Energy Training & Electric Power Classroom Seminars

Principles of Valuation in the Power Sector--In Partnership with S&P Global Market Intelligence
A Two-Day Classroom Seminar (CPE Approved)
New York, NY - March 8 & 9, Downtown Conference Center

Join us for two full days of comprehensive training, providing the skills you need to quickly and accurately value individual U.S. power sector assets and whole companies. You will learn by doing – studying real-world case studies, rather than getting mired in theoretical abstractions. You will also take home time-tested model templates that will save you effort as you apply these techniques when you return to your business.

This comprehensive introductory program uses lectures, discussion and case studies to demonstrate how to value individual assets as well as whole companies. The program is specifically focused on the energy sector, led by an active practitioner and will give you practice in real-world case studies to provide you with the knowledge to apply these techniques in your own business.

Please note: This course is only being held twice this year and seats fill quickly, so register now to secure your place! This course is produced by the Knowledge Center, expert training from S&P Global Market Intelligence. Unless otherwise noted, instructors are not affiliated with S&P Global Market Intelligence or PGS Energy Training. This course will only be held twice this year and seats fill quickly, so register now to secure your place.

Click here to register.

What You Will Learn
  1. Create more accurate valuations by applying the standard valuation methods, including DCF, comparable analysis, and multiple analysis
  2. See how to get the data that is used in standard modeling assumptions
  3. Learn how to incorporate market based revenue and cost drivers, including forward and spot pricing and implied heat rates to develop more relevant, robust valuations
  4. Discuss the role of PPAs, tolling agreements, steam contracts, and other financial arrangements that affect the value of a deal
  5. Gain invaluable real world insight from a seasoned, world class instructor with decades of transaction experience in the power sector
  6. Practice using take-home models that value single plants, T&D assets, regulated generation assets and whole companies so you can apply the principles you’ve learned immediately upon your return to work
Seminar Agenda
Untitled Document

Day One  

8:00 am

Registration and Continental Breakfast Open

9:00 am

Introduction and Overview

9:05 am

Valuation of a Single Plant

  • Discounted cash flow modeling of power assets
  • Revenue drivers, including forward strips vs. predicted spot prices; implied heat rates
  • Plant costs, including fixed costs, depreciation and fired hour costs; other non-cash items; application of initial and ongoing capital expenditures
  • Calculating terminal value and computing discount rates

10:30 am

Refreshment Break

10:45 am

Case Study: Discounted Cash Flow (DCF) Models

12:00 pm

Lunch

1:00 pm

SNL Product Features for Valuation Overview

1:30 pm

Valuing Power Purchase Agreements (PPAs) and Tolling Agreements

  •  Understanding PPAs, tolling agreements, steam contracts, and similar financial arrangements

2:15 pm

Other Valuation Techniques: Comparables, Multiples, Real Options

  • Application and use of transaction and market peer comparables and multiples to single plant valuation
  • Real options, including growth, market switching and fuel switching options; and how to apply real options to plant valuation 
  • How could the plant be used outside of routine operations?

3:00 pm

Refreshment Break

3:15 pm

Valuation of other generation assets: Hydro, Nuclear, Coal, Renewables and Peaking Assets

  • The unique characteristics of each production technology in the asset or company valuation

4:15 pm

Other Valuation Issues: M&A and Regulatory Environment Considerations, Regulatory Value Drivers

5:00 pm

Day One Concludes

Day Two

8:30 am

Continental Breakfast Opens

9:00 am

Valuation of a Regulated Utility: Discussion

  • Overview of key valuation techniques, including value drivers, capital structure, and techniques for finding data to be used as inputs for valuation models

10:00 am

Refreshment Break

10:15 am

Valuing Transmission and Distribution Businesses and Assets

  • Regulated rate of return, customer service costs, reliability and operating risk, rate base assets, fuel cost recovery and cost-sharing formulas

11:00 am

Valuing Regulated Generation Assets

  • Recovery of environmental compliance costs, off-system sales (decoupling) and fuel cost management-sharing formulas

12:00 pm

Lunch

1:00 pm

Putting the Pieces Together: Valuing an Integrated Utility

  • Financial flows, energy balances, corporate overhead

1:45 pm

Case Study: Testing Models and Assumptions

2:45 pm

Refreshment Break

3:00 pm

Renewables Valuation

  • M&A and Regulatory Environment Considerations
    1. Estimating synergies between merged or acquired companies
    2. Accounting for regulatory requirements for approval, including impact on valuation of anticipated rate reduction
  • Regulatory Value Drivers
    1. Including recoverable vs. non-recoverable expenditures, stranded assets, multi-jurisdictional challenges, and allowable rate of return
  • Mitigating Risks to Value
    1. What are some of the common drivers of volatility in valuations and how can those drivers be mitigated

3:45 pm

Mitigating Risks to Value

4:00 pm

Program Concludes

Your Instructor - New York

James W. Bowen

Jim Bowen is President of Momentum Development Corporation, which provides advisory and management services to clients in the energy sector, including banks, investment funds, and principal investors. He has been an instructor for the Knowledge Center since 2012.

