Disaster Risk Report

Insurance risk is taking on a more central role within renewable energy project engineering. With more extreme weather, the ability to secure comprehensive insurance coverage at a reasonable price will make or break financial viability on many upcoming projects. Minimizing the exposure for financing parties and ensuring long-term operational stability is the goal of a disaster risk assessment.

Location serves as the primary determinant of insurability, requiring thorough analysis of historical weather patterns, seismic activity levels, and floodplain designations to accurately assess potential risks and coverage requirements. For example, earthquakes and wildfires are more common on the west coast, they can disrupt wind farm foundations or melt solar components. Early due diligence, thoughtful engineering solutions, and design modifications can significantly reduce both risk exposure and insurance costs.

Hurricane and wind risk mitigation relies heavily on historical meteorological data to estimate potential wind speeds and storm frequency, particularly in gulf coast regions and tornado-prone areas. Structural improvements like mounting systems with deeper post installation and thicker structural components help solar arrays withstand higher wind loads. Flooding presents unique challenges that require comprehensive hydrology studies to identify risk zones and minimize flood impacts. Engineers consider water depth and flow rate factors, since high-velocity water flow poses greater structural threats than deep but static water. Fast moving water requires reinforced foundation systems with thicker posts and deeper anchoring to prevent structural failure from water-induced shear forces. Proper site grading, strategic drainage system installation, and carefully designed swales can further reduce flood risk exposure.

Hail risk to solar arrays has garnered recent media attention. While the risk does exist, properly maintained risk mitigation measures are very effective. Hail protection systems use solar trackers that incorporate "hail stow" functionality, rotating panels to a safe position and greatly minimizing the exposed surface area during hail storms.

Successful projects require a comprehensive understanding of insurance risk. Engineering solutions that demonstrate proactive risk management will encourage insurance companies to offer favorable coverage terms with low premiums. For developers seeking risk mitigation guidance, obtaining a disaster risk report from Blended Power will provide the specialized knowledge needed to optimize project designs for insurability. Reach out to the Blended Power today to get started.