Power surge in the high stakes world of battery project finance

Project finance is a specific way of funding large scale assets like renewable energy projects where lenders focus on the project's ability to generate its own cash. In a project finance scenario, lenders (often banks) give loans to sponsors (the companies creating the project) with their debt secured against the project’s assets (meaning they will own the thing being created by the project if the sponsor fails to repay the debt). Instead of looking at a massive company's total wealth, lenders lend to a special purpose vehicle which is a separate entity created specifically to hold the asset.