Financial Modeling For Renewable Energy

Learn Financial Modeling for wind and solar projects

Last updated 2022-01-10 | 4.6

- How to build project finance model from scratch in excel for wind and solar projects;
- Learn how renewable energy projects get developed and financed;
- How to create best practice macro’s and Excel VBA codes to break circularities;

What you'll learn

How to build project finance model from scratch in excel for wind and solar projects;
Learn how renewable energy projects get developed and financed;
How to create best practice macro’s and Excel VBA codes to break circularities;
Learn how to size debt based on multiple covenants for wind and solar projects;
How to model Debt Service Reserve Account;
How to model unlevered project returns and blended equity returns;
Learn to integrate multiple probability exceedance generation profiles (P50
P99) into the financial model;
Learn basics of GP/LP flip structures and tax equity for project financing;
Gain insights into financial model development process
step-by-step – for a renewable energy model.

* Requirements

* You will need previous exposure to Excel in a financial modelling context and basic knowledge of investment concepts such as NPV
* IRR and cash flows.

Description

Project Finance Modeling for Renewable Energy course will give you the skills to develop and analyze financial models for wind and solar projects. The course covers essential topics including debt sizing and funding, wind and solar project operations, and investment returns, and will provide you with a robust financial modeling skillset for analysis of renewable projects in the most sophisticated environments.

In an online environment you will go from a blank Excel workbook to a financial model suitable for investment analysis, debt structuring and operational scenario evaluation. This course will provide step-by-step instructions on how to build financial model suitable for analyzing wind and solar projects.


What this course is about?

Project finance models for renewable energy are used to assess the risk-reward of lending to and investing in renewable project (wind and solar). The project's debt capacity, investment returns and financial feasibility depend on expected future cash flows generated by the renewable energy project itself and a financial model is built to analyze this.


In the Project Finance Modeling for Renewable Energy course we will model complex wind and solar project finance transactions from scratch in excel.

You will learn about:

- How to build a project finance model from scratch in excel for wind and solar projects;

- Learn how renewable energy projects get developed and financed;

- How to create best practice macro’s and Excel VBA codes to break circularities;

- Learn how to size debt based on multiple covenants for wind and solar projects;

- How to model Debt Service Reserve Account;

- How to model unlevered project returns and blended equity returns;

- Learn to integrate multiple probability exceedance generation profiles (P50, P99) into the financial model;

- Learn basics of GP/LP flip structures and tax equity for project financing;

- Gain insights into financial model development process, step-by-step – for a renewable energy model;

- Optimize the model to achieve the requirements of lenders and investors.


Why you should enroll in the Project Finance Modeling for Renewable Energy course?


Realistic project finance training - The Project Finance Modeling for Renewable Energy course includes over 10 hours of instructor-led video content to learn at your own pace. After completing this course you will be able to build complex, real-life project finance model for wind and solar projects.


Affordability - a similar course, which provides realistic project finance modeling training will cost you anywhere from US$1000 to US$3,000 per course.


Learn anytime and anywhere - The Project Finance Modeling course is 100% online so you can learn the modeling when it is convenient for you.


How does it work?

The course length is over 10 hours.

First, we will review the basics of wind and solar projects development, so we understand all essential components of project finance transactions in the context of renewable energy.

Then, in the second part, we will review financial modeling methods and excel functions that we will use often in this course, to improve our productivity in excel.

We will begin financial modeling in the third part, where we will build a financial model for wind and solar projects for the case when SPV pays taxes.

And, finally, In the fourth part, we will review the peculiarities of the US renewable projects and build a financial model that takes into account the tax credits available in the US, and introduce to the new source of financing called tax equity.


Is this course for you?

Yes, if you need to build, review or analyse project finance models within the renewable energy sectors. Typical students include analysts, managers, senior managers, associate directors, financial advisors, financiers and CFOs from project companies, investment banks, private equity and infrastructure funds.


This course prerequisites:

You will need previous exposure to Excel in a financial modelling context and basic knowledge of investment concepts such as NPV and cash flows.


Who this course is for:

  • Typical students include finance students, recent graduates, analysts, managers, senior managers, associate directors, advisers, financiers and CFOs from financial and infrastructure companies.

