Utilizing Renewable Energy: When does solar make sense and save ents

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Utilizing Renewable Energy When does solar make
sense and save ents

• Robert Reichenberger
• Program Director
• SunEdison REIT Landlord Program
• May 18, 2009

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Agenda

• Benefits of Solar
• Factors to Consider
• How to take advantage of solar
• How to save money with solar
• Who is making with solar
• Solar LEED
• Questions

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Benefits of Solar Energy

• On-peak power
• Power is created when electricity is most
  expensive
• Predictable pricing
• Doesnt vary with fossil fuel pricing
• Distributed generation
• Often only on-site option, decreased need for
  transmission
• Reliable / time-tested
• 20-25 yr manufacturers warranties can last 45
  yrs
• Clean
• Has no emissions doesnt require water
• Creates jobs
• 7-10 jobs created for every MW installed

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1st Factor to Consider Solar Resources

• Where is the best sun?

• States with
• most solar radiation
• ?
• States with
• viable solar programs

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2nd Factor to Consider Economic Viability

• Where are economic incentives available?
• What is the impact of interconnection and net
  metering rules?

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3rd Factor to Consider Available Space

• Adequate Space gt 10,000SF of solar viable space.

• Insufficient Space lack of contiguous space,
  domed roof, AC units.

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How to Take Advantage of Solar

• Ownership
• Purchase solar PV system.
• Customer takes tax credit, state incentives and
  RECs.
• Customer holds title, insures system, and
  maintains operates the PV system (or hires a
  servicer)
• Power Purchase Agreement
• Purchase energy only at rate below utility rate.
  No capital expenditure.
• SunEdison finances, owns and operates the solar
  energy system.
• SunEdison sells the tax credits RECs.
• Evaluate savings on PPA rate (net of roof rent)
  vs. utility rate.

PPAs the most popular approach
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Solar reduces peak demand energy usage

How to Save Money with Solar
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Who is Making Money with Solar?

• Who
• REITs and Landlords with large portfolio of roofs
  and willingness to sell roof options
• How it works
• Landlords sell options for buildings roofs
• SunEdison gets right to develop
• Landlord gets new revenue stream (roof rent)
• When solar is ripe, SunEdison develops PV systems
  at no cost to landlord
• Energy users get energy rates below utility rates
• SunEdison operates, monitors, and maintains the
  PV system for PPA term

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Solar LEED

• Previous LEED program (up thru April 2009)
• Percentage Based renewable energy produced
  relative to total energy consumed
• LEED points 2.5 1 pt
• 7.5 2 pts
• 12.5 3 pts
• LEED v3 or LEED 2009 (after April 2009)
• Significantly changes the weighting of LEED
  certification towards energy performance/maximizin
  g energy efficiency.
• Onsite Renewable Energy (EAc2) now accounts for 1
  to 7 points
• Measurement and Verification (EAc5.2) now
  accounts for up to 3 points
• Positions REITs/Landlords for LEED Gold or LEED
  Platinum certifications
• Refer to www.usgbc.org for details

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Thank you! Any Questions?
Robert Reichenberger rreichenberger_at_sunedison.com
443-909-7200