For this Company Spotlight, we interviewed Exergy Energy’s Chief Executive Officer (David March). Exergy Energy is a Concierge Utility™ that installs, owns, and operates backup generator sets sized to power 100% of a facilities’ load during times of power outages and peak utility usage. For more information on Exergy Energy, please visit www.exergyenergy.com.

Background: Prior to co-founding Exergy Energy in 2018, David March was a Founder and Managing Partner at Entropy Investment Management, a leading renewable energy development company where he oversaw completion of 43 projects exceeding 420 MW and $700 million of invested funds. During his time there, the renewable energy sector for utilities and residential applications matured, but the commercial & industrial (C&I) sector is still underserved with only point solutions and no turnkey/integrated solutions. Exergy Energy was founded with the mission to be a Concierge Utility™ for C&I companies where energy is mission critical, but they don’t want to own, operate, or manage complex energy needs. In 2022, Exergy Energy received a minority investment from Cummins.

Value Proposition: Exergy serves as a fully integrated Concierge Utility™ to its customer by providing the following unique features:

Zero CAPEX: Covers 100% of the upfront capital expenditure for their power resiliency solution as well as all the associated maintenance costs over the term of the agreement (typically 10 years). The customer only pays a simple, monthly fee. At the end of the contract term, the customer owns the equipment.
24/7 Management: Handles energy procurement for the entire contracting process. When appropriate, Exergy runs a reverse auction to incentive suppliers to provide the best value. Exergy also assists with obtaining insurance, putting in place grid support programs, and filing for the applicable registrations and licenses.
100% Power Resilience: Provides onsite backup generation equal to 100% of peak power requirements, ensuring that all business functions are operational in the event of a power disruption. When backup power is not required, the power generation equipment is utilized for grid-support programs, and the cash flows earned from that is split with the customer to offset their monthly fee.
Reduces Carbon Footprint: Helps customers meet their ESG goals by identifying, installing, and commissioning new equipment that reduces their carbon footprint and improves sustainability. Further, Exergy’s team quantifies and communicates carbon reductions, thereby removing reporting work required for tax credits and Energy Star certifications.

Closing Thoughts: Power outages have increased 14-fold in last 10 years due to a combination of aging infrastructure, more intermittent power supply, and increasing electrification, so organizations are having to devote more time and resources to plan for these events. Solutions like Exergy’s make that planning seamless and economical. We look forward to following the company, as they continue to help more C&I organizations with their backup power and ESG initiatives.

Company Spotlights

April 2023