FINANCIAL PROGRAM MANAGEMENT
Our platform design can encompass unsecured loans, on-bill financing, revolving loan funds and commercial PACE programs. We integrate nationally recognized standards and protocols to provide a level of conformance across all loan portfolios. Using proprietary techniques, we customize each program design to best align with the energy and economic development goals of a particular community.

Program Design

• Assessment of local job creation and energy goals
• Flexible repayment mechanisms
• Credit enhancement design and administration
• Partnerships with local banks and credit unions
• Standardized and scalable energy underwriting protocols
• Qualified Energy Conservation Bonds (QECBs) structuring

Program Administration

• Contractor management and oversight
• Workforce development and training
• Program validation and quality assurance
• Website portal for consumers and contractors
• High quality loan servicing standards that meet or exceed requirements of secondary markets

Strategic Partners

Harcourt Brown
Based in Colorado, Harcourt Brown develops the best possible strategies to leverage combinations of utility, government and private capital that finance clean energy. Work with clients to take limited amounts of capital to leverage new pools of lending funds that are 10-20 times their original size. Proven experience in working with and creating partnerships among utilities, lenders, investors, governments and industry.

ENERGY LOAN UNDERWRITING
Abundant Power Solutions provides energy underwriting services for banks, loan originators, utilities and government agencies. Using best-in-class process and partners, our proprietary SAVES™ platform can be leveraged with many finance programs already in place.

SAVES™ Platform
SAVES™ (Sustainable and Verifiable Energy Savings) is our core energy financing platform which can support a wide variety of delivery models to elevate the public accountability of private-public financing partnerships. Abundant Power facilitates the launch of new programs, or scale-up of existing programs, to optimize according to our client’s goals. As third party administrators and financiers, we streamline and simplify the process, reduce risks and leverage economies of scale across jurisdictions.

What We Provide

• Credit and financial underwriting standards
• High quality origination and loan servicing standards
• Contractor and auditor standards and pre-qualification
• Energy assessment process management
• Prescriptive and performance options to maximize energy savings and ensure optimal cash flows
• QA/QC protocols
• Energy measurement and verification

SECONDARY MARKETS
Abundant Power Solutions is committed to the long-term scaling and securitization of energy efficiency products in secondary markets. We have developed proprietary programs and products to facilitate this process.

SERVICES

• Structure and aggregate individual loans
• Implement and negotiate long term take out
• Attract maximum leverage and salability to secondary markets

APPROACH

Structuring
APS structures products and financial solutions for secondary market execution that achieve the lowest cost of capital for the end borrower through a sustainable, scalable financial product that facilitates a broad institutional investor base. We arbitrate differences of opinions among investors to optimize viable pooled structures and mitigate risks. Our pricing approach assesses individual asset quality and type, risk diversification, credit enhancement features, and rating agency opinion.

Individual asset quality is driven by loan and property type, transparent underwriting, borrower credit quality, collection mechanism and security instrument. Energy usage data is a key quality and performance indicator once historical data is established, and we design a multi-variable data structure to allow investors to project performance based on project type and energy usage over time, overlaid with borrower behavior. We achieve risk diversification through a pooled structure that balances loan and geographic concentrations, considers a broad universe of assets, and can be applied to revolving funds, permanent financing vehicles and participating lender arrangements.

Credit Enhancement
For credit enhancement, we implement common techniques such as over-collateralization, senior/subordination, and hyper-amortization coupled with outside enhancements such as loan loss reserves, surety bonds and ESCO insurance. Although issuer recourse is a simple option, we structure cash flow prioritization and third party participation to provide a limited recourse vehicle that is sustainable. We model the ideal structure by engaging multiple investors with different risk/return profiles.

Underwriting and Servicing
APS designs underwriting protocols to accurately measure borrower credit risk, asset value and energy savings. Borrower ability and willingness to repay will be determined by general credit, income and net worth analyses. Asset value determination will incorporate both current lien holder’s valuation and an internal valuation, and APS will adjust underwriting policies to balance the inherent risk of each specific property type and geographic region. We base energy underwriting on utility usage data and historical performance of comparable energy improvements. Risk-based pricing allows the borrower to achieve an appropriate cost of funds in conjunction with appropriate investor returns.

APS leverages servicing systems, processes and policies based on best-practices for seamless, transparent servicing and optimal performance. Our servicing protocol includes superior data control and process automation, collection and monitoring polices that include early indication procedures to prevent serious delinquency and default, net present value decisioning for consistent and timely default resolution, and a default management plan that allows for optimal product, pricing and process improvement.

ENGAGEMENTS
Abundant Power Solutions and its strategic partners have considerable experience designing and implementing financial solutions for residential and commercial clean energy financing programs on behalf of municipalities, state governments and utilities throughout the United States. We bring a diverse set of backgrounds in corporate finance, consumer finance, private equity, energy policy and consulting, capital markets and corporate law to create innovative financial products that leverage public and private capital sources and credit enhancements. We are experts in negotiating mutually beneficial partnerships with financial institutions. Selected engagements include:

Selected Program Management Roles

• State of Alabama, Alabama Department of Economic and Community Affairs - Abundant Power designed and manages a statewide energy revolving loan fund for commercial and industrial properties in the State of Alabama. The fund was initially capitalized with $25 million through the federally supported State Energy Program and was structured to bring in over $50 million of additional private capital through credit enhancements. The program funds energy efficiency and renewable energy projects for existing businesses. For more information, please see www.AlabamaSAVES.com.


• St. Louis County, Missouri - Abundant Power administers a $10.4 million residential financing program for the County funded by the County's issuance of a Qualified Energy Conservation Bond. For more information, please see www.StLouisCountySAVES.com.


• Washington, D.C. - Abundant Power serves as the exclusive Financial Advisor to the District's commercial property assessed clean energy (PACE) financing program, which is expected to fund up to $250 million of energy efficiency improvements throughout the District. Abundant Power serves as a sub-contractor to the program administrator Urban Atlantic.


• City of Charleston, South Carolina - Abundant Power provided a full set of design, marketing, administration and financial advisory services for CharelstonWISE™ energy efficiency program. Abundant Power secured a $10 million Qualified Energy Conservation Bond allocation from the State of South Carolina to develop commercial energy efficiency financing project for Charleston and the surrounding areas.