ROI Motivators to Push Energy Companies to Offer Energy-as-a-Service at Scale

 

Come September, IKEA customers in Sweden will be able to purchase renewable energy directly to their households, via a monthly subscription.

As Energy-as-a-service (EaaS) continues to gain more popularity among customers through the introduction of models similar to IKEA’s, energy companies are tasked with considering the benefits of offering EaaS.

To reflect on what ROI motivators would be the most effective in pushing energy companies to take this next step, MarketScale invited U.S. Energy Recovery’s CEO, Carl Kasalek, to discuss more about the future of EaaS, as well as IKEA’s model in comparison to other EaaS models.

“I dont believe the issue relies as much around ROI because as the end-user if you are receiving energy as a service then your purely paying a set fee for an agreed-upon service,” explains Kasalek,” and so the only ROI really involved in the equation is the fact that there’s a cost of capital for that equipment to be put in service.”

Kasalek also discusses what common concerns customers may hold in regards to EaaS, as well as what EaaS model he sees becoming most widespread in North America.

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