InoCoA proposal II- financial terms

Individual Cost Savings Based Approach

InoCoA wants to provide clients with a solution that:

a) significantly reduces harmful emissions and
b) gives the client long term cost savings

Individual Approach:

InoCoA understands that each Power Plant has an individual cost and input structure in regards to among others:
– Heat Content of Coal
– Cost of Coal and Contract Lengths of Coal
– Carbon Emission Cost

Pricing Approach:

– Pricing for the H-I will be based on a comparison between i) the current cost for coal + carbon certificates and ii) the new cost of coal (reduced usage + the reduced
need for carbon certificates (or even the value of selling carbon certificates)
– It is the aim of InoCoA to offer a price that is [6-7%] below the original cost for coal and carbon certificates
– The pricing will be adjusted dynamically to reflect changes of the price of coal and carbon certificates (power plant based, not market based)
– InoCoA can also agree to longer term pricing