA/CP/2015/09. 11 May 2015. Consultation Paper

CP FOR THE DRAFT RTS ON ASSIGNING RISK WEIGHTS TO SPECIALISED LENDING EXPOSURES EBA/CP/2015/09. 11 May 2015. Consultation Paper EBA/CP/2015/09 11 May 2015 Consultation Paper Draft Regulatory Technical Standards on Assigning Risk Weights to Specialised Lending Exposures under Article 153(9) of Regulation (EU) No 575/2013 (Capital

More information

Cash Drivers and Enterprise Value

Cash Drivers and Enterprise Value Cash Drivers and Enterprise Value Global Investor Forum 2009, Broughton, 1 st & 2 nd April 2009 Gérard Adsuar Corporate Executive Finance & Treasury, EADS 1 1 Safe Harbour Statement Disclaimer This presentation

More information

E N G I N E E R I N G

E N G I N E E R I N G Purpose If the customer s proposed project proceeds to Gate 1 of the Integrated Customer Solutions (ICS) process (see the ICS Process and Proposal Submission Guide), the customer must prepare a Load Displacement

More information

Clean Energy Project Financing. March 5, 2012

Clean Energy Project Financing. March 5, 2012 Clean Energy Project Financing March 5, 2012 Disclaimer This presentation is solely for discussion purposes. In preparing this presentation, we, KASIKORNBANK PLC. ( KBank ) have made crucial assumptions

More information

Alfa Business Advisors Company Profile

Alfa Business Advisors Company Profile Alfa Business Advisors Company Profile Project Finance M&A Renewable Energy Infrastructure February 2014 www.alfaba.com 8300 Greensboro Drive, Suite 800, McLean, VA 22102 About Us Alfa Business Advisors,

More information

The Role of a Pension Fund in Renewable Energy Investments. Transformational NAMA in the Renewable Energy Sector May 2013

The Role of a Pension Fund in Renewable Energy Investments. Transformational NAMA in the Renewable Energy Sector May 2013 The Role of a Pension Fund in Renewable Energy Investments Transformational NAMA in the Renewable Energy Sector May 2013 PensionDanmark at a Glance Industry-wide pension fund established in the early 1990

More information

Power Sector Development in Europe Lenders Perspectives 2011

Power Sector Development in Europe Lenders Perspectives 2011 POWER AND UTILITIES Power Sector Development in Europe Lenders Perspectives 2011 A survey of banks on the prospects for power infrastructure financing in Europe kpmg.com Power Sector Development in Europe

More information

APPLICATION FORMAT SOUTHEAST MISSOURI REGIONAL PLANNING AND ECONOMICAL DEVELOPMENT COMMISSION REVOLVING LOAN FUND PROGRAM

APPLICATION FORMAT SOUTHEAST MISSOURI REGIONAL PLANNING AND ECONOMICAL DEVELOPMENT COMMISSION REVOLVING LOAN FUND PROGRAM APPLICATION FORMAT SOUTHEAST MISSOURI REGIONAL PLANNING AND ECONOMICAL DEVELOPMENT COMMISSION REVOLVING LOAN FUND PROGRAM SECTION 1 Loan Application. SECTION 2 Information on business to be assisted-past

More information

The Fundamentals of Alternative Energy

The Fundamentals of Alternative Energy The Fundamentals of Alternative Energy Retail Fundamentals Presented by Theresa Howland, ENMAX Energy Corp. Canadian Electricity Association November 25, 2002 ENMAX Background Calgary ENMAX Corporation

More information

Contracts for Difference - the new support regime for low carbon generation

Contracts for Difference - the new support regime for low carbon generation Contracts for Difference - the new support regime for low carbon generation James Taylor Raj Bavishi 11 November 2014 UK Incentive Regimes Small scale Feed in Tariffs and the Renewables Obligations have

More information

The Importance of Accurate Lifetime Assessment to PV Investors

The Importance of Accurate Lifetime Assessment to PV Investors The Importance of Accurate Lifetime Assessment to PV Investors Jon Previtali Wells Fargo Environmental Finance Solar Power International September 2015 Wells Fargo s Investment in Solar $1,600 350 $1,400

