These developments mean that private equity risks overpaying when it puts its capital to use.
"Consequently, even if our operating procedures were associated with somewhat larger movements in short-term rates, I doubt that investors' perceptions of equity risks would be much affected and thus that equity prices would be significantly influenced".
Examples of such harmful events are stock market crashes, equity risks, pipeline failures, large flooding, wildfires, pollution and hurricanes.
In this structure, private firms maintain ownership until transfer it to the government, during which they are able to charge user fees and assume most equity risks.
In order to get a secure and low-cost supply of fuels, it is a necessity for potential fuel suppliers to take part in the equity risks of biomass-plants.
Given my generally bullish long-term view, I'd argue that rather than taking gains, diversifying is the best way to sow the seeds for next year's harvest while mitigating some of the near-term equity risks that attend this year's marketplace.
