Neo Viridis Renewable Power Partner

Renewable Power Initiative 2013
Dustin Crockett | Neo Viridis Energy, LLC

Renewable Business Overview
Solar and Wind Projects

Americas Scope of Opportunity
 Product representation and market development in North and
South America for wind and solar technology
 Specific wind technology – provide marketing material and case
studies
 Specific solar technology – provide marketing material and case
studies
 Develop(ed) client and project relationship in North and South
America
 Financial funding to supply technology in North and South
America
 PPA or Lease development funding in U.S. or financial partner
Americas for Solar
 Financial partner for planned expansion for Wind
 Extended offering
 Americas partners project development, project management,
permitting, and EPC design and oversight offerings, where
applicable
 Partners EPC design, and experience construction installation
workforce, where applicable
Note: All parties have to have NDA and CA prior to engaging project
details and service offerings.
Client Project
Project/Deal
Development
&
Management
Partner
Funding
Partner
Technology
Provider
Partner
Engineering,
where
applicable
Partner
Contracting ,
where
applicable
©2013, NEO VIRIDIS ENERGY, LLC. PRIVILEGED AND CONFIDENTIAL INFORMATION ONLY. 3

Stakeholder Structure
Partner(s)
Wind & Solar Provider
Technology &
Engineering
Financial Institution
Funding for Technology
or Project
EPC or EPC Support
Engineering Design
Experienced
Installation Workforce
Neo Viridis
Wind & Solar Developer
Project Development
End‐User/Utility
Strategic Relationships
Government Policy &
Regulations
Corporate, Public & Legal
Project Management
Country Experience
Project Development &
Management Experience
Stakeholder Value Proposition
 Financing will strengthen deals and projects in North and South America, so that Partnering technology and
resources will be utilized on these projects
 Wind and Solar developers will advance projects that are slowed or stopped by financial hurdles
 North and South American utilities and countries will achieve their planned renewable goals in a timely
manner
 Other opportunities for technology in these countries for future renewable, water, and infrastructure projects
©2013, NEO VIRIDIS ENERGY, LLC. PRIVILEGED AND CONFIDENTIAL INFORMATION ONLY. 4

Teaming / Partnerships
 Developer
 Land Purchasing / Leasing
 Power Purchase Negotiations
 Interconnection Processes
 Renewable Program Applications &
Contracting
 Environment Studies
 Property Surveying / Zoning
 EPC
 Solar Manufactures
 Utilities / End‐User
“We bring the parties
together to for the best
available projects.“
5©2013, NEO VIRIDIS ENERGY, LLC. PRIVILEGED AND CONFIDENTIAL INFORMATION ONLY.

Our Value
 North and South America representation
and relationships
 Increase hit rate from traditional
marketing to deal/project development
 Develop market presence
 Remove competition in market place
 Capacity to vet opportunities to
minimize lost effort
 Streamline project schedule and reduce
project risk
Energy
Security &
Reliability
Energy Equity
(Accessibility
&
Affordability)
Dependable
Partners
Environmental
Sustainability
(Low Carbon
Source)

Typical Initial Steps to a Partnership
Market Representation
Only
Deliver Projects at Any
Phase
Americas Arm of the
Company
Project Development
Only
Identify best available
projects
Technology financed
projects development
for piece of project
Market & Project
Development &
Representation
As presented above, but
MNDA & CA
Information /
Proposition
Discussions
Binding Letter
of Intent
Initial Project
Risk
Identification
Contract
Proposal Phase Compensated Phase

Project Risk Appetite
Probability of Risk
Occurring
Probability of Impact
Risk Event Drivers Impact Drivers
Impact LossesRisk Event
 All parties need to examine their Risk Appetite before determining area
they want to provide services and technology.

Typical Compensation Model
Product Representation
 Project Based
Project Development
 Project Based
Compensation scheme aligns both party’s goals and objectives which can only
lead to higher probability of timely success.  Our executives and business
partners have held senior operational positions in some of the largest energy and
water companies in the world.  Excela is committed on representing our clients
and on providing advisory services with the highest level of professionalism
©2013, NEO VIRIDIS ENERGY, LLC.  PRIVILEGED AND CONFIDENTIAL INFORMATION ONLY.

