Our sector expertise
Chartered accountant for renewable energy
Accounting firm for renewable energy producers: revenue under the purchase obligation or market premium, dismantling provisions, IFER and project finance.
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Quick answer: why choose a chartered accountant specialised in renewable energy?#
A chartered accountant specialised in renewable energy secures the points a generalist rarely masters: revenue recognition under the purchase obligation or the market premium, the dismantling provision and asset imposed from commissioning, the flat-rate tax on network companies (IFER), and project finance through a dedicated company. These topics weigh directly on profit, tax and borrowing capacity.
Understanding a producer's business model#
Generating solar or wind electricity is not selling a classic service. You operate a heavy asset over two to three decades, within a regulated framework that fixes much of your revenue in advance. This visibility is valuable, but it comes with very specific accounting and tax obligations that must be framed from the first financial year.
The starting distinction is simple. A construction company builds the farm or the power plant, then delivers the works: its turnover is works revenue. A renewable energy producer keeps the asset and operates it: its revenue comes from the electricity sold, year after year. If your activity is closer to construction, the accounting approach differs and we cover it on our dedicated construction sector page. Likewise, a sustainability or non-financial reporting engagement is not the same as a producer's bookkeeping: it falls under our ESG advisory and reporting work.
Our reading. A firm's value in this sector does not lie in routine bookkeeping, which stays classic, but in three hinges: how you recognise revenue, how you provision dismantling, and how you present your accounts to lenders. A mistake on any of these three hinges is costly, either in tax or in financing capacity.
Recognising revenue: purchase obligation and market premium#
Two main support mechanisms frame electricity sales, operated by EDF Obligation d'Achat.
Under the purchase obligation (OA), EDF, or a local distribution company, buys your output at a regulated tariff set by the contract, independent of the market price. You sell either the whole output or only the surplus where you self-consume part of it. Turnover then equals the electricity actually delivered, valued at that tariff. Period matching relies on the metering indexes and the purchase statements.
Under the market premium (CR), you sell your electricity on the market yourself and additionally receive a premium equal to the difference between a reference tariff and a reference market price. Turnover therefore combines two components: the market sale and the premium. Depending on the technology, these contracts run from 12 to 20 years.
The underestimated risk. The precise period allocation of the market premium deserves to be confirmed case by case, by reading the contract. Assuming a treatment by analogy with the OA, without checking the actual premium terms, exposes you to a profit shift from one year to the next. We settle this point on the documents, not by habit.
| Mechanism | Who sets revenue | Turnover composition | Contract term |
|---|---|---|---|
| Purchase obligation (OA) | Regulated contract tariff | Electricity delivered at tariff | 12 to 20 years |
| Market premium (CR) | Market + reference premium | Market sale + CR premium | 12 to 20 years |
Provisioning dismantling: a future cost to carry from day one#
This is the point young producers anticipate the least, yet it is a legal obligation. For wind power, article L515-46 of the environmental code makes the operator, or its parent company in the event of default, responsible for dismantling and restoring the site. It requires financial guarantees to be set up from the start of production, reassessed every five years.
The amended order of 26 August 2011 quantifies these guarantees: 50,000 euros per turbine with a unit installed capacity of 2 MW or less, plus 25,000 euros per additional MW above 2 MW.
On the accounting side, the French general accounting plan organises the treatment of this obligation. The initial estimate of dismantling, removal and site restoration costs is included in the entry value of the fixed asset: this is the dismantling asset, recorded against a provision on the liabilities side. This asset then follows its own depreciation schedule over the useful life of the installation. The obligation arises from construction and commissioning, not at the end of the farm's life.
In practice. We clearly distinguish the financial guarantee required by regulation, which is a security enforceable against the administration, from the accounting provision, which translates the obligation into your accounts. The two logics speak to each other but are not the same. We document the cost assumption used, the depreciation rate of the dismantling asset and the reassessment calendar, so that an audit or a lender review finds nothing to object to.
Local taxation (IFER) and project finance#
The flat-rate tax on network companies#
IFER is an annual local flat-rate tax targeting electricity generation facilities with a capacity of at least 100 kW. Article 1519 D of the tax code covers wind and tidal; article 1519 F covers photovoltaic and hydropower. Crossing the 100 kW threshold therefore changes your local tax exposure. We check the applicable article by technology, the exact scope of the installation and the filing calendar, then build the IFER into the forecast to avoid an unpleasant surprise during operation.
