(Image via EnerDynamic Hybrid Technologies)
It might feel like a lifetime ago that Hurricane Maria devastated Puerto Rico back in 2017, but for the locals, recovering from the territory’s worst storm in 90 years is ongoing.
The reasons are two-fold: First, the damage to infrastructure was serious and long-lasting. With neighbourhoods flattened and power grids decimated, Hurricane Maria is estimated to have caused at least US $90 billion in damage. The second reason was the relatively slow response of the federal government. After initial relief packages were approved, additional funding earmarked for Puerto Rico’s aid and recovery were not released until this year.
As the territory has struggled to rebuild and come back online well into 2020, made all the more difficult with the COVID-19 coronavirus shutting down ongoing work, the focus has been on acting efficiently when given the green light. The U.S. Department of Housing’s Community Development Block Grant Disaster Recovery Program (CDBG-DR) allocated
US $20 billion in funding for Puerto Rico’s recovery, granting just US $1.5 billion in February 2018 at first and following through with an additional US $8.2 billion this year.
Though that leaves more than US $10 billion outstanding, it also means the current funding needs to be used well. Rebuilding on a budget is often a race for budget efficiency, but it also offers a rare chance for local governments, companies, and people to upgrade infrastructure and ensure that buildings are more modern and efficient in the long-term as opposed to temporary replacements.
Companies that are able to meet those specific needs are facing a game-changing opportunity to aid and profit simultaneously. For
EnerDynamic Hybrid Technologies Corp. (EHT) (
TSX-V:EHT,
OTC:EDYYF,
Forum) and its joint-venture Puerto Rico partner Brieke Family Assets Ltd., the prospect is in the aid package allocated for single family home repair, reconstruction, and relocation: US $3 billion.
The expected opportunity from within Puerto Rico, from both the housing department in charge of overseeing the funding and local builders’ associations, is that market demand for quality housing will
increase given the funding available and current situation. EHT, which develops clean and renewable energy solutions and modular structures, has the capability to meet the housing department’s needs and then some.
Through the partnership, they’re anticipating being able to obtain a 7.5% market share of the US $3 billion single family rebuilding budget, to the tune of
US $225 million.
(Image via EnerDynamic Hybrid Technologies)
Why does EHT expect to perform so well in the developing market? Simply put, they have the right products to offer. Buildings approved through the CDBG-DR program need to meet many IBC requirements to ensure the homes are safe, affordable, resilient, and sustainable, and the Company’s CAT5 Block, SIP, and Solar products far exceed all of them. Not only does the CAT5 Block dry to a strong 3,500 PSI (almost double that of typical blocks on Puerto Rico today), the Company’s unique modular home design fitted with CAT5 Solar panels results in “net zero” and highly resilient sustainable homes.
Investors unfamiliar with EHT’s
many impressive products, including grow units, houses, and trailers, should take note that the solutions aren’t just modern and smart, they’re incredibly efficient. Compared with homes built using traditional concrete masonry unit blocks, EHT’s modular buildings are able to be built much more quickly. In addition to the faster rate of building, they can also be built with mostly unskilled labor.
It’s why the EHT solution for Puerto Rico is as exciting as it is logical. The roughly US $3 billion in funding for single family housing sounds like a lot, but the territory’s housing department estimates that the current allocation is only 10% of the necessary funding. Solutions that utilize that money well, outfit the territory with more future-friendly buildings, and have the ability to create thousands of local jobs to boot are a perfect match.
Even in non-dire situations, EHT’s smart energy solutions attract interest and partners from around the world. In cases where they’re absolutely needed, however, their outperformance of market norms shines. Puerto Rico’s recovery from Hurricane Maria is simply another such case that demonstrates the company’s impressively smart and efficient solutions standing above the rest, but with more than US $200 million up for grabs, it’s also a game-changing business opportunity.
FULL DISCLOSURE: This is a paid article produced by Stockhouse Publishing.