ENERGY SHORTFALL INSURANCE

01/

The policy has been designed to account “non-traditional,” nonphysical damage related risks that solar projects regularly face.

02/

This protection supports the performance of the project at the system level to help sustain its intended revenue stream once that project becomes operational.

03/

Defined coverage under policy:

  • Unintentional error in the calculation of the target production;

  • Defect of the insured energy installation; or

  • If actual solar radiation that is less than assumed in the target production calculation.

COVERAGE

highlights

01/

Multi-year basis – usually 5 years term, Premium prepaid at Inception.

02/

Coverage is triggered when the annual output falls below a specified amount -typically 90% of projected output / yield

03/

The policy covers up to a specified amount –typically an amount equivalent to 30% of the projected output / yield which is an Annual Limit

04/

The projected yield figure is agreed at inception of the policy and adjusted annually using an agreed-upon degradation factor

05/

The Policy is Non Cancellable and No Deductibles are applicable