Financing
Wind power plants require a substantial investment and many otherwise viable projects, particularly in the community wind segment of the market, remain on hold due to lack of capital.
Pioneer Wind provides vendor financing for the wind turbine portion of the the total project cost, an amount which is frequently more than 50%. We offer flexible financing structures customized to the constraints of each individual project that typically reduce the amount of progress payments required and establish a payment schedule following delivery. Our equipment financing terms are accompanied by customary credit protections and may require that the customer purchase a minimum scope of related products or services from us.
In our financing approval process, we evaluate the following criteria, among others:
- Readiness of the project (historical wind resource statistical studies, project design characteristics and permitting)
- Depth of experience of the power project developer
- Location and size of the project
- Wind resources and capacity factors
- Structure and pricing of the power purchase agreement (PPA), identity of the power purchaser
- Wind turbine generator selection, price, location, transport cost and available warranties
- Cost of project construction and expected return on investment
- Terms of developer's equity investment in the project
- Operations and maintenance contract
- Purchase of related products and services from Pioneer