Evolving policies, technologies, and consumer demands create an uncertain picture for energy assets. With deep expertise and industry-leading tools, E3 provides strategic and tactical guidance to help clients realize value and understand risk in energy markets.
E3’s asset valuation practice leverages decades of experience and insight across all our practice areas to help clients identify market opportunities, quantify future revenue streams, and make decisions about capital expenditures. We support the full spectrum of market players – from large utility holding companies and multi-billion-dollar private equity firms to leading developers, financiers, and technology companies – and our investment-grade, bankable analyses have supported billions of dollars of deployed capital. Recent projects include:
- Supporting Global Infrastructure Partners’ $1.3 billion acquisition of NRG assets, including a rebranded Clearway development platform
- Enabling Macquarie Capital to complete $200 million project financing for a behind-the-meter advanced storage project – an industry first
- Preparing a major European renewables developer to bid in a recent lease auction on the U.S. East Coast
Our dedication to evidence-based, analytical consulting has given E3 a client base of unparalleled breadth. Our market price forecast, offered in response to client requests, builds on our unique 360-degree, real-time view gained by tackling clients’ most difficult issues in a changing energy landscape. We work closely with project development and investment teams to provide a bespoke, high value-added market analysis that directly informs clients’ most important strategic decisions.
To create added convenience for our clients, E3 has recently launched a new e-commerce site for providing our market price forecasts. From there, customers can immediately purchase and download E3’s latest forecasts, including market summary reports, inputs assumption books, and detailed hourly price projections.
Our asset valuation and market price forecasting services include:
- Customized forward-market price projections incorporating impacts of policy and technology changes
- Revenue stream/benefits analysis, either on an individual asset or portfolio basis
- Production simulation cost modeling using in-house proprietary tools or customized commercial software
- Due diligence support on both the buy side and sell side
- Project site evaluation
- Offtaker assessments
- Basis spread assessment
- Wholesale market rules and bidding strategies
- Debt service coverage assessment
Asset valuation and market price forecasting projects
Energy Storage Market Update and Long Duration Storage Study | Massachusetts Clean Energy Center, 2023
In collaboration with the Massachusetts Clean Energy Center (MassCEC) and Department of Energy Resources (DOER), E3 conducted a study that assesses the current state of energy storage in the Commonwealth, the market outlook for emerging mid- and long-duration storage (LDES) technologies, and potential applications of mid- and long-duration storage, all in the context of providing benefits to ratepayers and achieving the state’s ambitious decarbonization goals.
The study included several modeling and stakeholder engagement elements. Leveraging E3’s pro forma financial model of storage technology costs and a custom-built storage dispatch model, the project team analyzed several storage use cases to help the state understand impacts of current incentive programs. Assessment of future storage value involved loss-of-load probability modeling of the entire ISO-NE footprint using E3’s RECAP model. E3 engaged stakeholders throughout the study process through interviews with more than 50 key stakeholders and two public stakeholder workshops. In the study, E3 shows that the role of energy storage changes to suit grid needs, but that storage requires well-designed state support to encourage deployment and innovation that targets these needs. In addition to writing a report providing study findings, the team worked with DOER to translate findings into policy recommendations for the state.
Diligence and Investment Advisory Services for NIPSCO Equity Acquisition | Blackstone, 2023
E3 was retained to be a key advisor to Blackstone as part of their diligence and investment process for Blackstone’s acquisition of a 19.9% non-controlling equity interest in NIPSCO (Northern Indiana Public Service Company) for $2.15 Billion, with additional equity commitment of $250 million to fund ongoing capital requirements. E3 applied a custom bespoke approach to NIPSCO’s unique operations and jurisdiction to advise Blackstone during the investment process.
