Course dates
Course overview
'Renewable Energy Project Finance' will discuss approaches to financing renewable projects in many parts of the world, focusing on how these transactions differ from more conventional deals. Peculiarities such as intermittency, location constraints, transmission, and interconnection will be described, as well as renewable power purchase agreements and other project contracts. Examples of deals that have been structured to take maximum advantage of the growing variety of incentives and tax-breaks will be used to illustrate principles and ensure understanding. Attention will also be placed on many of the new and emerging financing vehicles.
Summary of course content?
- Structuring wind, solar, bio-mass, geothermal and small-scale hydro-power projects
- Risk assessment and allocation in renewable transactions
- Feed-in tariffs, renewable portfolio standards and green credits, tax credits, preferred depreciation schedules and other government incentives
- Carbon-credits and trading markets
- Cashflow analysis for renewable deals
- Debt and equity alternatives for financing renewable energy
Methodology
As with all Euromoney Training courses, this programme makes extensive use of case studies and workshops to make sure that delegates leave the course ready to apply their new knowledge.
Who should attend this training course?
- Financiers involved in project finance, investment analysis and syndicated lending
- Government and parastatal executives involved in sponsoring / assessing project finance deals
- Institutional bankers
- Corporate bankers
- Commercial and investment bankers
- Project sponsors
- Development banks
- Contractors
- Accounting and legal practices
- Project consultancies
- Export credit agencies
Supporting publications
DAY ONE
Overview of renewable energy project financing
- Global growth of the market
- Various types of renewable energy projects and comparative costs
- Wind powered electricity plants
- Small-scale hydro plants
- Landfill gas projects
- Bio-mass and bio-fuels
- Geothermal energy
- Solar power
- Snapshot of global incentive programmes designed to encourage renewable energy
- Energy usage and investment globally
- Feed-in tariffs
- Renewable portfolio standards and renewable energy credits
- Depreciation, allowances, etc.
- Financing structures and players
Risk identification and allocation in a wind project financing
- Different approaches / differing risks from conventional power project finance
- Construction and warranty issues
- Technology advances
- Operational issues
- Transmission, interconnection and tariffing
- PPA considerations: availability, energy and environmental credits
Workshop: cash flow modelling for varying constituencies
- Building a model: forecasting techniques and limitations
- Cashflow sensitivity analysis and creditor considerations
- Sponsor return calculations
- Tax-equity investors and considerations
Case study: financing a wind power plant
Delegates break into small groups to evaluate this security package for a wind power plant. They will look at financing choices, structure, project cash flows, and quantify their risk assessments.
DAY TWO
Further legal issues and contractual considerations for wind and intermittent power producers
- Key contractual agreements and structuring considerations
- Power purchase agreements (pricing structures, milestones and penalties)
- Equipment supply and time lines
- Balance of plant agreements
- Land lease
- Shareholder structures
Bank debt and capital markets as funding alternatives
- Bank debts and syndications
- Domestic and international capital markets access: Eurobonds, private placements
- Market convergence
- Rating agencies, Basel Accords, and credit wraps
Electricity price hedging
- Commodity pricing and hedging mechanisms
- Gas and heat-rate hedges for wind and other renewable energy projects
Leasing structures for renewable projects
- Leasing structures and applications in renewable projects
- Evaluating cost
Case examples: wind and solar
Solar power
- Solar photovoltaic systems and solar thermal
- Issues of scale, cost and application
- Financing challenges and PPA solutions
- Roof and ground leasing issues; other site requirements
- Technology warranties
Case study: financing a solar park
Evaluating the security package for a photovoltaic solar park
DAY THREE
Developing projects in international markets
- Sources of credit and risk support for international renewable projects
- Official political risk enhancers (ECAs, development banks and others
- Accessing local capital markets in developing countries
Case discussion: Wind Project
Carbon credit trading and renewable projects
- Clean Development Mechanism (CDM)
- Certified Emissions Reductions (CER): issuance, monitoring and compliance
- Joint Implementation program (JI)
- EU Emission Trading Scheme (ETS)
- US renewable energy credits and renewable portfolio standard
- Project cycles and credit usage
Base load renewable producers: geothermal and hydro plants
- Where are these facilities located?
- Technologies: dry and flash steam plants; binary plants
- Resource assessment and drilling risk
- Construction and transmission issues
- Government role
Case example: geothermal production
Case discussion: small hydro in latin America and forward purchase of carbon credits
- Wood / power generation
- Bio-mass and bio-fuels: what are the prospects for these technologies?
- Emissions, waste disposal, and other regulatory issues
Case example: wood-fired bio-mass project
Bangkok Hotel, Bangkok, Thailand
This programme takes place on a non-residential basis at a central Bangkok hotel. Non-residential course fees include training facilities, documentation, lunches and refreshments for the duration of the programme. Delegates are responsible for arranging their own accommodation, however, a list of convenient hotels (many at specially negotiated rates) is available upon registration.
