A maturing renewable energy industry and increasing competition for deals has helped spur efficiency and innovation in the risk transfer market, Geoffrey Lehv, Head of US Accounts for kWh Analytics, said.

“We’re getting to the point of maturity where you’re starting to see that you end up with a lot of competition around the asset acquisition, and sponsors need to get more innovative around what they’re doing,” Lehv said on the latest episode of Infralogic’s Crossroads podcast. “There are a lot of people who can acquire an asset from a developer and then ultimately bring it to operating. To do that efficiently and to do that in a way that provides acceptable economic return or financial returns to investors has gotten more challenging.”

Lehv’s firm has been at the forefront of some of that innovation in risk transfer. This summer, kWh advised Munich Re on a first-of-its-kind wind proxy hedge product, Infralogic reported at the time.

Lehv discussed this deal and other opportunities for the sector, including in property insurance.

“If we’re effectively building assets in the wrong place or we’re not mitigating these risks appropriately for the perils that these assets might see, then we’re doing a bit of a disservice to the industry,” he said.

To listen to the podcast, click here.