Thought Leadership

New York is undergoing its annual springtime thaw, with green shoots promising months of warm sunshine ahead. Yet I can't escape the feeling that "Winter is Coming" - there's a growing disconnect between the optimism I hear from developers and the harsh reality signaled by both markets and investors.

As foreshadowed in my recent Infocast recap, I’d like to provide some thoughts on a question I received several times during the conference – as a developer, is it better to conduct a develop and flip strategy or build an IPP? How do developers optimize their business – i.e., make the most money. (Yes, we’re done with developing for the purpose of fighting climate change alone.)

Over the course of the last 18 months, the valuations around renewable power and energy transition development platforms as well as assets have rapidly cooled. At the core of the current market, after more than twenty years of developers moving from pure development scope to a vertically integrated IPP model, we have to ask ourselves what the future will be for the industry-leading platforms that have completed the journey to significant scale.