New technologies sometimes dictate thinking a bit outside the box. The new technology is, by its own definition, “new” and requires new ways of thought when dealing with its integration into a market. The more accepted ways of looking at a new technology sometimes just don’t measure up to the requirements of the new technology. Breaking accepted ways of thinking , when considering new technology, is often a good way to profit without really knowing that you’re profiting by doing something new.
Nacel Energy Corp., an alternative energy company, works to provide clean alternative wind energy to local communities. The company has reached its initial goal of 64 megawatts of power generation and has 640 megawatts under development. Through the 2010 period, the company hopes to reach the 1,000 megawatts level.
As new technologies arrive to address the world’s energy issues, so do new forms of business models and financing. Wind energy has been adopted by many alternative energy investors, as has its unique form of financing. In a general sense, a new form of energy has found a new form of financing where the community benefits without restrictions and the uncertainty of government incentives. The new integration form comes in two parts; Community Wind and Wind Vest. The first helps with governmental issues surrounding the lack of government subsidies, while the second involves a proprietary financing formula that lets commercial for-profit companies partner more easily to make the financing work. As Nacel Energy completes project after project and builds its total megawatts in place, it will find great advantages in these programs for future growth.
Interestingly, several other wind energy companies are following a similar path to becoming profitable in a relatively new market. Generally speaking, most wind companies in operation today are working in the 1,000-2,000 megawatt range and adding wattage on a regular basis. Some larger scale, “corporate” wind energy producers may be following a slightly differing business model with huge wind farms, but the smaller community model appears to be gaining acceptance more readily. And, although it is premature to suggest that some of these companies may begin to come together for regional scale, it is not out of the question. The technology and need are here; the only remaining task is taking advantage and profiting from the wind and a “new” way of doing the business of wind.
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