Thought leadership articles written by the team
Though popular, the tax credits were historically cumbersome and complicated, which kept capital on the sidelines. Project developers were required to use complex tax equity structures to monetize these tax benefits efficiently. Tax legislation and guidance led to the emergence of novel financial structures such as the partnership flip, the sale lease-back, and the inverted
Infrastructure investors with strong track records, specialized expertise, attractive returns, large pipelines, and operational and investment experience will continue to garner the backing of large investors and banks. Steel will still go in the ground to build the sustainable infrastructure assets that have created real economic value in communities across the country. The Policy Outlook
Looking ahead, to meet global climate targets, annual spending across energy, transport, and the built environment needs to increase fivefold through to 2030 (Figure 1). The required scale-up is even greater in areas like industrial processes where investment has yet to really get off the ground. The trillions of dollars of investment both decarbonize and transform
Private credit has stepped in to help fill some of the biggest gaps in our capital markets in recent years.
LCFS: California’s Low Carbon Fuel Standard (LCFS) program catapulted the state’s decarbonization progress, but policy updates are needed for the program to remain a critical market creator for decarbonization technologies.
The policy drivers for the energy transition are new enough that this kind of disruption sparks questions about the durability of the capital, projects, technology development, and deployment of the infrastructure we need to decarbonize in the event of a political shift. But while there are significant differences in the priorities for the energy transition across
Substantial federal grant funding, an increasing volume of policy mandates, and mounting pressure from parents, teachers, students, and communities for schools to decarbonize underpin the market. Through the lens of an investor, school buses are prime candidates for electrification: bus routes are predictable and almost always fall within the range offered by EVs available today, most
The Inflation Reduction Act has funneled hundreds of billions of dollars into clean energy projects, but in many ways has made securing attractive tax equity more challenging not less. Although tax equity terms have deteriorated for now, creative investors who understand how to take advantage of the new capacity in the market can derive value from the incentives and help build the critical projects needed to decarbonize.
As the world readies for yet another COP of disappointment, every news outlet covering climate is rushing to tell the story about failing “net-zero” commitments. Every one I read reminds me of that Indiana Jones moment. The conversation is always about how firms and countries are not on pace to meet their “net-zero” pledges because of
Last year, the Lancet published a survey of 10,000 young people from around the world finding that over 80% of people between 16-25 were at least moderately worried about climate change with over 50% being extremely worried. The study also found that feelings of anxiety, anger, guilt, and helplessness are translating into practical and life-defining decision