Services

Utility mergers
& acquisitions

Renewable
energy financing

Consulting

Corporate finance,
debt and equity

utility mergers and acquisitions

Collet & Associates is steeped in the knowledge of and experience with utility and infrastructure assets and brings a wealth of expertise and innovation to the execution of these M&A transactions.

Over the years, the firm has developed a specialty in the successful acquisition of investor- and municipal-owned utilities on behalf of electric cooperatives which, in most cases, involved initiating contact with the counter party and pursuing the transaction.

In every acquisition, Collet & Associates stays actively involved throughout the entire process, including any regulatory approval requirements, until the deal closes.

Renewable energy financing

While the Inflation Reduction Act of 2022 (IRA) represents an extension of existing incentives for taxable organizations, the Act’s direct-pay component is a game changer for non-profits like public power utilities. As a result, many electric cooperatives are considering for the first time a strategic evaluation of the build-to-own versus buy through a power purchase agreement decision.

Collet & Associates has long innovated how not-for-profit electric cooperatives can monetize government tax incentives to lower the cost of renewable energy and provide a build-to-own option.

The firm was first-to-market with a structure that allowed electric cooperatives to leverage the 2009 American Recovery & Reinvestment Act tax incentives to build renewable projects.

After that tax incentive expired, Collet & Associates was again first in standardizing a tax equity flip structure that created partnerships with taxable entities which used the tax deductions, leading to the development of utility scale and smaller community solar projects all over the U.S.

The IRA is just the latest iteration of incentives to develop renewable energy. Collet & Associates is ready to assist in making this game changing opportunity a reality.

Consulting

Regulation strategy & analysis

About 15 percent of U.S. electric cooperatives deal with the complexity that comes with regulation by a public utility commission, often including financing arrangements in addition to rate regulation.

Collet & Associates knows the unique issues related to electric cooperative regulation and brings deep expertise in developing financial analysis rate case strategy and testimony that leads to positive public utility commission outcomes.

Strategic planning

Now more than ever it is a challenging, and exciting, time to be in the electric utility industry as the sector undergoes the most dynamic changes seen in decades. Collet & Associates brings 30 years of forward looking strategic planning expertise to the analysis of options and strategies that position a utility for maximum consumer value.

The challenging aspects are varied – renewable energy standards, EV integration, aging workforce, transition from fossil fuel, demand-side management, energy efficiency programs, challenges to reliability with increasing forecasts of widespread rolling blackouts, potential increase in the investment cycle and more.

Exciting, too, because of the rapid evolution and integration of grid, and grid-edge, technologies to maximize the potential for transformative change.

Financial planning

All good forward-looking strategies start with a strong analytical framework and a solid financial plan. It is against this financial baseline that an organization evaluates all its opportunities; that allows it to see what its future looks like if it does, or does not, do something, and decide the strategic course forward from there.

Collet & Associates assists dozens of utility organizations to bring this disciplined financial planning process that often forms the basis of the firm’s successful engagements when a client is making major strategic decisions – divesting, investing and financing.

Litigation support

Having represented more than 175 electric cooperatives over 30 years, Collet & Associates’ expert witness testimony carries weight in litigation matters as varied as bankruptcy, regulatory matters and contract disputes.

Bankruptcy and reorganization

The good news is that electric infrastructure bankruptcies are rare. When they do occur, the work often involves executing transactions and communicating complex issues to a wide variety of constituents. An expert, innovative and quantitative approach is required to address the bankruptcy’s enormously complex issues and achieve a successful reorganization.

Corporate finance,
debt and equity

Collet & Associates has long had and maintains excellent relationships with the industry’s leading lenders and is expert in raising debt and equity, including tax equity, appropriate to clients’ needs.