Page 1 © Athens, February 2006 The European market place for wind park projects Christian Grütte

Page 2 © The European market place for wind park projects Agenda Leonardo Venablers

Page 3 © Consulting and financial advisory services in the markets of renewable energies Based in Barcelona; partner network across Europe, America and Asia Background in strategy consultancy, financing and business development Leonardo Venablers – Consultancy and advisory firm within the international renewable energy markets

Page 4 © - Business development -Partnerships & alliances -Distribution & pricing -Benchmarking - Project management - Deal identification - Investor selection - M&A moderation - Due diligence - Financial advisory - Executive workshops - Strategy development - Market assessment - Competitive intelligence - Regulatory analysis - Business modelling Leonardo Venablers – Services aligned to overcome specific growth inhibitors of respective renewable energy sectors Vision Venture Value WindPhotovoltaicSolar thermalBiofuelsBiomass

Page 5 © The European market place for wind park projects Agenda Leonardo Venablers

Page 6 © The renewable energy dilemma requires a thorough investment strategy for internationalization Resources in most attractive regions often over-developed Regulation subject to political swings and not harmonised Realization faces local barriers to influence stake holders and off-takers Reach for decentralised projects and pipelines limited by lack of transparency Return requirements of corporate and financial investors are competing International Investments: Big picture vs. opportunity driven? ¿…? The renewable energy dilemma

Page 7 © GermanyFranceSpainItalyUK captive non-captive Relative market size of captive wind investments in selective countries Increasing captive development due to industrial policy or tariff regulation Independent developers with cash constraints and lack of retail investors New market entrants increase demand on the free available project market 100% 80% 60% 40% 20% 0%20%40%60%80%100% Captive wind park development channel investments – independent project market limited Source: EWEA, AEE, BWEA, BWE, Suivi Eolien, Leonardo Venablers Analysis & Estimates

Page 8 © Under development All Licenses Turn-key Under operation Steady Yield Return maximisation Tax incentives Strategic Asset Corporate investors assume wind park investments as strategic assets, therefore they will consider all entry points, including portfolio and corporate deals Retail Investors Financial Investors Corporate Investors Investment Driver Entry Point As third party investors gain market experience they will seek co-development in order to reach projects and realize returns Financial investors are divided between IPP-type reaching for return maximisation and pension fund type with steady yield orientation Retail investors in Germany had been primarily attracted by tax incentives, however green investor profile increasingly present

Page 9 © Developement margin in ‘000 €/MW German turn-key prices in €/MWh Development prices driven by national peculiarities and new investors rushing into the markets Source: Leonardo Venablers Analysis & Estimates United Kingdom Higher average wind speeds drive prices Utility advantage within ROC trading Italy High certificates prices and low wind Corporate investors rather passive France Utility and financial investor rush Expensive grid connection Spain Wholesale market favour utilities with higher margin potential over fixed tariff scheme Combined pipeline and asset deals traded between mln €/MW Germany Diminishing tax incentives lead closed-end fund model dying out Anglo-Saxon and private Danish investors revitalise market Low wind sites and years together with decreasing tariffs bring margins below 10%

Page 10 © Internationalizing wind investments require an integrative approach in order to assess market opportunities The “5R” – Investment Radar Returns It’s more than wind hours and tariffs! ReachRealization Returns Resources Regulation Resources A lot of wind means a lot of competition Regulation Typically made for domestic investors Realization Understanding local peculiarities Reach Address entry point into the market

Page 11 © Thank you for your interest - at your service ! Christian Grütte Managing Partner Mobile: