Hydro Electric Power Plant Purchases and Sales

Energy production by harnessing the power of water, or hydro-electric power generation is a clean and renewable energy source. The Transactional Law Group and the Cherrytree Group have assisted clients in both buying and selling hydro-electric power plants. These transactions are complex in that they necessitate an understanding of real estate, federal energy law, and renewable energy tax implications in order to successfully complete them. Not only are traditional real estate issues prevalent in these transactions, such as leasing issues, easements, and rights of way, but there are usually transfers of personal property, turbines, generators, mechanical, electrical and plumbing systems, as well as assignments of licenses, including Federal Energy Regulatory Commission licenses that are necessary components of these transactions.

Additionally, from a financial aspect, the production of energy results in the awarding of renewable energy tax credits (“REC’s”), and the construction or creation of a source of renewable energy can result in an award of investment tax credits (“ITC’s”). We are knowledgeable in these financial and tax credit issues, as well as the many intricate issues which can arise relative to the environmental aspects of hydro-electric power plant transactions, such as the engineering plans, fish passage plans, and environmental site assessments.

Cherrytree Group and The Transactional Law Group can assist you in all aspects of these transactions, including the assignment of power purchase agreements and energy supply agreements from municipalities, utility companies, and/or regulatory agencies and to continue the leases/agreements in the name of the buyer. We also have the capability and capacity to assist you in securing, obtaining, and selling REC’s and ITC’s.