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Solar farm investment model

Solar farm investment model

Purpose

The purpose of the model is to enable the user to assess the viability of a wind farm project or investment

 

Outputs

Integrated Financial Statements including Income Statement, simplified Balance Sheet and simplified Cash Flow

Results also include day 1 investment requirements split by equity and debt, valuation and IRR

 

Timeline

The model has an annual timeline that runs for 30 years

A flexible model start date

The ability to enter historical Opening Balance sheet

 

General

The ability to update the model units

The model provides check and commercial alert messages (see debt assumptions below)

 

Sales

Includes the sale of energy and renewable energy subsidies

Volume is based on entering megawatt (MW) capacity, economic life and production efficiency of the site

User enters the real energy prices in MWh

Inflation is applied

Subsidies are entered per MWh, by unit price, in terms of availability over the life of the project and with inflation applied

 

Costs

Include fixed cost per MW and variable costs per MWh

Cost inflation can be applied

 

Fixed assets

Depreciation is calculated on a straight-line basis ovfer the remaining life of the project

 

Working capital

Includes debtors and creditors

Working capital assumptions are calculated based on a days assumption

 

Tax

Enter an effective tax rate

Tax is paid in the year in which it accrued

Interest deductability limits can be entered and are based on a percentage of EBITDA

 

Senior debt

Entered for the acquisition

The user enters the debt term,