As a veteran consultant in the energy industry, he has valued hundreds of power plants, integrated utilities, transmission and distribution systems, power purchase agreements, tolling agreements, options, and midstream and downstream energy assets.

Jim regularly taught in-house for McKinsey & Company, and was an adjunct faculty member at the U.S. Military Academy at West Point. Prior to founding Momentum Development, Jim was a consultant with McKinsey, a litigation attorney with Akin, Gump, Strauss, Hauer & Feld LLP, and an officer in the U.S. Army.

He holds a J.D., cum laude, from the Harvard Law School, an M.Sc. in Financial Management from the University of London, and a B.S. in Economics from the U.S. Military Academy.

Who Should Attend this Seminar

Finance, corporate development/strategy, and investor relations professionals at power and gas companies. Professionals in investment banking, project finance, asset management, hedge funds, or equity-fixed income research. Also,consultants, accountants and lawyers who advise power and gas clients. Current and potential suppliers or professionals looking for an understanding of how Wall Street analyzes the power and gas sector and the fundamentals that bear on their analyses.

Prerequisites and Advance Preparation

This program presumes familiarity with basic accounting and finance concepts. Participants will need to bring a laptop computer equipped with Microsoft Excel.

Program Level

Basic level. This fundamental course begins with basic material and then proceeds to the intermediate level.

Delivery Method

Group-live.

Why Choose PGS in Partnership with S&P Global Market Intelligence

PGS in Partnership with S&P Global Market Intelligence seminars are known for their clear explanations and in-depth content. The SNL Energy seminars are produced by the Knowledge Center, expert training from S&P Global Market Intelligence. Register today, and join the energy professionals who have already attended one of these proven programs.

Hotel and Seminar Information
This two-day seminar will be held at the hotel listed below. The seminar will start promptly at 8:00 AM and will finish at 5:00 PM on the first day. On the second day, the seminar will resume at 8:30 AM and will finish at 4:00 PM. The program includes continental breakfast, lunch and all program work materials. Dress is business casual.
March 8 & 9
Downtown Conference Center
157 William Street
New York, NY 10038
Telephone: (212) 618-6990
Because of the diversity of hotels found in the area, PGS Energy Training will not be holding a block of sleeping rooms with one particular hotel. Should you need a list of local hotels in the area, please contact us at (440) 853-1038 and we can help you with your accommodations.
Registration Fee and Discounts

Register Today!. The price for this comprehensive two-day seminar is $2,395 (USD).

  • Additional attendees and government employees receive a 10% discount.
  • Members of TOGA, AIPRO, INGAA or IOGA-NY receive a 15% discount. Please call (440) 853-1038.
  • Sign up for 4 or more classroom seats during the same month and all attendees will receive a 20% total discount.
    (If you plan to register 4 or more classroom seats for the same seminar, but want attendees to pay by separate credit cards, register one party now and mention this fact in the "Comments" section of the registration form. We will manually subtract the 20% discount from the first registrant's seminar fee and will call you to obtain the credit cards and registration information for your other attendees in order to give them their 20% discount. If applicable the Early Bird discount of either $200 or $100 will be divided evenly between all participants.) Please call (440) 853-1038 for more information.
    Special pricing is available for groups of 5 or more. Please call Janice Ohmura at (440) 853-1038.
Payment and Cancellations

Payment is due prior to the start of the seminar by Visa, Master Card, American Express, Diners Club, or corporate check. Seminar fees will be charged to your credit card at the time of registration unless other arrangements have been made. Please make checks payable to "PGS Energy Training" 26 Teal Lane · Hilton Head Island, SC 29926. Cancellations can be made up to five (5) business days prior to the start of the seminar for a full refund. No refunds will be made thereafter, but a one year full seminar credit will be given toward future workshops upon receipt of $175 which will used to help offset the non-refundable food, beverage, manual and other expenses incurred by PGS. This one year seminar credit is good for any PGS Energy Training program except for seminars offered by PGS affiliate organizations. Colleague substitutions may be made at any time. If PGS needs to cancel a seminar due to instructor unavailability, lack of attendance or other unforeseen reason, you will be offered the choice of rescheduling for another seminar, a seminar credit, or a refund. For more information on PGS policies regarding administrative matters and complaint resolution, please contact our offices at (440) 853-1038.

CPE Credits in Specialized Knowledge & Applications

This live group seminar is eligible for 13.5 CPE credits. Be aware that state boards of accountancy have final authority on the acceptance of individual courses for CPE credit. As of January 1, 2002, sponsored learning activities are measured by program length, with one 50-minute period equal to one CPE credit. One-half CPE credit increments (equal to 25 minutes) are permitted after the first credit has been earned in a given learning activity. You may want to verify that the state board from which your participants will be receiving credit accept one-half credits.

PGS Energy Training is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.nasbaregistry.org. CPAs interested in attending any seminars should contact our offices for details on CPE credits granted and any prerequisite requirements. PGS telephone seminars are eligible for CPE credits only if seminar participants use the printed seminar slides - not the Internet posted slides.

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