More information

Westmoreland Reports First Quarter 2016 Results and Affirms Full-year Guidance

Westmoreland Reports First Quarter 2016 Results and Affirms Full-year Guidance News Release Westmoreland Reports First Quarter 2016 Results and Affirms Full-year Guidance Englewood, CO May 10, 2016 - Westmoreland Coal Company (NasdaqGM:WLB) today reported financial results for the

More information

Plan for risk, today and tomorrow

Plan for risk, today and tomorrow Think SUSTAINABILITY. Think Chubb. Plan for risk, today and tomorrow Entering new markets. Moving from R&D to commercialization. Addressing contractual requirements from investors, vendors, or partners.

More information

Green Industries, Department of Trade and Industry

Green Industries, Department of Trade and Industry Solar and Wind Sector Development Strategy Solar Energy Technology Roadmap 18 June 2012 Green Industries, Department of Trade and Industry Challenges Solar and wind strategy Content Local Content Requirements

More information

Ewiiaapaayp Wind Project

Ewiiaapaayp Wind Project Ewiiaapaayp Wind Project Tony Pinto Ewiiaapaayp Members Tlingit Tantakwaan Teikweidi Yaan Yaan Eesh Development Process Site Selection topologically site specific Land Agreements federal approval uncertainties

More information

Full Scale Program for Renewable Energy in Egypt

Full Scale Program for Renewable Energy in Egypt Full Scale Program for Renewable Energy in Egypt Contents Evolution of Egypt Needs of Electricity and its supply mix Renewable Energy Policy and Targets Renewable Energy Program Components Conclusions

More information

Developing solar in emerging markets

Developing solar in emerging markets Developing solar in emerging markets Swedbank Conference March 17, 2016 Our values Predictable Driving results Change makers Working together Disclaimer The following presentation is being made only to,

More information

GUIDE TO SYNDICATED LEVERAGED FINANCE

GUIDE TO SYNDICATED LEVERAGED FINANCE GUIDE TO SYNDICATED LEVERAGED FINANCE CONTENTS Clause Page 1. Introduction... 1 2. Types Of Senior Leveraged Facilities Commonly Syndicated... 1 3. Parties To A Senior Syndicated Leveraged Facility...

More information

eeef European Energy Efficiency Fund

eeef European Energy Efficiency Fund eeef European Energy Efficiency Fund Agenda 1 introduction to eeef - key elements 2 eeef investments: eligibility, process and project structures 3 Case studies 4 Final Remarks 2 1a eeef at a glance Objective

More information

https://www.ofgem.gov.uk/publications-and-updates/ofto-build-providing-additional-flexibility-through-extendedframework

https://www.ofgem.gov.uk/publications-and-updates/ofto-build-providing-additional-flexibility-through-extendedframework All interested parties Direct Dial: 020 7901 1849 Email: transmissioncompetition@ofgem.gov.uk Date: 17 November 2015 Dear Colleague EPC Contract Principles for OFTO Build Tenders This letter provides guidance

More information

Overseas Private Investment Corporation: The U.S. Government s Development Finance Institution

Overseas Private Investment Corporation: The U.S. Government s Development Finance Institution Overseas Private Investment Corporation: The U.S. Government s Development Finance Institution Renewable Resources in Emerging Markets ASIA LEDS FORUM Bangkok 20 September 2012 OPIC Snapshot Established

More information

Real Estate & Mortgage Investment Specialists

Real Estate & Mortgage Investment Specialists Your Real Estate & Mortgage Investment Specialists Private Lending FAQ s 1. Why Should I Invest In A Mortgage? A mortgage is a loan in which real estate or property is used as collateral. When an individual

More information

Project Finance for Renewable Energy and Clean Technology Projects

Project Finance for Renewable Energy and Clean Technology Projects Project Finance for Renewable Energy and Clean Technology Projects Chris Groobey, Partner, Project Finance cgroobey@wsgr.com; 202.973.8802 Michael Faber, Partner, Tax mfaber@wsgr.com; 212.497.7757 Michael

