Course 14 of 20 · Power Origination and PPA Desk Academy

Bankability & Lender Requirements

Stage D, Financing, accounting and portfolio. Level 8 of 10.

Meeting lender tests on tenor, offtaker credit, termination payments and step-in rights so a project reaches financial close.

124 chapters · 12 modules · every chapter one 8 to 10 minute explainer · builds on: Course 09, Course 11, Course 12

Enrol or enquire See the 124 chapters
How a chapter is delivered

One chapter is one idea taken to the point of use

Each chapter covers one idea to the point where you can use it, and comes two ways: a narrated explainer, and a deep dive audio discussion of around thirty minutes that works the same material at depth.

Self-paced throughout, and the same chapters can be taught as a cohort. Chapters run in order: each one assumes only what the chapters before it taught, and capability belonging to a later course is named and deferred rather than half-covered.

Curriculum

12 modules · 124 chapters

Open any module for its full chapter list, in teaching order.

M0 The Bank in the Room Before Financial Close Ch 1-10
  1. The Signature That Does Not Yet Release Any Debt
  2. Why Two Lenders Read the Same Agreement Differently
  3. The Four Seats This Subject Is Written From
  4. What a Project Lender Is Trying Not to Own
  5. The Lender Issues Register and Who Owns Each Line
  6. Financial Close, Direct Agreement and the Tail Defined
  7. What the Credit Support Package Already Settles
  8. What Settlement Mechanics and Full-Term Pricing Already Settle
  9. Where Debt Sizing Begins and This Subject Stops
  10. The Route From a Signed Agreement to Financial Close
M1 Tenor and How Long the Buyer Stays Committed Ch 11-20
  1. One Page Holding Every Date the Project Depends On
  2. Contract Term Against the Lender's Exposure Period
  3. The Merchant Tail After a Renewable Agreement Ends
  4. Asset Life Longer Than Any Buyer Will Commit To
  5. Extension Options and Which Side Holds Them
  6. Commercial Operation Later Than the Buyer Was Promised
  7. The Grid Connection Date Inside the Term Map
  8. Lease, Consent and Planning Expiry Against the Term
  9. A Support Scheme Running Alongside the Agreement
  10. Closing a Term Gap Without a Longer Commitment
M2 The Offtaker as a Payer Across a Long Term Ch 21-31
  1. The Payment Promise a Bank Can Actually Rely On
  2. Assessing a Corporate Buyer That Carries No Rating
  3. The Buyer Whose Business May Not Outlast the Contract
  4. The Contracting Entity and the Balance Sheet Behind It
  5. Change of Control on the Purchaser's Side
  6. Credit Deterioration and the Remedy the Contract Gives
  7. Assignment by the Purchaser to a Weaker Entity
  8. One Buyer Carrying Nearly All the Contracted Income
  9. Insolvency of the Corporate Purchaser
  10. Whether the Documented Support Satisfies a Financing
  11. Two Purchasers, Identical Wording, Opposite Verdicts
M3 Volume, Shape and the Revenue a Bank Will Credit Ch 32-42
  1. Three Kinds of Income in One Renewable Project
  2. Pay-as-Produced Revenue Read as a Credit Stream
  3. A Baseload Obligation as Merchant Risk Inside a Contracted Deal
  4. Which Energy Yield Case a Bank Lends Against
  5. The Share of Output a Bank Wants Under Contract
  6. The Megawatt Hours Nobody Has Agreed to Buy
  7. Certificate Income and Whether a Bank Will Credit It
  8. Deemed Generation as Contracted Revenue
  9. Volume Tolerance Bands Read as Uncertainty
  10. Where the Sponsor's Numbers and the Bank's Numbers Part
  11. A Contracted Volume That Overstates the Comfort
M4 Price Terms a Bank Will Lend Against Ch 43-52
  1. A Fixed Strike as the Simplest Financeable Price
  2. Indexation a Bank Will Not Take Unfloored
  3. Floors and Collars Read for What They Protect
  4. A Price Reopener Read as a Shortened Term
  5. Market-Linked Pricing Without a Floor
  6. Negative Price Stops and the Income They Remove
  7. Pass-Through Charges and Who Absorbs an Increase
  8. Currency of the Agreement Against Currency of the Debt
  9. Invoice Timing and the Cash Gap It Creates
  10. Set-Off and Netting Rights the Purchaser Holds
M5 Residual Risks the Contract Leaves With the Seller Ch 53-62
  1. Reading a Curtailment Clause for Its Cash Effect
  2. Network Curtailment Compensation and Its Conditions
  3. The Metering Point, the Reference Price and the Gap Between
  4. Availability Obligations and the Damages Behind Them
  5. Repeated Shortfall as a Buyer Exit Route
  6. Liability Caps and the Loss Above Them
  7. Disputed Meter Data and the Money It Delays
  8. Certificate Delivery Failure and Its Remedy
  9. Risk Falling Between Supplier, Operator and Buyer
  10. Residual Risks Nobody Allocated
M6 Termination Payments and Which Way the Money Runs Ch 63-73
  1. What a Termination Payment Is Actually For
  2. Grounds on Which the Purchaser May End the Agreement
  3. Grounds on Which the Seller May End the Agreement
  4. A Fixed Schedule Against a Mark-to-Market Sum
  5. Which Way a Mark-to-Market Termination Sum Flows
  6. Sizing the Payment Against Outstanding Debt
  7. A Buyer Right to Walk Away for No Reason
  8. A Cap on the Termination Payment and Who It Protects
  9. When the Sum Falls Due and Whether It Can Be Collected
  10. Obligations That Survive the Agreement Ending
  11. Handing the Termination Clause to Administration
M7 Assignment, Direct Agreements and Step-In Ch 74-84
  1. The Direction Security Runs, Stated Once and Checked
  2. Assigning the Agreement to a Security Trustee
  3. What the Purchaser Is Being Asked to Acknowledge
  4. The Direct Agreement With a Corporate Buyer
  5. Notice Before Termination as the Core Protection
  6. Cure Rights a Bank Asks the Purchaser to Allow
  7. Step-In and What a Bank Actually Does With a Wind Farm
  8. Step-Out and the Replacement Owner the Buyer Inherits
  9. Assignment by the Seller Without the Buyer's Consent
  10. A Corporate Buyer That Will Not Sign a Direct Agreement
  11. Consent Rights the Bank Holds Over the Agreement After Close
M8 Change in Law, Relief Events and Long-Term Change Ch 85-93
  1. Change in Law Allocation Read for Bankability
  2. A New or Raised Network Charge Mid-Term
  3. A Support Scheme Changed Behind the Agreement
  4. Relief Events and Whether the Invoice Keeps Coming
  5. Prolonged Relief and the Termination It Triggers
  6. Hardship and Renegotiation Clauses a Bank Dislikes
  7. Repowering, Life Extension and the Buyer's Consent
  8. Governing Law, Forum and Whether a Judgment Can Be Enforced
  9. Change a Bank Will Not Price at Any Margin
M9 Conditions, Diligence and the Route to Close Ch 94-103
  1. Conditions Precedent Inside the Agreement Itself
  2. The Circular Condition Between Agreement and Financing
  3. The Date After Which the Agreement Simply Lapses
  4. Proving a Condition Rather Than Asserting It
  5. Waiving a Condition and What the Accommodation Costs
  6. The Technical Adviser Reading the Agreement
  7. The Legal Opinion on the Agreement and What It Covers
  8. Lender Environmental and Social Standards on a Wind Site
  9. The Pack a Bank Is Actually Sent
  10. Answering a Credit Question Without Concealing the Gap
M10 Virtual Agreements, Sleeves and Several Buyers Ch 104-112
  1. A Virtual Agreement Read as a Hedge, Not a Sale
  2. No Physical Delivery, Nothing to Step Into
  3. Hub Mismatch in a Virtual Agreement and the Bank's View
  4. The Sleeving Supplier as an Extra Credit in the Chain
  5. Supplier Insolvency in a Sleeved Arrangement
  6. Three Corporates Buying From One Wind Farm
  7. A Buyer Group Contracting Jointly or Severally
  8. One Agreement Inside a Portfolio Financing
  9. Hybrid and Storage Contracts, Named and Deferred
M11 A Worked Bankability Review Ch 113-124
  1. The Case of One Solar Project and One Corporate Buyer
  2. Reading the Case Agreement for Its Payment Promise
  3. Placing the Case Dates on One Timeline
  4. The Credit Question This Particular Buyer Raises
  5. The Termination Sum as Drafted and as Needed
  6. The Direct Agreement Negotiation in This Case
  7. Ranking the Case Entries by What They Could Stop
  8. Three Lines Closed and What Each Cost
  9. The Lines That Nobody Could Close
  10. Saying That This Agreement Is Not Financeable as Signed
  11. What Aligning an Agreement to a Lender Cannot Fix
  12. Handing the Open Lines to Their Owners

The brochure gives each of these 124 chapters a paragraph on what it covers and what you can do once you have worked through it.

This is course 14 of twenty

It stands alone, and it is also the entry point to the Power Origination and PPA Desk Academy pathway.

Enrol or enquire See the whole pathway