1. THE SUSTAINABLE ROAD TO PROSPERITY IN LATIN AMERICA Tuesday, March 1, 2016. Renewable energies: The Canadian expertise and the LATAM markets. Lucas de Haro

2. THE SUSTAINABLE ROAD TO PROSPERITY IN LATIN AMERICA THE CANADIAN EXPERTISE AND THE LATAM MARKETS

3. 1) A few paradigmatic examples. 2) Common strengths Canada-LATAM. 3) Keep an eye on… THE SUSTAINABLE ROAD TO PROSPERITY IN LATIN AMERICA THE CANADIAN EXPERTISE AND THE LATAM MARKETS

4. A FEW PARADIGMATIC EXAMPLES CHILE Strong past with spot market and private PPAs. Solid hydropower implantation. Traditional partnerships clean energy plants – mining companies. Mature market with abundant international presence. Promising future with clean calls. Cost competitiveness of solar energy. Member of the Trans-Pacific Partnership. THE SUSTAINABLE ROAD TO PROSPERITY IN LATIN AMERICA THE CANADIAN EXPERTISE AND THE LATAM MARKETS

5. PERU Sustainable growth during the past decade. Electrical capacity almost doubled in the last decade. Periodic clean calls. Possibility of private PPAs. Consistent competitive (de)regulation Solid mining and hydropower traditions. +90% of actual generation is thermal + hydro->Does the future belong to wind and solar? Member of the Trans-Pacific Partnership. THE SUSTAINABLE ROAD TO PROSPERITY IN LATIN AMERICA THE CANADIAN EXPERTISE AND THE LATAM MARKETS A FEW PARADIGMATIC EXAMPLES (cont.)

6. COLOMBIA Spot market + PPAs. Goal: 15% renewable by 2029. Exportable capacity. Interconnection Colombia-Panama (already connected to Ecuador and Venezuela) Great wind potential. Generation-transmission expansion plan 2015-2029. THE SUSTAINABLE ROAD TO PROSPERITY IN LATIN AMERICA THE CANADIAN EXPERTISE AND THE LATAM MARKETS A FEW PARADIGMATIC EXAMPLES (cont.)

7. MEXICO Electricity Reform 2013. Plan to double renewable capacity by 2028 (up to approx. 20GW). Goal: 35% clean energy by 2024. Biggest potential for wind and hydro. Almost 10GW of new renewable energy on its way. Spain and USA lead foreign investments. Opportunities for manufacturing industry. Solar opportunities in the long-term. Member of the Trans-Pacific Partnership. THE SUSTAINABLE ROAD TO PROSPERITY IN LATIN AMERICA THE CANADIAN EXPERTISE AND THE LATAM MARKETS A FEW PARADIGMATIC EXAMPLES (cont.)

8. COMMON STRENGTHS IN THE RENEWABLE ENERGY MARKET CANADA-LATAM 1)Energy background. 2)Association with other industries. 3)Local communities. THE SUSTAINABLE ROAD TO PROSPERITY IN LATIN AMERICA THE CANADIAN EXPERTISE AND THE LATAM MARKETS

9. ENERGY BACKGROUND Which countries in the Americas have a combined hydro-renewable installed capacity over… 50%? Belize, Brazil, Canada, Colombia, Costa Rica, Ecuador, Panama, Peru and Uruguay. As BC does. 75%? Brazil. As BC does. 80%? None. BC does. BC has more than 100 years of experience producing clean energy and continues to hold on to that leadership position today. THE SUSTAINABLE ROAD TO PROSPERITY IN LATIN AMERICA THE CANADIAN EXPERTISE AND THE LATAM MARKETS

10. ASSOCIATION WITH OTHER INDUSTRIES Source: Behre Dolbear. 1)Canada. 2)Australia. 3)United States. 4)Chile. 5)Mexico. 6)Peru. 7)Namibia. 8)Botswana. 9)Colombia. 10)Ghana. THE SUSTAINABLE ROAD TO PROSPERITY IN LATIN AMERICA THE CANADIAN EXPERTISE AND THE LATAM MARKETS

11. WE, THE INDIGENOUS COMMUNITIES, SAY NO TO THE HYDROELECTRIC PROJECT XALALA. ENDESA-ENEL, OUT OF THE SACRED SITES IN PANGUIPULLI- CHILE. PEOPLES RESISTING AGAINST WIND PROJECT. OUT MARENA RENEWABLES. NO ONE SINGLE WIND FARM MORE! THE SUSTAINABLE ROAD TO PROSPERITY IN LATIN AMERICA THE CANADIAN EXPERTISE AND THE LATAM MARKETS LOCAL COMMUNITIES

12. THE SOCIAL DUE DILIGENCE. SOCIAL, EDUCATIONAL AND CULTURAL DEVELOPMENT. MULTI-PURPOSE WATER PROJECTS WITH IRRIGATION COMMUNITIES. THE SUSTAINABLE ROAD TO PROSPERITY IN LATIN AMERICA THE CANADIAN EXPERTISE AND THE LATAM MARKETS LOCAL COMMUNITIES (cont.)

13. -Defined legal framework. -Legal titles and rights. -Experience of the communities with developers and investors. -General interest of the communities in Clean Energy. -Royalties. -Co-developments & ownership agreements. -Majority interests. Canoe Creek Powerhouse. THE SUSTAINABLE ROAD TO PROSPERITY IN LATIN AMERICA THE CANADIAN EXPERTISE AND THE LATAM MARKETS LOCAL COMMUNITIES - Canada

14. KEEP AN EYE ON… CENTRAL AMERICA Strong hydro tradition in Costa Rica, Panama, Honduras, Guatemala… Renewable exportable capacity of Nicaragua. Electric interconnection. URUGUAY Wind boom. PARAGUAY Future generation mix to be defined. ECUADOR Hydro is dominant, future for other renewable fuels? THE SUSTAINABLE ROAD TO PROSPERITY IN LATIN AMERICA THE CANADIAN EXPERTISE AND THE LATAM MARKETS

15. THE SUSTAINABLE ROAD TO PROSPERITY IN LATIN AMERICA Renewable energies: The Canadian expertise and the LATAM markets THANK YOU! Lucas de Haro L.deharo@sorgent-e.com