PG&E s Bidders Webinar PG&E s Request for Offers: Renewable Auction Mechanism, and Green Tariff Shared Renewables/Community Solar Choice July 14, 2015
Agenda Topics Introduction Solicitation Overview Eligibility Requirements PPA Overview Evaluation Methodology Offer Submittal Process Interconnection Process Intermission Q & A Presenter Chris DiGiovanni Lindsay Saxby Chris DiGiovanni Lindsay Saxby Chris DiGiovanni Priyam Desai Andrew Waggoner Team 1
Objective The purpose of this webinar is to provide information to participants who may submit Offers to the PG&E s joint Sixth Renewable Auction Mechanism (RAM 6) and Green Tariff Shared Renewables (GTSR)/Community Solar Choice (CSC) Request for Offers. We will not discuss other procurement programs such as: 2014 and 2015 RPS Solicitations Storage Feed-in-Tariff Programs Net Metering California Solar Initiative (CSI) program Enhanced Community Renewables (part of the GTSR Program) 2
Q&A / List of Attendees / Audio Replay Participants should e-mail their questions to the following mailboxes: RAM6: RAMRFO@pge.com GTSR/Community Solar Choice: GTSRprocurement@pge.com Questions will be answered at the end of the Webinar PG&E may not address all of the questions during the Q&A portion of the Webinar. After the Webinar, PG&E will compile and post a Q&A document on PG&E s website at: www.pge.com/rfo/ram PG&E will be posting a list of attendees on PG&E s website. If you do not want your name or the name of your company published, please let us know by sending us an email to the RAMRFO mailbox at RAMRFO@pge.com by July 15. The audio portion of the Webinar will be posted on PG&E s website at: www.pge.com/rfo/ram 3
Document Conflicts This presentation is intended to be a summary level discussion of the information and requirements established in the RFO materials (it does not include all of the detailed information in the RFO materials). To the extent that there are any inconsistencies between the information provided in this presentation and the requirements in the RFO materials, the RFO materials shall govern. PG&E encourages participants to carefully review: CPUC Disposition Letter dated June 17, 2015 approving PG&E Advice Letter 4605-E (RAM Resolution) RAM RFO Protocol dated July 7, 2015 Form of Power Purchase Agreement that is posted on PG&E s RAM website as Appendix B to the Protocol Monitor the Q&A link on PG&E s RAM and GTSR/Community Solar Choice RFO websites Given that the Power Purchase Agreement is non-negotiable, PG&E urges bidders to ask clarifying questions regarding the PPA prior to submittal of an offer under this RFO. 4
Public Disclosure of Information By participating in this joint solicitation, each Participant acknowledges and expressly authorizes PG&E to publicly disclose the following information as required by the CPUC s RAM Decision: Names of the companies that submitted Offers into PG&E s RFO Number of Offers received from each company Number of Offers received and selected by PG&E Project size Participating technologies Location of bids by county level shown in a map format; and Progression of each executed contract s project development milestones GTSR/CSC projects are subject to release of generation data in aggregate of 3 or more projects. Every six months PG&E will provide the CPUC an update on each RAM project s progress toward the achievement of project development milestones 5
Solicitation Overview 6
Overview of the Solicitation: RAM 6 + GTSR/CSC First - What s with the hyphenated GTSR/CSC Name? The Commission name for the program is Green Tariff Shared Renewables (GTSR) and the RFO materials include this name due to the timing of filing. Community Solar Choice (CSC) is PG&E s brand name for the program. PG&E is transitioning to the CSC name, so for the time being, the name will be hyphenated where possible. How did the RAM program and GTSR/CSC program become a joint solicitation? D.14-11-042 directed the IOUs to hold one additional RAM auction, RAM 6, to be concluded no later than June 30, 2015. D. 15-01-051 directed the IOUs to begin advance procurement for the GTSR/CSC program (in advance of customer enrollments) using Commission approved procurement mechanisms such as RAM. The Decision also directed the IOUs to request that RAM 6 be delayed to incorporate GTSR/CSC advanced procurement. The request was approved on March 4, 2015. PG&E submitted a RAM/GTSR PPA for the joint solicitation which was approved on June 17, 2015. 7
Overview of GTSR/Community Solar Choice Program Renewable Energy Options PG&E bundled electric customers will be able to purchase electricity from new solar projects within PG&E s service area in one of two ways: 1. Green Tariff Shared Renewables (GTSR) AKA: Community Solar Choice 2. Enhanced Community Renewables AKA: Local Solar Choice 272 MW 8
