The following case review about a bioconversion developer demonstrates a typical dilemma that many emerging technology companies face. In order to scale up, develop and commercialize their operation, they must secure investment. However, investors can be cautious in new markets where supporting data is not yet available.
Renewable energy insurance: Supporting the development of bioconversion technology
Renewable energy technologies such as bioconversion plants provide a viable means of converting renewable feedstocks (e.g., woody biomass, energy crops, municipal waste) into electricity, liquid fuels and other valuable commodities. The marketplace is rapidly growing more excited about such technologies as awareness about climate change increases.
But new technologies are expensive and risky. Potential investors demand assurance that the risk of losing their money has been minimized.
The client is a developer of a U.S.-based manufacturing facility designed to convert woody biomass into transportation fuels, including jet, diesel and gasoline. The production process uses new and existing technologies to convert the woody biomass into liquid fuels.