Accessing Capital Markets Lewis Milford, President CDFA 2012 - - PowerPoint PPT Presentation
Clean Energy And Bond Finance: Accessing Capital Markets Lewis Milford, President CDFA 2012 Conference Clean Energy Group Washington, DC July 31, 2012 Cumulative U.S. Grid-tied Photovoltaic Installations (2001-2010) Source: Sherwood, Larry.
Lewis Milford, President CDFA 2012 Conference Clean Energy Group Washington, DC July 31, 2012
2 Source: Sherwood, Larry. “U.S. Solar Market Trends 2010”. IREC. June 2011.
3 Source: 1976 – 1985 data from IPPC, May 2011; 1985 – 2010 data from Paula Mints, Principle Analyst, Social Services Program, Navigant; 2011 numbers based on current market data.
America’s wind industry built 5,116 MW of wind power last year, posting 15% growth in 2010, and entered 2011 with over 5,600 megawatts currently under
21% of global wind capacity.
Source: AWEA, 2010 u.S. Wind Industry Market Update 4
Source: AWEA, 2010 U.S. Wind Industry Market Update 5
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http://www.businessweek.com/news/2012-07-26/heat-sends-u- dot-s-dot-nuclear-power-production-to-9-year-low
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9 “Beyond Boom & Bust”, Breakthrough Institute, Brookings Institution and World Resources Institute. April 2012.
“Beyond Boom & Bust”, Breakthrough Institute, Brookings Institution and World Resources Institute. April 2012. 10
U.S. Wind Project Installations, 1999-2005 (MW)
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has led to reduced bank lending in the clean energy sector, among both European and American banks.
refuse to lend beyond ten years, dealing a blow to infrastructure type investment in clean energy projects.
and reduced capital availability.
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DOE’ s Top Financing Expert Says:
“Projects in the US rely upon an old fashioned and anachronistic form of financing that is different than how other parts of the US economy are
capital markets sources of so called tax equity, bank debt, and private equity where rates of return can approach typical private equity rates of return of 12-15 percent. [New strategies}… don’t require going to the lab; they Involve applying financing techniques that have already been invented and are used widely in other parts of the economy, but have not yet been applied to this sector.”
Comments of Richard Kaufman, Special Adviser to Secretary Chu (July 25, 2012), in a public note to colleagues in the field.
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Development Finance Agencies (CDFA) will announce tomorrow the Clean Energy + Bond Finance Initiative (CE+BFI). The CE+BFI will work with public infrastructure finance agencies, clean energy public fund managers and institutional investors across the country to explore how to raise capital at scale for clean energy through bond financing.
the next five years through bond financing
and private clean energy and development finance organizations throughout the country, including DOE, states, cities, law firms, private banks, and other clean energy and bond finance industry professionals.
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