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New Smart Power Alliance for Powerstar

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Powerstar, the world’s leading voltage optimisation (VO) system, is now part of an Asia Pacific alliance with Ultima Capital Partners, which is offering Australian organisations vendor finance on all Powerstar purchases including its new energy storage solution, Powerstar Virtue.

[gallery_images_placeholder] Powerstar VO systems are unique, patented energy saving solutions that match the incoming electricity supply to the needs of onsite equipment and return any excess energy back to the grid. Powerstar provides a 100% guarantee on power cost savings, reduces electricity consumption and cuts carbon emissions.

Because of the excellent average electricity savings of 12-15% per annum, the new financial arrangement can produce a positive cash flow from day one. This is particularly attractive for organisations that have impediments to purchasing capital equipment.

Mr Sam Czyczelis, Powerstar’s group sales manager Asia Pacific, said the new financing arrangement solves any problems that arise such as bank constraints and head office limits on capital expenditure.

“There are no upfront costs and the power savings gained are greater than the financing. It’s a very appealing proposal. Powerstar VO systems have a 50 year lifespan, so the cumulative whole-of-life net savings can be in the millions of dollars.

“Organisations can side-step funding restrictions and covenants by structuring the acquisition through a lease or rental arrangement, as they are not borrowing the money. In many cases, the only required security is over the equipment, which will be a big help for businesses,” Czyczelis said.

The Smart Power Alliance, of which Powerstar is a founding member, aims to enhance cooperation between users, regulators, suppliers and researchers for the adoption of energy efficient solutions. Ultima provides corporate advisory and investment management services and has a particular interest in energy management.

“How could organisations not be attracted to a ‘self-funding’ energy-saving device that doesn’t cost them upfront to purchase or install, has a low payback period and produces an immediate positive cash flow?” Czyczelis said.

“Importantly, it also helps them reduce their carbon emissions, enhancing their corporate social responsibility and green credentials.” The new structured financing offering would typically be over a five year period with the Powerstar unit fully funded at market competitive rates via a lease or rental arrangement. Because the annual cost savings significantly exceed the annual finance costs, the end user has an ongoing positive cash flow from installation.

About Paul Skelton

Paul Skelton

Multiple award seeking journalist and magazine editor Paul Skelton has been involved with the electrical industry for the best part of a decade. Email him at paulskelton@build.com.au.

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