Ratings of Ukrainian renewables market players. User manual.
One of the goals of GetMarket platform is to provide objective and up-to-date data on Ukrainian renewable energy market and the processes that are going on within it. We are convinced that common understanding of the industry will help stakeholders form a more quality and farsighted vision for its development. A sustainable development is not possible without it anyway.
Consulting companies, lawyers, financial institutions, etc. are important but not crucial market players. Critically important are the companies who directly provide services and perform works for renewable energy projects. Contractors, equipment suppliers, designers, installers.
That is why we have created the rating system for these companies. It is comprised of the criteria evaluating different aspects of each participant’s activities. And an algorithm, which allows a constant update of values, thus a high level of data actuality. A more detailed description of the rating system’s structure is in the presentation: https://getmarket.com.ua/assets/images/GetMarket-ratings-system-ENG.pdf
But in addition to understanding the basic algorithm, it is important to be able to “read” the system and make your own conclusions.
Investor’s decision regarding which company will build their future projects depends on many factors. In practice, criteria for choosing can vary a lot between investors and projects.
However, for start it is good to know all the players in the market. Through data collection and involving new participants in our ratings, we reach our first goal – providing a full view on the market for its players.
Task number two is to define who is who on the market. What companies have an experience as EPC contractors, instead of performing only part of the works? Which companies have worked under EPC contracts in line with international practices? Who offers engineering as a separate service, and who offers it only in complex with others? Who has a positive reputation with the banks offering products for renewable energy?
Developing our ratings, we did not want to show “better” and “worse” companies. Our first goal was to classify the market players. For example, we can divide the solar EPC contractors into following relative groups:
- “Leaders” who have the highest number of commissioned projects, large personnel, and usually high level of workload. These companies have experience on their side, but on the other hand can be less flexible in terms of project timelines and prices.
- “Contenders” are the companies who have not reached the level of “leaders”, but still have substantial experience and resources. It allows them to compete with the leaders, especially in medium sized projects segment.
- “Middleweights”. They have sufficient resources to take on projects of small and medium capacities, and have a high potential for growth. Some companies from this category has been created by investors as EPC companies for their own projects. So it is reasonable to expect a high quality of work from them.
- “Local players” are usually in the lower part of the table. But not because of low quality of services. Their projects can be very high-quality, but their total capacity and quantity does not allow to compare these companies to others. Also, here you can find companies who although very experienced in solar projects, rarely act as an EPC contractor.
By defining the companies’ niches and positions, we help investors and consultants to navigate better, and find an optimal answer to the “who to work with?” question. As I wrote earlier, factors for choosing can be very different and individual: project timelines, pricing policy, scope of obligations and guarantees in the contracts, attitude of banks to the company.
We hope that by creating an opportunity for investors to compare their criteria with our ratings, we will help Ukraine to develop more quality projects, bring in more investments, fulfill our international obligations, improve health of our citizens, and help the global climate.