Non-Credit Score Driven Residential Solar Power Purchase Agreement (PPA) Gains Traction in Beta Testing with Only Two Channel Partners

10-Week Beta Test Generated 171 Contracts for Residential Solar Projects and $12.8 million in Sales for TAG

30 More TAG GRID Channel Partners are Being Actively Onboarded in October

Scottsdale, Arizona--(Newsfile Corp. - October 3, 2024) - The Awareness Group (TAG), a leading innovator in solar and alternative energy financing solutions, today announced highly promising results from the beta testing of its newly launched national residential Power Purchase Agreement (PPA) program. The beta test, which took place in July and August, resulted in 171 contracts for solar projects signed under the PPA, which generated sales of $12.8 million for TAG. Additionally, these projects were financed through TAG Capital, creating a $10.6 million portfolio of 30-year consumer loan notes, which will generate monthly interest income for TAG over the term of the notes. The projects also generated an Investment Tax Credit (ITC) of $3.8 million, highlighting the financial impact of this innovative solution.

Residential Solar Financing

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Pablo Diaz, CEO and Founder of TAG, stated, "The results from our beta testing, with only two channel partners, have greatly exceeded our expectations, reinforcing our belief that there is a substantial demand for inclusive solar solutions. Our national residential PPA is designed to open up the renewable energy market to millions of Americans who have traditionally been left out of the transition to solar. This is not just about energy; it's about providing equity in energy access.

"With the testing period complete and the results overwhelmingly positive, we have begun rolling this program out nationally to the rest of the TAG GRID. We plan to onboard an additional 30+ channel partners in October, quickly bringing scale to this program."

The national PPA program, which stands apart from traditional financing models by eliminating credit scores as a barrier to solar adoption, marks a pivotal step in TAG's mission to democratize access to renewable energy. The TAG GRID, the Company's comprehensive platform, connects service providers across the solar energy sector. The TAG GRID encompasses sales organizations that bring in residential and commercial projects for funding through TAG Financial, as well as EPC (Engineering, Procurement, and Construction) companies that not only install these solar projects but also source additional deals for financing through TAG Financial.

Expanding TAG's Financial Footprint

TAG Financial, the financial arm of The Awareness Group, plays a critical role in supporting the Company's extensive solar platform. TAG Financial includes two key subsidiaries: TAG Financial Services (TFS) and TAG Capital. TFS serves as the face to the TAG GRID and its members, providing support and cutting-edge fintech from concept to contract, including access to both TAG's proprietary financial products—such as the non-credit score-driven PPA discussed in this release—and third-party funding solutions. This flexibility ensures that solar and energy customers can access a range of financing options tailored to their needs.

TAG Capital handles the fund management for TAG's operations. This includes servicing TAG's proprietary financial products, such as the residential PPA, and monetizing ITCs and certain loan portfolios tied to TAG's proprietary financial products. TAG Capital's creation of $10.6 million in interest-bearing consumer loan notes and an ITC worth $3.8 million during the beta testing period will generate incremental income and cash flow for the Company, showcasing the Company's robust ability to create multiple cash flow streams from every project within the TAG GRID and its ability to scale as demand for solar financing increases.

Industry Outlook

TAG's non-credit score-driven PPA launch is well-timed, as the renewable energy industry is witnessing unprecedented growth. According to a report from the U.S. Department of Energy, solar energy accounted for 40% of all new electricity-generating capacity in the first half of 2024, underscoring the shift toward renewable energy sources. Additionally, the residential solar market is projected to grow at a compound annual growth rate (CAGR) of 15.5% between 2024 and 2029, driven by favorable regulatory environments, technological advancements, and increasing consumer interest in energy independence.

TAG's innovative approach, including focusing on non-credit score-driven financing, positions the Company to capture a significant share of this expanding market. By lowering the barriers to solar adoption, TAG is uniquely positioned to tap into a broader, more diverse customer base that includes homeowners from all economic backgrounds.

Diaz emphasized, "The renewable energy revolution must be accessible to everyone. Our beta test results show that by reducing financial barriers like credit scores, we can accelerate the adoption of solar energy and make a real difference in how power is generated and consumed across the country."

About TAG

At The Awareness Group (TAG), we're not just part of the alternative energy revolution—we're leading it. Fueled by innovation, TAG is setting new benchmarks with the TAG GRID, a groundbreaking national platform that delivers a unique, differentiated program of solar services and financing solutions to its members for both commercial and residential projects. By managing the project from concept to installation, TAG aims to bring a world-class level of service to all members of the TAG GRID and their customers as the guarantor for all projects, therefore bringing higher levels of satisfaction to service providers and end customers. Our growth engine, TAG Financial, encompasses two divisions. TAG Financial Services (TFS) empowers TAG GRID members by managing the front end of the process, working with sales organizations, providing access to a suite of exclusive TAG and third-party lending products and cutting-edge fintech solutions. With TAG Capital, our dynamic in-house fund management division, we're taking it further—directly funding proprietary lending products while maximizing the value of our loan portfolios and investment tax credits (ITCs). As organic growth drives our core strategy, we're also accelerating our expansion through strategic acquisitions, using a proven strategy to secure forward-thinking companies across the alternative energy landscape that will drive incremental revenue, bring unique offerings and solidify TAG's place as the guarantor of all TAG GRID projects. Combined, these initiatives are propelling TAG forward, delivering exceptional value for our customers, employees, partners and investors. With TAG, the future of energy is here and now.

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Forward-Looking Statements

In this press release, all statements that are not purely about historical facts, including, but not limited to, those in which we use the words "believe," "anticipate," "expect," "plan," "intend," "estimate, "target" and similar expressions, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. While these forward-looking statements represent our current judgment of what may happen in the future, actual results may differ materially from the results expressed or implied by these statements due to numerous important factors, including, but not limited to, those described in our most recent report on SEC Form 10-K (under the headings "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations"), which may be revised or supplemented in subsequent reports on SEC Forms 10-Q and 8-K. We are under no obligation, and expressly disclaim any obligation, to update the forward-looking statements in this press release, whether as a result of new information, future events or otherwise.

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