Known Opportunities
Region Solar Projects Solar (MW) Wind Projects Wind (MW)
Europe 4 127 2 66
Eastern Europe 4 102 2 210
South America 3 500 0 0
Current Known Network Opportunities (no advertising or offering presented)

South America Market / Opportunities
Chile
 Wind
Wind is a viable and promising renewable energy source for Chile. There are currently over 45
wind projects currently under development or being considered, and 126 MW of wind projects
under construction in addition to the 172 MW that is in current use. The Global Wind Energy
Council estimates that there is 40 GW, or 40,000 MW of wind potential in Chile
 Solar
Solar power in Chile has the potential of producing all of the electricity used in Chile. Northern
Chile has one of the highest solar incidence in the world. In 2012, the 1 MW Calama Solar 3
became the first solar power plant in the country. Solar Chile is planning on building utility
scale solar power plants in the Atacama Desert. A 30.24 MW plant is planned. A 100 MW
photovoltaic plant is planned by SunEdison and CAP. Abengoa Solar is building a parabolic
trough concentrated solar power plant there. 3,100 MW of solar projects have been approved,
and an additional 908 MW are under review.
Colombia
 Wind
The wind regime in Colombia is among the best in South America. Offshore regions of the
northern part of Colombia, such as in the Guajira Department, have been classified with class
7 winds (over 10 meters per second (m/s)). The only other region in Latin America with such
high wind power classification is the Patagonia region of Chile and Argentina. Colombia has
an estimated theoretical wind power potential of 21 GW just in the Guajira Department—
enough to generate sufficient power to meet the national demand almost twice over.
However, the country only has an installed capacity of 19.5 MW of wind energy, tapping only
0.4% of its theoretical wind potential. This capacity is concentrated in a single project, the
Jepírachi Wind Project, developed by Empresas Públicas de Medellín (EPM) under a Carbon
Finance mechanism arranged by the World Bank. There are several projects under
consideration, including a 200 MW project in Ipapure,
 Solar
Colombia has significant solar power resources because of its location in the equatorial zone,
but the country sits in a complex region of the Andes where climatic conditions vary. The daily
average radiation is 4.5 kWh/m2, and the area with the best solar resource is the Guajira
Peninsula, with 6 kWh/m2 of radiation. Of the 6 MW of solar power installed in Colombia
(equivalent to about 78,000 average‐size solar panels), 57 percent is distributed in rural
applications and 43 percent in communication towers and road signaling.
Brazil
 Wind
Brazil has 148 wind farms with an installed capacity of 3.6 gigawatts, according to the Brazilian
wind power association, known as Abeeolica. The group forecasts that by 2017, the total will
reach 8.7 gigawatts. In two 2011 auctions, Rio Bravo won contracts for its wind farms at an
average rate of 120 reais ($52) a megawatt‐hour. That compares with an average of about 135
reais a megawatt‐hour for small hydropower and biomass plants in the most recent
government power auction, in December, according to the energy research center, known as
EPE. Wind projects in that auction averaged about 119 reais.
 Solar
The total installed photovoltaic power capacity in Brazil is estimated to be between 12 and 15
MWp, of which 50% is for telecommunications systems and 50% for rural energy systems. It is
less than 0.01% of the energy in Brazil. Brazil has one of the highest solar incidence in the
world.
Panama
 Wind
Goldwind closed financing via a $71 million loan for what will become Panama's first ever wind
farm in August 2013. The company is to supply 22 2.5MW turbines to the Penonome project,
which is located in Cocle province on the country's southern coast. The 55MW is the first
phase of a plan to build the project up to 220MW by 2014. The project is to be closed via a $71
million 10‐year facility from Banco Internacional de Costa Rica (BiCSA) and Banco Espirito
Santo de Investimento. The full $440‐million project will supply some 7% of Panama’s
electricity needs. 16 Additional Wind Farms are expected to be developed by 2015.
 Solar
Greenwood Biosar, a joint venture between Greenwood Energy and Biosar completed design
and construction of a 2.4‐megawatt (MW) solar PV project in Panama’s Herrera Province for
Enel Green Power Panama in early 2014. The solar array is located nine miles from the city of
Chitre, is Panama’s first utility‐scale solar PV installation, and can provide 30 percent of the
surrounding area’s electricity demand – equivalent to 2,600 homes. The project has now been
interconnected to the La Empresa de Generacion Electricita (EGESA) grid network.