Financing through a project company#
A farm is most often held by a project company (Special Purpose Vehicle, SPV), dedicated to a single asset. It is financed by project debt, generally non-recourse or limited-recourse on the sponsors: lenders are repaid from the cash flows generated by the farm, secured by the OA or CR contract. They monitor debt service coverage ratios throughout the life of the financing.
This structure puts the forecast and the reporting at the heart of the file. To anticipate a project's borrowing capacity, you can rely on our borrowing capacity and operating cash-flow simulator. And when the project company needs ongoing financial steering, we step in as an outsourced CFO.
Case study (representative example)#
This example is an illustration, with no identifiable client. A project company operates a photovoltaic farm commissioned during the year, under a purchase obligation contract. At year-end, three issues collide. First, turnover must be aligned with the output actually delivered, not the cash received. Second, the dismantling asset and the related provision were not set up at commissioning, which distorts both the balance sheet and the depreciation schedule. Third, with the 100 kW threshold crossed, IFER had not been budgeted.
Our intervention consists in rebuilding revenue from the metering indexes, recording the dismantling asset and provision with a documented cost assumption, and building IFER into the forecast. The result: accounts that withstand a lender's review and a stabilised taxable result, with no last-minute corrections.
Common mistakes we correct#
- Recording cash received instead of the output delivered, which shifts turnover by a year and distorts profit.
- Forgetting the dismantling asset and provision at commissioning, when the obligation arises from construction.
- Confusing the regulatory financial guarantee with the accounting provision, two notions that coexist without substituting for each other.
- Failing to budget IFER after crossing the 100 kW threshold, and discovering the tax during operation.
- Treating the market premium by analogy with the OA, without rereading the actual contract terms.
- Presenting lenders with a forecast that does not track coverage ratios, which weakens the financing file.
2026 watch points. The precise IFER tariffs and certain terms of the support contracts change over time: every figure per kilowatt and every tariff must be checked at the application date, on the official source, before any filing. We keep this watch and adapt your file case by case.
Why Hayot Expertise#
Hayot Expertise, based at 58 rue de Monceau in the 8th district of Paris, supports asset-based, financially intensive structures. Our value in renewable energy lies in mastering the sector's three hinges: revenue recognition under OA or the market premium, the dismantling asset and provision, and the reading of the accounts that lenders expect in project finance.
Samuel Hayot, chartered accountant and statutory auditor registered with the Île-de-France Order of Chartered Accountants and the CNCC, oversees these files. We work in the first person, on the documents, and we document every sensitive choice.
This page informs and does not replace a review of your situation: revenue recognition, the dismantling estimate and the IFER scope are confirmed in light of your contracts, your installations and the law in force. Let us discuss your project to frame your file.
Updated 19 June 2026. Sources: environmental code, EDF Obligation d'Achat, French general accounting plan (ANC), tax code.
Sector Ecosystem
A renewable energy producer is not a construction company: it operates a generation asset over 20 to 30 years, sells its electricity within a regulated framework (purchase obligation or market premium) and carries, from commissioning, a dismantling obligation. This model combines specific revenue recognition, heavy fixed assets, local taxation (IFER) and project finance through a dedicated company. The firm supports developers, project companies, solar and wind farm operators, and self-consumption structures.
12 to 20 years
OA / market premium contract term
50,000 € / turbine
Dismantling guarantee (≤ 2 MW)
+ 25,000 € / MW
Guarantee above 2 MW
≥ 100 kW
IFER liability threshold
Every 5 years
Guarantee reassessment
Art. L515-46 env. code
Dismantling legal basis
Photovoltaic project developers and sponsorsProject companies (SPVs) holding a single assetOnshore wind farm operatorsSolar producers selling total output or surplusSelf-consumption installations reselling the surplusMarket-premium projects sold on the marketInvestment structures and farm holdingsLocal authorities and community energy projects
Practical framework
What we set up for a renewable energy producer
01
Frame OA or market-premium revenue recognition
We align turnover with the delivered output valued at the contract tariff (OA) or with the market sale plus premium combination (market premium). We match revenue to the right period from the metering indexes and the EDF Obligation d'Achat statements, and document the treatment of the premium case by case.
