To date, we are working on three projects. I traced Arctech for a couple of years and we decided two years ago to utilize them in one of our Asian projects. And of course, you meet once, and you don’t always do business together the day after you first meet. Working together usually starts with relationships.
How long have you been installing their products? IB Vogt has been working with Arctech Solar for trackers and mounting structures. In detail that means that we check what the engineering looks like, what the team backgrounds are and what the general experience is in the industry. Based on these underlying criteria, we always check the balance sheets, conduct audits, review supply chain expertise and look at the quality of staff. Well, we have repeatable questionnaires to ensure all bankability criteria raised by banks, lenders and technical advisors will be considered and are available at any stage of a project. What about bankability? Do you test that? So raw material is a key item for the selection of the supplier. The strongest key suppliers provide high-quality steel components, amazing quality zinc cover for long-lasting guarantee purposes, and we recognize this as a core milestone of decision making to choose A, B or C as our supplier. There you have a relatively small availability in the market.
And since you have such a diverse supplier portfolio resulting from activity all over the world, what can you tell us about quality concerns in the business?įor steel components, we look the origin of the material. Some of the key criteria are the assembly speed of a tracker, quick supply after receiving the Notice to Proceed, the track record, and even benchmarking, if competitors choose the tracker solution for their projects. How do you determine which one should be your supplier? Of course, but even when limit yourself to local suppliers, you are still left with a big selection, as there are many tracker suppliers in the United States, Europe and Asia. Whether we do business in the Netherlands or Indonesia, if we can buy locally produced materials, we aim to do that. In the end, we want to strengthen the regional markets and support the local industry. This reduces the supply chain risk and the environmental footprint. This means that when we are doing projects in Asia, our main supplier portfolio shall be located or at least produce in Asia if we do business in Europe, we aim to remain with a European portfolio. We are very much an environmental company, and we consider our footprint with our supplier portfolio.
The selection criteria are of course restricted, but not limited in terms of project timelines, site conditions, layout aspects, logistics and supply chains. What we generally do is first look at the project location as the base case scenario. 2019 grid parity white paperĬan you explain the process that IB Vogt goes through to select a tracker supplier?
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