Schmidt secured funding from Swiss and other international donors and created a resort to help to help pay for the enterprise which is right in the center there. I don't know if you can see these. This is sort of cool looking houses. We'd stayed in in one of those. >> I think it's this with the swimming pools. Which one are you saying? >> With the swimming pools. >> Yeah, that's and and um >> school's there. >> Yeah, the school is up there. Yep. >> Dormitories. >> Yep. the fish farm. >> And um part of the resort is a worldclass restaurant called Un. It's named for the talented young chef whose story includes being sold into service, escaping a predatory employer and working in a garment factory before her cooking talents were discovered and fostered by um this organization. The story demonstrates how much human talent is there and how much is squandered by poverty and neglect.
I'll open up the floor to the board members if there's any questions. I have a few questions. Okay. The The energy audit fee that you guys mentioned in your presentation, um that's separate from the fee that we would be paying which comes later. Yeah, right Right now there's no fee consultant at this point. There's no no cost in that respect. The energy local government energy audit you're referring to, yeah, if if you were not to go with a TRC and you were to put something out, um you know, an RFP for example, to get an energy audit done, an LG GA done, after a little bit, yes, there would be a cost. We do not do that. We can't do it. We want to be your ESCO, so we can't do that. But there are companies out there, energy auditing firms, I believe actually there are like 49 listed under the There's a department D- DPM City.
>> So um religion is a big part of Cambodian life. Um it's estimated that between 93 and 97% of the population are the Buddhists. Uh it's a state religion and central to their cultural identity. Um it's deeply ingrained in daily life. There are over 4,000 pagotas um large pagotas with multiple types of you know whatever they they call them spires. Um uh and their religion is somewhat flexible. Their form of Buddhism is flexible in that it also incorporates a lot of the animistic uh beliefs of spirits and and family that have gone before them. Um, and you can actually get a sense. I spent a little time with some Buddhists and studying Buddhism. You get a sense of how their belief um gets becomes part of how they conduct themselves every day. Um, it it's it's pretty amazing in in that sense. Um, everybody just about has some sort of a temple.
And what would be the reason why you would do the latter instead of going for Yeah, we are not permitted under this legislation to do a local government program. If you select us down the process and selection later to be your ESCO, we're committed to do what we have to do. Investment grade. That's the type of That's the type of The LG GA is a requirement of the personal abilities before you can do the type of work. And then my other uh question was um the receipt So, you mentioned the savings with the paper itself. It would come out of the fee for Schneider would come out of the savings. Is that on a yearly basis? Is that how you assess or how does that work? How does Schneider get paid? Very simply, if you select us as your ESCO, we develop your project, you approve, this is what we want to do, you sign the contract, okay, to implement that project.
businesses, not as much in Ponampen, much stronger uh in in the countryside. Um and uh I've often wondered about that. Um um there are the big temples that are just down the road. So you'll see these little arches. There are a number of pagotas, you know, just here and there. And every little town has their little store selling these little shrines. Um and there often every day the food is is put there at at the uh at the shrine. Um one of the things that really impressed me um was transportation. Uh they have these things called tuk tucks which which vary from real like converted motor um you know like golf carts. Okay. um to actually, you know, big commercial things uh that pulling heavy duty trailers with a motorcycle. They've come up with some way to strengthen the motorcycle and have these these hitches.
All right? We get paid like any other any other significant contract in the state. It's a five-year contract. Let's say it's a Let's say it's a $7 million. Covers all these different submittals. Our contract would say fixed price $7 million, which will do X and list that everything. That's how we get paid. Schneider has the project fee. Okay? Just so you know. That's how we get paid. You don't pay us anything unless you're really happy. Does that make sense? I'm still kind of trying to understand. So, let's say under the scope there's six projects, right? So, we would Would we be paying a portion of the fee with the assessment to each project in the in the scope or is it as a whole? As a whole. As a whole. As a whole. Portion of the possible What is the How is it possible that it's five years and we haven't worked with them with Schneider?
They're just amazing. And you you'll see these things hauling all kinds of stuff. And for that matter, you know, even the motorcycles carrying a a mattress, but here's somebody just, you know, bought a whole new living room set, taking it home on, you know, typical trailer. Uh here's a couple refrigerators. Um and, you know, it's it's it's very common. Uh the problem of course with this is you have tuk tucks and you have motos and you have cars and they're all vying for a place on the roads in Cambodia. So the intersections are absolute chaos. Why there isn't carnage, more carnage is is is amazing. There are so many people, they can't afford cars. Most people um most of the citizens living on less than a dollar a day. Um so even the educated citizens that are in Ponampen and CMRE uh they can afford things like motor scooters a lot better than cars but and there are so many >> cars are actually not very practical in there.
