Why have a Wind Turbine?

Image: You become a “solution” Impact: Environment, National Security Cost Benefit: Numbers work Dubai: Unexploited treasure

Texas Impact

In 2008, the economic development impact upon the state of Texas is estimated at:

$7,000,000,000(Seven Billion Dollars)

Leadership to a clean future, for home or

business! Clean, Smart, and Independent!

If one out of 10 Texas homeowners put in a 5 kW windmill at their home, it would save\or

produce $5,880,000,000 (5 Billion at .14 cents per kW )\

COMMERCIAL APPLICATIONS VERY PROFITABLE

BBAR, INC. WIND TURBINES AND ALTERNATIVE ENERGY SOLUTIONS

July 17, 2008 | Deregulation Jolts Texas Electric Bills BY REBECCA SMITH Texas Electricity Deregulation Leads to Highest Prices in the NationTexas had some of the cheapest power rates in the country when it zapped most of the state’s electric regulations six years ago, convinced that rollicking competition would drive prices even lower.This summer, electricity there is some of the nation’s priciest.Power costs are rising in the rest of the U.S., but everything is bigger in Texas: On a hot day in May, wholesale prices rose briefly to more than $4 a kilowatt hour — about 40 times the national average.Deregulation was supposed to bring prices down. What happened?

Weatherford Residents Angry Over Rise In Electric RatesBy AMAN BATHEJA abatheja@star-telegram.com

WEATHERFORD — City officials faced stinging criticism Friday in response to skyrocketing local utility prices, prompting some Weatherford residents to call for key public officials to be suspended or recalled.More than 150 people showed up for the normally sparsely attended Weatherford Municipal Utility Board meeting to complain about rates jumping to 19.9 cents per kilowatt hour, a more than 32 percent increase in the last month, according to city officials.

Weatherford is in a unique position," Zion said, explaining that the city's contract with the private wholesaler makes it the only municipally owned utility in the state that does not either have its own power plant or buy its power from another public power company.Weatherford's rates (Per kilowatt hour) : July: 19.9 cents; May: about 15 cents; April: about 12 cents; Lowest current rates in deregulated market: 14.1 " cents: StarTex Power, 36-month fixed contract 14.3 cents: Yep Energy, variable month-to-month planSources: Weatherford Municipal Utility Board, powertochoose.orgAman Batheja, 817-390-7695

More Wind = Faster Payoff

Immediately Enhance Property Value

In homes, pools enhance value by about 70-90% of cost

Flooring enhances value about 80-120% of cost

Wind Turbines Generate Income &enhance residential and commercial property values, up to 215% of turbine cost

BUSINESS AND INDUSTRY LARGER TURBINES PRODUCE 80, 250, &1000 KW ofELECTRICITY PER HOUR.

Ideal for:1. Commercial business2. Industrial operations3. Hotels4. Retail shopping centers5. Farm/ranch & Dairy operations6. Multi Family apartment complex7. Prison facilities8. Applicable for remote or urban use9. SMALL COMMUNITIES (law)10. STATE UNIVERSITIES (law)

Wind Turbines for Home and Business

OPTIMUM PERFORMANCE:

80 KW PER HOUR = 700,800 ANNUAL @ .14= $98,112

250 KW PER HOUR = 2,160,00 ANNUAL @ .14 =$302,400

1000 KW PER HOUR = 8,760,000 ANNUAL @ .14 =$1,226,400

Wind Turbines for Communities and Industrial Projects

THESE UNITS DELIVER MEGA WATTS

POTENTIAL PRODUCTION FOR 10 TURBINES, optimal wind speeds, (based upon 60%

discount for variables and contingencies)

WES 250 250 KW PER HOUR = 2,160,00 ANNUAL

@ .14 =$302,400 X .60 = $181,440 COST PER UNIT INCLUDING

INSTALLATION= $970,000.00 Factor in operating and management

costs, resulting in net annual of $141,440 per unit

ESTIMATED PAYBACK PER UNIT:6.85 years

ANNUAL INCOME EXTENDED TO TEN UNITS: $1,414,440.00

TOTAL COST FOR 10 UNITS: $9,700,000.00

250 KW PER HOUR = 2,160,00 ANNUAL @ .14 =$302,400

MITSUBISHI 1000-A 1000 KW PER HOUR = 8,760,000

ANNUAL @ .14 =$1,226,400 X .60 = $735,840

COST PER UNIT INCLUDING INSTALLATION=

$2,100,000 Factor in operating and management

costs, resulting in net annual of $635,840 per unit

ESTIMATED PAYBACK PER UNIT: 3.30 years

ANNUAL INCOME EXTENDED TO TEN UNITS:

$6,358,400

TOTAL COST FOR 10 UNITS: $21,000,000

FUTURE PROJECTIONS FOR ENERGY PRICES

Merrill Lynch projects current energy prices to decline in short term (possibly 3 more months)

Merrill Lynch projects gradual increase in energy prices after 4 months through next 36 months

All economists predict continued increases in energy prices in all long term trends

Wild Card: 5 of the world’s largest producers of energy, are in areas considered politically vulnerable. War, political change, strikes, economic changes, can all cause prices to increase substantially