More information

ACCELERATING RE DEPLOYMENT ON SIDS Accessing Financing for Projects

ACCELERATING RE DEPLOYMENT ON SIDS Accessing Financing for Projects SAIREC October 05, 2015 ACCELERATING RE DEPLOYMENT ON SIDS Accessing Financing for Projects - Mónica Arévalo Calsina - GEEREF in a nutshell Unique strategy Fund of Funds, investing in specialised private

More information

THE LAW OF BIOMASS Setting Up Shop: Design, Engineering, and Construction of Biomass Projects

THE LAW OF BIOMASS Setting Up Shop: Design, Engineering, and Construction of Biomass Projects THE LAW OF BIOMASS Setting Up Shop: Design, Engineering, and Construction of Biomass Projects Karl F. Oles Stoel Rives LLP 600 University Street, Suite 3600 Seattle, WA 98101-4109 206-386-7535 kfoles@stoel.com

More information

Capital Structure and Project Finance Mark Williamson and Peter Barlow

Capital Structure and Project Finance Mark Williamson and Peter Barlow Capital Structure and Project Finance Mark Williamson and Peter Barlow Capital structure overview Very secure capital structure strong liquidity at parent cash of 357m at 30 June 2008 low debt at parent

More information

Solar Resource Measurement Importance. Wil Grady P.E. Southern California Edison Power Supply NREL PV Solar Resource Workshop Denver 2015

Solar Resource Measurement Importance. Wil Grady P.E. Southern California Edison Power Supply NREL PV Solar Resource Workshop Denver 2015 Solar Resource Measurement Importance Wil Grady P.E. Southern California Edison Power Supply NREL PV Solar Resource Workshop Denver 2015 1 Overview of SCE Large service territory 14 million residents 4.9

More information

March 2016 K.17 Financing Feasibility Report - Final

March 2016 K.17 Financing Feasibility Report - Final March 2016 K.17 Financing Feasibility Report - Final Commercial -Project Management IMPORTANT NOTICE The information provided further to UK CCS Commercialisation Programme (the Competition) set out herein

More information

Tax Credits The Lynchpin for Federal Renewable Energy Financing Policy. Kathy Parker

Tax Credits The Lynchpin for Federal Renewable Energy Financing Policy. Kathy Parker Tax Credits The Lynchpin for Federal Renewable Energy Financing Policy Kathy Parker Partner Rodman and Rodman CPA Environmental Business Council of New England Energy Environment Economy GREEN ENERGY TAX

More information

Investing in renewable energy Challenges and opportunities from an international perspective

Investing in renewable energy Challenges and opportunities from an international perspective Investing in renewable energy Challenges and opportunities from an international perspective Agenda Deutsche Bank s experience in financing renewable energy projects Green Finance Products - Case studies

More information

Renewable Development Funds Guidelines - 2016

Renewable Development Funds Guidelines - 2016 - 2016 Clean Wind and Green Source Development Funds Thank you for your interest in PGE s Renewable Development Fund program - a program made possible by contributing customers participating in Portland

More information

Non Profit Social Financing. What do you need to know?

Non Profit Social Financing. What do you need to know? Non Profit Social Financing What do you need to know? What is CAIC? A social finance fund providing mortgages, construction financing & loans to groups, organizations & cooperatives with a project of social

More information

IAN J. HOUSTON. T 416.367.6111 F 416.361.2742 Toronto; IJHouston@blg.com http://ca.linkedin.com/pub/ianhouston/6/a2/10a EXECUTIVE SUMMARY

IAN J. HOUSTON. T 416.367.6111 F 416.361.2742 Toronto; IJHouston@blg.com http://ca.linkedin.com/pub/ianhouston/6/a2/10a EXECUTIVE SUMMARY IAN J. HOUSTON Partner T 416.367.6111 F 416.361.2742 Toronto; IJHouston@blg.com http://ca.linkedin.com/pub/ianhouston/6/a2/10a Infrastructure Construction Procurement Energy Mining Healthcare Capital Redevelopment,

More information

Initial Reactions to PG&E Letter Regarding Draft Marin CCA Business Plan

Initial Reactions to PG&E Letter Regarding Draft Marin CCA Business Plan Initial Reactions to PG&E Letter Regarding Draft Marin CCA Business Plan PG&E makes the following general points in its comments on the draft Business Plan (Plan) - The CCA would have higher rates than

More information