11

Americas Renewables Challenges
Unprecedented uncertainty in North and South American energy sector.  As energy
demands continue to increase energy security, reliability, affordability, quality
(clean/green) and equitability is fundamental to economic and human development.  The
greatest challenges in energy are:
 Energy prices and volatility
 Climate change (future of CO2 and pricing)
 Access to Capital
 Energy efficiency
 Infrastructure / interconnects
12

Renewable Energy Markets Pricing
In 2013, the Americas is Solar PV is estimated at
8 GW and projected to be between 12.5‐19 GW
by 2017 according to EPIA
U.S. Pricing
Solar
Wind
13

Standard U.S. Project Development Phases
 BEPTC™
 Baseline
 Economics
 Policy
 Technology
 Consensus
 SROPTTC™
 Site
 Resource
 Off‐take
 Permits
 Technology
 Team
 Capital
15

Current Deal Drivers ‐ Solar
 Pre‐Construction Phase, capital commitment for sales and design costs.  Additionally:
 Identify proper building site with a creditworthy solar customer
 Research applicable state and federal incentive programs and understanding which
incentives the project is qualified for
 Design a system that generates enough energy (and therefore, revenue) to produce a return
on investment (ROI)
 Set up the Special Project Entity (“SPE”), if applicable; and
 Secure vendor financing for the installation’s components, such as PV panels, inverters and
racking hardware.
 Construction Phase
 The solar project developer will typically utilize a third‐party engineering, procurement
and construction service (“EPC”) to install the system.
 The developer needs capital to pay the EPC, which typically comes from a construction
loan or equity investments.
 Post‐Interconnection
 Following completion of construction, a utility company inspection will generally occur
within one month, after which, provided the system passes inspection and the application
documentation is approved, the solar project receives permission to operate and connect to
the power grid. This step is typically referred to as “Interconnection.”
 Solar power system begins commercial operation and the solar customer begins making
payments to the SPE under the lease or under a power purchase agreement (“PPA”)
pursuant to which the solar customer purchases the power output of the solar project.
 Alternatively, if a feed‐in tariff program is offered by the local electric utility, the SPE will
lease the rooftop space from the building owner and enter into a PPA directly with the
utility.
16

Solar Project Motivation
 What we call “project motivation” is created through strong
fundamentals and provides the source of commitment and clarity of
purpose that are necessary to both generate the resources required to
develop a project and the perseverance required to make it happen.
 Without properly establishing project motivation, the necessary
resources (funding and skilled human resources) will not be brought to
bear. A fundamental, but common, mistake in early‐stage project
development is to jump to technical or financial details prior to building
consensus among project stakeholders and establishing project
motivation that is sufficient to maintain a sustained effort backed by
common purpose.
 Scheduled reduction in Investment Tax Credit (ITC) from 30% to 10% on
January 1, 2017
 Minnesota’s 2013 Energy Omnibus Bill requires 1.5% or all power to be from
solar or approximately 300MW by 2020
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U.S. Business & Industry Motivation ‐ Solar
State: Federal
Incentive Type: Corporate Tax Credit ‐‐ eligible systems placed in service on or before December 31, 2016**:
Eligible
Renewable/Oth
er
Technologies:
Solar Water Heat, Solar Space Heat, Solar Thermal Electric, Solar Thermal Process Heat, Photovoltaics, Wind, Geothermal Electric,
Fuel Cells, Geothermal Heat Pumps, Municipal Solid Waste, CHP/Cogeneration, Solar Hybrid Lighting, Tidal Energy, Fuel Cells using
Renewable Fuels, Microturbines, Geothermal Direct‐Use
Applicable
Sectors:
Commercial, Industrial, Utility, Agricultural
Amount: 30% for solar, fuel cells, small wind*
10% for geothermal, microturbines and CHP
Maximum
Incentive:
Fuel cells: $1,500 per 0.5 kW
Microturbines: $200 per kW
Small wind turbines placed in service 10/4/08 ‐ 12/31/08: $4,000
Small wind turbines placed in service after 12/31/08: no limit
All other eligible technologies: no limit
Eligible System
Size:
Small wind turbines: 100 kW or less
Fuel cells: 0.5 kW or greater
Microturbines: 2 MW or less
CHP: 50 MW or less*
Equipment
Requirements:
Fuel cells, microturbines and CHP systems must meet specific energy‐efficiency criteria
Authority 1: 26 USC § 48
Authority 2: Instructions for IRS Form 3468
Authority 3: IRS Form 3468
Authority 4:
Date Enacted:
Date Effective:
H.R. 8 (American Taxpayer Relief Act of 2012)
01/02/2013
01/02/2013
Business Energy Investment Tax Credit (ITC)

