ESG Risk Factors for Renewable Energy Project Finance

DBRS Morningstar rates renewable power project finance using three methodologies: Rating Project Finance (for hydroelectric or "hydro" power projects), Rating Wind Power Projects, and Rating Solar Power Projects.1 In this commentary, we discuss environmental, social, and governance (ESG) risk factors that DBRS Morningstar Considers in its rating analysis and that could influence credit ratings of hydro, wind, and solar power generation project financings.