This document discusses how solar renewable energy credits (SRECs) can maximize the return on investment of solar energy projects. SRECs are tradable commodities that provide a source of income for solar project owners in states with renewable portfolio standards that include solar carve-outs. The value of SRECs is driven by supply from residential and commercial solar systems and demand from energy suppliers needing SRECs to meet their state's renewable standards. Being able to reliably monetize SRECs through long-term financing is essential for solar project finance.

1. Utilizing SRECs to Maximize the
ROI of Solar Energy Projects
Yuri Horwitz
Founder and CEO
Sol Systems, LLC
Solar Energy Focus Conference
December 4, 2009

2. Sol Systems
• The Nation’s Oldest and
Largest SREC Aggregator
Let’s Make • An Innovator in Solar Energy
Solar Simple TM Finance and Development
• A Trusted Partner to Over 400
Homeowners and Businesses and
40 Installers and Developers

3. What are Solar Renewable Energy Credits
(SRECs)?
• Environmental attributes associated with 1 megawatt
hour of solar electricity
• Tradable commodities
• Source of income for solar project owners
• Compliance mechanism for utilities in states with a
Renewable Portfolio Standard

4. RPS Policies with Solar Carve-Outs
December 2009
WA: double credit for DG
NH: 0.3% solar-electric by 2014
OR: 20 MW solar PV by 2020;
double credit for PV MI: triple credit for solar MA: TBD
NY: 0.1312% customer-sited
NV: 1.5% solar by 2025; OH: 0.5% solar- by 2013
2.4 to 2.45 multiplier for PV CO: 0.8% solar-electric electric by 2025
by 2020 NJ: 2.12% solar-electric by 2021
IL: 1.5% solar PV
UT: 2.4 multiplier by 2025 PA: 0.5% solar PV by 2020
WV: various
for solar multipliers DE: 2.005% solar PV by 2019;
triple credit for PV not counted
AZ: 4.5% DG by 2025 MO: 0.3% solar-electric toward solar carve-out
by 2021
NC: 0.2% solar MD: 2% solar-electric in 2022
by 2018
NM: 4% solar-electric by 2020 DC: 0.4% solar by 2020;
0.6% DG by 2020 1.1 multiplier for solar
TX: double credit for non-wind
(Non-wind goal: 500 MW)
16 states & DC
have a RPS with
State renewable portfolio standard with solar / distributed generation (DG) provision solar/distributed
State renewable portfolio goal with solar / distributed generation provision generation
Information from www.dsireusa.org

5. SREC Market Drivers
SREC SREC
SUPPLY DEMAND
Residential /Commercial Solar Systems Energy Suppliers in RPS States
Needs Needs
1.Long-Term SREC Sale to Finance System 1.Low Transaction Costs
2.Registration to Produce SRECs 2.Stable SREC Supply and Price
3.Education Regarding RPS Programs 3.Trusted Counterparty
Solutions
1.Long-term SREC financing Solutions
2.Registration services 1.Transaction Expertise
3.Education services and materials 2.Multi-state SREC portfolios
3.Trusted counterparty

6. Value of SRECs
Solar Renewable
Energy Credits (SRECs)
36%
The ability to reliable monetize SRECs is essential to solar project finance.

7. Yuri Horwitz
888-235-1538
info@solsystemscompany.com
www.solsystemscompany.com