Site control, queue position, permitting, interconnection studies, PPA progress and probability of reaching RTB.
Renewable Energy Valuation
Solar Project Valuation
Independent financial analysis for development-stage, ready-to-build and operating solar PV projects.
Financely values utility-scale solar projects and portfolios by connecting energy production, PPA economics, merchant exposure, CAPEX, OPEX, financing capacity and project-specific risk to a defensible enterprise and equity value.
Project Stage
We Value Solar Projects Across the Development Cycle
The methodology changes as development risk falls. An early-stage project is valued differently from an RTB asset with an executed interconnection agreement, contracted offtake and defined EPC cost.
P50/P90 production, EPC CAPEX, contracted revenue, NTP conditions, financing capacity and expected COD.
Actual MWh generation, availability, degradation, remaining PPA life, merchant tail, OPEX and outstanding project debt.
Valuation Drivers
Solar Value Comes From Cash Flow, Not MW Alone
Two projects with the same MWac can have materially different values because of generation, offtake, curtailment, interconnection, operating costs and financing structure.
| Area | Key Inputs | Valuation Impact |
|---|---|---|
| Energy | MWdc, MWac, P50, P90, 8760 profile, degradation, availability. | Determines expected saleable MWh and downside production. |
| PPA | Price, escalation, tenor, offtaker, settlement and curtailment. | Determines contracted revenue quality and duration. |
| Merchant | Forward power prices, capture price, basis, congestion and merchant tail. | Determines value after contracted revenue expires. |
| Costs | EPC CAPEX, O&M, land rent, insurance, asset management and lifecycle CAPEX. | Determines operating margin and free project cash flow. |
| Debt | CFADS, DSCR, LLCR, amortization, DSRA and debt sculpting. | Determines debt capacity and residual sponsor equity value. |
Methodology
Discounted Cash Flow With Market Cross-Checks
We typically value the project through a project-level discounted cash flow model covering contracted and merchant revenue, operating expenditure, taxes, lifecycle CAPEX and remaining useful life. Relevant solar transactions and EV/MW metrics can be used as cross-checks rather than substitutes for project economics.
Present value of project-level cash flow before deducting financing claims.
Residual sponsor value after debt, reserves and other relevant senior claims.
P50/P90, merchant prices, curtailment, CAPEX, COD delay and discount rate sensitivities.
Deliverable
Solar Project Valuation Report
The final report presents the valuation conclusion, project-stage assessment, energy assumptions, revenue model, CAPEX and OPEX, enterprise value, equity value and material valuation sensitivities.
The work can support acquisitions, disposals, sponsor equity transactions, portfolio NAV analysis, refinancing and preparation for solar project debt financing.
Request a Solar Project Valuation
Email the project location, MWdc and MWac capacity, development stage, PPA status, interconnection status, energy study, CAPEX, expected COD and financial model. We will review the scope and respond with a quotation.
Financely provides financial advisory and valuation analysis. Project
value depends on the valuation date, methodology, information supplied
and underlying technical, commercial and financial assumptions. Where a
valuation is required for a specific accounting, tax, litigation,
regulatory or statutory purpose, the applicable valuation standard and
qualified signatory requirements should be established before the
engagement begins.