Project Finance NewsWire

February 2015

IN THIS ISSUE

Cost of Capital: 2015 Outlook

More than 1,700 people listened in January as a group of project finance industry veterans talked about the current cost of capital in the tax equity, bank debt, term loan B and project bond marke...

Yield Cos: State Of Play

Yield Cos - State Of Play: A roundtable discussion about yield cos at the Infocast projects & money conference in New Orleans in January Six yield cos have been formed to date by large renewa...

Community Solar Models and Risks

Community solar projects are emerging as a new asset class, distinct from residential, commercial, industrial and utility-scale projects...

An Expanding US P3 Market

A consensus is emerging in Congress that something must be done about crumbling US infrastructure, but consensus remains elusive about how to pay for it...

Current Trends: Industry Chatter

A panel of power industry veterans had a wide-ranging discussion in New Orleans at the Infocast projects & money conference in January about the impact of falling oil prices on the US power se...

Environmental Update

Environmental Update The US Environmental Protection Agency missed a January 2015 deadline to finalize a rule to control carbon dioxide emissions from new power plants...


IN OTHER NEWS

Offshore Investment Funds

OFFSHORE INVESTMENT FUNDS are up in arms over an internal memo the Internal Revenue Service released in January...

A Master Limited Partnership

A MASTER LIMITED PARTNERSHIP set up to own solar and wind projects postponed a public offering in early February. The company said it will operate for now using private capital...

More CREBs

MORE CREBS may be issued. CREBs are a form of tax-exempt bond on which the lenders receive tax credits from the federal government in place of interest. The tax credits must be reported as income...

Network Upgrade

NETWORK UPGRADE payments had to be reported as income by utilities, the IRS said. A municipal utility needed more electricity to supply local residents. Transmission was a problem...

Solar Tax Credits

SOLAR TAX CREDITS can be claimed on special membranes put on roofs underneath solar panels, but only on the incremental cost above what replacing the roof would cost, the IRS said...

A Mining Company

A MINING COMPANY leased rather than sold its interest in a mine to a third party, the IRS decided on audit. The decision affects how much and when income must be reported from the transaction...

The Chilean Government

THE CHILEAN GOVERNMENT wants to stop signing new tax stability contracts with foreign investors...

State Tax Rates

STATE TAX RATES are lower this year for corporations in seven states and the District of Columbia. Arizona reduced its corporate income tax rate from 6.5% in 2014 to 6.0% in 2015...

Buildings

BUILDINGS can be in service before they open for business, a federal district said in late January...

An Earnings Repatriation

AN EARNINGS REPATRIATION strategy has come under fire. The United States taxes US corporations on worldwide income, but foreign corporations are taxed only on income from US sources...

Foreign Investors

FOREIGN INVESTORS in the United States are hoping for modest relief from US taxes, perhaps as part of a bill to provide funding for US highway projects...

California

CALIFORNIA may have to pay refunds to passive investors in limited liability companies that own projects in California after a state superior court judge held in November that such investors are n...

Michigan

A MICHIGAN court said in December that sales taxes must be paid on electricity sold to telephone companies.

New Jersey

New Jersey cannot require power companies to add back some taxes paid to other states when calculating their New Jersey incomes, the state tax court said in December...

Abandonment loss

An abandonment loss can be claimed on a power plant that was shut down, but not until an arbitration against the manufacturer and pending insurance claims have been resolved...

Minor memos

US generating capacity increased by 15,500 megawatts in 2014, bringing total US capacity to 1,104,459 megawatts, according to SNL Financial...