Solar Project Finance Opens Up to Institutional Investors
A new venture fund partners with institutional investors, project developers, and customers to build distributed clean energy generation plants and to sell the electricity and renewable energy credits to the host site under a power purchase agreement.
November 15, 2006
A MuniMae subsidiary announced today that it has syndicated the first institutional investment in solar energy project finance in the U.S.
MMA Renewable Ventures says it works with energy consumers, project developers and institutional investors to finance solar and other clean energy projects. The finance placement provides institutional investors with tax-credit equity investment opportunities.
It uses a business model somewhat similar to that of SunEdison or Mosier Creek Homes. MMA Renewable Ventures will finance the installation of solar power on a host's site, then sell the power to the host under a power purchase agreement. The host gets the renewable energy credits, while investors benefit from the solar-related tax credits.
The fund's first investment capitalizes a 901kW solar energy facility completed this month at Fetzer Vineyards, a long-time user of solar power.
(MMA Renewable Ventures is a wholly-owned subsidiary of MuniMae, NYSE: MMA)
Comments
Solar is financially feasible only with subsidies that are meant to equate the cost of solar electricity to traditional electricity. Therefore, the investor (MMA Renewable Ventures) must be very efficient in their development to create a profit where the government intends there to be none (they only want to make the costs equal).
What is the minimum system size to reach a profitable efficiency, and who else is doing this?
Posted by: Ben | November 28, 2006 05:34 PM
We are Financial Consultant. Our client needs Project Finance for 1000MW Solar Power Project.
Posted by: Patel L V | December 10, 2006 01:52 AM
Beneficio Solare Italia S.R.L has it´s focus in the development and marketing of photovoltaic- and windmill parcs. With our local activities we are able to offer you different sizes of projects in the south regions of Italy. With solar-projects in the south of Italy togehter with the subsidies of the european community it is possible to gain two-digit yields.
Actually we can offer you following totally approved (Authorisation Unica) projects (rip for development) in the region of Apulia with a total output of 25 MW:
* 2 pv-projects each with 10 MW total output
* 1 pv-project with 5 MW total output
* 1 windmill-project 26 MW total output (13 x 2 MW)
*addtitional new projects*
* 5 pv-projects each with about 1 MW total output (Apulia)*
We are holding the leasing agreements about 20 years with an annual rent in the amount of 4% participation of the total revenues of the project. The prices of the projects are 350 €/kWp. In the case of interest you should act uninterrupted because of the high interest at totally approved projects.
For your information: We´ve just started our marketing activities and we would like to ask you to clarify the daily disposability of the projects. Many thanks for your appreciation.
Further projects with a total output of 50 MW are in our pipeline (phase of approval). As we are informed we will receive the Authorisation Unica in the following days.
In case of interest or if you have any questions don´t hesitate to contact us.
Kind regards,
Beneficio Solare Italia S.R.L
project development/ - marketing
*sales management:*
Christoph Diez
Dipl.-Betriebswirt
Viertling 11
D-90607 Rückersdorf
Tel/Fax: +49-911-5874701
Mobil +49-170-3266863
mail:Beneficio-Solare-Italia / gmx.de
Posted by: christoph diez | September 21, 2008 03:23 AM