A Stages based approach to supporting Proposers

While each Project is inevitably specific, it is also the case that different stages of investment readiness can be clearly demarcated, at least in most cases. We have therefore focused our service delivery approach to match these stages, which we define as follows:

1. Operating: This is where there is already a fully functioning Solar Power Plant. In most cases the existing proprietor(s) are looking to sell the Plant, or otherwise require assistance with wither Power Purchase Agreements (PPAs) or with altering their specific risk or return profile to meet either perceived changes, or simply to better align their cash-flows to their specific requirements. It is often the case that advanced financial instruments or insurance products are used to achieve this.
2. Ready-to-Build (RTB): This stage implies that the primary requirement of the Proposer relates to obtaining funding for the Engineering, Procurement and Construction (EPC). It is also often the case that at this stage PPA agreements, or Letters of Intent (LOIs) for them, are entered into with various parties. While some additional services like Financial Structuring or Risk Mitigation may also be required, the focus will be on finding suitable Investors / Funders for the Proposer's Project.
3. Approvals & Connection: A key milestone for any Solar Power Plant Project, and the point at which it becomes a regularly investible proposal, is achieved when both planning permission for the build is obtained, together with fully agreed terms for (or actual) connection with the relevant power grid is achieved. At this stage it is also likely that at least a LOI for the purchase or lease of the land on which the Plant is to be sited is also available. This stage is what most Investors / Funders often consider the minimum viable set of requirements for the Project to be actively considered.
4. Approvals & Land only: As implied, this is when the Proposer has obtained relevant LOI for the land, as well as planning approvals for the Plant, but has not yet secured the required connection to the relevant power grid. While this approval is often a procedural issue requiring appropriate application to the relevant national or local power supply company, it is also the case that it often involves some sort of financial arrangement or payment due from the Proposer to the relevant authority. At minimum, while the connection may not be in place, it is important that the Proposer has engaged with the relevant power company and, ideally, has agreed a cost for such connection, which then forms part of any investment plan.
5. Land only: In some case, the proposer is also the owner of the land the Plant is to be built on, or the Proposer has managed to secure an LOI or the outright rights to the land in question, but has not progressed the Project further. In such cases EEI can assist in navigating and guiding the Proposer through the remaining requirements to facilitate investment, usually on the basis of a retainer or fee.
6. Concept: It is also the case that some Proposers have seen the potential profitability of a specific opportunity and are just starting to bring it to fruition. In such cases we find that the Project is usually at least 6 months from becoming "investor ready" as a number of requirements and actions need to be taken to move the Project up the value chain. EEI is able to assist in this through guidance, due diligence as well as providing opportunities to connect relevant parties that could provide additional support to the Proposer.