Why Energy as a Service?
Energy as a Service (EaaS) is an Opex expense. It is a relatively new business model in the energy world and lets you contract for the outcomes and services you need rather than ‘buying’ an onsite energy system.
EaaS is an outcome-based model and removes the development and operational risks from you. Instead, a team of industry experts finance, design, build, operate, and maintain the microgrid for you under a long-term contract. Each party benefits. You get a needed alternative source of energy - cost-effective, sustainable, reliable and resilient electricity at a predictable, agreed upon price. All with no upfront capital outlay and no operational risks.
Your energy partner, meanwhile, uses its expertise to optimize the construction, operation and maintenance of the system, and capture other values from the project.
Let’s say you’re weighing investment in a microgrid. Budget constraints may make it hard for you to justify the capital expense of the microgrid, particularly if the ROI occurs over several years. EaaS converts what would have been a long-term capital expenditure into a short-term, standard operational expense. So the project doesn’t affect your borrowing capability and you free up capital for your core business.