Bill Kost
Senior Vice President, Power & Renewables Industry Advisory Leader
The renewable energy industry continues to evolve at a fast pace, presenting a unique set of challenges to renewable energy project owners and developers. This industry is influenced by tax, technology, and natural perils in a way that is fundamentally different from other asset classes, including traditional power generation.
As companies face a difficult macroeconomic environment, business leaders are seeking innovation and strategic partnerships to fuel their plans for growth. But growth strategies can bring new challenges and materially alter the risk profile of organizations like yours.
Specialists from Marsh’s Due Diligence Advisory team can help you evaluate and quantify these risk profile changes, enabling scalable and efficient risk financing strategies that optimize risk-adjusted value.
Identifying risks, recognizing opportunities
As the difficult insurance market persists, many renewable energy companies are seeking creative solutions to mitigate rising insurance costs. Some consider simply increasing their retentions or tolerating less coverage; and others look for more innovative ways to transfer their risks.
At the same time, the industry is investing heavily in new projects while there is increased merger and acquisition activity in the sector. However, these businesses’ sustainable growth often depends on being able to secure higher insurance capacity. Adequate and commercially priced coverage remains integral to the industry as it seeks to generate clean energy that is more affordable to a greater number of people.
As your risk management capabilities mature and risk profile changes, you need to gain a better understanding of the potential impact of your strategic growth decisions. Companies like yours also need a clear risk management plan to help you derive the most value from these investments.
Our team of specialists will work with your team to understand your risk profile and help you employ appropriate risk mitigation measures. We also will help identify risk transfer options and quantify risk financing solutions, enabling you to make data-driven and risk-adjusted investment decisions.
Tailored solutions
Marsh’s Due Diligence Advisory team offers a suite of scalable advisory, risk management, and insurance solutions to help renewable energy companies efficiently manage risk.
Our due diligence advisory services include:
Transaction diligence
Our specialists will work with your team to understand the risks involved in different transactions (acquisitions or divestitures) and quantify potential costs and savings, including expected risk transfer availability and pricing. We can help you through the process of buying or selling a project, business unit, or an entire company; exploring a financing or investment opportunity; or considering joint venture partnerships.
Program review diligence
We can provide you with an objective perspective on a proposed, historical, or in-force insurance program, including strategic risk finance recommendations.
Project development diligence
Our team will perform due diligence to help you make informed risk finance decisions throughout the development of your renewable energy projects. We will provide pre-placement advice, conduct due diligence on site selection, and help with risk identification and improvement as well as financial modeling.
FAQs
Why Marsh
Marsh’s US Energy & Power team of over 100 specialists has extensive experience in all aspects of regulated and non-regulated power generation and electric and gas utility operations, including enhanced oil recovery using CO2. Our team members across tax, environmental, surety, engineering, and project risk have a thorough knowledge of decommissioning trusts, as well as deep experience working with state regulators, navigating interstate pipeline construction and operation, and advising on loss control measures. Marsh has advised on many carbon capture and storage projects and is able to leverage industry-specific knowledge to help you confidently invest in your future.
Our people
Erin O’Shaughnessy
Renewable Energy Specialist
Everett Hansen
Assistant Vice President, US Power & Renewables, Marsh Specialty
