2019 Renewable energy
What challenge was the reason for your project?
The general purpose of the project was to close a financing gap in the photovoltaic (PV or solar energy) market for rooftop systems. The challenge for us is that the installation of PV rooftop systems happends very quickly. Hence, our payment obligations towards suppliers and/or subcontractors are also due quickly. Until now, because of this and in the absence of other sources of finance, we have had to prefinance our payment obligations via our own equity. But Triodos Bank has developed a structure jointly with us to provide third party capital at an early stage avoiding the need to draw on equity capital.
By bundling PV rooftop systems in a standardised portfolio structure in a separate special purpose vehicle (SPV) we have been able to close a financing gap due to economies of scale. The key to this approach is process optimisation. Project contracts and checklists agreed upfront have accelerated single payment processes significantly.
What impact has Triodos Bank had on your project?
Triodos Bank’s flexibility and expertise has allowed us to create complex and structured financings so we can innovate was the basis for our collaboration. Driven by a shared vision, to promote renewable energy in Germany we were, and are, complementary partners.
What impact does your project have on your sector?
This innovative financing approach is unique in the German market. For that reason it has prompted interest from others. Our collaboration has shown that innovative approaches to finance renewable energies can also be done for smaller project sizes.
Which impact has your project had on society?
We significantly contribute to a decentralised energy transition (“Energiewende”) in Germany and, additionally, secure jobs in the solar industry. Moreover, because we are active in various locations, our work helps to strengthen the economy and as a result social participation in structurally weak regions in Germany.
How does Triodos Bank share your vision?
As a project supplier and plant operator of PV systems we focus squarely on clean and sustainable energy production. In the course of the collaboration with Triodos Bank we learned that the term sustainability has to be seen in a holistic way and therefore ecological and social aspects have to be considered as well. This approach has helped us to develop our company to a higher level.