Using SAM in the Middle East

I would like some advice on the most suitable way of utilising SAM for the Middle East. Our application is Power Tower with Molten Salt. Our financial structure is 100% funding from a private investor. We will build operate and transfer the facility over a 25 year period, with an agreed PPA with the Utility company. As you know the TAX structure is non existent here in the ME, which means that although corporate, sales TAX’s do not apply, neither do any TAX benefits etc. Therefore it should be straight forward. I would be interested in thoughts about 1) which financial model would be suitable 2) how the variables and options should be tweaked in the model to suit this region and application ?

Hello,

Your choice of financial model depends on 1) what metrics you want to use SAM to calculate (PPA price, IRR, LCOE, etc.), and 2) how the project is structured financially. Based on the information you provided, I think that either the Single Owner or LCOE Calculator model would be suitable. Those models do not account for transferring the project -- they represent a build-own-operate project with a single owner. Because your project does not involve debt or taxes, you would set the tax rates and debt amount to zero.

Best regards,
Paul.

Thanks Paul, once again, very useful.