Financial Offtake Assessment

Developing Renewable Energy

Financial Hedge

Financial hedges have substantial potential to reduce cash flow variability and increase the debt funding percentage for a higher return on equity. However, understanding downside risk and impact of operational performance on hedge efficiency is critical to obtaining the expected benefits.

We offer

We backcast hedges based on Met mast and long-term wind data during the pre‑construction phase and on operational data in the post‑construction phase.

We have in-depth experience with various hedge products, including:

  • bank hedge or fixed volume price swap
  • proxy revenue swap
  • balance of hedge, if a bank hedge is already in place
  • call options on excess amounts

Evaluation of operational, contractual and financial risks based on long-term data and development trends.

The Bank Hedge

Mar 20, 2019

An unfortunate relic of the past that could haunt Wind Project...

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Pitfalls of a Bank Hedge

Apr 05, 2019

Investigating the scenarios arising from the aggressive renewable...

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Hedging the Wind risk

May 21, 2019

The wind might be as unpredictable as ever, but big insurance and...

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