Hilton Hotel Singapore, Singapore, Singapore
This programme takes place on a non-residential basis at Hilton Hotel Singapore. Non-residential course fees include training facilities, documentation, lunches and refreshments for the duration of the programme. Delegates are responsible for arranging their own accommodation, however, a list of convenient hotels (many at specially negotiated rates) is available upon registration.
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Meg Osius
Margaret Osius specializes in capital markets, and risk management, as well as international project finance. She works with corporations, financial institutions, public agencies, law firms, and private equity investors. Training and advisory work has covered approaches to financing infrastructure build-out and facilities acquisition, selecting among debt, equity, and hedging alternatives, and related topics. She has considerable professional experience with the oil and gas, power, transport, and telecom sectors.
Ms. Osius began her career at JP Morgan Chase Manhattan Bank, where, as a Vice President, she structured highly leveraged transactions and project financings and advised clients on foreign exchange and other price risk management strategies. Ms. Osius was responsible for a team of analysts responsible for evaluating the quality of the bank's global loan portfolio as well as that of its newly acquired affiliates. In that role she had extensive experience with workout and distressed debt.
Ms. Osius has published articles in the business press and co-authored several self-study guides covering international project finance, trade and export finance, foreign exchange, and financial futures. The World Bank has published her articles on approaches to financial analysis in emerging markets. She is a primary speaker in a series of video sessions created to cover the topic of Sound Banking Principles during executive training sessions in Moscow.
Until 2008 Ms. Osius was Chair of the Technical Advisory Panel (TAP) of the Public Private Infrastructure Advancement (PPIAF that provides technical assistance to emerging market governments. She is a member of the council on Foreign Relations and received an M.B.A. from INSEAD, the European Institute of Business Administration. Her B.A. degree is from Princeton University.
Courses run by this instructor
Interested in holding this course in-house? Please fill out your details and a member of our team will be in touch with more information.
21-23 May 2012 (Hong Kong, Hong Kong)
'Project Finance Modelling' is designed to support middle and senior managers dealing with financial models from disparate sources, to enable them to be compared and analysed on a consistent and focussed basis.
2-6 Jul 2012 (Singapore, Singapore)
10-14 Dec 2012 (Hong Kong, Hong Kong)
A practical guide shows you how to structure upstream and downstream oil and gas projects including field development, rigs, platforms, pipelines, and other transportation infrastructure
5-7 Mar 2012 (Singapore, Singapore)
8-10 Oct 2012 (Hong Kong, Hong Kong)
Euromoney Training presents, 'Advanced Project Finance Workshop', intended for those who have an interest in the risk management / structuring aspects of Project Finance projects.
This is Module One of the 2nd Annual Asia Project Finance Academy.
Modules are bookable separately or you can attend the whole Academy saving US$6,850
8-9 Mar 2012 (Singapore, Singapore)
11-12 Oct 2012 (Hong Kong, Hong Kong)
Euromoney Training presents, 'Energy Project Finance' course, the 18 'Pillars' of a successful programme / project are discussed in detail. This is Module Two of the 2nd Annual Asia Project Finance Academy. Modules are bookable separately or you can attend the whole Academy saving US$6,850
12 Mar 2012 (Singapore, Singapore)
Euromoney Training presents, 'Infrastructure Project Finance', intended for those who have an interest in the project finance aspects of the different infrastruture sectors and the risks involved. This is Module 3 of the 2nd Annual Asia Project Finance Academy. Modules are bookable separately or you can attend the whole Academy saving US$6,850
13 Mar 2012 (Singapore, Singapore)
Euromoney Training presents, 'Mining Project Finance', intended for those who have an interest in the area of project financing in the Mining industry and identifying the opportunities and potential pitfalls with this commodity-based project finance area. This is Module Four of the 2nd Annual Asia Project Finance Academy. Modules are bookable separately or you can attend the whole Academy saving US$6,850
16 Mar 2012 (Singapore, Singapore)
Euromoney Training presents, 'Building Project Finance Models'. This is Module Six of the 2nd Annual Asia Project Finance Academy. Modules are bookable separately or you can attend the whole Academy saving US$6,850
5-16 Mar 2012 (Singapore, Singapore)
The Euromoney Training Asia-Pacific Project Finance Academy is a comprehensive 10-day academy that examines advanced techniques relevant to the current stressed global financial markets and enhances your ‘sector’ skills in three key areas.
Register before 5th February 2012 & receive the advertised 5% discounted price
14-15 Mar 2012 (Singapore, Singapore)
A 2-day workshop on the application of Project Finance to Public- Private Programmes (PPPs) with a special session on which PPP programmes work and which do not. This is Module Five of the 2nd Annual Asia Project Finance Academy. Modules are bookable separately or you can attend the whole Academy saving US$6,850
Course dates