Financial modeling for solar projects
Solar hybrid systems with battery sotrage are a mor reliable solution to the home owners and commercial building owners. It can be combined with the other sources such as diesel generators. This course teahces the participants on the step by step procedure for designing a solar hybrid system. The course is useful to the employees of EPC companies, first time solar investors, solar developers, and banks & financial institutions.
The course start with an introduction to the basic principles of financial modeling, and then continue with calculation of financial parameters such as IRR, NPV, LCOE etc related to solar projects. The course will also deminstrate the calculation of tax benefits such as accelerated depreciation benefits. The course will be based on financial modeling on an excel based tool which will be provided to the course participants as part of this course. The course will be built on case studies related to solar rooftop as well as groundmounted system cash flow analysis. The main topics covered in this course are as follows:
- Project cash flow analysis and basics of financial modeling
- Inputs to your financial model such tariff, interest rates, capital cost,, O&M costs, etc.
- Tax benefits such as accelerated depreciation calculations
- calculation of financial indicators such as Project IRR, equity IRR, NPV, Payback period, LCOE etc.
- Annual cash flow and DSCR
- Scenario analysis
- Profit and loss analysis
- Investment apraisal
- Bid tariff evaluation
- Example to understand the LCOE for solar power plant
- Risks in investing in solar power projects
- Accelerated depreciation
- Solar financing alternatives
What you will learn : -
Basic principles of financial modeling
you will be able to design the cash flow for a solar project whether ground mounted or rooftop solar project.
Calculation for NPV, IRR, and LCOE
You will be able to use a working excel based financial model to calculate the project IRR, equity IRR, NPV and LCOE for a project of your own.
Calculation of tax benefits including the accelerated depreciation
You will be able to carry out the complete tax calculation and assessment of accelerated depreciation benefits.
Case studies of roofotp and ground mounted projects
You will be able to carryout the cash flow analysis and payback calculation for the rooftop and ground mounted solar projects based on our financial model templates and case studies.
