Renewable Energy Project Finance Training Course

Participants can convert renewable energy technical inputs into financeable generation assumptions.

• Solar irradiation, wind yield, degradation, and availability assumptions tested
• P50, P90, and P99 energy cases linked to debt sizing
• Battery round-trip efficiency, augmentation, and dispatch constraints modelled
• Independent engineer reports translated into lender-case generation forecasts
• Grid curtailment and transmission loss assumptions incorporated into energy sales
• Technology warranties matched against performance guarantees and liquidated damages

Participants can assess how core project contracts affect cash flow certainty and lender risk.

• Power purchase agreement pricing structures compared: fixed, indexed, merchant
• Take-or-pay, availability, and volume risk allocated under offtake contracts
• EPC price, schedule, interface, and performance obligations assessed
• O&M agreements reviewed for availability guarantees, pass-throughs, and termination
• Direct agreements establish lender step-in rights and cure periods
• Change-in-law, force majeure, and termination payment clauses quantified

Participants can establish a transparent, auditable structure for a renewable project-finance model.

• Excel model structure separates inputs, calculations, outputs, and error checks
• Timeline conventions align construction, operations, debt service, and distributions
• Named ranges, colour conventions, and version controls support model auditability
• Sources-and-uses schedule reconciles development costs, contingencies, and financing fees
• Assumption register records source, owner, date, and approval status
• Balance checks identify circular references, sign errors, and hardcodes

Participants can model construction spending, funding drawdowns and completion-period financing needs.

• EPC drawdowns timed against milestones, retention, contingency, and VAT
• Construction interest during construction calculated from debt draw profiles
• Contingency draw rules distinguish cost overruns from schedule delays
• Working capital needs reflect receivables, payables, inventory, and reserves
• Commissioning dates trigger revenue commencement, debt service, and warranty periods
• Cost-to-complete tests identify funding gaps before financial close

Participants can forecast operating revenues, costs and reserve requirements from project assumptions.

• Generation forecast converts resource data into monthly net energy output
• Tariff escalation, indexation lags, and settlement timing drive revenue
• Operating costs separated into fixed, variable, lifecycle, and pass-through items
• Major maintenance reserves funded through operating cash flow waterfalls
• Land lease, royalties, and concession fees modelled under contract terms
• Receivables ageing captures payment delays, disputes, and collection assumptions

Participants can derive CFADS and model project cash movements through financing waterfalls.

• Income statement, balance sheet, and cash flow statements integrated
• Cash flow available for debt service derived from operating assumptions
• Cash waterfall prioritises taxes, operating costs, reserves, debt, distributions
• Debt service reserve account sizing follows financing agreement requirements
• Restricted cash movements reconciled between project accounts and balance sheet
• Distribution lock-up tests linked to covenant and reserve conditions

Participants can size and structure project debt against project cash flow and risk.

• Senior debt, subordinated debt, and shareholder loans modelled separately
• Debt sizing constrained by debt-to-equity ratios and coverage ratios
• Annuity, straight-line, and sculpted repayment profiles compared
• Sculpting aligns principal repayments with projected cash flow available
• Interest margins, fees, swaps, and commitment charges calculated
• Refinancing assumptions tested against remaining tenor and projected value

Participants can incorporate material tax, accounting and related-party effects into project returns.

• Tax depreciation schedules reflect local allowances and asset classes
• Loss carryforwards, withholding tax, and VAT timing incorporated
• Deferred tax movements reconciled with project financial statements
• IFRS 16 lease treatment considered for land and equipment
• Transfer pricing and related-party charges tested for bankability
• Tax sensitivities show impacts on distributions and equity returns

Participants can calculate, interpret and explain sponsor returns from renewable energy projects.

• Equity internal rate of return calculated from shareholder cash flows
• Project IRR distinguished from equity IRR and lender metrics
• Net present value uses sponsor hurdle rates and terminal assumptions
• Distribution waterfalls allocate returns among sponsors and preferred equity
• Exit valuation based on contracted cash flows and market multiples
• Return bridges explain value effects from revenue, costs, and gearing

Participants can review a base-case model and document findings for decision makers.

• Base-case model audit traces every headline output to assumptions
• Model review checklist tests formulas, units, signs, and timing
• Independent model audit findings classified by severity and remedy
• Input-output dashboards present generation, revenue, debt, and returns
• Version comparison identifies changed assumptions and material output movements
• Model documentation records logic, sources, limitations, and approvals

Participants can identify, quantify and mitigate project risks affecting financing viability.

• Risk register links development, construction, operating, and financial risks
• Probability-impact scoring prioritises risks requiring financial mitigation
• Risk owners, triggers, treatments, and residual exposures documented
• Political risk, currency convertibility, and expropriation exposures assessed
• Currency mismatch quantified between revenues, costs, debt, and distributions
• Hedging options compared using forwards, swaps, caps, and natural hedges

Participants can test financial resilience through structured sensitivities, scenarios and simulations.

