Systems and methods of reducing financing costs for renewable energy consumer premises equipment

• US 20080091581A1
• Filed: 01/12/2007
• Published: 04/17/2008
• Est. Priority Date: 10/17/2006
• Status: Abandoned Application

• Current Assignee: Clean Power Finance, Inc. (Spruce Power Holding Corp.)
• Original Assignee: Clean Power Finance, Inc. (Spruce Power Holding Corp.)
• Inventors: Kremen, Gary
• Application Number:
  US11/653,044
• Publication Number:
  US 20080091581A1
• Time in Patent Office: Days
• US Class Current: 705/35
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: Y02P 90/90 Financial instruments for climate change mitigation, e.g. environmental taxes, subsidies or financing
• CPC Class Codes: Y04S 10/50 Systems or methods supporting the power network operation or management, involving a certain degree of interaction with the load-side end user applications

Abstract

The present invention teaches a variety of systems and methods for reducing borrowing and financing costs for renewable energy consumer premises equipment (CPE). The present invention contemplates grouping financing for a plurality of consumer for purchase, lease, installation and/or maintenance of renewable energy CPE for power generation at consumer premises. The renewable CPE may be attached to a structure on the consumer premises, disposed free standing on the consumer premises, or utilized through any other suitable means on the consumer premises. Certain aspects are directed towards grouping loans secured by some aspect of the CPE, forming financial instruments based on the grouping, and creating a market supporting the creating and trading of the financial instruments.

Claims

1. A business method of financing renewable energy consumer premises equipment (CPE) by consumers for generating power at consumer premises, the method comprising:

(a) offering loans to a plurality of consumers for financing CPE;

(b) grouping the loans to create one or more financial instruments;

(c) securing each specific loan against one or more of the following;

(1) a power proxy associated with power generated by a specific CPE;

(2) real property on which the specific CPE is disposed; and

(3) the specific CPE.

2. The method of claim 1 wherein a given power proxy associated with power generated by a specific CPE includes receivables, and the securing includes forming a receivables security interest in the receivables associated with the power generated by the specific CPE

3. The method of claim 1 wherein a given power proxy associated with power generated by a specific CPE includes power, and the securing includes forming a power security interest in power generated by the specific CPE.

4. The method of claim 1 wherein a given power proxy associated with power generated by a specific CPE includes a housing segregating the power generated by the specific CPE from power originating elsewhere, and the securing includes forming a housing security interest in the housing.

5. The method of claim 1 wherein securing a given power proxy associated with power generated by a specific CPE includes forming regulatory rights in the power generated by the specific CPE.

6. The method of claim 1 wherein a given power proxy associated with power generated by a specific CPE includes rights of intervention of the specific CPE, and the securing includes forming an intervention security interest in the rights of intervention of the specific CPE.

7. The method of claim 1 wherein the securing each specific loan includes taking a security interest in the real property through either one or more mortgages, and/or one or more deeds of trust.

8. The method of claim 1 wherein the securing each specific loan includes taking a security interest in a specific CPE created through a UCC1 statement.

9. The method of claim 1 wherein the securing the loan against the real property including taking a security interest in the real property through either one or more mortgages, one or more deeds of trust and/or conditional sales contract.

10. The method of claim 1 wherein the securing further includes taking a security interest in a chattel mortgage.

11. The method of claim 1 wherein at least one of the financial instruments includes at least one bond.

12. The method of claim 1 further comprising selling ownership interests in the financial instruments to an entity and securing the securities against payment streams for the loans.

13. The method of claim 12 wherein the ownership interests include a plurality of groups of tranches.

14. The method of claim 13 wherein the plurality of groups of tranches have tranches with at least two different credit ratings.

15. The method of claim 13 wherein at least one tranche includes:

(a) principal only;

(b) interest only;

or

(c) principal and interest combined.

16. The method of claim 13 wherein at least one tranche has late fees associate therewith.

17. The method of claim 13 wherein at least one tranche includes an attribute of the power generated by the specific CPE.

18. The method of claim 17 wherein the attribute associated with the power generated by the CPE include one or more of the following credits:

(a) emission reduction credits;

(b) tradable renewable credits;

(c) independent power production credits;

(d) grid congestion credits;

(e) royalty credits;

(f) green tag credits; and

(g) power production credits.

19. The methods of claim 18 wherein the credits include one or more:

(a) federal tax credits;

(b) state tax credits;

(c) utility credits;

(d) third party credits;

(e) subsidies; and

(f) rebates.

20. The method of claim 18 wherein the credits exist now or will exist in the future.

21. The method of claim 18 wherein such royalty credits include:

(a) an option to purchase some or all of the specific CPE;

(b) a divided or an undivided interest in the specific CPE;

(c) a right to receive a certain amount of an output from the specific CPE; and

(d) royalty interests in the specific CPE.

22. A method of providing financing to consumers to enable the consumers to finance renewable energy consumer premises equipment (CPE) for generating power, the method comprising the step of:

(a) raising money from a plurality of investors for financing CPE by a plurality of consumers;

(b) issuing bonds to the plurality of investors for the money raised; and

(c) securing the bonds against one or more of the following;

(1) a power proxy associated with power generated by the CPE;

(2) real property on which the CPE is positioned; and

(3) the CPE.

23. A method of financing renewable energy consumer premises equipment (CPE) by consumers for generating power, the method comprising the steps of:

(a) offering loans to a plurality of consumers for financing CPE;

(b) securing the loans against one or more of the following;

(1) a power proxy associated with power generated by CPE;

(2) real property on which the CPE is positioned; and

(3) the CPE; and

(c) selling the grouping of loans to an entity in the form of one or more of the following;

(1) revenue bond;

(2) general obligation bond; and

(3) private activity bond.

24. A business system for financing purchase, lease, installation and/or maintenance of renewable energy consumer premises equipment (CPE), the business system comprising:

a plurality of financial instruments based on a plurality of renewable energy CPE, wherein a first financial instrument is based on first security interest in a first power proxy associated with power generated by a first CPE, and a second financial instrument is based on a CPE security interest in a second CPE; and

a market suitable for creating and trading said plurality of financial instruments.

25. The business system as recited in claim 24, wherein the first financial instrument is further based on a first CPE security interest in the first CPE.

26. The business system as recited in claim 24, wherein the plurality of financial instruments further includes a third financial instrument based on a real property security interest in a consumer premises associated with a third CPE.

27. The business system as recited in claim 24, wherein the first CPE is a solar power CPE.

28. The business system as recited in claim 27, wherein the second CPE is a wind power CPE.

29. The business system as recited in claim 24, wherein the first financial instrument is based on security interests in a plurality of power proxies associated with a plurality of CPE.

30. The business system as recited in claim 29, wherein the plurality of CPE includes at least two different renewable energy source CPE.

31. The business system for financing purchase, lease, installation, and/or maintenance of renewable energy consumer premise equipment (CPE), the business system comprising:

a plurality of financial instruments based on a plurality of renewable energy CPE, the plurality of financial instruments useful for financing purchase, lease, installation, and/or maintenance of the plurality of renewable energy CPE; and

a market suitable for the creation and trading of the plurality of financial instruments, the market including CPE installers which market services by introducing consumers to financing options through the plurality of financial instruments, and brokers who facilitate the formation of the plurality of financial instruments.