Presentation Description: Project owners are utilizing battery energy storage systems (BESSs) as flexible power solutions and are increasingly seeking external funding for project development. External BESS investors need to rely upon independent engineers with battery storage expertise to perform due diligence evaluations to characterize project risks and recommend mitigation strategies in support of project financing. This presentation describes an established and accepted methodology for independent engineering due diligence review of BESSs for the purpose of understanding risks and mitigation options for potential investment opportunities. There are several critical aspects to consider when evaluating a BESS project for potential investment. This presentation provides an overview of the diligence methodology, highlights the importance of an integrated full-scope approach, and focuses on three key diligence topics: 1) BESS use case identification and modeling 2) Battery module warranty terms 3) Fire protection design Sargent & Lundy has employed our independent engineering due diligence methodology on behalf of investors in some of the first large scale tax-equity financings of BESS projects in the US and is one of the few tax-equity accepted independent engineers for BESS projects.
Learning Objectives:
Upon completion, participant will be able to understand an established and investor accepted BESS due diligence approach.
Upon completion, participant will be able to grasp the interdependent nature of BESS designs and the need for an integrated due diligence review.
.png)
