Capital Productivity and Community Batteries.

Private Capital requires two markets and operation is complicated
Increased Investor Returns and Lower Electricity Prices

Summary

  • With Public Capital, there is no need for a Capital Market as each sale transfers Capital. It saves operating a Capital Market to transfer Capital.
  • With Public Capital, the “public” of investors and consumers own the asset. There are no shareholders with Public Capital. Instead, there are custodians.
  • With Public Capital, there is no change of ownership; hence there are no ownership fees.
  • With Private Capital, a Private Entity takes the risk on the Capital, while with Public Capital, members of the Public collectively take the risk.
  • With Public Capital consumers take Custody of the assets, with all the rights and obligations of ownership.
  • With Public Capital, the Capital moves twice as fast as Private Capital and hence is available for more investment. It moves twice as fast because there is no change in asset ownership — only a change in Public Capital ownership.

Example Calculation

Assume an investment of $10,000 results in a savings of $2,000 yearly for 20 years. With Public Capital and Public ownership, an investor would receive $1,000 per year for 20 years, and the Consumer would save $1,000 per year. The total investment Capital used is $10,000.

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