METHODS, SYSTEMS AND AGREEMENTS FOR INCREASING THE LIKELIHOOD OF REPAYMENTS UNDER A FINANCING AGREEMENT FOR RENEWABLE ENERGY EQUIPMENT

• US 20080172346A1
• Filed: 05/18/2007
• Published: 07/17/2008
• Est. Priority Date: 01/12/2007
• Status: Active Grant

• Current Assignee: Spruce IP Properties LLC (Spruce Power Holding Corp.)
• Original Assignee: Clean Power Finance, Inc. (Spruce Power Holding Corp.)
• Inventors: Kremen, Gary, Coleman, David G.
• Granted Patent: US 7,698,219 B2
• Time in Patent Office: Days
• US Class Current: 705/412
• CPC Class Codes: G06Q 20/102 Bill distribution or payments
• 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: G06Q 40/06 Asset management; Financial planning or analysis
• CPC Class Codes: G06Q 50/06 Energy or water supply
• 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
• CPC Class Codes: Y04S 50/12 Billing, invoicing, buying or selling transactions or other related activities, e.g. cost or usage evaluation

Abstract

A business method is disclosed of increasing the probability of timely receiving payment for financing renewable energy consumer premises equipment (CPE) by a consumer for power generation at a consumer premises, the renewable energy CPE adapted to deliver power onto a power grid. The method comprises creating an agreement between a consumer and an entity financing renewable energy CPE, wherein creating the agreement includes creating a provision that allows the entity to control power at the consumer premises if a default of the agreement by the consumer occurs.

Claims

1. A business method of increasing the probability of timely receiving payment for financing renewable energy consumer premises equipment (CPE) by a consumer for power generation at a consumer premises, the renewable energy CPE adapted to deliver power onto a power grid, the method comprising:

creating an agreement between a consumer and an entity financing renewable energy CPE, wherein creating the agreement includes creating a provision that allows the entity to control power at the consumer premises if a default of the agreement by the consumer occurs.

2. The business method of claim 1 wherein creating the agreement includes creating a financial instrument incorporating the provision.

3. The business method of claim 2 wherein creating the financial instrument includes creating a power purchase agreement in which the consumer makes payments to the entity for the power generated by the renewable energy CPE.

4. The business method of claim 2 wherein creating the financial instrument includes creating an agreement in which the entity provides a loan to the consumer for the consumer'"'"'s purchase of the renewable energy CPE and the consumer makes payments to the entity for the repayment of the loan for the renewable energy CPE.

5. The business method of claim 1 wherein creating the provision includes granting an easement to the entity to continue operation of the renewable energy CPE at the consumer premises for a benefit of the entity.

6. The business method of claim 1 wherein creating the provision includes granting the easement to the entity to continue operation of the CPE at the consumer premises for the benefit of the entity as well as the consumer.

7. The business method of claim 1 wherein creating the provision includes creating a entity'"'"'s right to shut off the consumer'"'"'s power that is generated by the renewable energy CPE.

8. The business method of claim 1 wherein creating the provision includes creating the entity financing renewable energy CPE a right to shut off the consumers power that is received from the power grid.

9. The business method of claim 8 wherein the right to shut of power includes the right to shut off power by removing a component that turns off power from the power grid and the renewable energy CPE.

10. The business method of claim 3 wherein creating the provision with the entity'"'"'s right to shut off the consumers power includes creating a right to disconnect leads of the power grid that are connected to the CPE.

11. The business method of claim 1 wherein creating the provision includes creating a consumers requirement to make a plurality of payments to the entity incrementally over a period of time until a loan is repaid in full.

12. The business method of claim 1 wherein creating the provision includes creating a consumers requirement to maintain insurance or a bond for the renewable energy CPE.

14. The business method of claim 11 wherein the default created by the provision of the agreement includes a failure by the consumer to make a payment by a due date.

15. The business method of claim 1 wherein creating the provision includes creating a consumers requirement to pay real property taxes for the consumers premises upon which the renewable energy CPE is disposed.

16. The business method of claim 15 wherein the default created by the provision of the agreement includes a failure to pay the real property taxes.

17. The business method of claim 1 wherein creating the provision includes creating a consumer'"'"'s requirement to maintain a right of way to access the CPE.

18. The business method of claim 17 wherein the default created by the provision of the agreement includes a failure to maintain a right of way to access the CPE.

19. The business method of claim 12 wherein the default created by the provision of the agreement is a failure by the consumer to maintain the insurance or bond for the renewable energy consumer premises equipment.

20. The business method of claim 1 further comprising recording the agreement at an appropriate government recordation office.

