k-solar overview september 28, 2016 · solarcity has announced a number of new funds to cover the...
TRANSCRIPT
K-Solar Overview September 28, 2016
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Agenda
Introduction
SolarCity Overview
Why SolarCity
Why K-Solar
Pricing Proposal
SolarCity Overview
SolarCity’s national scope and breadth of experience can help you save on energy costs.
2,000+ Commercial projects
1,847+ MW deployed
400+ School installations
27 States served
10 Years of experience
15,000+ Employees
$9 Billion+ Raised from investors
The national market leader in solar, SolarCity has:
80+ Operation centers
SolarCity installed more commercial solar capacity in the U.S. than any other provider in 2014 and
2015, according to GTM Research’s U.S. PV Leaderboard Q4 2015.
We serve national brands, local companies, government entities, schools and more.
Government Commercial Schools
Zero financial dependency.
Through our investment partners, we’re able to
offer solar energy with zero capital expenditures
by the customer.
All financing is done in-house; no third-party
management or added costs.
Our existing tax equity funds allow us to finance
projects immediately.
Over $8 billion raised by trusted investors such
as Google, Goldman Sachs, Citi, Honda and
Rabobank.
Select investment partners.
SolarCity News
GTM Report Reveals SolarCity Leads Market in Solar Installations
GTM Research released a report this year confirming SolarCity is once again #1 in both residential and commercial deployments for 2015 fiscal year. SolarCity installed 34.8% of all residential solar installations and 13.8% of all commercial installations in the United States.
New SolarCity Funds SolarCity has announced a number of new funds to cover the capital cost of solar equipment and installation, making it possible for many homeowners to pay less for solar power. Recent closings include a $227 million cash equity fund with John Hancock, $188 million in financing from Bank of America Merrill Lynch and $150 million with Credit Suisse. SolarCity has now created 50 project funds with 21 different financing partners.
SolarCity News
SolarCity Appoints Jon Wellinghoff
Chief Policy Officer
The former Federal Energy Regulatory Commission (FERC) Chairman will report to CEO Lyndon Rive. His responsibilities will include advising on federal and state policy for SolarCity and the overseeing of both regulatory and legislative affairs for the company.
Gigafactory Construction Continues
The $900 million plant is expected to reach full production by Q2 of 2017. The plant will employ about 1,460 workers once it hits full production, churning out 9,000 to 10,000 solar panels daily at a factory that will be the biggest solar panel production facility in the Western Hemisphere.
• 6 Operation Centers
• 600+ Employees
• More than 5000 commercial and
residential projects built in NY
• More than 45 MW total
Operation Centers in:
Albany
Amsterdam
Orange County
Westchester - Elmsford
Long Island (2)
SolarCity In New York
SolarCity in Western New York
• Silevo panel manufacturing facility coming to Buffalo, NY
• Will be completed in 2017
• Operating at full capacity by late 2017
• Will generate approximately 1,500 jobs
Why SolarCity?
Why are School Districts turning to solar?
Offset High Utility Costs
Environmental Stewardship
Hedge Against Volatile Energy Markets
Top reasons our commercial clients chose solar power:
Immediately reduce energy costs.
SolarCity customers see savings from day one with no upfront costs or capital expenditure, allowing them to invest these savings into additional high impact projects.
Predict the cost of energy for 20+ years.
Energy market rates are volatile and frequently rise. SolarCity agreements guarantee performance and offer predictable rates for 15 to 20 years, serving as a hedge against volatile market rates.
Pricing volatility in power markets.
$ p
er M
Wh
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100.00
200.00
300.00
400.00
500.00
600.00
Save money on electricity every month.
Old electric bill
New electric bill
Solar PPA payment
Before solar After solar
Our solar energy systems offer predictable energy rates.
We simplify project development.
We offer customers a fully integrated, turnkey solution so they don’t have to manage any aspect of
development. Relying on our capabilities ensures the highest level of quality, safety and efficiency.
We have a successful track record. Our experience stems from managing and developing over 1,800 projects across 26 states, totaling over 1,212 MW.
We get the job done quickly and safely. Our capabilities ensure that projects close quickly and efficiently, reduce the risk of cancellation, and minimize the impacts on your business. Above all, we’re dedicated to safety.
We reduce project risk through a vertically integrated approach. We constantly identify ways to lower costs, forecast policy changes and avoid potential project delays. We have dedicated teams focused on navigating common pitfalls of solar projects related to:
• Financing
• Government affairs
• Utility regulations
• Renewable energy credits
• Environmental citing & licensing
Our project management experience streamlines
and accelerates pre-contract planning.
Technology is driving improved economics
Why K-Solar?
K-Solar for New York School Districts
Aligned as part of Gov. Cuomo’s NY-Sun Initiative
Instituted by NYPA, NYSERDA and SED
An energy cost savings program for all New York School Districts
Provide Technical support, pre-negotiated PPA’s and a streamlined approach to providing solar
Goal of making Solar Energy accessible and affordable to all schools
NYPA and SED conducted competitive bid process and awarded to SolarCity based on our financial, technical and installation capabilities and experience.
Additional K-Solar Program Features
Streamlined RFP by leveraging the K-Solar process
Expedited Permitting Approval through SED
14 day turnaround
Performance Guarantee – kwh Production levels
Purchaser Credit Agreement
Eliminate the risk that you may pay more for Solar than the power rates available from the utility - Guaranteed savings.
Educational Component
Build Curriculum, teacher and student workshops and solar toolkits
Community events
Solar Pricing
Herkimer – Revised Site Plan
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Herkimer Ground Array - Location
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Herkimer CSD – Ground Array
• Monetary Block 5 – Pricing
SolarCity PPA Rate/kwh - $0.1040
Monetary Credit Value/ kwh - $0.1120
Savings/kwh - $.008 x’s 1,584,199 khw’s
First Year Savings - $12,990
Cumulative 18 yr Savings - $265,933
• Monetary Block 6 - Due to declining NYSERDA incentives, the PPA Rate increases to $0.1070.
First Year Savings - $8,238
Cumulative 18 yr Savings - $168,640
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