Transaction terms for an energy company s 15kW IP54 photovoltaic battery cabinet

Is a contract price a factor in the bankability of a solar project?

Price is also a consideration but is usually considered separately from the bankability of the contract because the contract price (or more accurately the capital cost of the solar facility) relates to the bankability of the project as a whole.

What is a bankable EPC contract?

A bankable EPC Contract is a contract with a risk allocation between the Contractor and the Project Company to the satisfaction of Lenders and their credit committees.

What is the annual energy production of a renewable asset?

The annual energy production of a renewable asset is an estimate. Its likelihood is typically calculated and assessed based on long-term meteorological data. If a renewable asset is hedging a fixed volume at a fixed price, there is a risk that certain amounts of volume are not produced and need to be procured.

Are energy commodity swaps required to be cleared under the Act?

3 As of , energy commodity swaps are not required to be cleared under the Act. 4 While net-metering arrangements offer one avenue for direct sales in some jurisdictions, given the size of the projects typically eligible for net-metering arrangements, these structures are not discussed in detail in this section.