The Caribbean Renewable Energy Development Programme (CREDP) Toolkit
Sector:
Typically, a developer seeking RET project financing approaches a lender with a package that includes a fairly common slate of fundamental transaction documents. They may range from complex plans for a facility using a novel technology to simple (but important) term sheets for the deal or a loan.
The purpose was to identify the most important of those documents and to replicate, in templates for those documents, the critical elements of a proposed transaction package.
| Template Transaction Documents | |
| Engineering, Procurement & Contracting (EPC) | For RET equipment, manufacturers may offer the best deals, using their own standard agreements. Such manufacturer's deals may be fixed price, turnkey contracts with favorable financing terms. |
| Interconnection Agreement Template | Interconnection with the grid of the purchasing utility is a precondition to delivery of RET project energy and the resulting revenue stream. |
| Operation & Maintenance Agreement Template | Local maintenance of RET projects is a worthwhile goal, but manufacturer support is more practical, and would typically be done under a standard contract. |
| Power Purchase Agreement Template | This is the most important document in gaining financing and may contain prices based on avoided costs or fixed capacity and energy prices. |
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