Innovation and more efficient technology has been instrumental in making renewable energy solutions a competitive alternative to yesterday’s energy sources. This is positive for the financing of new projects, still a large number of good renewable projects in Europe, ready to be built, remain without adequate financing. This shows that innovation in financing models is required.
ECOHZ has launched a new product – GO2 – that combines the consumption of documented renewable power with innovative financing of new renewable power projects.
Through a highly efficient circular model GO2 maximizes the quantity of renewable power added to the grid. When buying GO2 our customers consume renewable power and contribute to the financing of new projects in cooperation with ECOHZ Renewable Energy Foundation.
Circular economy models are driven by the need –and good sense– to make more efficient use of our resources. With ECOHZ GO2 circular financing model, we create a multiplier effect on each EURO contributed to the RE Foundation which serves to finance not one, but multiple projects over time.
The ECOHZ RE Foundation lends money contributed from GO2 for top financing of new renewable projects, up to 15% of the total project cost.
The Circular Energy Financing Model
Once the new renewable power projects are operational the associated operational risk is very low. This permits the foundation to place the debt with another financial institution, thus recuperating the funds to relend them to a new project. This creates a multiplier effect as the funds can be reinvested in yet another project. The foundation seeks to recirculate the funds in this manner every three years.