kWh Analytics refinances photovoltaic facility with Solar Revenue Put

By Devika Patel

Knoxville, Tenn., May 7 – kWh Analytics has structured a Solar Revenue Put as part of the refinancing of a photovoltaic facility in Monterey County, Calif., according to a press release.

The Solar Revenue Put is structured as an insurance policy on solar production and revenues, which serves as a credit enhancement for financial investors.

kWh Analytics developed the Solar Revenue Put to drive down investment risk and encourage development of clean, low cost solar energy for the Cal Flats facility.

The refinancing was led by Commonwealth Bank of Australia.

Across the industry, portfolios supported by the Solar Revenue Put are securing debt sizing increases of 10% on average, the company said in a press release.

The Solar Revenue Put has been structured on over $1 billion of solar assets, and a survey of the solar industry’s most active lenders indicates that more than 50% of active lenders value the Solar Revenue Put as a credit enhancement, the release stated.

The Solar Revenue Put has now been incorporated into both new build financing and refinancing of all types of solar projects, including utility scale, residential, community solar, commercial and industrial, according to the release.

The Solar Revenue Put is a credit enhancement that guarantees up to 95% of a solar project’s expected energy output, the release stated.

kWh Analytics’ brokerage subsidiary places the policy with risk capacity rated investment-grade by Standard and Poor’s, according to the release.

As an ‘all-risk’ policy, the Solar Revenue Put protects against shortfalls in irradiance, panel failure, inverter failure, snow and other system design flaws, according to the release.

kWh Analytics is based in San Francisco and provides solar risk management for solar investors.

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