Potential C2F Project: Solar
- A solar developer is considering an investment but the maximum price of power an off-taker will pay is lower than the levelized cost of solar power
- High GHG reductions are possible due as the solar power will offset fossil fuel consumption
- High upfront costs
- The Return on Equity (RoE) of the project for the developer is below the expected RoE for power plants with similar technology risks
- The Canadian Climate Fund can provide senior and/or subordinated debt (up to $30M) and at the rate below market necessary to bring the project to as close as possible to a market RoE.