The product name, Reducer was inspired by our interest in reducing electrical current used within any premises or applications, reducing excesses in real power consumption. After we have audited our clients premises we can provide a guaranteed energy saving of 15% to 35% off the actual energy bill. We plan to provide our Reducer products to all customers that are interested in savings on their electrical power consumption. We save MONEY AND ENERGY for our clients through our solutions.
Our devices are presently made in-house. As the demand increases we will be looking towards an exclusive contract manufacturer (CM) or expanding current manufacturing in-house and will continue to sell under the Reducer brand name in addition to private label names for bulk ordering. We are currently planning to use one of our Initial Reference Clients (IRC) such as Flextronics (Malaysia) as our CM.
Our Power Saving Device (PSD) appliances are compatible with over 95% of the electrical equipment available in the global market today. We have a market leading product that is able to provide consistent savings in a mixed load environment without requiring any physical re-wiring to the existing Distribution Boards.
Our product gives real monetary savings which was verified during the installation and trial period from 2000 to 2006. Reducer is a commercially proven, practical, long-term solution. This is a one-time investment for a minimum 10 years performance guarantee with no operator or technicians required. We have tailored our products to have a Return-On-Investment period of approximately one year. All products carry a one year warranty on parts & labour. Service packages can also be arranged based directly around the client's requirements. CCI products also have insurance protection against property and public liabilities.
The current oil price stands at nearly US$100 per barrel and will increase over time. Taking this into consideration the worldwide electrical tariff, which is directly linked to oil pricing. will increase further still. Consumers will be paying higher fees per electrical KWH used. By the year 2010, the estimated energy conservation industry will have a market capitalization of over US$40 billion. We aim to have an approximate 3-6% share of this market. With our experience, contacts and confidence in our technology, we are now expanding into the worldwide market with our applied and proven solutions and services. We aim to reach every corner of this emerging global market with the name Reducer, including subsidiary private labeling operations.
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