Project Financing of Battery Storage

Name: Project Financing of Battery Storage
Availability: InStock

Develop the skills to assess, structure and finance battery storage projects with confidence

Sky view of Singapore city center and skyscrapers with the Marina Bay Sands hotel in the front

Live virtual class | Delivered over two half-day sessions | 7 CPD hours

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In-house pricing available – often more cost-effective for teams of 10+

Download: Course Outline

Gain a practical understanding of how to approach project financing of battery energy storage assets that you can immediately apply in a transactional environment
Understand the specific risks of this asset class and how to structurally mitigate them
Build knowledge on how revenues are stacked and valued and the different business and offtake models currently underpinning battery storage

Module 1: BESS Fundamentals, European Market Overview, Revenue Stacking & Trading

Understanding the fundamentals of BESS as an asset class
- Benefits of integrating BESS in our energy system
- Distinguishing renewables and BESS from a financing perspective
- BESS revenue applications and value drivers
- Understanding why revenue quality drives bankability
- Identifying specific complexities of BESS financing
European BESS Market Overview
- Capex and regulatory drivers shaping BESS development
- Installed capacity and projected growth rate
- Comparison of maturity, grid regime and attractiveness across main European BESS markets
- Equity investor perspective on BESS
BESS revenue stacking & trading fundamentals
- Understanding the difference between ancillary services markets, wholesale energy markets and capacity markets
- Learn how batteries optimise revenues via cross market trading
Practical exercise: Assessing revenue forecasts and revenue stacks from a debt and equity perspective

Module 2: Inside the Credit Committee: Key risks and mitigants in BESS project financing

A comprehensive walkthrough of the principal lender risk considerations in BESS financing, alongside inherent mitigants and additional structural protections which can increase the strength of the credit profiles, including
- Revenue volatility and saturation risk
- Optimiser and optimisation risk
- Regulatory, policy and market design risk
- Grid: positioning of BESS, operational constraints and grid fees
- Contractual risks
- Technology risks
- Obsolescence risk
- Supply chain and delivery risks
Practical exercise: Mitigating risks via financial structuring techniques (Participants will be presented with four scenarios to evaluate, for which they will be asked to identify and recommend appropriate financial risk mitigation strategies)

Module 3 — Contractual set-up, warranties, guarantees and cycling

Walk through of typical contractual set-up for BESS project financing
How key risks are allocated amongst project parties
Demystifying key technical concepts (dduration, SoC, SoH, RTE, degradation and augmentation, BESS chemistry)
Market standard BESS warranty and guarantee frameworks
Understanding the interrelation between cycling limits and battery warranties
Practical exercise: devising credit mitigation tools for overcycling

Module 4 —Revenue Models & Offtake Structures

Choosing a suitable revenue and route-to-market model
Fully merchant optimisation – advantages and disadvantages
How to integrate capacity market and subsidy revenues into a BESS revenue stack
Optimiser floor arrangements
Explanation of different types of tolling: physical, virtual, financial and partial
Revenue sharing and payout models
Proxy hedging swap/toll structures
Bankability assessment of revenue models
Case Study: ‘’Designing an optimum offtake and financing structure’’ (On the basis of a given fact pattern participants will discuss, determine and defend the most appropriate route to market and financing structure for that specific scenario)

Module 5 - Hybridisation / colocation (renewables and BESS)

Understanding the economic drivers for, and challenges with, hybridization, analysing different hybridisation business models and how to tailor your financing approach to each model
Revenue optimisation variables for hybridised assets
Grey/green storage concepts
Hybrid PPA delivery models
Load shifting and peak shaving
Financing approach per model
European overview per market
Quiz: mapping contract designs to offtaker demand
Deep dive: Co-located PV and storage – profiled PPA plus optimisation

Module 6 — Due Diligence, Negotiation and Reporting

Review of the key topics for assessment across technical, legal and market due diligence
Mapping revenue /market due diligence to specific financing case
Information reporting requirements
Common areas of lender / investor negotiation

Module 7 – From Concept to Contract: Putting Battery Finance into Practice

Based on a high-level debt term sheet, participants will evaluate whether to grant project financing and under which terms and conditions
This requires identifying the strengths and weaknesses of the business case, and, where relevant, proposing the inclusion of suitable credit mitigation measures

The trainer has over 25 years’ track record in structured finance and a renewable and energy transition sector focus. Beginning their career in law before moving into banking, our expert has held a range of senior transactional and leadership roles in the European financial services sector, spanning origination, structuring and execution.

The trainer brings deep expertise in the structuring and execution of complex project financings across a broad range of energy transition assets, with significant hands-on experience in battery storage financing across multiple European markets. Alongside their core banking role, the trainer also serves as a non-executive director and advisory board member to various energy and infrastructure-focused organisations.

A recognised voice in the sector, our trainer is a regular speaker on professional programmes, at industry events, and across renewable energy forums—bringing energy transition to life through theory, practical insights and transactional examples. Their delivery style is dynamic and interactive, blending legal, financial, and commercial perspectives to give participants a clear, real-world understanding of project financing challenges and solutions in the battery storage asset class.

Understand how battery energy storage systems (BESS) function as an asset class, and how they differ from traditional renewable assets.
Analyse revenue streams, market dynamics and revenue stacking mechanisms, and assess the robustness of revenue forecasts used in financing.
Identify the principal risks in BESS project financing—including market, technical, regulatory and operational risks—and determine appropriate mitigation strategies.
Evaluate different route-to-market and offtake structures and their impact on bankability and financing terms.
Assess contractual frameworks, warranty structures and key technical considerations to understand their implications for lender risk allocation.
Compare financing approaches for standalone versus co-located (hybrid) battery projects and the key drivers influencing structuring decisions.
Apply a lender’s perspective to due diligence, negotiation and credit analysis, and form views on suitable financing terms and conditions.
Demonstrate the ability to identify strengths and weaknesses in a BESS business case and formulate practical, transaction-ready credit recommendations.

Project finance professionals wishing to gain a better understanding of how to apply non-recourse financing to this growing asset class
Capital markets or structured finance teams within investors or developers seeking external financing for their own battery assets
Financial advisers transacting on battery storage capital raising or debt financing
Private practice and in-house legal professionals wishing to gain a better understanding of the specific revenue models and structuring being applied to battery financing
Accounting professionals seeking a deeper understanding of commercial and offtake models being adopted in the sector
Optimisers or offtakers of flexibility, seeking to understand the asset class from the point of view of a debt financier.

This practical, executive-level course is designed for investors, developers, lenders, offtakers, suppliers and advisers seeking a better understanding of project financing within the battery storage sector.

Going well beyond theory, participants will benefit from real-life case studies, scenarios and practical examples to build an end-to-end understanding of the issues, risks, and considerations that lenders encounter across the lifecycle of BESS transactions.

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(min. 50 participants)