Capital markets provide access to institutional investors, green bonds, and securitized energy assets, allowing large-scale projects to secure funding at competitive rates.

• Debt Financing involves borrowing funds, typically through loans or bonds, to finance a project, with repayment based on future revenues.

• Tax Equity Financing allows investors to fund projects in exchange for tax benefits, making it attractive for renewable energy development.

Structured finance refers to customized financial solutions that enable the development of onsite energy projects with minimal upfront costs. This includes financing mechanisms such as power purchase agreements (PPAs), tax equity investments, debt financing, and capital markets funding to make projects financially viable.

Tax incentives, such as the Investment Tax Credit (ITC) and Production Tax Credit (PTC), help reduce project costs by allowing investors or developers to claim tax benefits. Tax equity financing enables Pacifico to monetize these incentives, making projects more affordable for end users.

Pacifico provides a range of structured finance options, including:

• Power Purchase Agreements (PPAs) – A long-term contract where customers pay for electricity generated on-site without owning the asset.

• Debt Financing – Loans or bonds secured against project cash flows.

• Tax Equity Financing – Investors provide capital in exchange for tax incentives related to renewable energy.

• Lease Structures – Customers lease equipment instead of purchasing outright.

Under a PPA, Pacifico develops, owns, and operates the power generation asset, while the customer agrees to buy the generated electricity at a fixed or variable rate over a set term. This allows businesses to access onsite power without upfront capital investment and benefit from predictable energy costs.