U.S. PPA vs. Lease ‐ Solar
 Third‐party financing of solar energy primarily occurs
through two models: power purchase agreements
(PPAs) and solar leases.
 PPA Model
 In the PPA model, an installer/developer builds a solar
energy system on a customer’s property at no cost. The
solar energy system offsets the customer’s electric
utility bill, and the developer sells the power generated
to the customer at a fixed rate, typically lower than the
local utility. At the end of the PPA contract term,
property owners can extend the contract and even buy
the solar energy system from the developer.
 Lease Model
 In the lease model, a customer will sign a contract with
an installer/developer and pay for the solar energy
system over a period of years or decades, rather than
paying for the power produced. Solar leases can be
structured so customers pay no up‐front costs, some of
the system cost, or purchase the system before the end
of the lease term. Similar leasing structures are
commonly used in many other industries, including
automobiles and office equipment.

Example: U.S. Duke Energy Needs ‐ Solar
 Location: Continental US (exception Hawaii)
 Location Exclusions: Carolinas, Georgia, Duke Franchise Territories
(Duke Energy cannot be the offtake), and no U.S. Territories (Puerto Rico)
 Generation: PV Solar‐Thin, Poly or Mono, Fixed or Tracking
 Size: Greater than or equal to 20 MW (aggregated ok)
 Interconnection: Studies complete, IA underway or complete,
reasonable security requirements, if any
 Land: Under lease or sale option with sufficient size to support the MW
proposed
 Ownership: Duke to own 100% just prior to COD; if the project has scale
then this could be modified to something less than 100%
 Permitted: Fully permitted or very close to being permitted
 Tax Utilization: Duke ITC
 Development Expense: Developer responsibility with the possible
exception of security requirements
 Duke is offering developers an opportunity to “partner” in pursuing RFP bids
and or bilateral PPA discussions regarding their projects. The developer
would have the benefit of Duke’s strong reputation, a $118+ billion dollar
balance sheet, no financing, credit support, a very strong tax appetite (no
tax equity required) and a reasonable cost of capital. In turn, Duke Energy
would have the benefit of bidding with developer, in strong PV Solar project
to quality power offtakes and completing a solar transaction on a win‐win
basis.
20

Wind Product Overview
Objectives
 Identify overall project objectives:
 Technical objectives
 Schedule objectives
 Cost objectives
 Special objectives
 Non‐goals
Success Factor
 Identify elements that are key to the success of the
project, such as:
 Satisfied clients or stakeholders
 Met project objectives
 Completed within budget (lump sum or turnkey
offerings?)
 Delivered on time
 Market differentiators
Deliverables
 What products or services will be offered to
projects?
 How will they be delivered
 Typical client requirements
Implementation Capabilities
 Tasks/activities
 Procedures
 Tools/technology
 Project change control process
Risk Management Process
 Process
Quality Management & Performance Measures
 Product quality management
 Product quality background
 Defect resolution
Cost
 Competitive cost analysis
22

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