How do we ensure your investments give steady returns?
This article highlights how performance verification is key in securing your returns.
The performance of an asset is very critical in ensuring steady monthly returns. The goal is to validate the performance of the operational assets and ensure they are up to standards to give the promised returns. Ensuring thorough operation and maintenance checks allow this performance to be consistent across months. These metrics are a part of our pyse verified framework to screen assets.
Performance Check
The performance of the asset is measured by studying a few parameters like —
- Energy yield verification
- PR test
- shadow impact test
For solar projects, while electric vehicles go through —
- Functional verification
- Energy content measurement
Energy yield verification ( Solar )
The energy yield verification is important for a successful PV power plant investment. They indicate productivity, performance, and reliability and reassure investors and customers that your PV modules are up to the task. The simulation of the generation is done using a PVsyst report which outlays the performance of the plant-based on the orientation of the solar PV modules.
PR test ( Solar )
The performance ratio (PR) is defined in IEC 61724 [1] and is a metric commonly used to measure solar photovoltaic (PV) plant performance for acceptance and operations testing. The PR measures how effectively the plant converts sunlight collected by the PV panels into AC energy delivered to the off-taker relative to what would be expected from the panel nameplate rating.
Shadow impact test ( Solar )
Since PV systems generate electricity based on the amount of sunlight they receive, it makes sense that when a shadow is cast on a panel, for example by a nearby tree, its power output decreases. However, the decrease in power could be a lot worse than it initially seems. Thus, shadow impact analysis also becomes a key feature in testing out the performance of the solar asset.
While all the tests are carried out for the performance, the analysis always gives a probability of the power generation from the plant. P90 represents the most optimistic (conservative) generation while P50 represents a little aggressive view on the generation of the power plant. We always consider the P90 number in our analysis for the revenues.
Functional Verification and Energy content measurement ( EV )
In the case of EV, both these tests are conducted basis a standard ISO 12405–4:2018(E) which measures the manufacturer declared energy content with the actual energy content in the battery. Any deviation of more than 5% is deemed unsatisfactory.
Operation and maintenance
The operational parameter of the asset basically checks who the operator of the asset is for its lifetime. What kind of technology it is using to check on the day to day operations of the asset, what are the insurances related to the assets, what are the approvals associated with the asset, and are all the approvals in check.
While valuing the asset, post insurance on the assets is taken on the full value in the case of the solar and the EV assets. We ensure that the insurance is taken before the asset is open for investments for the buyers.
We also check on the operator of the asset which takes care of the operations and maintenance of the asset itself.
Operation & Maintenance (O&M) is one of the most critical ways to ensure that the solar power system gives the best possible generation. we work to maintain the plant infrastructure and equipment, with the goal of improving the equipment’s life by preventing excess depreciation and impairment. This enables the solar power plant to produce the maximum amount of energy throughout its operational life, perfectly aligning the interests of developers, clients, and investors. Either through our energy partners or an external reputed partner tie-up in this space, we ensure that a remote monitoring system is there for the assessment.
For the O&M of the EV’s, we ensure that a reporting dashboard is provided to us by the operator which gives us real-time information on the performance of the asset.
All the Operations and maintenance costs for the asset are also taken into consideration while evaluating the asset.
Want to understand how we calculate the other metrics of pyse verified? Click here or check us out on pyse.in