Crowdfunding for Renewable Energy How to win #HorizonPrize thanks to CrowdFunding Brussels, Belgium, 22 June 2017 Elena.BEIANU@ec.europa.eu https://ec.europa.eu/research/horizonprize/index.cfm?prize=photovoltaics https://ec.europa.eu/research/horizonprize/index.cfm?prize=lowcarbon http://www.eusew.eu/renewable-energy-horizon-prizes-%E2%80%94-crack-challenge Alex Raguet (Lumo) alex.raguet@lumo-france.com

CrowdFundRES project CrowdFundRES is a project funded by the European Commission aiming to contribute to the acceleration of the renewable energy growth in Europe by unleashing the potential of crowdfunding for financing renewable energy projects. Objectives: Deepen understanding of adoption of crowdfunding for financing renewable energy projects Analyse the challenges faced by the application of crowdfunding for renewable energy projects in Europe Develop and apply guidelines that support more effective practices Develop policy recommendations to improve the market and regulatory framework in Europe Promote the crowdfunding concept and its advantages among those who could contribute or raise funds

Consortium

1/ Why using crowdfunding Suggested by the organizer: Active public participation  Both prices are about important building for the commutity, so local involment make sense Way to get funding for something new, exicting, creative…  and more : free ticket for a museum Could be important for the massification phase?)

2/ How to use crowdfunding Case studies from CrowdFundRES Focus on 2 exemples Lumo for PV Bettervest for EE But other models too: donation, rewards Smaller amount than investment www.spacehive.com ?)

Renewable Energy Crowdfunding Case Studies Platform Abundance Lumo Oneplanetcrowd Bettervest / Green crowding Developer WindGen BNRG REG SERGIES n/a Hotel Magnetberg Technology Wind PV Ground PV Biomass Energy efficiency Location England France Netherlands Germany Installed Capacity 500kW 1,4 MW   20kWe, 40.1kWth Financial Instrument Debt Security Corporate Junior Bond Loan Tenn Period 1 year 20 years 9 years 8 years 7 years Total Amount Raised (€) 3.045.000 1.022.000 2.100.000 150.000 290.000 172.250 Total Capital Required (€) 1.900.000 2.000.000 %of Total Raised through CF 100% 7.89% 15% Number of investors 408 569 672 193 116 133 Interest Rate / IRR 12% 7% 8.4 - 9.3% 3.19% 7.5% Smallest Investment (€) 7 25 500 50 largest Investment (€) 315.000 70.000 140.000 20.025 30.000 10.000 Investors from abroad 4.17% 2.11% 2.53% 0% 2.58% www.crowdfundres.eu

Focus Lumo’s exemple Investors were invited to the inauguration Abestos removal and the locally assembled solar panelso?)

Focus Bettervest’s exemple • Installation of two heat and power (CHP) units of combined 20 kW electric power and 40 kW thermal power at Hotel Magnetberg in Baden-Baden, Germany • Previously, the heat was produced via a gas boiler, the power purchased from the grid. After the installation, annual savings of about 95.78 CO2 tons were achieved, a reduction of 29.4%. • Total cost: €172.250. • Annual energy cost savings: €32,201.  free night in the hotel as a perk ?)

European RES crowdfunding Market Volume 2015/2016 2015 European Online Alternative Finance Volumes Europe: € 5,5 billion In 2015 RES crowdfunding raised over € 65m, funding more than 300 projects in Europe In 2016 RES crowdfunding raised over € 11m, funding more than 60 projects in France European

Next steps Choose the right model: donation, reward, investment Choose the right platform: find a ‘local’ platform with ECN, local crowdfunding association, CrowFundRES, Citizenergy , UNDP, …  but be careful cross-border ‘not easy’ for investment ?)

Thank you CrowdFundRES project alex.raguet@lumo-france.com www.crowdfundres.eu

How to win the challenges: key messages Why and how to use crowdfunding for this 2 challenges Focus 2 exemples PV with Lumo and EE for an hotel Hotel with BetterVest But other models too: donation, rewards Give other exemples :Bulb in Town, Space Hive Size of market (EU and France) Advice: Find a local platform with ECN, CrowFundRES, Citizenergy , UNDP, local association, but be careful crossborder ‘not easy’ SERIES paneaux VMH www.crowdfundres.eu