Financing renewable energy projects faces increasingly complex challenges in a transforming energy market. According to consultants from Aurora Energy Research, the key lies in reducing uncertainties related to revenues and addressing risks associated with the grid, essential factors to gain the trust of investors and financiers.

One of the critical aspects they mention is the importance of having fundamental models that simulate the real dynamics of supply and demand in the energy market.

“The granularity of the models, both temporal and in terms of demand and generation, is vital for accurate analysis,” they explain in an interview with Energía Estratégica España, highlighting how these tools allow capturing the effects of structural changes, such as the increase in batteries in the system.

In this regard, for a renewable project to be financeable, long-term energy price forecasts are a fundamental pillar.

These not only provide confidence to banks and investors but also help identify specific risks such as grid congestion or negative prices during periods of excess supply.

In this way, systems like the ones offered by this consultancy “provide clearer and more reliable forecasts that allow stakeholders to manage risks and maximize revenues,” they explain.

Aurora’s specialists emphasize that their analyses go beyond price forecasting, integrating factors such as infrastructure development, grid expansion, and the impact of growing renewable energy integration.

“Our forecasts allow evaluating potential issues and designing strategies to mitigate them effectively,” they describe.

Another relevant point is the strategic support that Aurora’s tools provide to developers and financiers.

Their forecasts are used in key processes such as acquisitions (M&A), strategy design, PPA pricing, and project viability assessment.

“We help estimate revenues and margins, which is essential for determining the financial viability of projects,” the consultants from Aurora comment.

Additionally, these tools enable optimizing critical decisions in site design and configuration, maximizing the strategic value of renewable energy investments.

This comprehensive approach helps developers make more informed decisions, reducing the uncertainties of the current energy market.

Aurora Energy Research concludes that the combination of advanced models, detailed analyses, and a deep understanding of energy market dynamics are determining factors in making renewable projects financially viable and strategically attractive options.

.