FINANCING ENERGY BUSINESSES TO ACHIEVE ENERGY TRANSITION WORLDWIDE
The full impact of COVID-19 on energy businesses and operations is yet to be assessed. Factors that can cause performances and results of energy companies include, but are not limited to, companies' inability to obtain capital needed to complete expansion of projects, cost overruns and construction delays, the inability to obtain governmental permits and third party easements required or necessary to initiate or complete the expansion projects, companies' subdued financial performance, including revenues. In this backdrop, scaling up investments in the energy sector is a gargantuan task.
We are, however, of the opinion that in the energy sector, change is the only constant. It definitely is a matter of open debate how companies in oil and gas, chemicals, electric power and utilities, renewable energy, and manufacturing stay ahead in the game and build sustainable competitive advantage in a constantly transforming world. While transforming businesses to be fit for the future, companies and their executives still need to deliver results sooner rather than later. Uncertainty in the energy business environment, however, seems to be at the highest level in this era of the COVID19 pandemic. Can a long period of economic growth be sustained, or are we due for a slowdown—with its inevitable impact on demand, industrial activity, and the need for energy? Will tariffs and trade tensions change the terms of trade, disrupt supply chains, and add to the cost of doing business? And how far will customer and societal aspirations for a cleaner, more sustainable world drive new practices across all sectors of the economy? These pressing demands create space for expert and razor sharp technology aided consultancy in the energy space. Energy is one of the most critical components of infrastructure which in turn is crucial for the economic growth and welfare of nations. The existence and development of adequate infrastructure is essential for sustained economic growth. Energy is central to achieving development ambitions of nations, to support expanding economies, to bring electricity to those who remain without it, to fuel the demand for greater mobility and to develop the infrastructure to meet the growing needs.
The world’s vast renewable energy resources remain largely untapped. We want to make a meaningful contribution to improving the renewable energies potential worldwide. Recognizing the huge potential of renewable energy, we have established a truly interactive and transparent Energy Assets Marketplace, a platform dedicated to facilitating the rapid development of renewable energy worldwide. We believe that renewable energy will play in the upcoming years a key role in reducing greenhouse gas emissions, mitigating climate change, supporting sustainable development, and boosting economic growth.
Energy Assets Marketplace (EAM) seeks to scale up the investment flow in the energy sector. The constantly changing dynamics of energy investment demand regular reshuffling and restructuring of the energy assets portfolios of different participants. Investors' exit strategies often lead to refinancing of assets by new investors, mergers and acquisitions and/or outright sale and purchase of energy assets by their owners. Acting as an investment catalyst, the Energy Assets Marketplace (EAM) connects project owners, financiers/investors, host governments, service providers and technology suppliers to bring projects to fruition. Investment opportunities are made visible and easily identifiable for investors, and project developers can access relevant funding sources and expertise to advance their projects.
The Energy Assets Marketplace (EAM) provides project owners/developers with increased visibility for their projects among financiers and other market players. Project owners get access to wide range of financial instruments provided by multiple investors from development finance institutions, private companies, utilities, private equity funds, donor and multi-donor facilities, commercial banks and more, as well as access to different services (legal and financial advisory, environmental, project development, EPC contracting, etc.) and technology.
Various legal entities can sign up to the EAM platform. They can be large companies, SMEs, private project developers, utilities, governmental organizations, municipal organizations, NGOs or individual project owners.
Project owners will also benefit from Trans Universe Energy's project assessments and active facilitation, provided on a selective basis, identifying the specific needs and next steps for projects, and supporting projects to take the next steps.
Through Trans Universe Energy's other associated portals, the EAM platform provides project owners with tools and templates for project development, resource and zoning maps, and policy and regulatory information to reduce information barriers and project development costs. It also makes it easy, safe and efficient to share detailed and confidential information with potential investors.
The EAM platform assists financiers and investors interested in financing projects in developing and emerging markets by giving them access to a pipeline of investment-ready projects, co-financiers to form consortia, project development funding to support interesting projects and risk mitigation instruments to help structure projects and financing.
To further accelerate the investment process and lower the transaction costs, investors and financiers, particularly those new to a particular country or region, receive access to additional information including market, policy and regulatory information through Trans Universe Energy's advance databases. The EAM platform provides the financiers with an easy channel to identify and screen a wide variety of energy projects. It financial modelling of individual projects and other crucial project specific data meeting investor objectives and targets.
Service providers and technology suppliers are key players in the project development phase of the projects. Using the EAM platform, service providers and technology suppliers can identify potential customers, develop their sales pipeline and create new business opportunities. The EAM platform makes it easy and efficient to identify, screen and contact prospective project owners to offer services and technology for them.
Besides private participants, governments in emerging economies committed to support renewable energy transition can benefit from the EAM platform and can actively promote renewable energy investment project opportunities in their respective countries. They can promote their investment environment, policies and regulations for investors.
How Does One Access The EAM Platform?
To access the online EAM platform, stake holders – project owners, financiers, services providers and technology suppliers – are required to create a profile using the below format. In addition, project owners and investors must add at least one project or instrument, respectively, to complete the registration process.
Once the profile approved by the Administrator, users can:
What does the EAM Platform provide?
The EAM Platform offers, on a selective basis, active facilitation services to registered project owners.
Project assessments – Project owners can benefit from advice and guidance in terms of project development and renewable energy project planning, and can screen information according to their specific needs.
Matchmaking – Project owners are matched with relevant advisors, project development funding sources, other investors, as well as with other relevant stakeholders, to address specific project needs and ensure successful deals.
Trans Universe Energy also collaborates with banks, international financing institutions, hedge funds, family offices, asset management companies, investment bankers, private equity investors, venture capitalists, non-banking finance companies, private lenders, support programs and initiatives to assist in project development and provide access to project facilitation and technical assistance in advance as well as developing countries in North America, Europe, Africa, Central and Latin America, Caribbean, Asia, and Oceania.
The EAM Platform relies on several regional hubs where users can access all relevant information regarding a specific region.
Users can access: