In this episode, Dorian Hunt, Renewables Leader at Leo Berwick, is joined by valuation experts Mike Bammel and Rick Ellsworth to explore the concept of project repowers and the application of the 80/20 test. The discussion centers on how previously placed-in-service energy projects—especially wind farms—can become eligible for a new stream of production tax credits by investing in substantial upgrades. Dorian explains how this increasingly relevant strategy hinges on determining the ratio of new investment to the value of retained components, requiring close collaboration between tax and valuation professionals. The episode sets the stage for a deeper dive into how retained component valuation plays a critical role in passing the 80/20 test.