GTSR/Community Solar Choice Procurement Overview Overview PG&E is seeking to procure 50 MW of new, solar resources located within PG&E s service territory, sized 0.5-20.0 MW, to support demand for the GTSR/Community Solar Choice (CSC) program via RAM. A detailed matrix of the eligibility requirements for GTSR projects will be provided later in the presentation. PPA PG&E filed a joint RAM6/GTSR PPA on March 19 th which was approved via Disposition Letter by the CPUC without modification on July 17 th. GTSR/CSC specific provisions will be provided later in the presentation. Solicitation o PG&E will be using the RAM process for the program and holding the first GTSR/CSC solicitation together with RAM 6. o GTSR/CSC will have 3 unique buckets competing independently for eligible projects. Each bucket has its own eligibility criteria which will be described in more detail: Main bucket Community Project bucket Environmental Justice (EJ) bucket o To maintain ratepayer indifference to the GTSR/CSC program, PG&E will be selecting top eligible RAM projects for this solicitation first, followed by GTSR/CSC projects. 9
Procurement Targets for RAM RFO Solicitation PG&E s allocation for RAM 6 is 32 MW. PG&E is rolling over 105 MW from its terminated PV RFO. The combined target for RAM and PV Rollover is 137 MW. Bucket Example RFO Target Baseload Biomass, Geothermal 10.0 As-Available non-peaking Wind 12.0 As-Available peaking Solar (includes 105 MW from PV Program Rollover) 115.0 Total 137.0 PG&E may procure up to 20 MW or less in each product category, but no more than 157 MW in total. 10
Procurement Targets for GTSR/Community Solar Choice RFO Decision 15-01-051 requires PG&E to begin procurement on behalf to the GTSR/CSC Program in advance of customer enrollment for the program. PG&E s overall procurement target is 272 MW, to be procured by 2019. The target for this advance procurement GTSR/CSC RFO is 50 MW. Bucket Example RFO Target Main Bucket New solar 50 Community Project Environmental Justice New solar, located within identified community,.5-20 MW New solar, located within identified EJ census tract,.5-1 MW N/A 8.3 PG&E may procure up to 68 MW total for this solicitation and not more than 11.3 MW of Environmental Justice projects. EJ and Community Project procurement is included in the overall 50 MW target. 11
RAM 6 RFO Schedule Date/Time July 14 August 21 by 12:00 P.M. PPT October 30 November 4 November 5 November 10 by 1:00 P.M. PPT November 17 by 1:00 P.M. PPT ~December 15 ~January 15 Event Bidders Webinar Deadline for Participants to submit Offers through Power Advocate PG&E notifies Selected RAM Participants and any Waitlisted RAM/GTSR Participants Primary and Waitlisted Participants must return signed acceptance letters Waitlisted Participants updated regarding their status Primary Participants must return signed PPA and the required documents as shown in Appendix IX of the PPA Waitlisted Participants must return signed PPA and required documents as shown in Appendix IX of the PPA PG&E executes PPAs PG&E files Advice Letter for CPUC approval 12
Independent Evaluator (IE) Primary role of the IE is to: Monitor RFO processes to ensure fair and equal treatment of all potential counterparties. Monitor evaluation processes to ensure PG&E has implemented methodology as described and that Offers are treated consistently. Report on RFO process and proposed transactions to CPUC when filed for CPUC approval. The IE may review all proposal data and communications with Participants Joint RAM 6 and CSC IE is Boston Pacific Group. Contacts are: Frank Mossburg (fmossburg@bostonpacific.com) Sam Choi (schoi@bostonpacific.com) 13
Eligibility Requirements 14
RAM6 and GTSR/CSC Eligibility Requirements Procurement Volumes Product Categories RAM 6/PV GTSR: Main GTSR: EJ Bucket +/- 20 MW from 137 MW 50 MW 8.3 MW (included in 50 MW RFO target) RAM(32MW): 1) As-Available Peaking 2) As-Available Non-peaking 3) Baseload PV (105 MW): 1) As-Available Peaking solar only Existing/new facilities accepted Existing/New/Repowering Interconnection system Interconnecting utility Project size All IOUs Greater than 3 MW Less than or equal to 20 MW Solar projects only New Distribution/Transmission level 0.5 MW to 20 MW PG&E 0.5 MW to 1 MW GTSR: Community Project No target (included in 50 MW RFO target) 0.5 MW to 20 MW 15
RAM6 and GTSR/CSC Eligibility Requirements, con t. Location Interconnection level Term of contract Transaction RAM 6/PV GTSR: Main GTSR: EJ Bucket All IOUs service territory Within PG&E's service territory Located in census tract listed in supplemental 3/25 filing System Impact Study, Phase I Study (or equivalent), passed WDT/CAISO Fast Track screens at the time of offer submittal 10,15,20 years Full buy/sale or excess sale GTSR: Community Project Located within city limit of listed city in Appendix B of Protocol No requirement Deliverability Developer experience Commercial Online Date (COD) Site Control Full capacity deliverability, partial capacity deliverability, energy only A member of the development team must have completed/begun construction on a similar project 24 months with potential 6 month permitted extension Site control for the entire delivery term of the project 16
