Singapore-based IDPM – a specialist engineering, design and project management business headed by principal Nigel Grier – has raised $1.15 million (S$1.59 million) in notes to fund a sustainability project in Bali.
The firm provides services in the energy, water and waste management sectors in SE Asia.The notes were raised through a private placement of 46 bonds in multiples of $25,000 being issued to investors.
Grier said: “Our convertible note is essentially a Green Bond that IDPM issues to fund clean energy, water & zero waste services. The notes are $25,000 each and will pay interest every six months of 6% (12%+ pa) and mature after five years.”
Asked about the prospects of the utilities space in Bali for such investments, Grier elaborated: “The prospects are very good as we bridge a gap between operator and asset owner. The bonds yield 10% IRR if not converted as a fixed income product. Projects that we invest in are 20% IRR and above. Exit for equity conversion will be through IPO.”
In addition to Bali, IDPM will also be developing an integrated energy & water micro-grid (iMG) in South Lombok for Selong Selo Residences, a resort project. iMG is a local property-scale distributed system where both energy and water are created, harvested, distributed, consumed, reused & recycled onsite.
This particular grid will be able to generate up to 2MW of Solar PV and 50kW of micro-hydro energy when completed, with the addition of biomass gasification capability. It will be able to harvest and treat storm water and rain water as well as recycle wastewater.
He says, “For a country like Indonesia struggling to provide these basic human needs services, it doesn’t make any sense to follow the mistakes of the developed world with large centralised systems where we now know and can see that the future is about integrated property scale and distributed systems of energy, water and waste management.”