Renewable PPAs/Valuation of PPAs
October 19-21 | Online
Click Here to Register ($2195)
Two Programs: Renewable PPAs : Valuation of PPAs
The course will begin with an introduction to the development and financing process. The instructors will (i) review the various general contract terms found in general PPAs , (ii) provide an overview of environmental and permitting matters that arise in the context of PPAs, (iii) discuss PPA structures and issues unique to on-site generation, community solar and projects that combine storage, and (iv) dive into corporate or financial PPA structures and issues.
This course will break down PPAs into matters that arise during the pre-commercial operation periods, topics related to the actual achievement of commercial operation, and issues that arise in the post-commercial operation period. Examples of problems that have arisen both before and after project completion will be given, and the solutions to these problems will be discussed. The topics covered will include risk allocation during curtailments, environmental considerations, managing change in law risk, the process and requirements for the declaration of milestone completion (especially the commercial operation milestone), liquidated damages, indemnification, and limitations of liability. Special consideration will be given to issues arising with distributed generation projects, alternative structures to PPAs, and issues arising in corporate PPAs.
During the course the instructors will provide and review specific contract language, and will offer methods and practices for successful negotiations, as well as an overview of valuation and market trends in the context of corporate or financial PPAs.
Valuation of PPAs
This course provides a methodical review of financial and risk elements that influence the value of renewable energy power purchase agreements (PPAs). It is a companion to the Renewable Energy Power Purchase Agreements seminar, which instead focuses on key provisions and central legal concerns associated with PPAs.
The course will explore the many layers of financial considerations that confer value in these contracts for power. It will devote a granular look at the dependent relationships that often make the difference between a PPA that accomplishes its objectives over an extended period versus one that can disappoint almost immediately.
The instructors will review and demonstrate multiple analyses and methodologies that provide important financial and risk guidance in the structuring of PPAs for project developers, off-takers, investors, lenders and other transaction parties.
Agenda Renewable PPAs
TUESDAY, OCTOBER 19, 2021
9:00 a.m. – 4:30 p.m. Central Time
Overview of Project Development and Finance (The Role of the PPA)
General Contract Terms
Pre-COD and COD Issues
COD & Post-COD Issues
Environmental Issues in PPAs
Storage, Distributed Generation, Community Solar Net Metering
WEDNESDAY, OCTOBER 20, 2021
9:00 a.m. – 12:00 p.m. Central Time
Introduction to PPA Valuations and Financial Modeling
Agenda VALUATION OF PPAs
WEDNESDAY, OCTOBER 20, 2021 : CENTRAL TIME
1:00 – 4:45 p.m. Central Time
1:00 – 1:20 p.m. :: Overview and Introductions
1:20 – 3:00 p.m. :: Market Trends and Externalities Influencing the Trajectory of PPA Prices and Practices
Changing Market Fundamentals and Effects on the Valuation of Renewable and Storage PPAs
3:00 – 3:15 p.m. :: Afternoon Break
3:15 – 4:45 p.m. :: Finance & Risk Fundamentals of PPAs
4:45 p.m. :: Program Adjourns for Day
THURSDAY, OCTOBER 21, 2021
9:00 a.m. – 5:00 p.m. Central Time
9:00 – 10:30 a.m. :: Economic Valuation of the PPA
10:30 – 10:45 a.m. :: Morning Break
10:45 a.m. – 12:30 p.m. :: Examining the Underlying Risk Factors that Impact the Value of a PPA
12:30 – 1:15 p.m. :: Lunch Break
1:15 – 2:45 p.m. :: Term Sheet Review: Key Commercial Terms
2:45 – 3:00 p.m. :: Afternoon Break
3:00 – 3:45 p.m. :: Impact on PPA Risk and Price of Project Production-Related Guarantees
Impact on PPA Risk and Price of Standard Contractual Parameters and Terms
3:45 – 4:45 p.m. :: Panel Discussion: Innovations on the PPA Landscape
4:45 p.m. :: Program Adjournment