For most renewable energy producers, how to get enough capital needed for project development is the key to success. Although the measurable costs of most renewable energy projects are close to conventional fossil fuel generating projects, most of the cost of renewable energy projects occurs during construction, which means that more capital is needed than conventional fossil fuel power projects. In the United States, the cost (excluding development and profit costs) to build a commercial solar PV project is 1.85 dollars per watt (DC side, 2.13 dollars per watt AC).
Costs (excluding development costs and profits) to build large scale solar scale utility solar projects are 1.03 dollars per watt (DC side, 1.34 dollars per watt AC). The cost to build a wind power project is 1.59 dollars per watt. High demand for early equity requires more financing for renewable energy producers to complete construction. Renewable energy producers complete project financing primarily through debt from financial institutions such as banks primarily, or through obtaining government subsidies. The process of obtaining debt from a financial institution always involves a project review, which not only takes a long time but also is not transparent.
Generally, renewable energy producers have limited control over the process, and most of the time they have to follow the arrangements of financial institutions. In addition, manufacturers need to provide some assets to financial institutions for mortgages, to obtain loans. However, most small to medium sized renewable energy has insufficient assets for mortgages. Hence, it becomes an obstacle in the process of financing. As the cost of renewable energy projects falls gradually, the government reduces subsidies for renewable energy projects. Currently, US federal production tax credits for wind power projects are reduced at a rate of 20% per annum, and this tax credit will not exist for projects built after 2019.
For solar PV projects in the United States, investment tax credits will be reduced after 2020. Solar PV housing projects will not enjoy tax benefits after 2023, and tax credits will be reduced by up to 10% for commercial and utility solar projects. In China, the subsidiary gap for renewable energy projects has reached 100 billion yuan by the end of 2017. The National Energy Administration is considering replacing a fixed fiscal subsidiary with a green electrical certificate of free trade.
Since government subsidies for renewable energy projects are shrinking, the ability to complete project financing becomes critical to the success of the project. Therefore, competition among renewable energy producers for project financing becomes much more virulent than ever before. As a result, financial institutions set a higher bar for producers, so some projects face difficulties to obtain financing.
From an investment perspective, individuals who have capital and show interest in investing in renewable energy projects can be potential project investors. Many of these individuals want to contribute to improving the environment and mitigating global climate change through the financial support provided for renewable energy projects. However, since no well-known project financing platform is available, most individuals have no channel for information on project financing to make the investment. In addition, regardless of the lack of information channels, most individuals do not have sufficient knowledge or professional background in renewable energy to evaluate the project, and thus have concerns to make investments.
Unlike conventional fossil fuel power projects, renewable energy projects are still immature and have reached the upper classes in just the last few years. For conventional fossil fuel power projects, investors have developed an integral assessment mechanism for evaluation. However, for renewable energy projects, the evaluation method is still under development, so many investors can not make an assessment of project risk and return. In addition, there is no effective way to monitor every piece of construction and operation, so investors have concerns that they can not get the expected results, and this is one of the common reasons that renewable energy projects can not complete financing.
In addition, renewable energy investments are constrained by geographic limitations. If potential investors and projects are located in two different areas, the project investor will not be able to have a comprehensive understanding of the project, and they can not build trust. Furthermore, if the investor uses fiat currency different from the local fiat currency of the project, the investor needs to exchange fiat currency, up to the amount set by the national foreign exchange regulation. Investors need to make efforts to manage the fiat currency exchange process and can bear losses due to exchange rate fluctuations.
EtainPower is trying to be a renewable energy source, it comes from the use of conventional fossil fuels. The problem is that fuel sources also cause irreparable damage to the ecosystem. However, in recent years, the world's strongest international forces have finally begun to see the irreversible effects caused by fossil fuel sources being discarded. Mining them causes problems such as global warming and pollution, so much so that many world governments are looking for renewable energy projects.
Etainpower creates a renewable energy source for people around the world. The result of a world government that has a desire to create a new energy source has led to the creation of Etainpower. They are trying to increase renewable energy resources and help people make money while doing it. Because although there has been a majority of improvements, there are still many problems.
