As subsidy-free renewable energy projects become more commonplace around the globe, more wind and solar projects are being exposed to wholesale prices, with contract terms often shortened to 10 years or less. With this trend is sight, Reuters Events are hosting a live webinar on August 5th at 11 AM Eastern Time with BlackRock, RES Group and Norton Rose Fulbright, to debate how investors and developers need to position themselves in their approach to long term merchant risk.
You will learn about:
- The evolution of the merchant market – Explore what factors help lenders to back merchant projects and hear how hedging and risk management strategies have evolved
- “Merchant tail” vs “pure merchant” – Explore the evolving tenor and risk profile of power purchase agreements (and VPPAs) and how attitudes of investors and banks towards merchant risk are starting to shift
- Value cannibalization – Understand the developer and investor view of merchant risk in light of “value cannibalization” and hear why this leads to some who embrace merchant risk, while driving others to steer away from it
- Regional nuances – With much demand coming from corporate PPAs, understand how renewables are clearing in different markets and how some markets are breaking out revenue streams to get a positive offtaker capture price
- Chair: Caileen Kateri Gamache, Partner, Norton Rose Fulbright US LLP
- Panellist: Martin Torres, Managing Director, Head of the Americas for the Renewable Power Group, BlackRock Real Assets
- Panellist: Danny Splettstosser, Vice President Origination and Investor Relations, Renewable Energy Systems Americas Inc.