Financing Options Overview1 / 12
Debt vs Equity Financing
Corporate loans (on-balance); equity investment; blend depending on risk profile.
11 min read · Jacob Willis, Net Zero Lead · Last reviewed July 2026
Energy projects need funding, and the most fundamental choice is between debt and equity - borrowing money or using owned capital. Understanding these two basic routes, and how they combine, underpins all project financing.
In this lesson
- 01The two basic routes
- 02Debt financing
- 03Equity financing
- 04The cost of capital and gearing
- 05Internal versus external capital
- 06Matching financing to the project
- 07The foundation for what follows
- 08Sources and further reading