Course content

22 sections • 118 lectures

Renewable Energy Overview Preview 02:43

Wind and Solar Equipment Preview 03:02

Energy Generation Preview 05:23

Wind and Solar Resources Preview 07:39

Quiz 1 - Equipment, Energy Generation and Resources

Selling Energy under the PPA Preview 07:20

Risk Allocation under the PPA Preview 03:50

PPA terms Preview 04:48

Quiz 2 - PPA terms

Construction Contracts in Renewable Energy Development Preview 05:17

Construction Risks Preview 06:02

Operating costs Preview 04:03

Quiz 3 - Renewables Construction and Operations

Financing of Renewable Energy Project Preview 04:28

Role of the SPV in Financing Preview 03:50

Sources of Financing for Renewable Energy Projects Preview 05:46

Loan Agreement Preview 05:49

Debt Sizing Preview 05:02

Debt Sizing Example Preview 09:59

Control Accounts & Cash Flow Waterfall Preview 05:32

Covenants in Project Finance Preview 04:16

Quiz 4 - Financing

Calculations In Blocks Preview 10:23

Paste Forward Link Preview 04:30

Daisy Chains and Link Formatting Preview 03:55

Using Placeholders Preview 02:13

Excel Shortcut Keys Preview 07:52

Understanding Anchoring Preview 03:52

Understanding Dates Preview 05:26

Understanding IF Statements Preview 04:52

Understanding SUMIF function Preview 06:05

Understanding LOOKUP function Preview 05:37

Understanding MIN MAX functions Preview 02:38

Introduction to the Financial Model and Case Study Preview 05:11

Timing and Flags Preview 04:35

Modeling Dates Preview 10:50

Modeling Flags 1 Preview 08:29

Modeling Flags 2 Preview 08:31

Modeling Flags 3 Preview 15:53

Energy Generation Recap Preview 01:28

Modeling Energy Generation Preview 13:37

Modeling Energy Generation with Seasonality Factor Preview 08:40

Operating Costs Recap Preview 00:47

Modeling Operating Costs Preview 11:54

Understanding Working Capital Preview 04:49

Modeling Working Capital Preview 12:07

Understanding PP&E and Depreciation Preview 03:38

Modeling PP& and Depreciation Preview 11:34

Understanding Taxes Preview 06:23

Net Operating Losses Preview 04:39

Modeling Taxes 1 Preview 09:55

Modeling Taxes 2 Preview 17:05

Understanding Equity Preview 04:34

Modeling Equity, Dividends and Cash - 1 Preview 11:50

Modeling Equity, Dividends and Cash - 2 Preview 14:18

Debt Sizing for Renewable Projects Preview 02:23

Sizing the Debt -1 Preview 21:29

Sizing the Debt - 2 Preview 14:57

Construction Timing Preview 04:11

Modeling Construction Costs Preview 11:39

Understanding Construction Funding Preview 04:12

Construction Funding Overview Preview 07:28

Modeling Construction Funding 1 Preview 13:00

Modeling Construction Funding 2 Preview 15:34

Financing costs 1 Preview 15:03

Financing costs 2 Preview 21:23

Linking Funding Sheet to Operations 1 Preview 12:25

Linking Funding Sheet to Operations 2 Preview 13:43

Understanding DSCR Preview 06:24

Modeling DSCR Preview 08:07

Understanding LLCR & PLCR Preview 05:30

Modeling LLCR Preview 12:56

Modeling LLCR based on effective interest rate Preview 14:31

Understanding DRSA - 1 Preview 02:24

Understanding DSRA - 2 Preview 05:24

Modeling DSRA 1 Preview 18:00

Modeling DSRA 2 Preview 08:51

Modeling DSRA 3 Preview 09:42

Modeling DSRA 4 Preview 12:20

Understanding Shareholder Loan - 1 Preview 03:06

Understanding Shareholder Loan - 2 Preview 04:24

Modeling Shareholder Loan - 1 Preview 06:24

Modeling Shareholder Loan - 2 Preview 14:27

Modeling Shareholder Loan - 3 Preview 06:36

Project Returns Overview Preview 03:51

Modeling Project Returns - 1 Preview 11:17

Modeling Project Returns - 2 Preview 12:55

Project Optimization Preview 19:45

Modeling Checks Preview 22:18

Modeling Scenario Manager Preview 09:30

Construction Funding Macro Preview 06:52

Investment Structuring Preview 02:57

Tax Efficiency Preview 07:51

Production Tax Credits Preview 04:56

Investment Tax Credit Preview 03:55

Modeling PTC Preview 05:49

Modeling ITC Preview 08:57

Modeling Tax Benefits for Efficient Taxpayer Preview 03:27

Modeling Tax Benefits for Inefficient Taxpayer Preview 11:45

NPV of Tax Benefits Preview 04:48

Modeling Returns of the Efficient and Inefficient Taxpayer Preview 11:04

Understanding Tax Equity - 1 Preview 04:20

Understanding Tax Equity - 2 Preview 04:46

Intro into Tax Equity Modeling Preview 03:57

Tax Equity Modeling 1 - Sizing Tax Equity Preview 09:14

Tax Equity Modeling 2 - Sizing Back Leverage Debt Preview 11:17

Tax Equity Modeling 3 - Construction Funding Preview 14:38

Tax Equity Modeling 4 - Sponsor's Tax Credits and EBT Preview 11:06

Tax Equity Modeling 5 - Sponsor's Tax Liability Preview 09:42

Tax Equity Modeling 6 - Sponsor IRR Preview 07:48

Tax Equity Modeling 7 - Summary Preview 17:37