While the ICP Protocols create a standardized roadmap for originating projects, building owners, investors, utilities and programs often struggle to evaluate proposals, with some capital providers citing weeks of effort chasing paper just to get all the documentation in order to even start evaluating evaluating a project. With the introduction of the ICP Software Provider Credential program, application providers will now be enabling an automated process for creating, documenting, and managing access the range of documentation necessary to facilitate technical validation.
We are pleased to announce the first six project development software tools that can meet the requirements of the Software Provider Credential through feature that are either in the market or will be by the end of 2014 qualifying each as ICP Credentialed Software Providers.
Using a Credentialed Software Provider's solution, Project developers will be able to standardize business practices and be able to bring standardized Investor Ready Energy Efficiency™ projects to a range of investors. Building Owners will have increased confidence in projected savings knowing that standard methods and documentation are in place and are easily third party validated. Investors, programs, and utilities can accept standardized project that have been third party verified by independent engineers, reducing overhead and redundancy - weeks of chasing down data and complex evaluation of uniquely engineered projects will be reduced to the click of a mouse.
In virtually all established markets, whether talking about car loans or timeshares, standardization and automation has helped to accelerate underwriting, reduce long-term liability, and spur investment. It is estimated that energy savings in the built environment offer a $1T green investment opportunity, but in order to achieve a fraction of this, the energy efficiency industry will need to scale up its capacity dramatically while streamlining and reducing transaction costs. The ICP Software Provider Credential is one more important step toward achieving an efficient market. Standardization of documentation is a critical step to enable senior markets to invest in energy efficiency project finance as a unique asset class, and streamline and reduce transaction costs for project origination channels by harmonizing the requirements across programs and funders.