What would that be? What portion of the Okay. Yeah. All four of your projects was I I said it was 10 plus million dollars overall, okay? Yeah, that's what we got paid. Okay? That's what we got paid to implement all of your projects, too. So, you're taking the 10 million and you're getting those contracts. You're working You're taking some of it. But you're implementing it and paying those contractors and vendors to do the job, but you're taking some of that as your fee. Absolutely. Right. Yeah, cuz the contractor would Right, but that's how it works. Just as any other con- contractor works. That's how we would work on that end. Do you understand? We Up until the time you would sign a contract with us to say, "Here's Here's our project scope. Here's what we're going to do. Blah blah blah." Up until that time you would pay us nothing.
>> What >> cars are not very practical in the I mean getting out of town other than that. Um, this is a a parking garage where Jackson works for just Motos, which is what they call their motorcycles. And it is just amazing. You will see whole families with kids and everything, you know, um, on these motos ding to and forth in traffic. I mean, it's like, whoa, you know. So, um, another thing that surprised me from business sense, um, there are more electronic billboards in Panama Pen than there are in Boston. >> They are everywhere. E-commerce, you know, there's a little television screen just outside the elevator in Jackson's house the advertising certain things. I mean, um, Brett on her phone still has this app from which you could call taxis or tuk tucks. You can order food. Uh, and it's not unusual to see a young woman with a big 50 lb bag of rice sitting on her lap driving a moto, arriving at at somebody's door, and somebody will come out.
We're not billing you every month like, you know, other person. Pay us something. You sign You sign the energy services contract, okay? Do an ESA. It has right on there fixed price contract of whatever the amount. Once that contract is signed and we mobilize and we start and of course you're aware of all this. We explain all that in the agreement, but that's when we start billing you. Station X percent complete, okay? That's when we start billing. Up until that time you have not paid us anything. So, that's how we work at Grace. Okay? That could take a year year and a half the whole process and the development and so on, but you have to pay us nothing. Until that contract Is it fair Is it fair to say that I'm telling the scope The scope of Fallsburg is $10 million worth of work.
She'll hold up her cell phone, they'll hold up their cell phone. The cell phones talk to each other. She doesn't say anything to the people who just received the rice. The cell phone knows. She hands over the rice. She leaves having been paid all over the cell phone. >> E-commerce. Are they st as well? Right. To do this, you need to have a lot of towers transmitting. >> Yeah. >> Towers. Cell towers. >> Um, you know, it's funny. I did not see a whole bunch of cell towers but again there were so many >> operated in the building >> so many temples pagotas and spires though they're probably hidden somewhere you know >> so >> yeah so um there are more than 100,000 expats in Ponumpen alone expats uh in a way coming in the conservation expats and others uh really saving the day. But there are so many that this Australian fellow opened up a market which he called super duper and you know they provide jobs.
Yes. So, is it fair to say that if they were to do it outside of the municipality it would have been it would have cost them 30% more to do the work? Potentially, yes. And over the lifespan of the savings of by using or going through the ESA, you're talking about 30% coming from fund 11 and fund 12. So, if they were not to have done that scope of work through the ECEP, it would be fair to say that it would potentially have cost them 30% more to do the work out of their operating budget. The point of being in the ECEP is that it allows us to reallocate dollars out of fund 11 into fund 12 over both the short and long term for every one of the projects that we roll into in this Right, because it's taking It's taking those utility dollars that you're paying PSE&G No offense to PSE&G, but I think it works better.
Uh they are well stocked. They are the cleanest market I've ever seen. Much cleaner than any of our supermarkets and they cater to a lot of brands which the locals don't buy. If you want your V8 or your Campbell soup or your El Paso tacos, you can go there. You know, they they have it all. Hines ketchup right there. Um and for those of us from Massachusetts, how do we live without our cranberry juice from Ocean Sprays, you know. Um they also had Ben & Jerry's. I thought that was rather interesting. Uh Starbucks are ubiquitous throughout the country. Who would have thought it, right? and and they even have good old Kentucky Fried Chicken uh there. >> Um this is the uh Central Market. Um it was built um in the 60s by Van Molivan. It was an architect. He was um a modernist architect trained in Europe and um during the period this period between independence and the um you can buy anything in this in this market.
