Overview

Key Questions

1.    Why use project finance?
2.    Does the use of project finance increase or decrease the project sponsor's risk? What about the customers' risk?
3.    Why was the Dabhol power project such a spectacular failure?

Handouts

•    Financing Merchant Power Plants In The United States
•    Graph on Development Risk Management

Preparatory Readings

•    On classic project finance: Using Project Finance to Fund Infrastructure Projects, Brealey et al. (1996)
•    On merchant project finance: Financing Merchant Power Plants In The United States, Kriebel and Hornstein (2000)
•    On how rating agencies think of project financing: THE IMPORTANCE OF BEING ECONOMIC 1999, Johnson (1999)
•    An assessment of the post-boom hangover: Gas Turbine Mania - The Merchant Power Plant, Public Utilities Fortnightly (June 2002)

Development and Financing of New Power Plants

06:00-07:00PM Wednesday, April 02, 2008
Leader: Michael Hogan
Location: Thirsty Ear Pub