State-of-the-Art Risk Analysis and Rating for Wind Parks

The ownership, operations and insurance risks that are inherent in wind park assets require effective management in order to achieve anticipated economic returns. The signature feature of the WindRisk approach to the wind power industry’s operational difficulties is its proactive focus on risk management and its ability, through the proprietary "WindRisk Assessment Tool" to accurately assess, quantify and manage risk.

The Company developed the WindRisk Assessment Tool over the past 4 years to satisfy its requirement for an effective, quantitative, consistent and objective method of assessing and rating wind power assets. The WindRisk Assessment Tool draws on the WindRisk management team’s accumulated engineering knowledge, operational expertise, and 4 years of specific industry research and analysis, to enable the identification, quantification, and objective rating of all relevant risks associated with the development, ownership, financing, operation and insurance of wind power assets and the carbon credits derived from them.

The Company’s proprietary WindRisk Assessment Tool has no parallel in the wind industry. It enables WindRisk to quantify and rate wind park operational and performance risks and to offer focused, proactive condition monitoring, facilities management and operations and maintenance services which are designed, through the application of the Tool’s quantitative assessment and re-assessment capability, to reduce operational risk and optimize wind park performance.

In addition to the potential for providing a consistent, quantitative and objective risk rating for wind parks, the WindRisk Assessment Tool is designed to provide wind park owners and operators with specific and detailed recommendations, which when acted upon through WindRisk’s integrated condition monitoring, facilities management and operations and maintenance capability, will result in an improved WindRisk Rating and improved wind park performance and availability, reduced downtime, better insurance rates and terms of coverage, as well as reduced financing costs. The resulting improvements to the WindRisk Rating can also reduce the underwriting risk to insurance carriers, and may even enable higher values to be received from the increasingly common transactions trading in the carbon credits which are derived from the generation of electricity from wind power.

WindRisk expects its unique, standardized, objective wind asset rating system to become the industry standard risk-rating benchmark, used by wind industry investors, asset owners, lenders, financiers, operators, insurers and carbon credit traders/brokers/buyers.