The need for renewable resources and fossil fuels is very high these days. Most renewable energy producers also want to lower the initial investment price to help make it more realistic, plus at the same time increasing profits. Investors who want to start with renewable energy will have a better chance with Etainpower, rather than with the government running a subsidized energy project. Etainpower makes it easier to invest into renewable energy sources which is basically why they start in the first place.
EtainPower's vision is to build a smart electricity network based on renewable energy that operates under the principles of decentralization, transparency, and zero emissions. EtainPower will not only incorporate microgrid renewable energy and distributed power projects within the ecosystem, but also build partnerships with power companies. EtainPower will integrate technologies such as artificial intelligence, blockchain, IoT, and machine learning, etc. To improve existing power grid facilities, optimize power grid operations, and simplify power transactions. EtainPower's improved power grid will be a more stable and intelligent system that will optimize renewable energy generation, manage end-user power consumption, and to deal with all kinds of unfavorable weather conditions.
The EtainPower platform has two tokens: EPR (token platform) and PowerPoint (PPS, energy tokens), two tokens shared in blockchain-based energy ecosystems supported by AI. Renewable energy producers can issue PPS and complete project financing through the EtainPower platform. The true value of PPS equals the price of electricity that manufacturers commit to provide in the future. During the project financing stage, renewable energy producers sell electricity to investors in the form of PPS, at a price lower than the actual value. The value of PPS will be enabled when the project generates revenue.
The EtainPower ecosystem will include services other than renewable energy project financing. In the early stages, EtainPower will build the following application services on the platform, and PPS holders can use PPS to change the services of these applications. In the future, as the platform is recognized and appreciated by more people, EtainPower will add more app services based on user requests.
EtainPower will ensure that the project meets the investment criteria so that investors can get the expected return. Due diligence will be conducted by a third party authorized by EtainPower. EtainPower will charge expenses to renewable energy producers and pay fees to third parties. The renewable energy projects that complete the financing will pay the EtainPower platform fee, which is a percentage of the revenue generating power.
The cost of the platform will be determined through negotiations between EtainPower and renewable energy producers. EtainPower ensures that overall platform project finance costs are lower than costs elsewhere. A portion of the platform fee will be used by EtainPower to buy EPR at market prices. EtainPower will distribute purchased EPRs to the market for free.
The short-term goal of EtainPower is to connect renewable energy producers with investors around the world through project financing platforms and help renewable energy producers raise capital for decentralized, efficient, secure, equitable and transparent project development. In the long run, EtainPower is dedicated to improving the existing power grid to connect more renewable energy to the power grid, while maintaining safe, reliable, and stable network operation, and providing end users with high quality power. By integrating smart grid, blockchain, IoT and artificial intelligence technologies, EtainPower is committed to reforming the energy industry's existing energy mix and creating a new generation of decentralized zero-power networks.
EtainPower comes in the form of a digital currency named EPR. EPR tokens will go on sale from May 8, 2018 to June 8, 2018, at a price of 65,000 EPR equivalent to 1 ETH. The token purchase itself can be done with foreign digial currency such as ETH. Do not forget, get also purchase bonuses at certain time period.
EtainPower itself is the result of teamwork in pimpim by Sanwen Xue, EtainPower strives to provide their best capabilities in this project. In addition, the team also strives to provide the best benefits and services, to anyone interested in joining the project.
The EtainPower team has dozens of years of experience in the field of renewable energy and electrical network design and management. Inspired by decentralization, transparency and blockchain democracy, the EtainPower team is implementing projects with the goal of solving the financing difficulties of renewable energy projects. We will utilize AI and other technologies to minimize the impact of renewable energy network connections and improve the security and stability of grid operations, to encourage the construction and development of renewable energy projects.
So that's all for review our ICO project for this time, hopefully can increase your knowledge in choosing the best project ICO to you invest. If you are interested in joining this project, or intend to buy a token in the sale. You can visit their official website and page below: