Wind projects don’t just need to pencil on day one, they need to show how they’ll wrap up.

Lenders and equity partners are no longer treating decommissioning as a postscript. It’s becoming a gating issue for capital. Whether it’s private equity, tax equity, or infrastructure funds, the question is the same: What’s your end-of-life plan?

Why This Is on the Table Now

Decommissioning risk isn’t theoretical anymore. With aging fleets and regulatory pressure rising, capital markets are flagging projects that lack clear exit strategies. Some won’t finance deals without them.

Today, investors expect developers to account for:

  • How turbines will come down,
  • What will be done with composite waste,
  • And how the land will be restored.

If your plan stops at commercial operation, you’re not market-ready.

It’s even a regulatory issue in some jurisdictions; state and local regulators are no longer turning a blind eye to decommissioning. In California, coastal and offshore wind permits now require upfront decommissioning plans that specify removal, recycling, and financial assurance for all turbine infrastructure.

“Decommissioning shall include the removal of all offshore and onshore facilities, including turbines, cables, mooring lines and anchors. State and federal project approvals will require all offshore wind components be recycled to the extent feasible,” according to the California Energy Commission.

New Mexico—while lacking a statewide mandate—requires decommissioning surety in lease agreements on state lands, and the Public Regulation Commission has flagged financial assurance updates at least every five years . These frameworks are emerging legal gatekeepers to project development.

Design to Decommission

Smart developers are folding end-of-life into early-stage planning. That means:

  • Permitting documents that anticipate crane routes and component access,
  • Land leases that define restoration obligations and timeline expectations,
  • Construction blueprints that make future disassembly less expensive and more efficient.

It’s not just ESG theater. This is a value play.

Projects designed for decommissioning are cheaper to dismantle, easier to permit, and more attractive to long-term owners. They’re also a revenue play.

Tower steel, copper cabling, and transformers hold real market value, and forward-thinking developers are modeling base-case and downside scenarios with this in mind. When structured correctly, salvage agreements can offset a meaningful portion of decommissioning reserve requirements. This shifts the narrative from “what we owe” to “what we recover,” and investors love that math.

The New Standard for Decommissioning Finance

Legacy models—flat reserve assumptions or boilerplate sureties—are falling short. What’s replacing them?

Consider reserve structures tied to actual market recycling costs; contracted salvage value for steel, copper, and transformer assets; formal partnerships with blade recyclers who are already operating commercially.

These details matter. They demonstrate a level of financial foresight that underwriters now require.

Going through this process will allow your team to take a more holistic look at the project, too. Bear in mind that investors care about capital, but local authorities care about people. Landowners and county commissioners don’t want stranded blades—or worse, blighted landscapes—on their watch.

In places where decommissioning planning lagged, like Sweetwater, Texas, community backlash has stopped projects cold. Including a clear disposal and restoration strategy in leases and permits is a trust-building signal that eases social friction before ground is broken.

Readiness Is a Test of Credibility

Plans are fine. Proof is better.

That means including:

  • Quotes from EPCs on deconstruction scope and cost,
  • MOUs or LOIs with recyclers, not just vague references,
  • Detailed logistics assumptions, from blade transport to concrete removal.

Execution readiness is the difference between a hypothetical decommissioning plan and a real one. If you can walk through the process and show line items to back it up, the market takes you seriously.

What to Do Now

  • Build a decommissioning cost model that ties to actual logistics and market pricing.
  • Secure early agreements with recyclers and salvage partners.
  • Update lease and permitting templates to include detailed end-of-life terms.
  • Establish auto-triggers in your financial model—when a turbine drops below a production threshold, the removal process initiates.

Bottom line: If you’re not showing investors how your asset winds down, don’t be surprised when the deal does too.