Renewable Energy Finance: Theory and Practice, Second Edition integrates the special characteristics of renewable energy with key elements of project finance. Through a mixture of fundamental analysis and real-life examples, readers learn how renewable energy project finance deals mix finance, public policy, legal, engineering and environmental issues. This book investigates the economics of large-scale green power production and incentive mechanisms and how they fit into the global energy industries. It also examines how distributed energy resources such as residential solar and batteries can be financed at the scale needed to play a significant role in the future energy mix.
The authors examine how renewable energy projects get financed and built using modern non-recourse project finance structures. It also highlights recent innovations such as Green Bonds and Sustainability Linked Loans that have emerged in the context of ESG investments. The scope of the book is global, and it illustrates how renewable energy project finance has evolved in various places (such as the tax-equity structures used in the United States, due to the corporate tax incentives used there) to cope with local regulatory and policy environments.
1. Renewable Energy Finance - p. ii 2. Cover - p. ii 3. Disclaimer - p. ii 4. Title Page - p. iii 5. Copyright Page - p. iv 6. Dedication - p. v 7. Table of Contents - p. v 8. Preface - p. xi 9. Acknowledgments - p. xiii 10. Chapter 1 Financing the global transition to renewable energy - p. 1 11. Chapter 2 Public policy mechanisms to support renewable energy - p. 11 12. Chapter 3 Basic project finance concepts - p. 23 13. Chapter 4 Modeling project cash flows and debt service - p. 35 14. Chapter 5 Renewable project finance structures and risk allocation - p. 59 15. Chapter 6 Overview of tax credits in the U.S. - p. 71 16. Chapter 7 Tax structures for financing U.S. renewable energy projects - p. 91 17. Chapter 8 Financing distributed generation projects - p. 125 18. Chapter 9 Renewable energy in power markets - p. 141 19. Chapter 10 Managing transmission costs and risks for renewable projects - p. 159 20. Chapter 11 Alternative off-take strategies and managing merchant risks - p. 171 21. Chapter 12 Project development and valuation - p. 195 22. Chapter 13 Energy storage financing: Opportunities and challenges - p. 209 23. Chapter 14 Financing clean hydrogen projects - p. 221 24. Chapter 15 Financing offshore wind: Lessons learned from Taiwanese offshore industry - p. 243 25. Chapter 16 Renewable energy finance in the international context - p. 263 26. Appendices - p. 283 27. Glossary - p. 343 28. Index - p. 347
Renewable Energy Finance: Theory and Practice, Second Edition integrates the special characteristics of renewable energy with key elements of project finance. Through a mixture of fundamental analysis and real-life examples, readers learn how renewable energy project finance deals mix finance, public policy, legal, engineering and environmental issues. This book investigates the economics of large-scale green power production and incentive mechanisms and how they fit into the global energy industries. It also examines how distributed energy resources such as residential solar and batteries can be financed at the scale needed to play a significant role in the future energy mix.
The authors examine how renewable energy projects get financed and built using modern non-recourse project finance structures. It also highlights recent innovations such as Green Bonds and Sustainability Linked Loans that have emerged in the context of ESG investments. The scope of the book is global, and it illustrates how renewable energy project finance has evolved in various places (such as the tax-equity structures used in the United States, due to the corporate tax incentives used there) to cope with local regulatory and policy environments.
1. Renewable Energy Finance - p. ii 2. Cover - p. ii 3. Disclaimer - p. ii 4. Title Page - p. iii 5. Copyright Page - p. iv 6. Dedication - p. v 7. Table of Contents - p. v 8. Preface - p. xi 9. Acknowledgments - p. xiii 10. Chapter 1 Financing the global transition to renewable energy - p. 1 11. Chapter 2 Public policy mechanisms to support renewable energy - p. 11 12. Chapter 3 Basic project finance concepts - p. 23 13. Chapter 4 Modeling project cash flows and debt service - p. 35 14. Chapter 5 Renewable project finance structures and risk allocation - p. 59 15. Chapter 6 Overview of tax credits in the U.S. - p. 71 16. Chapter 7 Tax structures for financing U.S. renewable energy projects - p. 91 17. Chapter 8 Financing distributed generation projects - p. 125 18. Chapter 9 Renewable energy in power markets - p. 141 19. Chapter 10 Managing transmission costs and risks for renewable projects - p. 159 20. Chapter 11 Alternative off-take strategies and managing merchant risks - p. 171 21. Chapter 12 Project development and valuation - p. 195 22. Chapter 13 Energy storage financing: Opportunities and challenges - p. 209 23. Chapter 14 Financing clean hydrogen projects - p. 221 24. Chapter 15 Financing offshore wind: Lessons learned from Taiwanese offshore industry - p. 243 25. Chapter 16 Renewable energy finance in the international context - p. 263 26. Appendices - p. 283 27. Glossary - p. 343 28. Index - p. 347
