An Update on our Fall 2023 Energy Transition Portfolios
Portfolios to close at the end of September
About six weeks ago, we launched our Energy Transition Marketplace, a first-of-its-kind solution for funding building decarbonization. We contracted with innovative companies on the front lines of the clean energy movement and told them that they could earn extra revenue by delivering actual carbon reductions. They are now able to go out to their potential customers and offer them a better deal for deeper carbon savings. For the first time in the energy sector, we are actually valuing the environmental benefits of the clean energy transition. If we can do this at scale, we will massively accelerate the timeframe possible for reducing GHG emissions to a sustainable level.
Our marketplace is designed to make impactful climate action - real emissions reductions - accessible to everyone. You don’t need a big budget as a buyer and you don’t need to have achieved scale to be a supplier. Instead, we built technology that allows us to aggregate buyers and suppliers through portfolios. As a buyer, you simply earn a fractional share of the returns of the portfolio according to the size of your purchase; and if you are a supplier you get paid based on your actual delivered carbon reductions.
Each of these first set of portfolios is a fixed size: 1,000 tons of CO2 reductions from electrification projects; 1,000 MWh of solar production in one of the dirtiest grids in the US; 1,000 MWh of demand reductions in California when its gas peaker plants are working overtime.
In the first six weeks since launch, we’ve procured 746 MWh of solar production, 282 tons of CO2 emissions from electrification projects, and 754 MWh of demand response on behalf of dozens of buyers - from individuals, to property managers, to organizations with strong climate commitments.
Because this is an advance market commitment (important for additionality), we have to close these portfolios so that we can start enrolling projects. As of September 30th, 2023, our first three portfolios will officially close and the funds will be start to be allocated to our suppliers on a performance basis based on the carbon reductions they actually deliver. If you have been interested in being part of this first offering, we encourage you to step forward to fund the energy transition as part of your own climate commitment. We won’t have anything else available until 2024, so now is your time to get involved!
For those of you who have already participated, we say THANK YOU! It is extremely gratifying to see folks so excited to make a difference. We are thrilled to see this taking off!