BQ Energy (“BQ”) is a renewable energy project developer specializing in landfill and brownfield site redevelopment.
BQ and NY Green Bank have closed on the first transaction of an anticipated US$30.0 million portfolio that will utilize the same standardized approach for upcoming projects. In this arrangement, BQ will receive a $USD 1.5 million construction loan to finance a 1.37 megawatt solar project located on a closed municipal landfill located in Patterson, NY. Upon completion, the construction loan will be refinanced with a term loan provided by NYGB. Solar power from this project will be used by a Hudson Valley institution to power its facilities using New York State’s remote net metering.
NYGB’s participation in the Project – and in similar developments in the proposed portfolio arrangement – will help expand financing opportunities for smaller (less than 10.0 MW) solar systems by fostering standardization in several respects. First, this portfolio of projects will use the same approach – including BQ’s retaining the same balance of plant contractorfor the majority of the portfolio projects – along with a streamlined, uniform approach to developing contracts and using the same equipment in each portfolio project. Second, the underwriting process will be standardized, specifically as relates to remote net metering, which can be replicated for other transactions, including those with counterparties that do not have a rating provided by a rating agency.