Mobilizing Public Markets to Finance Renewable Energy Projects: Insights from Expert Stakeholders
June 01, 2012
Bibliography: Paul Schwabe, Michael Mendelsohn, Felix Mormann & Doug Arent, Mobilizing Public Markets to Finance Renewable Energy Projects: Insights from Expert Stakeholders, National Renewable Energy Laboratory Technical Report No. NREL/TP-6A20-55021 (2012).
Financing renewable energy projects in the United States can be a complex, time consuming, and expensive process. Currently, most equity investment in new renewable power production facilities is supported by tax credits and accelerated depreciation benefits, and is constrained by the pool of potential investors that can fully use these tax benefits and are willing to engage in complex financial structures. For debt financing, non-government lending to renewables has largely been provided by foreign banks that may be under future lending constraints due to economic and regulatory conditions.
To discuss these and other renewable energy financing challenges and to identify new sources of capital to the U.S. market, two roundtable discussions were held with renewable energy and financing experts in April 2012. This report summarizes the key messages of those discussions and is designed to provide insights to the U.S. market and inform the international conversation on renewable energy financing innovations.