Energy transition: PwC

Prevailing wage and apprenticeship

Capital Projects

We advise clients on financial accounting and reporting matters arising from energy transition projects. From deal ideation through closure and beyond, our veteran team of US GAAP and IFRS specialists stands ready to provide experience-driven advice and assistance. Common areas of financial reporting complexity include:

Emerging infrastructure. Energy generation and storage is changing at a rapid pace, driven by developments in technology, customer behavior, construction and feedstock prices, and stimulus. Our team works closely with emerging business structures involving green, blue and grey hydrogen, carbon capture and sequestration, utility-scale battery storage, carbon credit generation and trading, solar and wind generation, energy savings arrangements, and many more.
Contract Accounting. We work closely with project owners during the contracting process for commodity supply and offtake arrangements, to advise on expected financial reporting treatment including embedded lease, derivative, revenue, and consolidation issues.
Project Finance & Credit Monetization. Renewable projects are increasingly financed through joint venture arrangements, preferred equity, tax equity, sales of future revenues, and a wide range of loan arrangements. These instruments can be challenging to navigate from an accounting and reporting standpoint, and sponsors often face challenges meeting their reporting commitments to investors. Our team is well versed in project finance structures for renewable infrastructure and can help navigate these complexities.
Securitizations. Securitization structures are frequently used to monetize cashflows from retail customers. These arrangements can result in debt recognition for financial reporting purposes unless carefully structured to meet derecognition criteria. We assist clients in their development of securitization vehicles and related accounting considerations.
Investment Accounting. Investors in renewable projects have unique accounting considerations that are not symmetrical to issuer accounting. We advise tax equity investors, preferred stock holders, joint venture investors, and lenders on their accounting and reporting for renewable energy investments.
Acquisitions & Divestitures. Our deals team has advised on hundreds of energy project deals, from publicly listed companies to private transactions. We can assist throughout the deal lifecycle, from deal structure to preparing pro formas, GAAP to IFRS conversion, acquisition method application, and post-deal integration.