Despite the available projects and available (international) funding, many renewable energy projects fail to secure project finance and therefore do not realise Returns on Investment & Development Targets.
Both funders and project developers fully recognize the gap between funding supply and funding demand. The inability to close project funding and therefore close the development cycle of the project leads to failure to launch. Meaning that projects do not get executed and therefore no targets are met. It is therefore safe to assume that this failure to launch is one of the most critical problems standing in the way of reaching targets.
Therefore, specific challenges seen in the market are:
- Projects have difficulty in gathering project information and have limited development skills;
- The ratio Technical Assistance cost to Capex is too high;
- There is limited content-driven interaction between financial community and projects;
- Funder have difficulty with valuing project risks and returns – economic & technical variables;
- For Project & Funders there are limited technical and economic valuation tools.
Therefore Everest Energy developed economic project development products and services which encompass all elements of developing a project.
Using these products and services results in:
- Creating bankable project propositions and facilitating investor-engagement;
- Supporting portfolio analyses and structuring.
The uniqueness of the service offering is the seamless combination of high-level consultancy expertise, advanced calculation tools and business intelligence; thus creating solid business cases resulting in:
- Stable investment returns for investors and
- Higher profit margins for projects.