Products & Services
Green BTS-Telcos
OPEX Model
OPEX Model
In the OPEX model, a 3rd party energy service company (ESCO) invests the CAPEX and the Operator pays monthly for the energy usage. The responsibility of ensuring 24x7 Power availability including site operation, maintenance & refueling lies on ESCO’s shoulder.
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Zero investment for the MNO.
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Indicates direct savings.
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No operational hassle.
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Let the experts do.
Financial Analysis:
CAPEX Model
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Operator has to invest all CAPEX either from its own source or from capital market; therefore financial risk belongs to Operator.
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IRR and NPV of Green Power deployment is significantly more attractive.
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For mass deployment, CAPEX investment is a barrier since it may require hundreds of millions of dollars.
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OPEX Model
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Operator does not have to invest for CAPEX, therefore no financial risk to deploy green power.
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IRR and NPV increases for telecom site since site OPEX reduces.
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Since mass deployment increases the business opportunity for ESCO, it comes more viable to invest.
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Operational Analysis:
CAPEX Model
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Regular day-to-day site operation is the responsibility of the operator.
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All cost related to site operation is incurred by the operator.
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Site uptime and SLA maintenance is typically on the operator. If it fails the Operator bears all financial loss/penalty.
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OPEX for technical operation is low.
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OPEX for site operation is high.
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OPEX Model
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Site operation is a responsibility for the ESCO; therefore Operator does not need to deploy resource for site operation.
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Operator pays only based on energy usage, a pre-agreed rate, therefore operational cost is forecast-able and comparatively lower than DG based energy cost.
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SLA and Uptime is the responsibility of the ESCO. If it fails, the ESCO bears the penalty.
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Strategic Analysis:
CAPEX Model
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All asset of green power belongs to the operator, therefore increases portfolio & branding value of the organization.
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Maximize utilization of existing assets.
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Easy to cope with variable changes.
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Multi 3rd parties´ engagement makes the model complex for operator to handle at last mile.
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Increase debt for organization.
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OPEX Model
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Easy to control last mile performance since the ESCO is the only last mile partner.
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Full benefit of GHG emission reduction.
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Increases complexity of state management.
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Not so easy to cope with increased power requirement on a regular basis.
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Reduces the risk of unforeseen energy OPEX due to market change and consumer inflation.
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