2017 Spring Utility DG Procurement ISEA Policy Committee March 8th, 2017

Agenda New Website Procurement Parameters Spring 2017 Utility DG Calendar & Milestones Invitation to Comment – Due March 9th Aggregator Contact Information Q&A

2017 DG Procurement Size Categories Under 25kW 25-2000kW Two Separate Procurement events - $20M each event Spring 2017 (Open 3/28 - Bid 4/28) Fall 2017 (Open 9/11 - Bid 10/13) Includes Speculative Bidding for systems < 25kW Systems Located in IL are Eligible Behind the Meter Any Energized Date Multiple Technology Types Bonding is Required for All Systems 5 Year Contracts Paid on Quarterly Basis Fixed Price -very similar to SPV procurement -2 sizes -2 rounds of procurement events one is expected in April one in November both around 20mm in budget -now includes speculative bidding -behind the meter systems with any energized date -wind, solar thermal and PV, biodiesel, crops and unadulterated organic waste biomass, tree waste, and hydropower that does not involve new construction or significant expansion of hydropower dams -there is a bonding requirement- more on this later -5 year contracts that get paid out on quarterly basis -fixed price

New Website https://www.ipa-energyrfp.com/2017/03/03/ipa-rfps-announcement-ipa-procurement-website-update-is-complete/

Procurement Parameters Capacity Factor for Solar: 14.38% Minimum Bid Size: 1MW (new & existing systems + forecasted systems) Fees: Refundable Bid Fee: $4/REC Non-Refundable Supplier Fee: < $3/REC Aggregator Fee: variable Important Dates! No extensions this time! Identified Systems - 18 Months to energize (note: live presentation incorrectly said 12 months) Forecasted Systems 9 months to identify 12 months to install

Spring 2017 Utility DG Calendar

Part 1 Window March 28th to April 5th (aggregator internal deadlines – April 3rd) What is due? Letters of Intent (Identified & Forecasted Systems)* System Owner/Host details (contact info, address) System Details (system size) Bid Deposit or Letter of Credit ($4/REC)* * See Aggregator for correct forms

Part 2 Window April 13th to April 20th Aggregators submit Proposals (without Bid Price)

Bidding Bidder Training: April 25th Bids Submitted: April 28th Administrator make recommendations: May 2nd ICC announces winners: May 4th Supplier Contracts Executed: May 9th

Previous Average Winning Bids Procurement Less than 25kW Average Price Greater than 25kW Average Price Overall Average Price Supplemental Procurement 1st Round (June 18, 2015) $168.58 $101.09 (25kW-500kW) $134.84 DG Procurement 2015 (October 8, 2015,) $116.65 Supplemental Procurement 2nd Round (November 12, 2015) $202.30 $114.05 (25kW-500kW) $137.15 (500kW-2MW) $137.15 Supplemental Procurement 3rd Round (March 31, 2016) $230.98 $108.60 (25kW-500kW) $99.32 (500kW-2MW) $163.45 DG Procurement 2016 (June 23, 2016) $141.00 All totalled the Supplemental Procurement resulted in about 31MW of solar capacity - jury out on what actually gets built. We can’t advise on specific pricing I would recommend talking to your aggregator about it.

Comments Due March 9th https://www.ipa-energyrfp.com/?wpfb_dl=1080

Identified vs. Forecasted Identified Systems Forecasted Systems RECs Capacity Factor = 14.38% Energized Deadlines Must be energized w/in 18 months Must be Identified by January 28, 2018 Must be energized by 12 months Bid Categories <25 kW (50% of total) 25 kW to 2,000 kW (50% of total) <25 kW ONLY Bid Minimums > 1 MW (less than 1 MW must aggregate) ?? Determined by each Aggregator Refundable Bid Deposit $4/REC Non-refundable Supplier Fee $3/REC MAX “Qualified Person” New Definition Metering Requirements “Revenue grade” for >10kW “Revenue grade” for > 10KW Contract Length 5 years https://www.illinois.gov/sites/ipa/Documents/IPA-metering-accuracy-standard-5-14-15.pdf

Definition of Qualified Person (Defined in Section 1-56(i)(1) For the purposes of this paragraph (1), "qualified person" means a person who performs installations of photovoltaics, including, but not limited to, distributed photovoltaic generation, and who: has completed an apprenticeship as a journeyman electrician from a United States Department of Labor registered electrical apprenticeship and training program and received a certification of satisfactory completion; or (does not currently meet the criteria under clause (A) of this paragraph (1), but is enrolled in a United States Department of Labor registered electrical apprenticeship program, provided that the person is directly supervised by a person who meets the criteria under clause (A) of this paragraph (1); or (has obtained one of the following credentials in addition to attesting to satisfactory completion of at least 5 years or 8,000 hours of documented hands-on electrical experience: a North American Board of Certified Energy Practitioners (NABCEP) Installer Certificate forSolar PV; an Underwriters Laboratories (UL) PV Systems Installer Certificate; an Electronics Technicians Association, International (ETAI) Level 3 PV Installer Certificate; or an Associate in Applied Science degree from an Illinois Community College Board approved community college program in renewable energy or a distributed generation technology. For the purposes of this paragraph (1), "directly supervised" means that there is a qualified person who meets the qualifications under clause (A) of this paragraph (1) and who is available for supervision and consultation regarding the work performed by persons under clause (B) of this paragraph (1), including a final inspection of the installation work that has been directly supervised to ensure safety and conformity with applicable codes. For the purposes of this paragraph (1), "install" means the major activities and actions required to connect, in accordance with applicable building and electrical codes, the conductors, connectors, and all associated fittings, devices, power outlets, or apparatuses mounted at the premises that are directly involved in delivering energy to the premises' electrical wiring from the photovoltaics, including, but not limited to, to distributed photovoltaic generation.

2017 Procurement Schedule

Procurement Aggregators SRECTrade provides a seamless SREC solution for installers and a secure online platform for solar facility owners to manage and sell SRECs. Visit us at SRECTrade.com to view our latest webinar and to get started today! Installers: installers@srectrade.com 415-763-7732 ext. 2 System Owners: clientservices@srectrade.com 415-763-7732 ext. 1 Winning aggregator in all round of SREC Procurement in Illinois including 2015 & 2016 DG and Supplemental Procurements Visit @ srec.carbonsolutionsgroup.com Toll free: (866) 499-1456 Email: contact@carbonsolutionsgroup.com

Thank you for your membership and support! Q & A Thank you for your membership and support! ContactISEA@illinoissolar.org http://www.illinoissolar.org/ISEA-Blogs Carbon Solutions Group (contact@carbonsolutionsgroup.com) SREC Trade (Installers@srectrade.com)

Save the Date! ISEA Solar Lobby Day ISEA Legislative Solar Social Tuesday May 9th @5:30PM – 8PM Solar Lobby Day Wednesday May 10th @9AM – 3:30PM