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Overview and Goals

This is meant to be an interactive discussion

What is working in procurements? What isn’t working in procurements? Are issues procurement specific? Why? Goal is to develop information and make it

available to DoD

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SunPower

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>2.5 GW solar PV deployed

Nellis AFB: 14.2 MW USAFA: 6.0 MW China Lake: 13.7 MW

World Leading Technology

Financial Strength

Industry Leading Warranty 40 MWs Installed for DoD

Highest Net Present Value

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What Works & Why

Approvals: Complete NEPA in Advance

Subject Expertise: Engage DOE National Labs Early

Infrastructure: Understand Local Utility Interconnection Requirements

People: Use Experienced Legal & Contracting Officers, Obtain Base Command Support

Contracting: Proven, financeable vehicle

Evaluation: Use NPV rather than only initial PPA cost

Financing & Legal: Termination Value Schedules, Conditions Precedent, Take or Pay

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What Doesn’t Work Approvals: no environmental approvals completed; industry

required to perform

Infrastructure: unknown offtaker, unknown interconnection, unknown site access

People: Lack of command support, lack of approval chain knowledge

Contracting: failing to align with industry requirements

Evaluation: low first year PPA rate evaluation only

Financing & Legal: inflexible RFP/contract language

RECs: unrealistic expectations

Timetable: unrealistic timeline for financing

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Dave Belote, VP of Federal Business - Nellis Air Force Base Commander, first Executive Director of DoD Siting Clearinghouse

Wade Barnes, Development Manager – Navy Surface Warfare Officer

Mark Goodwin, President – Former Naval Aviator

The Apex Federal Business Unit is uniquely qualified to work with all levels of government, from base commanders to intermediate command to the Pentagon:

Apex has a 300 MW facility in OK (energy to power 100,000 homes), a new solar portfolio in CO, and a pipeline of late-stage projects.

Apex Wind Energy

Why enter the DoD market?

• Contribution to energy independence/national security

• 30-year PPA authority: attractive to investors

• Chance to create energy-secure solutions: base commanders’ dream could benefit everyone

Why not enter the DoD market?

• Economics/pricing: growing pains for RFP writers

• Opposition by local utilities: DoD often prime customer in area

• Mission compatibility: wind 2/3 price of solar, but difficult to site

• Lack of communication in community: proponents/opponents often talk past, not to, one another