• One-way sensitivities test tariff, yield, capex, opex, and interest rates
• Two-way data tables reveal combined resource and price downside
• Scenario cases define downside, base, upside, and break-even assumptions
• Break-even tariff identifies minimum price meeting lender coverage thresholds
• Monte Carlo simulation interprets correlated resource, price, and delay risks
• Tornado charts rank drivers of equity value and debt capacity

Participants can calculate lender ratios and assess covenant compliance under changing conditions.

• DSCR, LLCR, and PLCR calculated using financing agreement definitions
• Debt service coverage ratios tested against base and downside cases
• Loan life coverage ratio relates debt balance to discounted CFADS
• Financial covenants modelled with testing dates, cure rights, and defaults
• Cash sweep mechanisms accelerate repayment after covenant thresholds are exceeded
• Distribution tests connect reserve balances, ratios, and default conditions

Participants can assess due diligence findings and financial-close readiness from a lender perspective.

• Bankability review scopes technical, legal, tax, insurance, and environmental diligence
• Independent engineer deliverables tested against lender information requirements
• Legal due diligence confirms land rights, permits, consents, and enforceability
• Environmental and social action plans costed and scheduled
• Lender model audit process documents assumptions, checks, and qualifications
• Conditions precedent tracked through financial close readiness checklists

Participants can assess insurance arrangements and their effect on debt protection and recovery.

• Construction all-risk, delay-in-start-up, and operational covers compared
• Business interruption limits linked to debt service and fixed costs
• Deductibles, exclusions, and insured events tested against project exposures
• Insurance proceeds waterfall allocates claims between restoration and lenders
• Force majeure schedules distinguish insured events from contractual relief
• Claims cooperation clauses protect lender rights after material losses

Participants can incorporate environmental, social and climate-risk requirements into financing analysis.

• IFC Performance Standards mapped to renewable project development activities
• Equator Principles screening identifies applicable environmental and social requirements
• Stakeholder engagement plans address land access, livelihoods, and grievances
• Climate physical-risk assessment tests heat, flood, wind, and wildfire
• Biodiversity mitigation hierarchy informs design changes, budgets, and permits
• ESG covenants and reporting obligations incorporated into financing documents

Participants can evaluate carbon-market and environmental-attribute revenues within project financing cases.

• Carbon credit additionality assessed against baseline, investment, and barrier tests
• Article 6 authorisation risks distinguished from voluntary market claims
• Verified Carbon Standard methodologies considered for eligible project activities
• Carbon revenue modelled with issuance timing, buffers, fees, and prices
• Corresponding adjustments assessed for host-country authorised mitigation outcomes
• Green attributes allocated between renewable certificates, offtakers, and sponsors

Participants can compare financing options and plan a lender process or refinancing case.

• Competitive lender process compares pricing, tenor, covenants, and flex provisions
• Financing plan sequences development capital, construction debt, and permanent financing
• Green Loan Principles assessed against use-of-proceeds and reporting requirements
• Refinancing case compares call premiums, break costs, and revised debt capacity
• Bond financing contrasted with bank debt for operating assets
• Transaction timetable coordinates adviser mandates, diligence, approvals, and signing

Participants can translate financing terms into economic effects and informed negotiation positions.

• Term sheet translated into model inputs, conditions, and risk allocations
• Debt pricing compares margins, reference rates, floors, and fees
• Mandatory prepayment clauses tested under refinancing, insurance, and asset sale
• Intercreditor arrangements define payment priorities, standstill, and enforcement rights
• Sponsor support obligations sized for completion, cost overruns, and liquidity
• Negotiation positions supported by quantified effects on returns and bankability

Participants can prepare a concise, evidence-based project financing recommendation for approval.

• Investment memorandum frames project rationale, assumptions, risks, and recommendation
• Credit paper explains repayment sources, security package, and downside resilience
• Executive dashboards present debt capacity, returns, sensitivities, and key risks
• Decision gates identify approvals required before bid, close, and construction
• Recommendation wording distinguishes conditions, mitigants, and unresolved issues
• Q&A preparation traces likely challenge questions to model evidence

Participants can build, review and present a complete renewable energy project-finance model and financing recommendation.

• Integrated solar project model populated with contractual and technical assumptions
• Sources-and-uses, CFADS, debt schedule, and equity returns reconciled
• Downside case tests yield, delay, tariff, and interest shocks
• Bankability risks documented with mitigants, owners, and financing implications
• Credit recommendation supported by coverage ratios, sensitivities, and conditions
• Investment committee presentation defends financing structure, returns, and risk allocation