Bundles

One of the main characteristics of EACs is that one certificate originates from exactly one specific device and one time-frame (see https://energyweb.atlassian.net/wiki/spaces/OD/pages/883916918 ). In order to offer certificates from multiple devices and/or multiple time-frames while still adhering to this principle, sellers have to create certificate bundles. Bundles are products that are compiled from a number of different EACs that are offered to buyers as one entity. The Origin SDK includes the bundles-feature that lets sellers choose a number of different EACs and offer them as a bundled product. 

There is a number of reasons why sellers might choose to bundle their EACs. The goal is mainly to increase the price per certificate that can be achieved considering the overall inventory of the seller. One strategy is to couple high-value EACs like solar with lower value EACs like big hydro. By offering both technologies as a bundle, it is hoped that on average a higher price per certificate can be achieved. Meaning that the high value solar increases the hydro certificate price in such a way that a higher return can be achieved compared to selling both EACs individually.

In the most extreme case, it is hoped to at least receive a very small price per certificate for EACs that would otherwise be hard or impossible to sell at all. Because of the nature of EAC markets, the probability to sell an EAC for a good price decreases with time. Sustainability reports are mostly done for the previous year and organizations like RE100 forbid companies to use EACs for reporting that are older than one year. In order to sell all of the EACs that they have in the inventory, sellers can bundle EACs that have not been sold or that they already expect to be hard to sell and, this way, make them more attractive for buyers before they lose all of their value. 

Sellers can also use bundles for targeted marketing of their EACs. Bundles allow sellers to sell a story that can result in a price premium. They could, for example, bundle all EACs from one region and offer this to buyers from that region. Or they could bundle EACs from one technology but multiple generation devices, for example, multiple different solar farms and market this to buyers that are especially interested in this technology. The goal here is also to increase the price per certificate by making the packaged offering more attractive.

Contents

  1. Create Bundles:https://energyweb.atlassian.net/wiki/spaces/OD/pages/1340637219

  2. Purchase Bundles: https://energyweb.atlassian.net/wiki/spaces/OD/pages/1340702788