Do solar projects need an EPC contract?

In our experience, most utility-scale solar projects use an EPC Contract. An operation and maintenance agreement: This is usually a medium- to long-term Operating and Maintenance Agreement (O&M Agreement) with an Operator. The term of the O&M Agreement will vary from project to project.

Will EPC contracts provide for the handover of a solar facility?

EPC Contracts will not provide for the handover of the solar facility to the Project Company, and the PPA will not become effective until all commissioning and reliability trialling has been successfully completed.

What is a bankable EPC contract?

A bankable EPC Contract is a contract with a risk allocation between the Contractor and the Project Company to the satisfaction of Lenders and their credit committees.

What is the EPC phase?

Despite the EPC phase being one of the shortest in a project’s lifecycle, the range of work is large. It includes selecting modules; creating electrical wiring diagrams, which requires an awareness of local site regulations; civil engineering and construction work, which can include earth or mechanical work.

How to select EPC projects?

5.1. Selection of EPC projects To select EPC projects and assess their quality, investors and lenders scrutinise certain factors, which often condense into checklists and internal guidelines (also called “ex-ante KPIs”). The content of this support strongly depends on several stakeholder traits (strategy, experience, etc.).

What is EPC light?

This solution is often referred to as “EPC light”. A split contract is mainly chosen when the Asset Owner has the necessary in-house resources, skills, and personnel to deal with some of the tasks that would otherwise be outsourced through a full wrap contract.