Clean Energy Technologies Announces 2023 First Quarter Financial Results Highlights - Seite 2

Management Discussion and Corporate Strategy

CETY’s strategy centers on advancing it’s established Waste Heat Recovery business, while simultaneously penetrating the growing markets for Waste to Energy solutions and offering comprehensive clean energy engineering, consulting, and project management services.

The Company is also leveraging its NG trading and investment relationships to create opportunities to market and sell Waste Heat Recovery and Waste to Energy products in China and to provide engineering, consulting, and project management services.

As the clean energy sector continues to thrive, it gives CETY the opportunity to invest and expand its technological portfolio with sustainable energy acquisitions and combine complementary strengths, technologies, and resources. CETY’s goal is to take greater control over our renewable energy supply chain, create cost savings, and increase efficiency by making synergistic and vertically integrated acquisitions.

CETY has effectively implemented strategic repositioning by establishing four distinct business segments, enabling the company to achieve a broader, more resilient, and diversified revenue stream, thereby facilitating scalability the pursuit of emerging growth prospects.

CETY possesses a portfolio of over 30 request for proposals (RFPs) pertaining to Waste Heat Recovery products in both the United States and Europe, whereas the selling price of each Waste Heat Recovery system ranges from $250k to $450k. The increase in demand stems from the Inflation Reduction Act enacted by Congress in August 2022, which includes targeted provisions advantageous for leveraging CETY's Waste Heat Recovery solutions. CETY has also begun to cross-sell its Waste Heat Recovery solutions to China as its NG trading operations have created sales opportunities in that region. Based on this evidence, the Company believes this segment will deliver consistent and steady growth to its business model.

CETY’s pilot Waste to Energy plant in Vermont is capable of processing industrial and municipal organic waste into energy. It's HTAP system integrates all of CETY’s technologies and expertise into a single solution and it is progressing steadily with updates coming soon. Waste to Energy in the US has gained significant momentum as a sustainable solution for waste management and renewable energy production and some markets have incentivized its implementation. The Company’s system has the potential to be a disruptive technology by offering flexible solutions, modularity, and scalability unlike large, centralized processing facilities and aligns itself well with the principles of the circular economy.