1. GSA National Capital Region Energy Efficiency Exchange Renewable Energy Projects w/ Private Funding Ronald Allard National Capital Region Energy Branch Chief

2. Recent GSA NCR Privately Financed Photovoltaic Projects IRS NC Federal Building on-site PV (Single Site) 808 kW PV Energy Savings Performance Contract (ESPC) Deep National Energy Retrofit Project (50%+ energy reduction) Capital Solar Challenge on-site PV (Multiple sites) 2.7 megawatt 10 + 10 year term Power Purchase Agreement (PPA) Roof top PV on 18 buildings - 7 Agencies Maryland Grid based PV (Grid Based) 75 Megawatt 10 year term Power Purchase Agreement (PPA) Privately developed PV solar farm 2

3. E.O. 13693 – Renewable Targets 10% in 2016 and 2017 15% in 2018 and 2019 20% in 2020 and 2021 25% in 2022 and 2023 27.5% in year 2024 30% in 2025 and beyond

5. Low Utility-Scale Solar Costs

6. Project Scoping Determine the key project parameters Answer - Why, What, When, Who, Where and How Defining some key project parameters helps set direction for other parameters and determines if you have financially viable project 6

7. Why do you want Renewable Energy? Consider the Project Drivers  Green “badge of honor” (Single site)  Favorable market conditions (Single or Multiple site)  To meet National Agency goal (Grid Based)  Supply Security (Single Site) 7

8. Who are the Potential Stakeholders? Identify the stakeholders and appropriate options Single Site – most likely one Agency Multiple Sites* - One or more Agencies Grid Based – One Agency (assuming power appetite) * Aggregated procurement brings economies of scale as well as greater project complexity. 8

9. When Must Project Happen? Determine if timing is critical Tax Credits Rebates RECs Incentives Product Pricing Other deadline If schedule is a major factor re-consider multiple players. 9

10. What Technology and what Price? Determine if there is a preferred technology. (Wind, PV, Other – or best match for location) Determine pricing parameters of delivered power Maximum price for the customer (market price or a price premium for renewable acceptable) and capital amortization requirement 10

11. Where to Locate the Project? Determine best location for the project Single site – roof or ground mounted Multiple sites – which sites (cost effectiveness and/or Agency relationship) Grid Based – which region or area (resource or delivery) 11

12. How to Structure the Contract? Determine the best contract structure Agency funds Other People’s Money ESPC PPA (Agency authority & ownership) Options for competitive pricing Length of Contract Drive down risk (provide good information) Industry friendly terms & conditions Aggregation of “good” sites

13. Drivers for GSA PV projects Single Site Project (IRS NC) Presidential Directive for ESPC’s and National Deep Energy Retrofit program - 22 year performance period ESPC with longer payback for PV; RECs are retained Multiple Site Project (Capital Solar Challenge) Presidential Memo to increase renewable energy on federal properties - 10 year + 10 year option PPA with non-renewal of option payment for below retail market power; RECs are not retained Grid Based Project (Maryland Solar Farm) Federal renewable energy requirement - national office10 year PPA with option for renewal for market price wholesale power; GSA does not retain RECs

14. Questions? Ronald.Allard@gsa.gov