A question from the audience during a recent BVR webinar points up a key issue in the valuation of firms that provide energy using alternative sources (e.g., wind, solar). The webinar presenters, Donna Lobete and Rick Daubenspeck (both with BDO Consulting), acknowledge that these firms face an uncertain and potentially high level of regulatory risk. For example, in Nevada, the country’s largest rooftop solar panel installer has been stopped in its tracks by an unfriendly regulatory regime (see this article in Fortune). The company, which was doing land-office business in the sunny desert, has stopped all installations in the state and is laying off 550 workers due to new regulatory changes.
For more information: A recording of the webinar, Alternative Energy—Understanding Critical Business Valuation Issues, is available here.
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