Project Finance NewsWire

October 2016


Negotiating a corporate PPA

As it becomes harder to find utilities willing to enter into long-term contracts to buy electricity, renewable energy developers have been signing power purchase agreements to sell electricity dir...

Huge potential new demand for power

Community choice aggregators (CCAs) could displace as much as 20% to 40% of electricity load in California. They are a new kind of offtaker of renewable power...

New product: Solar revenue puts

By Richard Matsui, Jason Kaminsky and Jared Blanton, with kWh Analytics in San Francisco The solar market needs a revenue put like what is now used to finance merchant gas-fired power plants, exce...

How to grow: Raising capital

Many small developers lack capital to take their projects through construction. They end up seeding projects for larger developers...

Batteries and tax credits

The Internal Revenue Service has issued three private letter rulings confirming that a 30% investment tax credit can be claimed on batteries that are installed as part of renewable energy projects...

Community solar and securities regulations

As the community or shared solar model becomes more popular, people are asking whether the customer agreements under which customers subscribe to a share of the electricity or buy into a community...

Environmental update

The global climate deal reached in Paris last year is on the verge of entering into force.


Tax equity and DROs

Tax equity transactions in which the investor agrees to a deficit restoration obligation may need a fresh look.

Tax triggered when partnership formed?

Project developers are more likely to have to pay taxes on any appreciation in project value when forming a partnership or joint venture with a money partner under new IRS regulations issued in early October.

Partner guarantees

Partners sometimes use guarantees to try to shift the ratio in which debt at the project or partnership level is put in the “outside bases” of partners.

Management contracts for public facilities

Municipalities have greater flexibility to negotiate terms with private companies to operate and maintain municipal facilities after new guidelines the IRS issued in late August.

Minor memos

Utilities are starting to fight back as renewable power companies enter into power contracts directly with large industrial customers.