Renewable Energy Distribution Surety Bond Specialists
Learn how surety bonds can help you safeguard your investment and assure continued cashflow. A growing trend by investors and developers is to fill the gap existing in their property and casualty insurance program by adding performance and payment surety bonds to help protect their project from failure caused by contractual default during both the Construction phase and the Operations & Maintenance phase, for both C&I and Community Solar.
Utilizing payment bonds when selling C & I services to an end user/offtaker makes the sale easier because a payment bond can be used to both make the investor/developer/IPP more comfortable knowing their payments would be guaranteed in the event of a contractual default and for the benefit of the end user/offtaker to feel more comfortable that the IPP will deliver the energy as promised in the contract at the output threshold stipulated and the guaranteed rates stipulated in the contract in the event of contractual default.
These surety bonds guarantee the faithful performance of both the construction and service contractors which improves the likelihood of a reliable delivery of energy over the lifetime of the power contract. Investors and developers are also beginning to occasionally require payment bonds from the end user/offtaker in order to assure the energy payments. Even most successful power clients with great financial statements today can experience a myriad of business and personnel problems over the next 20-25 years which can endanger the offtaker’s ability to pay for the energy for which they have contracted.
Surety bonds are not insurance but they are sold by licensed insurance agents representing insurance companies who usually have a separate Surety Bonding division. Strong consideration should be taken to engage the services of a renewable energy surety bond specialist whose staff has in depth knowledge and experience providing renewable energy generation, storage and distribution bonds for C & I and Community Solar projects.
Unique Surety offers a full spectrum of surety bonding options to guarantee the faithful performance of renewable energy contracts and service bonds.
We've been underwriting for 40 years working with only the most reputable surety carriers nationwide.
We can get you the answers you need in a matter of minutes.
We offer sound business advice to help you build your bonded business.
(800) 321-1007
