Vestfind aims to provide a meeting place for actors working with Renewable Energy Projects. By providing a easily searchable database of projects as well as actors we hope to make the transition to an environmentally friendly energy sector faster and easier.
For RES developers...
- Simplified and expanded market access makes it easier to find financiers and partner companies needed to realize projects.
- No need to pursue partners without initial pre-selection which reduces development costs.
- Increases competition and likelihood of success due to access to large quantity of potential candidates.
- Comprehensive open and updated database, making it easy to find investment projects or RES partners to supply services towards.
- Increases screening churn and likelihood of success due to quantities of potential projects.
- Reduces screening costs by providing categorized up to date listings of projects.
- Reduces transaction cost for RES build-out, since resources does not have to be spend on broker or marketing services, nor extensive browsing for suitable partners.
- Reduction of bottleneck rent by allowing for direct peer-to-peer access, with new market entrance participants and innovation.
- Reduces overall cost for renewable build-out, thus speeding up energy transition with environmental gain.
Renewables are gathering momentum
The renewable energy transformation is progressing at a remarkable pace, driven by ever larger scale that drives cost reductions, which in turn drives further build-out and scale – a virtuous spiral towards a subsidy free renewable energy world where renewables are simply build-out on market terms.
This positive spiral in conjunction with competition has reduced cost of new renewables to very low levels, but there is still some way to go across most markets to reach full grid parity without any direct or indirect subsidies for renewable energy generation.
Clouds on the horizon
The renewable transformation is unfortunately not evolving at the pace needed to solve or even sufficiently mitigate global warming and avoid costly environmental harm. New renewables still only constitute a few percentages of global supply. The solution is to speed up the build-out pace – and to do that we have to continue to reduce the cost of renewables, in order to make them competitive vis-a-vis the fossil based competition.
Cost reduction levers such as increased scale and low rate of returns have already been utilized – with the former dependent on accelerating build-out pace and the latter being exhausted since driven by already stiff competition and extraordinary low interest rates which cannot be sustained in the long run.
What has yet to be utilized though, are the organizational levers of the market and the untapped potential which digitization and social media has ushered in. Renewable developers are still doing their utmost to find the right financial partner or utility buyer to make their project fly, or the right development, EPC or legal parters to further mature their projects. This is currently being done by flying across continents pitching ideas to a wide range of stakeholders; drafting prospects, legal documentation and using middle men companies to find potential investors.
On the other side of the equation you have utilities, financial firms, EPC suppliers and manufacturers doing their utmost to find potential development parters to leverage their local expertise to find attractive viable projects. In the middle you have consultancy bureaus, utilizing their expertise and networks to match these interest with sometimes hefty fees involved.
Vestfind – the Deus Ex Solution
What if there just was a meeting place online instead, where all actors could find each other without the need for intermediate companies, nor scouring the Internet for news and potential contact persons for projects that might be out of date anyhow? This would smoothen the renewable build-out process, for a fraction of the cost of the current market setup and way of engagement.
Vestfind’s intention is simply to do just this! Bringing together partners across the renewable spectrum through a modern communication platform, where the content is supplied by the developers for the prospecting parters to find.
This should spur greater competition within the value chain – reducing the cost of build-out while changing the power dynamics of the industry. It will also encourage healthy competition between developers, creating better market functioning for all parts of the renewable development value chain
The potential impact
Vestfind will lower the transactional cost in-between participants across the renewable value chain, and thus utilize the market design layout to further reduce the cost of the renewable build-out. The cumulative value of this should not be underestimated. A mere €3 / MWh less in average LCOE might mean a doubling of build-out pace though positive feedback loops in the coming decades. Thus further bringing down costs for society and possibly removing hundreds of GW of polluting capacity decades before its baseline due-time.
Furthermore due to political considerations being made on the grounds on renewable subsidies, the marginal effect of lower RES LCOE might be to either clear the market threshold and release Hundreds of RES GWs for development, or at least double the available build-out volume for the assigned budget
This is why we are supplying this service – and hope that the world will make good use of it!