Financing the Industrial Energy Transition: How Onsite Power Projects Are Being Built
Who pays for it? Energy infrastructure projects can require significant upfront capital investment. For many manufacturers, deploying hundreds of megawatts of onsite power generation may not align with their core capital priorities. As a result, a growing ecosystem of energy infrastructure developers and investors has emerged to finance and operate these systems. The Energy-as-a-Service Model Many onsite power projects today follow a structure similar to infrastructure development. Under this model, energy developers: • design the energy system• secure financing• construct the facility• own and operate the power plant• sell electricity to the industrial customer through long-term contracts This approach allows manufacturers to…
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