VAYUs are virtual power purchase agreements under which large tax exempt energy users (governments, universities, etc.) acquire rights to VayuAI Corp. enhanced wind power and capacity. This accelerates institutional commitments to 100% clean power conversion for BOTH purchased energy and the output of proprietary campus based clean power systems.
VAYUs bring wind farms more power to sell at higher prices!
VayuAI assessments lead to virtual power purchase agreements (VAYUs) that deliver additional revenue to customers of $85/MWh or more.
For a substantial campus energy user, VAYUs kick off a net zero cost process that will both meet clean energy goals and result in more than $1B in additional cash flow.
Frequently Asked Questions.
Question: What is a VAYU?
Answer: A VAYU is a commitment by an energy buyer to purchase energy from an energy developer (seller) at a specific price (the “bid”). The buyer continues to receive energy from its local provider and the seller deliver energy to the power grid at a different location. If the local provider price is lower than its bid, the seller receives the difference. If the local provider price is higher than the bid, the seller makes up the difference.
Question: Why do wind farms sell VAYUS?
Answer: Wind farms sell VAYUS to support financing for wind farm development.
Question: Why should an investor buy VAYUS?
Answer: VAYUS are more valuable than ordinary VPPAs because they are backed by additional energy production and capacity that wind farms would not have access to without Vayu. VAYUS are less likely to be impacted by higher prices driven by energy scarcity.
Question: Where do I buy VAYUS?
Answer: VAYUS are sold regionally by tax exempt organizations. Contact Vayu for specifics.
Question: What makes VAYUs different from classic PPAs and the more recent VPPAs?
Answer: PPAs are classic industry energy buy-sell agreements involving actual purchase of energy (most often by utilities) with real “transfer of electrons”. PPAs have driven the financial aspects of energy development and production for a century.
VPPAs or “virtual power purchase agreements” are relatively new (~10 years) and do not involve actual transfer of power or electrons. VPPAs are more of a price hedge or guarantee (contract for differences).
Both PPAs and VPPAs are used for sales price assurance in financing energy development.
VAYUs are actually VPPAs that use wind energy financial infrastructure to support comprehensive clean power commitments (all clean energy sources).
Question: Why is Vayu offering special VPPAs (VAYUs)?
Answer: We are building a global Clean Power Reserve with proprietary virtual power purchase offers
(VPPAs) offered to wind farms for previously unidentified, additional power and capacity that Vayu
has qualified with its technology.
Question: What is the “Clean Power Reserve”?
Answer: VayuAI’s “Clean Power Reserve“ is our aggregation of accessible but untapped Clean Power which
VAYUs can play a critical development role.
Question: What is the state and timeline for the Clean Power Reserve?
Answer: We have already begun this work. To date we have identified two such Clean Power sectors with immediate accessibility- wind farms developed since 2005 (we are offering VAYUs here now) and campuses that run proprietary, on site natural gas powered energy systems (we will be offering these VAYUs soon). Significant clean power will be derived from these opportunities. We will provide much more information on Vayu’s Clean Power Reserve soon.
Question: Why do VAYUs have a special name?
Answer: We call our VPPAs “VAYUs” because they have special value added by VayuAI technology.
Question: How do I learn whether a wind farm qualifies for VAYUs?
Answer: Go to our Vayu Data web site (www.vayuaidata.com) to see the power opportunities we have
identified on 2,000 US wind farms.
Question: Do VAYUs have financial partners?
Answer: Our partners in VAYU proposals are Tax Exempt organizations with large campus power
requirements and commitments to 100% clean power within ten years. Our partners are:
1) colleges and universities,
2) cities, states and municipalities
3) Certain utilities
4) Large foundations and charities committed to climate change
Question: Why are Tax Exempt good financial partners?
Answer: The US government has recognized the impact ofTax Exempt campuses on climate change with its
“Direct Pay” provisions for Production Tax Credits in the 2022 Inflation Reduction Act. This is a
critical breakthrough for Clean Power on which VayuAI is leading the industry.
Question: How fast can VayuAI move?
Answer: We are making bankable commitments (with appraisals) now but can wait to develop until you are
ready.
Question: What will drive the success of the Clean Power Reserve?
Answer: Vayu clean power enhancements,