Grid-injection limits faced by renewable energy facilities are being factored into formulas applied by banks when considering loan requests for RES projects, banking industry executives have told energypress.

This increased-risk factor being taken into account by banks has, so far, not denied renewable energy project investors of loans, the banking sources noted.

Investments are being examined on a case-by-case basis and any precautionary financing measures taken reflect the respective profiles of investors, the sources added.

Banks are subjecting RES project loan requests to a full range of scenarios, including worst-case scenarios, regarding the impact of operating restrictions on revenues throughout entire loan periods.

Banks are still waiting for policymakers to crystallize RES operating restriction rules before deciding on whether to make further changes to their lending formulas for the RES sector.

In any case, borrowing terms appear to have become tougher for smaller market players as they possess less flexibility than larger players, who, despite operating restrictions, can maintain robust credit profiles through other activities in their portfolios and, as a result, keep borrowing on favorable, lower-risk terms.

Most recently, foreign investors have shown greater apprehension towards RES investments in Greece by delaying decisions while seeking to achieve better understanding of local market conditions.