Renewable Power
McDermott has decades of experience successfully developing, financing, acquiring and selling renewable projects generating power from wind (onshore and offshore); solar (rooftop and central station); water (hydrokinetic and geothermal); and landfill gas, biomass and a variety of other biofuels. McDermott has leading solar and wind power project development practices across multiple offices, and has dedicated teams that focus on these specific technologies. Our multidisciplinary renewable energy teams are located in
United States
In the
Selected
Global
In
Selected Global Renewable Power Experience
Industry Leaders
We are industry leaders in the commercialization and monetization of renewable investments. McDermott regularly negotiates power purchase, renewable energy certificate (REC) and hedging agreements, including complicated security arrangements. The Firm has dedicated teams that focus on each regional transmission organization (RTO), independent system operator (ISO) and other transmission operators regarding market trading rules and products, transmission rights and interconnection. We also provide and execute structuring advice driven by the federal and state tax incentive, credit and grant rules, and other innovative financing structures.
Our regulatory capabilities are unsurpassed—our renewable power team members have held key positions at the U.S. Federal Energy Regulatory Commission (FERC), the U.S. Environmental Protection Agency (EPA), the U.S. Commodity Futures Trading Commission (CFTC) and state utility commissions. McDermott lawyers in the renewable power practice area have been listed consistently in Chambers USA renewable/alternative energy rankings, Who’s Who Legal: The International Who’s Who of Business Lawyers for project finance (2009), Euromoney’s Guide to the World’s Leading Project Finance Lawyers, and The Best Lawyers in America for international trade and finance law.
In addition to our well-regarded energy conferences, industry publications, and web-based portal/presentation services devoted to renewable energy and development issues, McDermott lawyers have taken leadership positions in the Energy Bar Association (EBA) and the International Swaps and Derivatives Association (ISDA), and actively participate in the American Wind Energy Association (AWEA) and other groups contributing to the renewable power industry.
Renewable Power Services
Like all power projects, renewable energy projects face a number of regulatory, financing and market hurdles from initial conception to project completion and possible acquisition or disposition. Each project has certain similarities and strategic differences, as well as complex project development timelines that rely on many disciplines and depend upon careful navigation of the numerous regulatory and market issues involved. Meeting the challenge, McDermott is a full-service law firm and recognized renewable power industry leader providing project services and diligence, including the following:
In the United States
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Power purchase (including energy, capacity and ancillary services), hedging, lien, credit, securitization, REC and other environmental attributes agreements, as well as advice on renewable RFPs
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Detailed knowledge of all mandatory state renewable portfolio standard (RPS) markets and REC tracking requirements
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ISO/RTO and other transmission entities market trading rules and products (including energy, capacity and ancillary services), transmission rights and interconnection queues
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North American Electric Reliability Corporation (NERC) and related operational compliance
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Federal and state tax structuring, monetization and grants, including but not limited to production and investment tax credits (ITC/PTCs) eligibility and monetization, cash grants and accelerated and bonus depreciation, and various partnership and sale-leaseback structures
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All aspects of corporate formation (setting up subsidiaries, governance and finance for
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State and local incentives, including cash incentives; loan programs; recruiting and manufacturing siting; and various tax incentives, rebates and compliance requirements
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Net metering and emerging tariff structures for distributed generation
In the
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All aspects of commercial/construction agreements, e.g., turbine, EPC and O&M agreements
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International tax and corporate structuring issues, including pass-through and hybrid entities, withholding tax structuring and interest deductions
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All aspects of project financing and structuring, including knowledge of what is “market” from various financing participants’ points of view, and implementing financing through loan, collateral, operating, equity contribution, and P&S or subscription agreements
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Regulatory review, development, and market licensing and siting authority, as well as environmental and related permits, planning and transfer
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Diligence of vessel, EPC and O&M contracts related to offshore wind development
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Real estate services throughout the project lifecycle, from site identification through construction/operational and decommissioning, as well as leases, purchase/option agreements and zoning
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Community and government relations and planning
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Intellectual property management and protection
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Exit strategies, mergers, acquisitions and dispositions
We also are active for clients regarding developments in U.S. Congress and globally that may affect the renewable power markets, such as federal RPS, enhanced tax credits, expanded regulation of the financial markets and greenhouse gas regulation. McDermott also has an emerging technologies group with a specific focus on renewable and other green technology developments.
Recent Engagements
The following is a sampling of recent renewable projects handled by our lawyers in the
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Represented American Renewables in the negotiation of $472 million of project financing commitments provided by the Bank of Tokyo-Mitsubishi UFJ and WestLB for the development of a biomass-fired power production facility (Nacogdoches Power) in
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Represented MS Solar Solutions (MSSS), a subsidiary of Morgan Stanley, in its formation of a strategic alliance with Main Street Power Company, a prominent solar project developer, to provide solar photovoltaic systems to municipalities, schools and nonprofit organizations; additionally, represented MSSS in developing and financing the purchase of the first project with
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On behalf of a leading wind developer, negotiated a secured financial hedge in connection with the financing and construction of the Stetson Wind Facility in the northeastern United States; also negotiated a 20-year REC sales deal with a leading bank, including relevant legal opinions and credit support documents, utilizing a bespoke documentation format
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For several projects, ran negotiations with multiple potential counterparties competing to provide a hedge for a wind power project, which ensured financeability and established the “market” for documentation in the new economic environment
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For a leading wind developer, provided representation in a global request for multibillion dollar proposals to purchase 2,000–3,000 MW of wind turbines for projects worldwide
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Represented Morgan Stanley Capital Group in connection with a transaction with Fortis Energy Marketing & Trading GP in which Fortis transferred its economic position under off-take arrangements and related hedges for existing and planned wind projects, a transfer which involved a mix of regulated futures and unregulated OTC hedges
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Represented a client in the acquisition, development and interconnection of a 765 MW wind project
In
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Advised a Canadian wind energy company on the development, financing, construction and operation of several wind farms in southern
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Advised a French supplier of renewable energy on a joint venture with an Italian developer regarding the development, financing and construction of a 40 MW wind park in
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Advised on the development and sale of several portfolios of wind projects in
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Advised a consortium on a tender for a 1,500 MW wind project license in
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Advised the banks on the financing of three wind power projects (40 MW, 8 MW and 16 MW) in
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Advised an Italian company on renewable energy in a joint venture with an investment fund for the takeover and development of solar energy plants with a total capacity of 50 MW in southern
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Advised an international manufacturer of solar cells in negotiations of EPC and O&M agreements as well the sale of projects in
Contacts
- Sergio A. Pozzerle
+1 713 653 1777
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