Advisory Services
Feasibility
The purpose of the feasibility service is to assess the technical, environmental and commercial viability of a project for our client and to provide an outline system design and business case for investment. It should make clear the capital cost and operating costs of the project, the return on investment, the next steps required to take a project forward, the costs associated with the next steps and the risks associated with the project. The specific services carried out during this stage are listed below.
- Energy yield assessment
- Outline system design
- Financial modelling
- Source grant and funding support
- Business case
- Site selection
- Technology options appraisal
- Grid connection application
- Screening study
- Resource assessment
As stated above, Locogen will carry out all of this work using internal resources. However, in the case of specialist resource assessments (e.g. for geothermal projects), we will use associates or sub-consultants. At the end of this stage our client should be able to make an informed decision on future investment in one or more low carbon technologies. They should understand the capital and operational costs of the project, the business case for investment, the risks associated with investment, the timescales to deliver the project and the scope of work, costs and timescales associated with the next stage.
Due Diligence
Locogen has established a reputation for providing robust, pragmatic and reliable technical support to a wide range of financial institutions offering non-recourse debt to projects. We use this same expertise to support developers looking to purchase individual projects or portfolios of projects. Our hands-on experience with a broad spectrum of technologies enables us to offer advice on all aspects of renewable energy generation assets and low carbon heating systems. We also offer commercial assessments of the capital costs, operating expenses and revenue generating forecasts for both operational and pre-construction assets and the related technology and project risks. In addition to routine due diligence on renewable energy assets, we have also been able to provide cost-effective advice on complex, multi-site portfolios and assets with multiple, interlinked technologies. Locogen uses its knowledge and experience of the UK markets to assess the suitability, condition and value of these assets to give comfort and justification to the purchasing decision. This process can be carried out from greenfield site to fully operational assets, assessing every opportunity against the specific purchasing criteria of each developer.
resource Analysis
Understanding the wind resource at a potential wind farm site is an essential step in the development process and in monitoring an asset’s performance. Locogen have extensive knowledge and expertise in wind data analysis and in conducting energy yield assessments for both pre-construction and operational assets. Locogen’s consultancy team can offer specialist insight into wind farm energy yield, having worked on sites with complex terrain and forestry as well as offshore wind farms. Locogen’s experience investing in their own wind energy projects allows for a comprehensive understanding of risks associated with pre-construction development of wind farms which we are able to pass onto our clients and highlight at the earliest stage. In addition, Locogen provide asset management services to multiple wind farm sites across the UK which includes reporting on the wind speed and energy yield performance against predicted figures. Further, Locogen enact a continual learning process where knowledge obtained in the role as asset manager is fed into the pre-construction assessment to inform appropriate losses.
