1. Sunny Days Ahead Insuring a solar future for Canada A Solar Plan for Canada The Canadian Solar Industries Association November 2004

2. The Solar Industry In Canada Three technologies –Solar Thermal (air and water heating) –Photovoltaics (electrical generation) –Passive (space heating and lighting) 400 companies 1,000 jobs – Estimated growth of 50% in next 2 years $100 million in sales annually Sales in Canada growing 15-25% per year (versus 30-40% internationally)

3. Canada’s Solar Manufacturing Up to 75% of Canadian manufactured products are exported – world markets are growing at 30-40% a year Canada has manufacturers in all areas of solar technology

4. Canada Has The Solar Resources Canada’s solar resource is equal to or better than many of the solar leading countries such as Japan and Germany

5. The Cost of Solar When accounted for as the same way as central power generation – solar is one of the cheapest energy sources available. Electrical Rates in Ontario

6. Valuing Heat Energy Space and water heating accounts for 74% of the energy used in the residential and commercial sectors

7. PV Installed Capacity (as of 2001) (Source: International Energy Agency) Canada: - 14 th of 20 reporting nations - Only 28% of the IEA average (0.28 v.s. 1.0 watts/capita) International growth was 36% in 2003 - Canada growth rate is 20%

8. Solar Thermal Installed Capacity (as of 2000) (Source: IEA) Canada: - 17 th of 22 reporting nations - Only 11% of IEA average - About 1,000 m 2 installed per year (Denmark – 26,000; Holland – 31,000)

9. International Solar (PV) Funding PV Public Budgets (2001) for R&D, Demonstration, & Market Stimulation IEA Average - $0.61 per capita

10. A Vision of the Solar Future for Canada 25 million megawatt-hours by 2025 (electrical & thermal energy) Equivalent to: – The energy needs of 2.5 million Canadian homes –The energy produced by Ontario’s coal power plants in 1999

11. The Benefits of a Solar Future Wealth Creation –From sales in Canada - $30-$40 billion (2005-2025) Job Creation –60,000 –70,000 jobs in the solar industry –120,000 – 210,000 jobs in related fields (batteries, wiring, plumbing, construction) –15,000 – 20,000 jobs due to manufacturing for exports –Job creation is local – jobs in every region Saving the Environment –Solar reduces peak loads – when often the dirtiest fuels are used –A single domestic hot water system on a family home can reduce GHG emissions by 2 tonnes each year

12. Benefits – From a Local Perspective Based on a community of 100,000 Canadians Local job creation –200 jobs for sales, installation, maintenance –Over 100 manufacturing plants across Canada Local sales - $100 million (2005-2025) –Money is spent locally to pay for solar systems from local companies –Increases local tax revenues for municipalities Avoids energy bills –$25 million annually (based on 2004 energy costs) –Money is kept in the community rather than “exported” to pay for outside energy

13. Sunny Days Ahead – Insuring a Solar Future for Canada The Canadian solar industries recommendations to make solar a major energy contributor in Canada 10 recommendations for the federal government to act on

14. Key Recommendations #1: A National Renewable Energy Strategy –Long term planning is needed –Integrate plans for all technologies – all have a role to play –Technologies are at different levels of development and requires different levels of support #3: Increased Government Funding –Level of support is well below international averages –Set a target to reach the international average within 2-year – to be in the top 5 within 5-years

15. Key Recommendations (Cont.) #6: Establishing Financial Mechanisms –A need to spread upfront costs over the life of the solar system –Equalizes the method that solar is accounted for compared to other energy sources #9: Begin Deployment Programs –Need to begin building industry capacity now so that it can handle large deployment in the near future –Need to duplicate the successes of other countries

16. We need your support: Communicate with the PM and his Ministers requesting greater support for the solar industry Support local initiatives at the local/community level when approached by solar companies Support development of policies for solar energy at the caucus level CanSIA is submitting a presentation for the pre-budget consultations and hope we can count on your support

17. Need More Information? Rob McMonagle (Executive Director) Canadian Solar Industries Association (CanSIA) 2378 Holly Lane, Suite 208 Ottawa, ON K1V 7P1 1-866-522-6742 rmcmonagle@cansia.ca www.cansia.ca