Projections of Electricity Rates

2008 2009 2010 2011 20120

0.05

0.1

0.15

0.2

0.25

0.3

0.35

0.4

kW Statewide

Houston

D/FW

Due to political changes these have not been factored in

Federal tax deduction of 2 cents per kWh produced by Wind Power

State tax credits Federal incentives for developers of wind

power Federal tax incentives and grants were

passed in 2009 Ability of local governments to issue

bonds to pay for wind turbines

0

10

20

30

40

50

60

70

80

2008 2009 2010 2011

Crude, px per b

Increase of Energy Costs will improve investment return in wind

power

LEGAL STATUS TEXAS HAS A NET METERING LAW, new legislation will

STRENGTHEN THIS LAW TEXAS LAW SAYS EACH COMMUNITY MUST EVALUATE

ALTERNATIVE ENERGY. TEXAS LAW SAYS STATE UNIVERSITIES MUST CONSIDER

ALTERNATIVE ENERGY WHEN THEY REMODLE OR ADD ON. TEXAS HAS FEWER INCENTIVES FOR INDIVIDUAL

BUSINESS AND CONSUMERS TO INVEST IN ALTERNATIVE ENERGY THAN NEARLY ANY OTHER STATE. CALIFORNIA, WILL PROVIDE TAX OFFSETS, OR REIMBURSALS, REFUNDS FROM SALES TAXES, FOR UP TO 40% OF THE INITIAL COST IN WIND OR SOLAR. TEXAS NEEDS LAWS TO GIVE CONSUMERS A BREAK ON INVESTING IN WIND AND SOLAR.

BUSINESSES, PRISONS, BANKS, RETAIL CENTERS, HOTELS, MANUFACTURING, ALL SHOULD BENEFIT FROM A STATE LAW THAT GIVES THEM INCENTIVES FOR PUTTING IN WIND OR SOLAR POWER.

DELIVERY AND AVAILABILITY

Mitsubishi quotes a 30 month backlog for all new turbine orders

G.E. quotes a 5 year backlog for all new turbine orders

BBAR (WIND INC) can deliver all of our consumer units in 4 to 6 weeks, and larger industrial turbines in 90-120 days.

HOW TO GO GREEN WITHOUT GOING IN THE RED

1. TAKE ADVANTAGE OF LIBERAL TAX CREDITS, DEDUCTIONS, AND INCENTIVES.

This chart assumes Kilowatt Hours are sold at a constant rate of $.14 and that wind turbines are optimized for wind harvesting to their individual capacity, per turbine model. This shows financial return WITH TAX INCENTIVES AND WITHOUT.

-80000

-60000

-40000

-20000

0

20000

40000

60000

80000

100000

0 1Year

2 3 4 5 6

20KW

20KW with taxincentives

NET PAYBACK CHART FOR CONSUMER WIND TURBINES, NOTE SIGNIFICANT ADVANTAGE USING TAX INCENTIVES

How to go green and stay out of the red!

CASE STUDY: * BUY 250 KW UNIT FOR $1,000,000. *Can produce $160,000 to $264,000 per

year in power production. (6.25 to 3.8 year pay back on investment)

BUT, YOU CAN DO MUCH BETTER BY CAREFUL USE OF CURRENT GOVERNMENT INCENTIVES!

GO GREEN WITHOUT GOING IN THE RED

NOW BUY SAME $1,000,000 TURBINE THE SMART WAY.

TAKE THE 30% INVESTMENT TAX CREDIT (OR GRANT) TO REDUCE COST $300,000.

TAKE THE PRODUCTION TAX CREDIT, TO REDUCE COST ANOTHER $100,000.

TAKE THE ACCELLERATED DEPRECIATION OPTION OF 50% TO GAIN ANOTHER $500,000 IN DEDUCTIONS 1ST YEAR.

GO GREEN WITHOUT GOING IN THE RED

ANOTHER BONUS! CARBON TAX CREDIT (CAP AND TRADE) THIS PROJECT WILL QUALIFY YOU TO SELL

CARBON CREDITS FOR A BONUS INCOME RANGING FROM $40,000 TO $150,000 PER YEAR

GO GREEN WITHOUT GOING IN THE RED

WE CAN FINANCE THE TURBINE THROUGH OUR BANK SOURCES AT LESS THAN 10% DOWN.

SO, AN INVESTMENT “OUT OF POCKET” OF $100,000 WILL YIELD:

*$160,000 TO $264,000 INCOME PER YEAR IN PRODUCED ENERGY

*$40,000 TO $150,000 INCOME “CARBON ”

*$900,000 IN DEDUCTIONS & GRANTS *

GO GREEN WITHOUT GOING IN THE RED

$100,000 OUT OF POCKET CASHTO: OWN A $1,000,000 TURBINETO: MAKE: $160,000 PER YEAR UP TO $264,000 IN POWERTO: Plus income of $40,000 TO $150,000 IN CARBON CREDITS PER YEAR

MINIMAL RETURN $200,000 PER YEAR, MAXIMUM RETURN $564,000 PER YEAR

DEDUCTIONS AND GRANTS IN FIRST YEAR, TO TOTAL $900,000.

WIND INC. (BBAR)

BE YOUR OWN POWER COMPANY!