21. The business method of claim 16 wherein the appropriate government recordation office is a county recorders office, secretary of state or a department of corporations.

22. The business method of claim 1 wherein creating the agreement include creating a provision in the form of a power of attorney governing communication between the consumer and a utility.

23. The business method of claim 16 wherein creating the agreement includes creating a provision in the form of a power of attorney governing all communication between the consumer and a relevant PUC.

24. The business method of claim 22 wherein the power of attorney is irrevocable.

25. The business method of claim 23 wherein the power of attorney is irrevocable.

26. The business method of claim 1 wherein creating the agreement includes creating a provision in the form of an easement to permit access to the renewable energy CPE.

27. The business method of claim 26 wherein creating the provision in the form of an easement includes creating a right of the entity or the entity'"'"'s agent to shut off the power by disabling the renewable energy CPE or any other equipment on the consumer side of a meter.

28. The business method of claim 27 wherein the agent is a trustee in a deed of trust.

29. The business method of claim 27 further comprising recording the easement in the agreement in the appropriate governmental recording office.

30. The business method of claim 1 wherein creating the agreement includes creating a right for the entity to communicate with a utility and to require that the utility shut off the power supplied to the consumer.

31. The business method of claim 30 wherein the right to shut off the power is irrevocable.

32. The business method of claim 1 further comprising creating an electronic recordation of execution of the agreement for evidentiary reasons.

33. The business method of claim 28 wherein the electronic recordation includes videotape.

34. The business method of claim 1 further comprising notarizing the agreement.

35. The business method of claim 1 further comprising obtaining a medallion signature guarantee for the agreement.

36. The business method of claim 1 wherein the CPE includes a component for shutting off power.

37. The business method of claim 1 wherein the component is adapted to be controlled by the entity or any authorized third party remotely from real property on which the renewable energy CPE is disposed.

39. The business method of claim 1 wherein the default created by the provision of the agreement includes a breach of any provision of the agreement.

40. The business method of claim 1 wherein creating the agreement includes creating a provision in which the consumer must notify the entity that there is a legal reason why power should not be shut off.

41. The business method of claim 40 wherein the provision in which the consumer must notify the entity includes a specific email or postal mail address to which the notification must be sent.

42. The business method of claim 40 wherein the legal reason is someone on life support equipment tied into the power.

43. The business method of claim 1 wherein the renewable energy CPE includes solar equipment.

44. The business method of claim 1 wherein creating the provision includes creating a consumer'"'"'s requirement to avoid tampering with any meter on the consumer'"'"'s premises for measuring power consumption or power generation or both.

45. The business method of claim 44 wherein the default created is breach of the provision to avoid tampering with any meter on the consumer'"'"'s premises.

46. The business method of claim 1 wherein creating the provision includes creating a consumer'"'"'s requirement to pay appropriate personal property taxes for the CPE.

47. The business method of claim 46 wherein the default created is a breach of the provision with the requirement to pay appropriate personal property taxes for the CPE.

48. The business method of claim 1 wherein creating an agreement includes creating a provision with a entity'"'"'s right to access the CPE.

49. The business method of claim 48 wherein the right to access is an easement.

50. The business method of claim 48 wherein the right to access is a license.

51. The business method of claim 48 wherein the creating the right to access the CPE includes creating the right to access the CPE locally and/or remotely away from the consumer'"'"'s premises.

13. The business method of claim 13 wherein the insurance includes fire and/or liability insurance.

38. The business method of clam 23 wherein the component is adapted to be controlled by the entity or any authorized third party locally on the premises of the consumer.

52. An agreement between a consumer and an entity suitable for financing the purchase, installation, and/or maintenance of consumer premises equipment (CPE) by the consumer, the CPE suitable for installation and power generation upon a consumer premises, the CPE adapted to deliver power onto a power grid, the agreement comprising:

a provision including a right provided to the entity to shut off power generated by the CPE in the event a default of the agreement occurs.

53. The agreement of claim 52 wherein the agreement is a financial instrument.

54. The agreement of claim 53 wherein the financial instrument is an agreement wherein the entity provides a loan to the consumer for the consumer'"'"'s purchase of the CPE.

55. The agreement of claim 52 further including a provision including the right to access the CPE on the consumer'"'"'s premises.

56. The agreement of claim 55 wherein the right to access is an easement.

57. The agreement of claim 55 wherein the right to access is a license to enter the consumer'"'"'s premises.

58. The agreement of claim 52 wherein the provision includes the entity'"'"'s right to shut off power by disconnecting cables of a power grid from the CPE and capping off such cables.

59. The agreement of claim 52 where the provision includes a entity'"'"'s right to shut off power by turning a locking switch in an off position.

