8/14/2019 Hospitality Lawyer with Stuart Brodsky of Sun Edison on what alternate engery sources are ready for you now and how you can take advantage of them

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Alternate Energy Meet the FutureToday

What alternate energy sources are ready for you nowand how do you take advantage of them?

Shaun Laughlin

JMBM_UNL _THDC3b

8/14/2019 Hospitality Lawyer with Stuart Brodsky of Sun Edison on what alternate engery sources are ready for you now and how you can take advantage of them

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Solar is ready NOW but are you?

QHow does an organization incorporatesolar technologies into their facilities as part

of an overall sustainable & operational

strategy?

AInspect what you Expect

A2-Solar is Complex! (Remember Einstein!)

8/14/2019 Hospitality Lawyer with Stuart Brodsky of Sun Edison on what alternate engery sources are ready for you now and how you can take advantage of them

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The 7 Questions to Ask FIRST

1. Is this an investigation or an initiative withexecutive support?

2. Is there similar activity elsewhere in yourorganization that may conflict with your efforts orthat should be coordinated?

3. What level of commitment is present for the project?4. What level of solar education/knowledge is present in

the organization?

5. What level of resources are available for the project:

Fiscal Personnel/Bandwidth/Time

Information for analysis including financial

Political support

8/14/2019 Hospitality Lawyer with Stuart Brodsky of Sun Edison on what alternate engery sources are ready for you now and how you can take advantage of them

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7 Questions cont

1. What organizational characteristics should beconsidered and planned for in your process? Early adopters

Slow decision making process

Cautious water testers

Well behind the curve Competitive environment

2. What limits will come into play? Space

Roof

Landlords/Zoning/Permitting/EPA/ESA

Relocation

Shading

Programs and incentives that limit system size i.e.-CA 1Mw max

8/14/2019 Hospitality Lawyer with Stuart Brodsky of Sun Edison on what alternate engery sources are ready for you now and how you can take advantage of them

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Siting 101

Considerations Roof condition & age Land Availability (ground mounts rock!) Ancillary gear Landlord issues Relocation Size caps/system limits Shading Climate/weather/engineering requirements

Security Zoning/EPA/ESA

8/14/2019 Hospitality Lawyer with Stuart Brodsky of Sun Edison on what alternate engery sources are ready for you now and how you can take advantage of them

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Potential Project Areas

Hawaii Oregon

California

Colorado

Maryland

New Jersey

Connecticut

Pennsylvania

Massachusetts

Canada Spain

Watch List-OH,FL,TX, NC

State Tax Incentives State Tax Incentives

State PBIs 1Mw Limit

REC Based Incentives

REC Based Incentives

REC Based 2Mw Limit

CCEF Grants/Entity Cap

REC Based Incentives

State Based Rebate

Feed In Tariff/Roof Rents Feed In Tariff/Roof Rents

TBD

8/14/2019 Hospitality Lawyer with Stuart Brodsky of Sun Edison on what alternate engery sources are ready for you now and how you can take advantage of them

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Financing SolarPPA Benefits

No Capital InvestmentPredictable Energy Pricing

Turnkey Solution

Proven Technologies

Renewable, CleanAlternative

Solar power plants at yourfacilities

Prices at or below current

energy rates

Hedge against rate andbudgeting volatility

Immediate ROI and

savings

8/14/2019 Hospitality Lawyer with Stuart Brodsky of Sun Edison on what alternate engery sources are ready for you now and how you can take advantage of them

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Solar Power Contract Structure Comparison

Long-term contractRelocation issues

Best cash flow & ROIBoth sides incentives aligned

ITC appetite not required

Compatible with PBI rebates

Minimal non-performance risk

PowerPurchase

Agreement

May not include O & M

Non-performance risk

May require encumbered assets

May require complex deal structure

and/or billing

Relocation issues

Compatible with PBI rebates

Can include O & M

Can be helpful in incentive areas

where electricity sales are

prohibited (LADWP)

Capital

Lease

Long ROI (7 to 15 Years)

Govt/Non-profits cant use ITCs

O & M costs/risksNon-performance risk

You break it, you bought it!

Relocation issues

May have own need for ITCs

May want ownership of

Environmental AttributesMay need to use budget/increase

hard assets

May strengthen marketing impact

Direct

Ownership

DisadvantagesAdvantages

Scott Reed

Project DevelopmentSunEdison

949-289-0194

Sreed@sunedison.com

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Public Relations

Press releases announcing projectmilestones

8/14/2019 Hospitality Lawyer with Stuart Brodsky of Sun Edison on what alternate engery sources are ready for you now and how you can take advantage of them

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Grand opening Flip the Switch events and ground breakings

Public Relations

8/14/2019 Hospitality Lawyer with Stuart Brodsky of Sun Edison on what alternate engery sources are ready for you now and how you can take advantage of them

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Collateral Support

Photography

8/14/2019 Hospitality Lawyer with Stuart Brodsky of Sun Edison on what alternate engery sources are ready for you now and how you can take advantage of them

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Delivering On The Commitment to Solar

Staples Ontario, CA; Rialto, CA (560kW)ICU Medical (475kW)

Cal Food Distributor (1.2MWs)Sicor Laboratories (404kW)Seagull Lighting (2 facilities, 1MW)

Sure Save Storage (886kW)

8/14/2019 Hospitality Lawyer with Stuart Brodsky of Sun Edison on what alternate engery sources are ready for you now and how you can take advantage of them

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Extraordinary Results RequireExtraordinary Relationships