Okay, it takes some of those dollars that you're paying them because you're saving those dollars and you're reallocating them towards this. So, and then once we if we were to engage in and align ourselves with Schneider Electric on the ECEP, it is not a one-time, one-project situation. We are aligned and we can do a $3 million project here this year, 3 years from now we come back and we say we do a $4 million project that's what we're going to do with fund 12. Every time we engage If we do a $3 million project and it's and we close it, Schneider's done getting paid. We're continuing to see the savings. Absolutely. A year from now we want to reengage on another scope of work, we come back to you, we go through the process again, we present, we say we move forward, you tell us it's a million and a half dollars, we engage with you, you get a million and a half dollars, we get 30% guaranteed with the guarantee of savings.
There's jewelry, there's um um all kinds of articles like this. It was outside of the central market that we got these um lacquer lacquer work pieces. Um, >> they'll have a c they'll have a counter >> as long as the width of this room. >> There must have been a 100,000 watches in it. >> I don't know who buys all of that stuff. >> And around the corner it was cell phones and there must have been thousand cell phones then, >> right? There's a lot of really interesting architecture in the city that didn't seem to be destroyed by um the Camar Rouge. Um, maybe it's because it was a an actual Kama Kamai architect who designed them. He designed the university and the independence monument as well. I took an architectural tour one time. There's a lot of great things to do in Ponen. Okay, so the people's markets are this is where the locals shop.
So, once we engage with an ECEP, we'll be fine. It's not a okay, ECEP one big scope of projects can be a big scope, small scope, medium scope, it's whatever we are comfortable with. The majority of what we would want to do when we come out of that energy audit when we come in with TRJ or whatever it is is going to come in and do a full-scale audit of where savings can be found from energy perspective. And then the projects that we will be building are around those energy savings. Yes, and to get to your point, it's interesting how you lay that out. But if you were to do it in those stages, like a year later or whatever, okay? You could do phase one, phase two, phase three. Yes, you can do it in that respect. And we would we would set up your energy savings plan to accommodate that in that initial design.
You've got narrow aisles. You've got live fish. You've got people sleeping in hammocks. Huge bins of noodles, carved wooden elephants, jackf fruit, vegetables, flowers, jewelry, cell phones, Clark's shoes, ll bean plaid shirts, pocketbooks made from recycled fish food bags, which I love. Those are just wonderful. and um linen pants, silk scarves, Carter's clothes for kids up to the ceiling with fabric. Um hello madame, we have more for you. Every neighborhood has a market and those they also have the special larger markets like the Russian market and the one I showed you before, the Central Market. Okay, >> I was um very impressed by this somewhat ugly looking stuff down here. This is buffalo jerky. They dry this in the sun. You can walk down the streets and they'll have, you know, new buffalo jerky freshly cut and drying in the sun. Um their immune systems are a lot stronger than ours, let me tell you.
Okay? Typically, if you so desire, sit quietly and do what you need to Then typically, yes. Yes, but as you as you laid that out, you could do it in in phases if you so desire. We would just need to work that out at that time. Usually, that energy audit holds true for how long? That's a great question. And I say that that is a great question because the BPU, as I said, the local government energy audit that's mandated by them to do, whether we would do Okay? This is good for 5 years. 5 years. If you get it done today, hypothetically, and you don't do anything with it, and 6 years from now or 7 years from now, you say, "You know what? Let's do a new study." And we did a local government energy audit, the BPU would say, That's it's fine. Okay?
Am I done? You're done. Okay. Um I was also blown away not only by the markets but by the the work ethic of the people. Um so street merchants, you know, this cart arrives at the square almost every night with the watermelons, at least during the season that we were there. Um these folks will prepare some food, fresh food for people commuting to work and we'll serve it. You know, they she arrives on her bicycle, maybe they did, too. You know, uh these people here were selling toys. Um it was not unusual when we walked the mall at night to see this this older woman. Um she's not begging. She brought her bathroom scale and she put her bathroom scale in front of her and people will come by and they will step on the scale and weigh themselves and they will give her a payment for the ability to weigh themselves.
That's it. I hope a lot to comprehend, but it's more time. You've done a great job. I appreciate your, you know, giving us the time to do this. And appreciate you giving us the opportunity to at least get this ball rolling and see what you may want to if anything. But I thank you. Thank you. Thank you very much. Thank you very much for your time. Yep. Okay, that concludes agenda item G. Um we do not have anything on agenda item H uh, for unfinished business. So, I will move on to the agenda item I, the consent agenda with 14 items. I will ask for a motion to approve. So moved. Second. Thank you, Ms. Glatz, and thank you, Ms. uh, and Ms. Mann.