Wind Energy
Wind Energy Straight Talk, Without the Hot Air
We’ve been delivering Straight Talk to the energy industry for a century, a privilege that powers our counsel to the wind energy industry. Our more than 20 wind energy lawyers regularly advise industry participants nationwide, including developers, utilities, governments, lenders, landowners and others, on the intricacies of wind project development, construction and finance.
Recognized as a top-ranking domestic and global law firm in both renewable and wind energy deals, Andrews Kurth has a practice background that includes:
- Representative Wind Projects
- Multistage Project Development Counsel
- Project Financings and Acquisitions
Pioneers in Wind Farm Project Financing
In 2003, Andrews Kurth represented the series "B" investors in the transaction that established the classic "A" investor/"B" investor equity ownership structure, which is a hallmark of many of the major United States wind farm term financings today.
We also negotiated the agreements on one of the first United States project financings of a wind power plant, and have helped structure complex, multiple-phase wind farms, merchant wind plants, and the sharing of facilities and easement parcels.
Our clients are key participants in the industry including:
- Balance of plant contractors
- Environmental consultants
- Equity investors
- Franchise and property tax advisors
- Independent engineers
- Independent market consultants
- Insurance consultants
- Lenders
- Surveyors
- Title insurers
- Turbine manufacturers
- Wind and transmission consultants
We have helped clients close a range of complex deals, including such projects as:
- 79.5MW Majestic Wind Farm, Texas, July 2008
- 180MW Bull Creek Wind, Texas, June 2008
- 54MW Butler Ridge Wind, Wisconsin, April 2008
- 51MW Wessington Wind, South Dakota, April 2008
- 283.2MW Texas Gulf Wind, Texas, February 2008
- 150MW Sherbino I Wind Farm, Texas, February 2008
- 101.2MW South Trent Wind, Texas, December 2007
- 37.5MW, 91.5MW, 135MW, 240MW and 80.5MW Sweetwater Wind Farm Phases I, II, III, IV and V; Texas, July 2003, August 2004, May 2005, August 2006 and February 2007, respectively
- 80MW Allegheny Ridge Wind Farm, Pennsylvania, December 2006
- 300MW Cedar Creek Wind Farm, Colorado, December 2006
- 90MW Aragonne Wind Farm, New Mexico, March 2006
- 24MW Wind Park Bear Creek, Pennsylvania, March 2006
- 7.5MW Jersey-Atlantic Wind, New Jersey, March 2006
- 80MW Caprock Wind Ranch, New Mexico, September 2004
Multistage Development Counsel
Early Development. We provide the legal tools and contacts to determine the viability of a site for wind development. Whether it is the placement of anemometers, obtaining the wind study or transmission study, or handling site access issues, we help show the way.
In related real estate issues, our team advises on the acquisition of options and wind easements. This includes transmission easements and other necessary land rights. We also structure and negotiate royalties to landowners.
Late Development. Andrews Kurth lawyers provide insight on key wind contract provisions and market conditions. Our environmental and regulatory lawyers identify the necessary permits and filings to bring a project to fruition. As projects progress, we work to protect our clients’ interests and negotiate and document:
- Power purchase agreements
- Energy hedges
- Interconnection agreements
- Renewable energy credits
- Federal production tax credits
- Local tax incentives
- Turbine supply agreements
- Balance of plant contracts
- Operation and maintenance agreements
We are skilled at structuring relationships among developers, lenders and equity participants. Drawing upon the latest industry trends and practices, we draft joint development agreements, administrative services agreements, financing agreements and equity capital contribution agreements.
Because we understand what tax equity and non-tax equity investors need, Andrews Kurth manages and coordinates all of the legal aspects to finance a deal, including all of the project documents.
Merchant Wind Plants. Our experience includes all of the legal intricacies of structuring a merchant wind plant and closing construction and term financing commitments for merchant projects. There may be a “synthetic” power purchase agreement or energy hedge in place of a traditional, long-term power purchase agreement, issues we manage within the individual context of each deal.
Wind Project Financings and Acquisitions
Construction Financing. We negotiate loan documents to finance construction and negotiate letters of credit that may be required by a project party, such as the power purchaser. We have structures and strategies for documenting the equity piece required by lenders or the debt term conversion.
Our lawyers also have experience in closing financings with an energy hedge, including “dirty” energy hedges, such as a gas energy hedge, in place of a power purchase agreement. We also document the intercreditor and lien arrangements between the lenders and energy hedge provider.
Term Financing. Whether structured as a tax equity/non-tax equity arrangement or a more traditional long-term debt financing, we have the experience, sophistication and insight to document and close the term financing.
Acquisitions. Our lawyers have helped clients purchase and sell billions of dollars of energy assets. In the sale of wind power plants, we guide clients as they buy or sell their interests including in transactions that are structured as stock or asset sales.
For the past several years, our clients have purchased several wind companies and wind farms. Our counsel includes guidance on the buy-out of partners’ interests in wind farms. Using our experience in wind power financing and development, we provide strategic insights during the due diligence and negotiating process to help clients maximize the value of their deal.
Publications
- EPA Greenhouse Gas Reporting Starts January 2010 (November 16, 2009)
- EPA Moving Ahead with Regulation of Greenhouse Gases (September 25, 2009)
