TowerWise.ca Energy Savings Purchase Agreement TEEAC Presentation

About TAF  Toronto City Council created the Toronto Atmospheric Fund (TAF) in 1991  $23 million endowment for grants & mandate- related investments  Helping Toronto meet its GHG emission reduction targets

Energy Savings Purchase Agreement The ESPA is a new financing structure developed by TAF to help buildings finance energy efficiency upgrades. TAF will pre-purchase the projected energy savings from the project, providing the funds to purchase and install the equipment. Energy Costs ($) Time Financing Term Savings used to Pay TAF Post-Project Energy Costs Pre- Project Energy Costs Savings kept by Corp

Project PhasesCorporationToronto Atmospheric Fund Project Planning  Develop project plan in partnership with engineering consultant(s) of choice  Select products and Contractors  Secure necessary approvals and permits  Verify projected energy savings using third party engineer Project implementation  Manage project implementation  Purchase equipment and pay contractors  Commissioning of project on completion Post-project  Monitor energy performance  Repair and maintain equipment  Pass 75% of savings to TAF  Keep 25% of savings (and 100% after financing term is completed)  Monitor energy performance  Re-commissioning of systems as required during term of agreement ESPA: Roles and Responsibilities

Key Benefits:  Designed to be cash flow positive from day one = pay for costs without an immediate payback  Payments pro-rated to verified energy savings  Unlike a loan, there is no lien on the property  Leaves owners own fund intact to pay for other projects  Commissioning and re-commissioning provided to ensure that new equipment is installed and operating correctly  Partnership with a not-for-profit municipal agency ESPA - Benefits

Questions? Tim Stoate – VP Impact Investing – Bryan Purcell Manager, Incubation and Social Innovation