Note: This client has asked to remain anonymous.

After 3 years, the developer of a 100 MW battery project completed site control, interconnection, permits and signed a resource adequacy contract. As a final step, tax equity financing was needed before the developer could flip the project and be paid their $20 million developer fee. To secure the tax equity financing, due diligence was required. The process with a third-party consultant was expected to take three months to produce revenue estimates across energy arbitrage, ancillary services and capacity revenue.

The investor needed more context on battery operation assumptions and price forecasting methodology to feel confident in the project than the consultant was prepared to provide. Fortunately, the developer was able to leverage Orennia’s detailed and data-backed energy price forecasts. The developer team spent time on a call with Orennia’s subject-matter experts to talk through inputs, models and assumptions to ensure they were able to provide appropriate context for the investor. Our team made it easy to understand the long-term revenue potential of the battery project.

With the depth of context from Orennia, the tax equity investors got a clear view of both the data and assumptions behind the forecasts, including percent of perfect foresight to understand the project risk. With confidence in the analysis, the tax equity financing was approved.