In the face of escalating environmental concerns and the need for a more sustainable future, energy solutions have emerged as a critical imperative. The adoption of cleaner, renewable energy sources is paramount for mitigating the adverse effects of climate change, reducing carbon. footprints, and ensuring long–term energy security.
Sustainable energy solutions not only contribute to a healthier planet by curbing harmful emissions but also present economic advantages and job opportunities. Recognizing the urgency of this transition, Onsite Utility Services Capital plays a crucial role in facilitating organizations‘ embrace of sustainable energy practices. Onsite Utility Services Capital empowers organizations and institutions by offering access to cutting–edge energy technology through a straightforward savings–as–a–service model.
We have the pleasure of sitting down with Fritz Kreiss, the innovative CEO & Founder, to explore the journey, inspirations, and insights driving Onsite Utility Ser- vices Capital to new heights
What was the main factor that led to the establishment of the company? What was your initial goal?
I acquired an R&D company that was designing and engineering modular cogeneration systems. These systems. were built using modified car engines that ran on natural gas, producing electricity and utilizing the waste heat to achieve an energy efficiency of 90%, compared to a power plant’s 35% efficiency. Initially, we aimed to target nursing homes and health clubs with smaller systems.
However, when we introduced the product to the market in 1993, we faced the challenge of potential customers. not having it in their budget and being unwilling to borrow money. To overcome this issue, we decided to adopt a similar approach to utility companies. We would provide the investment capital, operate and maintain the equipment, and charge a monthly service fee for the energy, offering a discount compared to their current expenses.
This concept of Energy–as–a–Service allowed us to bypass. the capital expenditure problem that many companies faced. However, during the 90s, there were no funding or investment solutions available. We would sell a project and search for a single investor who could provide the necessary capital. The breakthrough came in the early. 2000s when institutional money became interested in solar power purchase agreements (PPA) due to the Investment Tax Credit (ITC).
This led to the development of large–scale solar projects in New Jersey, attracting both private equity and institutional funding. With this newfound support, we were able to establish a national sales and installation network, enabling us to expand the company on a larger scale.
Our clients appreciate the level of comfort in working with a company who has ‘been there, done that’ with energy solutions.
Take us through the journey of the company. What have been the most significant accomplishments and milestones so far?
We have been very methodical in the development of Onsite starting from developing training and processes because selling Energy–as–a–Service is very different than selling a piece of equipment. We started with training portals, building out a suite of energy solutions so engineering and design could be simplified, and how we would recruit and work with channel partners that already have clients they work with that we could tap into. This has allowed a small company to build a project pipeline of $4 billion which is attracting more partners and funding companies looking to deploy capital.
What kind of solutions does the company provide? Can you explain more about your ‘Savings as a Service‘ platform?
Onsite helps companies reduce their carbon footprint, save energy, and improve cash flow with Zero Investment or Debt for the company allowing the organization to keep their capital focused on their primary focus like growing the company revenue. We deploy our solutions through local mechanical, electrical, HVAC companies to do the energy audits, installations, and service work over the service term. Whether it is onsite energy generation or improving the energy efficiency of a company’s building infrastructure.
What approaches and strategies do you follow to solve energy challenges for companies, facilities, and institutions across North America?
The US and probably businesses all over the world are very first cost conscious which means they look at how much money up front is needed versus what is the operating cost of that equipment over the life span. This means they install less energy–efficient equipment because it costs less upfront but costs a lot more over its life span. We simply provide energy upgrades that bring the equipment up to the optimal energy efficiency and then we charge a monthly service fee that is less than they currently are spending and of course, they reduce their carbon footprint at the same time. Since Onsite owns the equipment it supplies, we also provide all of the maintenance and service on that equipment over the service term which could run from 5 to 25 years depending on the technology being applied and invested in.
Driving force behind Onsite Utility Services Capital Fritz Kreiss
A pioneer in the energy industry, Fritz is the founder of Onsite Utility Services Capital, and a Certified Energy Procurement Specialist with the Association of Energy Engineers, developing holistic energy solutions that integrate multiple systems for optimum energy savings.
He is also Founder and President of Alternative Utility Service, a licensed nationwide energy broker and consultant.
