SMP 60: Developing Renewable Energy in Opportunity Zones

  Episode Summary In this episode Benoy Thanjan, Patrick Morand, and Victoria Zelin present about Developing Renewable Energy In Opportunity Zones at the Opportunity Zone Bootcamp hosted by Brownfield Listing Event in NJ in October 2019. Benoy presents a high-level recap of current federal solar incentive programs and the NJ solar market.  Patrick provides details on qualified opportunity zones investments and outlines project financing for solar investments. Victoria gives an in-depth overview on the success of Property Assessed Clean Energy (PACE) and Commercial Property Assessed Clean Energy (C-PACE) program financing in the renewable energy market.   Benoy Thanjan Benoy Thanjan is the Founder and CEO of Reneu Energy, as well as an advisor for several solar startup companies. Reneu Energy is a premier international solar energy consulting firm and developer, and the company focuses on developing commercial and industrial solar, as well as utility-scale solar plus storage projects. The company also sources financing for solar projects and hedges both energy and environmental commodities. Reneu Energy has brokered $27 million in environmental commodity transactions.  Benoy received his first experience in Finance as an intern at D.E. Shaw & Co., which is a global investment firm with 37 billion dollars in investment capital. Before founding Reneu Energy, he was the SREC Trader in the Project Finance Group for SolarCity, which merged with Tesla in 2016. He originated SREC trades with buyers and co-developed their SREC monetization and hedging strategy with the senior management of SolarCity, to move into the east coast markets. Benoy also worked at Vanguard Energy Partners, Ridgewood Renewable Power, and Deloitte & Touche.   Patrick Morand Patrick practices in the area of energy regulatory law and renewable energy development. Mr. Morand counsels energy clients, including electric utilities, electric distribution companies, regional transmission organizations (RTOs), renewable energy developers, and financial institutions before the Federal Energy Regulatory Commission (FERC), state public utility commissions and other federal and state agencies.  Mr. Morand has extensive experience in a wide range of energy regulatory matters involving the Federal Power Act (FPA), Public Utility Holding Company Act (PUHCA) and Energy Policy Act of 2005 (EPAct 2005). Mr. Morand also counsels clients in the development of power purchase agreements (PPA); engineering, procurement and construction (EPC) agreements; interconnection agreements; and other project development agreements. Mr. Morand is a graduate of The Catholic University of America Columbus School of Law, and a graduate of Michigan State University.   Victoria Zelin Victoria is the Co-Founder of the Center for Regenerative Community Solutions (CRCS) and Director of Development for New Jersey PACE (NJPACE). She speaks publicly and has been published on the subject of sustainability; “Who Will Be the Rock Stars of Corporate Sustainability?” Science, Wisdom, and the Future: Humanity’s Quest for a Flourishing Earth, Collins Foundation Press, 2012. Most recently, she sold Deloitte’s sustainability consulting services to major corporations. Previously, she sold organizational change consulting services to F500 companies. She is masterful at  getting to the heart of the issue, articulating a compelling case for change, and inspiring people to take action. Earlier, she co-founded the Sustainable Leadership Forum, a peer network in Central NJ that empowers people in their own sustainability initiatives. Victoria has an MBA from Yale’s School of Management with a specialization in organizational development and a BA in cultural anthropology from Duke University.   Insights from this episode: Details on Benoy's start in the solar industry, his role within Reneu Energy, and what types of projects Reneu Energy is working on. Benefits of current and upcoming solar incentive programs in NJ and the growth of community solar. Detailed overview on the solar industry, changes that are taking place, and the future of renewable energy. Benefits of qualified opportunity zone business. Details on safe harboring of solar panels to qualify for the 30 percent ITC. Details on how to structure tax benefits in the solar market.  Benefits of using a Commercial Property Assessed Clean Energy (C-PACE) program to fill in gaps in solar project financing.  Strategies on employing a Commercial Property Assessed Clean Energy (C-PACE) in a qualified opportunity zone. Details on alternatives in states that do not offer Property Assessed Clean Energy (PACE) financing. Benefits to property owners when they employ Property Assessed Clean Energy (PACE) financing.     Quotes from the show: On the Investment Tax Credit (ITC): “It’s very difficult, actually, to find solar panels because people are actually using that 5% harboring (of the Investment Tax Credit) for panels.” – Benoy Thanjan, Episode #60 On state level incentives in New Jersey: “The great thing about New Jersey is that it has very high electricity costs … but it also has a very strong state-level incentive, the Solar Renewable Energy Credit (SREC).” – Benoy Thanjan, Episode #60 On safe harbors in qualified opportunity zones: “There’s something very critical to developing a renewable energy project … in particular a community solar project, that is helped by (those) safe harbors.” – Patrick Morand, Episode #60 On Commercial Property Assessed Clean Energy (C-PACE) financing: “It’s really low-cost, long-term financing that is for renewables, energy efficiency, and in some states, resiliency.” – Victoria Zelin, Episode #60   Resources Mentioned: Opportunity Zone Boot Camp on Oct 2019 in NJ New Jersey Clean Energy Program Investment Tax Credit (ITC) Solar Energy Renewable Credit (SREC) New Jersey Property Assessed Clean Energy Power Purchase Agreements (PPAs)   Sponsor: We would like to thank our sponsor for this podcast episode Infiniti Energy Services. Infiniti Energy Services is a turn key solar development company with the focus on origination of opportunities between Maine and Virginia. They use their ability to structure financing and EPC projects as a value add with their partners. To learn more about Infiniti go to their web-site www.infinitienergyservices.net or contact Tom Loredo- Director of Project Origination at 732-370-2446 We interviewed Michael Kushner who is the President at Infiniti Energy Services on Episode 49 of the Solar Maverick Podcast. Stay Connected:   Benoy Thanjan   Email: [email protected] LinkedIn: @bthanjan Website: https://www.reneuenergy.com   Patrick Morand   LinkedIn: Patrick Morand Website: Duane Morris LLP Email: [email protected]   Victoria Zelin   LinkedIn: Victoria Zelin Website: NJPace Twitter: @VictoriaZelin   Subscribe to our podcast + download each episode on itunes, Podbean and youtube.   This episode was produced and managed by  Podcast Laundry (www.podcastlaundry.com)