Solar Due Diligence and Bankability

Power engineer at solar photovoltaic array

Investing in a renewable energy project or portfolio is a complex endeavor that requires an extensive evaluation effort. Understanding the inherent technical risks of a project is a critical facet of this effort, and the conclusions of this evaluation will allow you to ultimately decide if the return is worth the risk. From energy resource and technology reviews, to balance of plant and O&M reviews, we leverage our combined 35+ years and 200 GW of experience on every wind and solar project we evaluate. We are pioneers and industry leaders in technical consulting and have played an active role in many of the world’s most important and groundbreaking renewable energy projects. This experience is important, but equally core to our company is our reliability. Our engineers work in lockstep with you and maintain regular communication as we evaluate your project. With millions of dollars on the line, you can’t afford to have questions go unanswered. With offices around the globe, and experience in over 140 countries, we bring the expertise, track record and reliability that will allow you to invest with confidence.

Independent Engineering

As a lenders’ Independent Engineer (IE), UL applies technical and commercial expertise to address project risks and propose mitigation, making financial close as smooth as possible. With extensive experience and a sound reputation as a renewable energy IE with some of the world’s leading arrangers and lenders, UL combines technical experience with an understanding of the intricacies of project finance to proactively evaluate projects for financing.

Project Overview

  • Site Layout
  • Initial Site Visit

Technology Review

  • Solar Site Suitability

Energy Production Report

  • Energy Production Report Summary
  • Energy Loss Review

Balance of System Design Review

  • Foundation and Geotechnical Design Review
  • Electrical Design Review

 

Third Party Curtailment and Congestion Summary

Contracts Review

  • Power Purchase and Hedge Agreements
  • Interconnection Agreements
  • Equipment Supply Agreements
  • EPC Contract/Balance of System Contracts
  • EPC Performance Guarantee
  • Schedule and Scope Agreements
  • O&M and Asset Management Contracts
  • Shared Facilities and Co-Tenancy Agreements

 

Environmental and Permitting

Financial Assessment

  • CAPEX Review
  • Operating Assumptions Review
  • OPEX Forecast

Construction Monitoring

  • Progress Report Review
  • Construction Drawdown Verification
  • Construction Monitoring Site Visits

 

Technical Advisory

Differently sized investments require different levels of review. UL offers guidance on the best path for due diligence, and identifies the critical risks. Our project evaluation strategies are adaptable for the specific nature and size of the project.

Energy Resource

  • Pre-Construction Energy Production Estimate and P-Tables
  • Operational Energy Production Estimate and P-Tables
  • Third Party Review of Pre-construction Energy Estimate
  • Review of Preliminary Layout
  • Site Inspection and Review (Environmental, Jurisdictional, Other)

Technology and System Design

  • Technology Review (Modules, Inverters, Mounting Structures and System Integration)
  • Equipment Suitability Assessment Based on Climate Conditions
  • Assessment of Extended Project Lifetime (Technical Failure Risk, Longevity, Contract Extension Review and O&M Projections)
  • Balance of System (BOS) Design
  • Civil and Geotechnical Review
  • Electrical Design Review

Warranty and O&M Review

  • EPC Contractor Agreement (Equipment Supply and Performance Guarantee)
  • O&M Agreements
  • OPEX Costs