Wind Farm Financing: Bank and C&I Loans

Overview

Bank financing, including commercial and industrial (C&I) loans, supports the growth of the wind energy sector by funding advanced technologies, new locations, and large-scale projects. In 2021, wind farm construction costs ranged from €1.2-1.5 million per MW, with offshore projects costing more due to complex structures. PNTV offers tailored financing solutions, covering up to 80% of project costs, with a focus on planning, financial modeling, lending, and debt management for wind, solar, biogas, and geothermal projects globally.

Bank Financing for Wind Projects

Banks provide the majority of funds for wind energy, offering long-term loans with detailed project assessments.

• Advantages:

  • Access to large, long-term funds.
  • Flexible loan terms tailored to the project.
  • Secured by project assets and cash flows.
  • Limited credit guarantees required.
  • Faster decision-making.
    
    
• Key Instruments: Equity investments (25-30% initiator contribution), subordinated debt, senior debt (e.g., bank syndicates), and corporate tools like mergers or capital raising.
  Major banks in the UK, Germany, France, Japan, and the USA, along with institutions like the EBRD, lead in wind project financing, especially for costly offshore farms.

Commercial and Industrial (C&I) Loans

C&I loans are short-term, asset-backed loans (up to 2 years) used for working capital, equipment purchases (e.g., turbines, rotors), and operational needs like maintenance, repairs, and upgrades.

PNTV Services

PNTV provides customized financial engineering for wind projects, including:

• Long-term bank financing and project finance.
• Support at all stages: planning, lending, and refinancing.
• Solutions for international and national jurisdictions, leveraging tax incentives.
  Contact us for tailored financing up to 80% of project costs.