Meeting Europe’s energy investment needs in a competitive market.
InfraNews sixth annual Infrastructure Investors Forum (IIF) Energy & Renewables conference will bring together a diverse range of utilities, renewable energy developers, renewable energy infrastructure funds, generalist infrastructure funds, institutional investors, lenders, policy makers and specialist advisory firms.
IIF Energy & Renewables includes thought-provoking panel discussions and keynote presentations from industry leaders, together with must-attend networking opportunities and a wrap-up drinks reception.
Mainstream’s Head of Corporate Finance, Paul Corrigan will be attending and contributing to the panel discussion:
PANEL: Adapting to subsidy auctions and expectations to reduce renewables costs
“The days of securing fixed feed-in tariffs for clean energy are over. Developers and investors backing projects in Europe are having to get used to competitive tender and auction systems for new renewables projects. Participating in these tenders is time consuming and costly, and most of them require projects to have secured all permits needed to build the asset. This can cost up to GBP 50m for some of the biggest renewables projects, making it risky for utilities and developers and their co-investors to get a project ready for a tender they don’t know whether they’ll win. They could be subject government U-turns like when Denmark this year unexpectedly cancelled its near-shore wind tender just before final bids were due. This raises questions around which types of companies are best equipped to participating in tenders and whether their ways of raising development capital for projects will change in the future. Financial investors tend to commit to projects after the conclusion of a tender or auction, but the question is whether investors will be forced to take more risks and get involved in earlier stages of a project’s life time in the future to help secure big-ticket renewables projects.
Tenders also show that the industry is pushing hard to reduce costs of all renewables technologies, with recent solar and onshore wind tenders as well as the first Dutch offshore wind tender clearing at record-low prices. Turbine and panel makers as well as the wider supply chain play a crucial role in driving this cost reduction and this panel will discuss some recent initiatives to make this happen and what this means for utilities and financial investors in renewables.
This panel will bring together developers, investors and lenders to discuss how market participants can make the most of competitive subsidy processes and how expected cost reductions will impact the outlook for Europe’s greenfield renewables pipeline. They will also discuss alternative options for attractive renewables investment outside competitive tenders and subsidy auctions.”