60. The agreement of claim 52 further comprising a second provision providing the right to shut off power supplied to the consumer from a power grid.

61. The agreement of claim 60 wherein the second provision provides the right to shut off power except in special circumstances in which a utility is legally required to provide continuous power.

62. The agreement of claim 61 wherein the special circumstances includes when power is required to operate life support equipment.

63. The agreement of claim 52 wherein the provision providing the right to shut off power generated by the CPE includes the right to shut off power locally on the consumer'"'"'s premises or remotely from the consumer'"'"'s premises.

64. The agreement of claim 63 wherein the right to shut off power locally includes the right to shut off power using a switch within the CPE.

65. The agreement of claim 63 wherein the provision providing the right to shut off power generated by the CPE includes the right to shut off power remotely using a power interrupt device controlled by a source away from the consumer'"'"'s premises.

66. A method of financing a purchase of renewable energy consumer premises equipment (CPE) by a consumer for power generation at a consumer premises, the method comprising:

creating a financial instrument supporting a loan for the purchase of the renewable energy CPE by the consumer, wherein creating the financial instrument includes creating a right to shut off the CPE from generating power in the event a default of agreement by the consumer occurs.

67. The method of claim 66 wherein creating the financial instrument includes creating an easement to access the renewable energy CPE.

68. A business method of enforcing payment of a power purchase agreement for renewable energy using consumer premises equipment (CPE) by a consumer for power generation at a consumer premises, the CPE adapted to deliver power onto a power grid, the method comprising:

creating a power purchase agreement (PPA) in which a consumer agrees purchase power from the entity generated by the CPE for a period of time, wherein creating the PPA includes creating a provision providing the entity with an easement to permit access to the CPE and a right to shut off the CPE from generating power when a default of the PPA occurs by the consumer.

69. The business method of claim 68 wherein creating the PPA includes creating a provision requiring the consumer to make payments incrementally over the period of time to the entity to pay for power generated by the CPE.

70. The business method of claim 69 wherein the default created includes a failure to make at least one payment to the entity by a due date for power used by the consumer and generated by the CPE.

71. The business method of claim 68 wherein the default includes any breach by the consumer of a provision of the PPA.

72. The business method of claim 68 further comprising recording the agreement at the appropriate government recordation office.

73. The business method of claim 68 wherein creating the PPA includes creating a provision in the form of a power of attorney.

74. The business method of claim 73 wherein the power of attorney governs all communication between the consumer and a utility.

75. The business method of claim 73 wherein the power of attorney governs all communication between the consumer and the relevant PUC.

76. The business method of claim 73 wherein the power of attorney is irrevocable.

77. The business method of claim 68 wherein creating the PPA includes creating a provision providing the entity and its agent with the right to shut off the power by disabling the CPE or any other equipment on the consumer side of a meter connected to the power grid.

78. The business method of claim 68 further comprising recording the easement.

79. The business method of claim 68 wherein creating the PPA includes creating the entity'"'"'s right and authority to shut off power supplied from the power grid.

80. The business method of claim 68 further comprising creating a videotape of execution of the agreement for evidentiary reasons.

81. The business method of claim 68 further comprising notarizing the agreement.

82. The business method of claim 68 wherein the CPE includes a device for interrupting power that is adapted to be controlled by the entity or any authorized third party remotely from the consumer'"'"'s premises.

83. The business method of claim 68 wherein creating the PPA includes creating a provision wherein the consumer is required to notify the entity if there is a legal reason why power must not be shut off.

84. The business method of claim 68 wherein the legal reason is someone on life support equipment that requires the power for operation.

85. The business method of claim 68 wherein the renewable energy CPE includes solar equipment.

86. A business method of increasing the probability of timely receiving payment for financing renewable energy consumer premises equipment (CPE) by a consumer for power generation at a consumer premises, the renewable energy CPE adapted to deliver power onto a power grid, the method comprising:

creating an agreement in which a lender agrees to provide a loan to the consumer for the consumer'"'"'s purchase of the renewable energy CPE, wherein creating the agreement includes creating a provision that allows the lender to shut off power at the consumer premises if default of the agreement by the consumer occurs;

triggering a default of the agreement by the consumer; and

shutting off power generated by the CPE as a result of the default.

87. The business method of claim 86 wherein shutting off power includes shutting off power locally using a switch or other component.

88. The business method of claim 86 wherein shutting off power includes shutting of power remotely using deactivation codes.

89. The business method of claim 86 wherein shutting off power includes shutting off power remotely by failing to send period activation codes.

90-98. -98. (canceled)