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WHY SHOULD I INVEST IN SASPRO TOKENS

 

 

THE CASE FOR INVESTING IN SOLAR ENERGY

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In January 2008 Eskom introduced "load shedding", a system of planned rolling blackouts based on a rotating schedule, in periods where short supply threatens the integrity of the grid. Demand-side management has focused on encouraging consumers to conserve power during peak periods in order to reduce the incidence of load shedding. Actual load shedding started already as early as in the latter months of 2007 when South Africans started experiencing widespread rolling blackouts as supply fell behind demand, threatening to destabilize the national grid. With a reserve margin estimated at 8% or below, such "load shedding" is implemented whenever generating units are taken offline for maintenance, repairs or re-fueling (in the case of nuclear units).

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Since its implementation in 2008 load-shedding has become part of everyday life in South Africa with devastating effects for the economy, especially small and medium enterprises. The inconvenience caused to the average citizen has escalated to a stage where outright disgust and a desperation to implement sources of alternative energy is at extreme levels. However, with the average cost of a home solar system at +R 230,000.00, more than 90% of average households are simply unable to afford the cost of a solar system for domestic or SMME businesses. The fact that municipal indebtedness to ESKOM is now approaching R 30 Billion clearly demonstrates that consumers already find the cost of electricity simply unaffordable. The stability, affordability and continued supply of electricity to the +12,9 million formal homes in South Africa has reached a critical stage both in terms of continued supply and affordability.

 

Eskom has once more applied for an increase in electricity prices of 15 % for each of the next three years. This increase is 326% higher than the current inflation rate of 4,6% in South Africa. This increase is necessitated by the Power Utility’s need to stay afloat. With a debt burden of more than R420 billion, a credit rating by International Rating Agencies at sub-investment grade (CCC+), the sole supplier is no longer able to raise further debt on the majority of international markets and are no in the hands of consumers and the South African Government for funding. That increase applied for is an attempt to raise an additional R884 billion over the next 3 years just to stay afloat. For further information on ESKOM’s woes go here.

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HOW PROFITABLE WILL MY INVESTMENT BE?

 

  1. Investors will be paid 12% interest per annum on their investment.

  2. Interest will be paid quarterly in arrears.

  3. Capital will be repaid at 8,34% annually on the anniversary date of the Investment

  4. Tokens will be listed on at least 3 exchanges.

  5. The SASPRO project creates a real-world use case for the SASPRO Token because customers will pay their monthly rental installments in SASPRO Tokens.

  6. Only 21 million Tokens will be created.

  7. Investors have the option to receive their interest and capital repayments in crypto or fiat currencies.

 

WHAT ARE THE CHANCES THAT TOKEN PRICES WILL INCREASE IN THE FUTURE?

  1. Only 21 million SASPRO Tokens will ever be created

  2. The SASPRO Token is one of only a few Crypto Tokens with a real-world use case and an inherent demand? Customers will be required to pay their monthly rental installments with SASPRO Tokens.

  3. By 2021 annual rental installments due will already amount to ZAR 12,5 million and will reach ZAR 31 million by 2022

  4. By 2022 Solar Systems generating 1020 MWH of electricity will have been installed on a “rent to own” basis at an estimated 1,246 residential and small business sites across South Africa.

 

HOW WILL MY RISKS AS INVESTOR BE MITIGATED?

  1. Full compliance with the South African Regulatory and legal framework. These regulations include those issued by S.A Treasury Department, The S.A. Reserve Bank, the Financial Sector Conduct Authority, the S.A. Financial Intelligence Center and the S.A. Revenue Services.  

  2. Investments are backed by hard assets – solar systems made available and installed at residential and small business properties on a “rent to own” basis. (For more details read the relevant sections in the White Paper).

  3. Solar Systems subjected to rental agreements will serve as collateral for investments through formal hypothecation of the Solar Systems installed.

For further risk mitigation visit the relevant section in the White Paper.

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