02
Build the dismantling asset and provision
From commissioning, we include the estimated cost of dismantling and site restoration in the entry value of the installation, with a matching provision. We build the depreciation schedule of this dismantling asset and connect the accounting estimate with the financial guarantees required by the environmental code.
03
Secure local taxation and the IFER
We identify liability to the flat-rate tax on network companies from 100 kW, check the right applicable article by technology (1519 D or 1519 F of the tax code) and keep the filing calendar. We build the IFER and other local taxes into the forecast to avoid gaps during operation.
04
Structure project finance and reporting
We support the project company: cash-flow forecasting, monitoring of the debt service coverage ratios expected by lenders, investor reporting and tax filing. We connect the purchase contract that secures revenue with the financing plan, in outsourced CFO mode where needed.
Your guarantees
National coverage, Parisian expertise
Wherever you are in France, we deploy a 100% digital interface to deliver fast, highly-structured accounting and financial steering.
Regulated firm
Samuel Hayot is a French chartered accountant and statutory auditor registered with the Paris professional bodies.
National reach
The firm is based in Paris 8 and operates with a delivery model designed for businesses located across France.
Modern stack
Pennylane, Dext, Silae and an automation-first setup built for visibility and speed.
Direct contact
Visible phone number, simple contact path, fast engagement letter and tighter qualification of the mandate.
Need a quick read on your situation?
30 complimentary minutes with Samuel Hayot to challenge your reporting and surface your priority levers.
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FAQ
Frequently Asked Questions
Why does a renewable energy producer need a specialised chartered accountant?
Because the model combines rules a generalist rarely meets: revenue recognition under the purchase obligation or the market premium, the dismantling provision and asset, the IFER tax, and structuring through a project company. Each point directly affects profit, tax and borrowing capacity. A specialised framework secures the accounts from the moment the plant is commissioned.
How is revenue under the purchase obligation (OA) recognised?
Turnover equals the electricity delivered, valued at the regulated tariff set by the contract with EDF Obligation d'Achat, independent of market prices. Sales may cover the whole output or only the surplus where self-consumption applies. Revenue is matched to the period based on actual energy delivery, measured by the metering indexes.
How does the market premium change the accounting treatment?
Under the market premium, the producer sells electricity on the market and also receives a premium equal to the gap between a reference tariff and a reference market price. Turnover therefore combines the market sale and the premium. The precise period allocation of the premium is confirmed case by case, depending on the contract terms.
What is the dismantling asset and provision?
From construction, the operator must anticipate the future cost of dismantling and restoring the site. The French general accounting plan includes this estimated cost in the entry value of the fixed asset (the dismantling asset), with a matching provision on the liabilities side. This asset follows its own depreciation schedule over the useful life of the installation.
What dismantling financial guarantees apply to a wind farm?
Article L515-46 of the environmental code makes the operator responsible for dismantling and requires financial guarantees to be set up from the start of production, reassessed every five years. The amended order of 26 August 2011 sets 50,000 euros per turbine for a unit capacity of 2 MW or less, plus 25,000 euros per MW above 2 MW.
Does IFER apply to my installation?
The flat-rate tax on network companies applies to electricity generation facilities with a capacity of at least 100 kW: wind and tidal under article 1519 D of the tax code, photovoltaic and hydropower under article 1519 F. It is an annual local flat-rate tax. We check the exact scope and the filing calendar specific to your site.
How is a renewable energy project financed?
Usually through a project company dedicated to a single asset, financed by project debt that is generally non-recourse or limited-recourse on the sponsors. Lenders are repaid from the project's cash flows, secured by the purchase contract, and monitor debt service coverage ratios. The quality of the forecast and reporting is decisive here.
Article written by Samuel Hayot
Chartered Accountant, registered with the Institute of Chartered Accountants.
Regulated French firmUpdated 19 June 20264 sources cited
Regulated French accounting and audit firm based in Paris 8, built to support companies across France with a digital and decision-oriented approach.
Sources
Official and operational sources cited for this page.