Case Studies

Development case study: MEM delivered a 1.39% increase in investor equity returns by optimizing contracting of a 60MW wind project.

FINANCE KPI BASE IMPROVEMENT CHANGE
Construction 142.46mUSD 138.66mUSD -3.8mUSD
IDC 3.8mUSD 2.56mUSD -1.24mUSD
Total,CAPEX 146.26mUSD 141.22mUSD -5.04mUSD
IRR 15.73% 17.12% 1.39%

EXAMPLE:

60MW wind farm – MEM project team in contracting phase to improve project plan commercial contracting and payment milestones

SUCCESS CRITERIA:

MEM team improved levered IRR to above 16% requirement

Drivers:

Optimized construction schedule, negotiated EPC cash flows from front to back end loaded

Asset optimization case study: MEM identified revenue losses in a wind farm entering its second year of operations.

Performance Issue Identified Energy Yield Loss Annual Pro Rata Loss
Power Curve/De-rating the Power Output of WTGs 335, 386kWh 2,074,845kWh
Incorrect Allocation of Downtime 62.25hrs or 0.15% Availability 0.93% Availability loss
Key findings which MEM corrected included:
  • Construction punch list (installation defects)
  • Commissioning defects (air density and blade alignment of WTGs affecting output)
  • O&M contractor misallocation of WTG down time