1. SWAAAE Tim Holmes Kenwood Energy January 30, 2012

2. Objectives Energy Efficiency Overview Energy Efficiency Overview Solar Energy – Next Steps Solar Energy – Next Steps Greenhouse Gases Greenhouse Gases Financing Financing

3. Results Variables Cost of Energy Cost of Energy Natural Gas Natural Gas Electricity Electricity Climate Climate Size of the Facility Size of the Facility

4. Lighting Fluorescent Fluorescent Linear Linear Compact Compact Architectural Architectural

5. Lighting High Intensity Discharge High Intensity Discharge Metal Halide Metal Halide High Pressure Sodium High Pressure Sodium

6. Lighting Light Emitting Diode (LED) Light Emitting Diode (LED)

7. Lighting - Advantages Fluorescent Fluorescent Efficient Efficient Long Life Long Life Good light quality Good light quality Affordable Affordable HID HID Light quality Disparity Light quality Disparity Lean towards Metal Halide Lean towards Metal Halide LED LED New Technology with great promise New Technology with great promise

8. Heating, Ventilation, and Air Conditioning Packaged Equipment Packaged Equipment

9. Central Plant Chillers Chillers Boilers Boilers Pumps Pumps Cooling Towers Cooling Towers

10. Energy Efficiency Economics

11. You’re interested in Solar Determine How Much Solar you need Determine How Much Solar you need Define what you want Define what you want Get competitive Bids Get competitive Bids Contract Contract Construction Support Construction Support Get professional help Get professional help

12. How Much Solar Admin OfficesTerminalRunway LightsApron FTotals Gross installed Cost $167,576$95,745$255,238$72,330$590,888 NPV of Incentive $25,056$14,057$41,478$11,730$92,321 Net Installed Cost $142,519$81,687$213,760$60,600$498,567 kW AC Output 30174713106 Annual Energy Production - kWh 49,36527,69581,71723,109181,885 Value of Energy $11,224$6,105$18,736$5,466$41,531 Internal Rate of Return 6.8%5.9%8.1%7.1% Net Present Value $215,746$105,711$404,003$99,117$824,578 Cost of Facility Energy Use $12,475$11,873$19,718$6,074$50,140 Percent of Energy Cost Offset 90.0%51.4%95.0%90.0%82.8% New Utility Rate A6 Annual eTons GHG Reduced 25.414.242.011.993.5

13. Define What you Want Develop a Good Construction Specification (Even PPAs) Develop a Good Construction Specification (Even PPAs) Goals and Objectives Goals and Objectives System Description System Description Scope of Work Scope of Work What is to be included in the proposal What is to be included in the proposal Submittals Submittals Proposal Proposal Pre Construction Pre Construction Experience Experience Start-up Start-up

14. Get Competitive Proposals

15. Contract, Construction, etc Contract Contract Use a Construction Contract Use a Construction Contract Refer to the Specification Refer to the Specification Include Liquidated Damages Include Liquidated Damages Construction Support Construction Support Professional that know the Spec and Solar Professional that know the Spec and Solar Construction Inspection Construction Inspection Professional Help Professional Help

16. Fuel Cell

17. Greenhouse Gases What’s an eTon What’s an eTon GHG Science is new GHG Science is new GHG Factors GHG Factors CARB Local Government Protocol CARB Local Government Protocol All electricity is not equal All electricity is not equal Time of use – Energy is dirtier during “peak” hours Time of use – Energy is dirtier during “peak” hours Utility Average – PG&E = 0.288 #/kWh in 2007 Utility Average – PG&E = 0.288 #/kWh in 2007 Solar – Estimated at 1.135 eTons per kWh Solar – Estimated at 1.135 eTons per kWh

18. Finance - Purchase

19. Finance – Loan or Bond

20. Finance - PPA

21. Contact Tim Holmes, P.E. Kenwood Energy (707) 833-1028 timholmes@kenwoodenergy.com