Milbank LLP Global Project, Energy and Infrastructure Finance partner Allan Marks contributed to the Thomson Reuters Practical Law article “US Project Finance: Key Developments and Trends from 2021 and the Outlook for 2022.”
Despite inflation, the impact of COVID-19 and the uncertainty arising from new environmental regulations, the article highlights that investor appetite and deal volume for project finance was “robust in 2021,” with deal volume totaling $90.8 billion, up from $69.3 billion in 2020. In addition to summarizing the notable transactions and judicial developments from the past year, the article covers:
- The continuing focus on clean energy and climate change issues, and the growing importance of environmental, social, and governance (ESG) issues;
- The Biden administration's energy policies, including a commitment to reducing greenhouse gas (GHG) emissions, the promotion of clean energy technologies, and a measured approach to oil and gas development;
- The increases in interest rates and other changes in Federal monetary policy to combat inflation; and
- The impact of Russia's invasion of Ukraine on energy markets and US energy project development.
The article also touches on topics such as green hydrogen, carbon capture and sequestration (CCS), battery energy storage systems (BESS) projects, offshore wind procurement, LNG project development and the $1.2 trillion Infrastructure Investment and Jobs Act of 2021.
