Capital structure decisions in the energy transition: Insights from Spain

IF 3.8 3区经济学 Q3 ENERGY & FUELS

Utilities Policy Pub Date : 2024-10-28 DOI:10.1016/j.jup.2024.101851

Cristobal Bistuer-Talavera , Joan Llobet-Dalmases , Dolors Plana-Erta , Jorge M. Uribe

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Abstract

The renewable energy transition depends heavily on capital structure decisions of energy firms. Most previous research has focused on the decisions of oil companies. This study investigates the financing of new investment in the Spanish renewable energy sector, including decisions about: i) equity versus debt, ii) short versus long-term debt, and iii) equity issuances versus retained earnings for new investment. Our analysis is based on data from over 22,000 energy firms from 2008 to 2021 and shows that these firms prefer debt over equity (more than 90% of changes in assets are financed through increasing debt) and have extended the term of the debt over the period studied (reaching a maximum of almost 73% long-term debt in 2021). The deployment of retained earnings is less usual than raising new equity capital. Our analysis points to a generalized use of project finance to support new investments. Policymakers should focus on increasing financing through equity and thus diversifying the financial risk of the energy transition. In addition, a supportive fiscal policy and a stable regulatory environment are desirable for achieving this goal.

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能源转型中的资本结构决策：西班牙的启示

可再生能源转型在很大程度上取决于能源公司的资本结构决策。以往的研究大多侧重于石油公司的决策。本研究调查了西班牙可再生能源行业新投资的融资情况，包括以下决策：i) 股权与债务；ii) 短期债务与长期债务；iii) 新投资的股权发行与留存收益。我们的分析基于 2008 年至 2021 年期间 22,000 多家能源企业的数据，结果表明，这些企业更倾向于债务而非股权（90% 以上的资产变化是通过增加债务融资的），并在研究期间延长了债务期限（2021 年达到最大值，近 73% 为长期债务）。与筹集新的权益资本相比，留存收益的调配并不常见。我们的分析表明，企业普遍使用项目融资来支持新投资。政策制定者应重视增加股权融资，从而分散能源转型的金融风险。此外，支持性的财政政策和稳定的监管环境也是实现这一目标的理想条件。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

Utilities Policy ENERGY & FUELS-ENVIRONMENTAL SCIENCES

CiteScore

6.80

自引率

10.00%

发文量

审稿时长

66 days

期刊介绍： Utilities Policy is deliberately international, interdisciplinary, and intersectoral. Articles address utility trends and issues in both developed and developing economies. Authors and reviewers come from various disciplines, including economics, political science, sociology, law, finance, accounting, management, and engineering. Areas of focus include the utility and network industries providing essential electricity, natural gas, water and wastewater, solid waste, communications, broadband, postal, and public transportation services. Utilities Policy invites submissions that apply various quantitative and qualitative methods. Contributions are welcome from both established and emerging scholars as well as accomplished practitioners. Interdisciplinary, comparative, and applied works are encouraged. Submissions to the journal should have a clear focus on governance, performance, and/or analysis of public utilities with an aim toward informing the policymaking process and providing recommendations as appropriate. Relevant topics and issues include but are not limited to industry structures and ownership, market design and dynamics, economic development, resource planning, system modeling, accounting and finance, infrastructure investment, supply and demand efficiency, strategic management and productivity, network operations and integration, supply chains, adaptation and flexibility, service-quality standards, benchmarking and metrics, benefit-cost analysis, behavior and incentives, pricing and demand response, economic and environmental regulation, regulatory performance and impact, restructuring and deregulation, and policy institutions.