Deloitte’s benchmark for prices on wind farm assets
On this page, you will find our studies on market valuation of offshore wind assets and onshore wind assets.
We update our market valuation of offshore wind assets, onshore wind assets and solar PV assets annually. These analyses are based on a statistical approach on more than 600 transactions, where we estimate the price investors have been willing to pay for 1 MW across technologies and project lifecycles.
The assigned development stages are “early stage pipeline”, “late stage pipeline”, “under construction” and “installed”, respectively. We find that the stage, in which a wind farm or a solar project resides, has great significance on the multiple at which it is traded.
Offshore wind results
Based on regression of 45 transactions with offshore wind assets, we estimate the price paid by investors in different stages of development of the projects. The multiple for installed capacity has increased by EUR 0.1 per MW from last year’s edition to EUR 4.7 per MW for 2016. In addition, under construction capacity and late stage capacity have remained at EUR 1.9 per MW and EUR 0.2 per MW, respectively.
Onshore wind results
The results from last year, April 2016, based on regression of 278 transactions, estimated the installed capacity multiple at EUR 1.6, while under construction and late stage capacity were estimated at EUR 0.8 and EUR 0.2, respectively.
The results from this year’s update to our analysis are based on 327 transactions, showing a decrease in the estimated installed capacity multiple of EUR 1.5, down EUR 0.1 from last year’s edition.
In addition, under construction capacity has remained at EUR 0.8 per MW while late stage capacity has increased to EUR 0.3 per MW, up 0.1 from last year’s edition.
Our analysis of onshore wind assets further reveals geographical variations in transaction prices across continents and countries compared to the global average. As an example, onshore wind farms in Asia and France are traded at lower prices than the global average, while onshore wind farms in Australia & New Zealand as well as Spain are traded at higher prices than the global average.
Solar PV results (2016)
The results from last year, April 2016, based on regression of 240 solar PV transactions estimated the installed capacity multiple at EUR 1.5, while under construction and late stage capacity were estimated at EUR 0.7 and EUR 0.1, respectively.
We have just begun the analysis of the solar transaction, and can therefore not reveal any insights of this analysis yet. We expect to release the solar PV analysis during the autumn of 2017.
Access to wind studies and data
Our wind studies are divided into 2 separate articles on offshore wind and onshore wind.
How do I get the access to the studies?
Both the onshore wind, offshore wind studies are provided free of charge. All you have to do to receive the studies is to fill out the relevant formula located in the bottom.
How do I get access to the underlying data and the geographical analyses?
The underlying data and geographical analyses for the wind studies comes together (data for both offshore and onshore), and can be purchased by filling out the order form, also located on the right.
We hope that you will find the material interesting and that you will not hesitate to contact us with any questions or inquiries on the papers.
On behalf of the renewables team in Deloitte Financial Advisory, Denmark.