CHICAGO, IL-CapX Partners Monday announced the launch of its online Energy Conservation and Performance (E-CAP) platform, a tool to help building owners, contractors and engineers secure financing for their energy savings projects. Partnering with energy insurer Energi, the E-CAP platform will incorporate Energi's expertise in energy efficiency into the online underwriting process, helping to accurately securitize energy savings and protect project guarantees.

The E-CAP process will provide contractors with turnkey access to best practices and leading performance guarantees and financing solutions. At first, E-CAP will enable qualified contractors to identify efficiency projects, as well as bid for them on the Honest Buildings network. The platform will provide development memorandums, credit applications and project implementation plans to facilitate the development process, then offers users turnkey performance insurance and financing options.

“Insurance products such as those offered by Energi aren't typically purchased by investors,” says Eric Starr, partner, CapX Partners. “However, obtainment of insurance can alter the risk-return profile of an alternative energy investment enough to encourage an otherwise-unwilling investor to get involved.”

US energy service companies, or ESCOs, have contributed significantly to the rise of energy efficiency over the past several decades, with Navigant estimating the US ESCO market at $4.9 billion in 2013. The E-CAP platform will help non-ESCO contractors work as ESCOs, opening up ESCO tools like energy savings guarantees to wider portions of the market, accelerating the growth of energy efficiency and reducing investor risk.

“Energy efficiency is unanimously regarded as a critical economic and environmental tool, and yet investment is still not widespread,” notes Kevin Kaminski, SVP of alternative energy solutions at Energi. “As one of the first third-party insurers for Energy Savings Performance Contracts, we understand that security is a crucial step to unlocking investor confidence and driving efficiency investments. The E-CAP platform enables more contractors to safely offer efficiency projects, backed with our underwriting expertise and the capital commitments of CapX.”

Instant Insights /

CapX Launches Energy Tool

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