Earlier this month, the White House announced a Clean Energy Investment Initiative in an effort to spur $2 billion in private sector investments aimed at addressing climate change and reductions in carbon pollution. The Department of Energy will look for ways to partner with private investors to pursue clean energy solutions. Read more about it here.
February 23, 2015 Comments Off
On January 29, 2015, the Department of Energy (“DOE”) announced more than $59 million in funding for solar energy technologies and projects. DOE further clarified that the funding will be divided into two project categories – $45 million for solar manufacturing technologies that can be brought to market, and $14 million for community-based, multi-year deployment plans. DOE also noted that the funding will help support the White House’s effort to double renewable energy generation by year 2020. [Read more →]
February 2, 2015 Comments Off
Energy Partner Justin Boose authors “Renewable Financing: A Closer Look at YieldCos” in North American Clean Energy
New York Energy Partner Justin Boose explains why YieldCos are increasingly becoming an option as a cheaper source of financing for renewable energy as well as conventional energy assets in the January/February issue of North American Clean Energy. Incoming associate Patrick Ryan assisted with the article. Read the full article here.
January 16, 2015 Comments Off
In 2014, we at Troutman Sanders were honored to have represented our clients in some of the most cutting-edge and exciting renewable energy projects in the United States. Our reach spanned 19 states and accounted for approximately 3,000 MWs.
As we enter 2015, we are taking a look back at the biggest trends and challenges we observed during our work in 2014 in the form of a 2014 Troutman Sanders Renewable Energy Market Recap. From the rise of yield cos to the increased use of virtual net metering, 2014 was an exciting year for renewable energy. During 2014, we saw the demand for renewable energy development boom as the incentives landscape continued to change and companies and governments searched for low-cost capital sources to meet their needs with cost-effective and sustainable solutions.
Over the past year, we note that many of our transactions were structured as partnerships, bringing utilities’ tax appetite to the structure. We saw utilities partner with sponsors for long-term tax and cash sharing arrangements not dissimilar to partnership flips, except where the parties have a long-term interest in remaining owners of the project. In 2014 we saw several tax equity partnership transactions in which the tax equity investor retained a significant residual interest in the projects in the post-flip period.
Some other major themes and trends we noticed in 2014 include an uptick in virtual net metering, the rise in project development in the Northeast, growing concern over the “duck curve,” an increased focus on energy storage, significant environmental developments regarding endangered species and wetlands, increased military installations, issues related to the California property tax exclusion for solar projects, and the extension of tax provisions and REIT regulations in general.
Our 2014 Troutman Sanders Renewable Energy Market Recap gives a snapshot of these renewable energy market trends and what the industry has to look forward to in 2015.
January 16, 2015 Comments Off
On November 5, 2014, Southern California Edison (“SCE”) announced that it entered into contracts for 2,221 MW of power to satisfy its customers’ demand, including contracts for 262 MW of long-term storage capacity. The energy storage agreements were in response to the California Public Utilities Commission’s (“CPUC”) rulemaking that set energy storage targets for investor-owned utilities in the State of California. [Read more →]
November 13, 2014 Comments Off