Eligibility Requirements Studies, where applicable, must show that commercial operation can be achieved within 24 months following CPUC approval of the PPA; assuming January 2016 Advice Filing and February 2016 CPUC approval, commercial operation must be scheduled to occur by February 2018. Project must employ technology currently in use at a minimum of two operating facilities of similar capacity worldwide. Must not have received funds in the California Solar Initiative (CSI) or Net Energy Metering programs. Sellers that have previously bid projects into other solicitations may bid into the RFO as long as they meet the eligibility requirements. 17
Eligibility Requirements Deliverability Projects can bid in as Energy Only, Partially Deliverable, or Fully Deliverable Projects bid in as Energy Only are fully eligible and PG&E is not requiring, nor has it stated a preference for, deliverable projects. Projects bid in as Partially or Fully Deliverable must achieve the corresponding deliverability status by their submitted Deliverability Date or face penalties and/or default. Participants are encouraged to review these provisions carefully in the PPA and only bid Partially Deliverable or Fully Deliverable Offers if they are prepared to meet the terms of the PPA. PG&E will review the timing of when the offer is likely to achieve the offered Deliverability status for eligibility. Participants are encouraged to submit an Energy Only bid (instead of or in addition to their deliverability bid) if there is any chance the deliverability bid may be declared ineligible. 18
Eligibility Requirements Deliverability Studies Projects bidding as Energy Only do not have to pursue any deliverability studies Projects bidding as Fully or Partially Deliverable must: Identify date by which project will have FCDS or PCDS status. Provide documentation that the Project has received FCDS/PCDS or is in the Phase II process of the deliverability study via: the project s Interconnection Agreement or Interconnection Study Process Agreement, whichever is more recent, reflects the requested deliverability; and evidence that the project has posted all required Interconnection Financial Security (Initial, Second, or Final) as required by the Interconnection Process; and maintain their identified deliverability request status as evidenced by the CAISO or PG&E Interconnection Queue lists or Interconnection Agreement. An application for deliverability through any CAISO annual process is not sufficient unless there is a finding of deliverability at the time of Offer submittal. 19
Power Purchase Agreement (PPA) Overview 20
PPA: Updates from RAM 5 Major Updates One form PPA for both RAM and GTSR projects. Deliverability (for projects committing to provide full capacity or partial capacity): Must provide a date upon which the Project has or is anticipated to have a Full Capacity Deliverability Status Finding (FCDS) or Partial Capacity Deliverability Status (PCDS). If Seller fails to obtain FCDS or PCDS for the project by the date provided, Seller is subject to RA Shortfall provisions including liquidated damages not to exceed 26 months. If Seller is unable to obtain the deliverability type selected regardless of damages paid, Seller will be subject to an Event of Default. Energy Only TOD factors will apply to projects that price their offer with FCDS up until Seller obtains a finding of full capacity deliverability. FCDS TOD factors only apply to projects that achieve FCDS and do not apply to PCDS projects at any time. Unlimited Curtailment hours, Buyer Curtailment Orders are paid as Deemed Delivered Energy. Force Majeure language at different stages of project development. 21
PPA: Updates from RAM 5 Minor Update Delivered Energy cannot exceed 100% of Contract Capacity. RAM 6 PPA language brought current with 2014 RPS PPA approved by the Commission in D.13-11-024 on November 14, 2013. Please see page 331 of the Advice Letter 4605-E that PG&E filed on March 19, 2015 for a complete list of these updates. Updated the Cover Sheet to reflect the following: Deliverability fields Moved single line diagram and project description to appendix Clarified advance notification timing for curtailment and hours of Buyer Bid Curtailment Added Damage Payment section for damages resulting from an Event of Default Email addresses added to Notices list 22
GTSR/Community Solar Choice PPA Additions GTSR/CSC Specific PPA Provisions: All RAM PPA provisions apply to CSC/GTSR Projects unless otherwise indicated. The PPA includes a few additional provisions applicable to GTSR/CSC projects only, including: All GTSR/CSC projects must be new solar projects located in PG&E s service territory Green-e Certification requirements: Seller must take actions to comply with Green-e Attestation and Certification requirements. Must be in compliance as a pre-requisite to achieve Initial Energy Delivery Date. Reduced Performance Assurance amounts for projects sized 0.5 3.0 MW. Confidentiality: Project s generation amounts may be made public. Note that execution of GTSR/CSC PPAs is subject to program approval, though the timing is not anticipated to be an issue (program approval is expected early fall 2015). 23
PPA: Overview Terms and conditions are non-negotiable. Seller must sell and deliver all Product to PG&E. Product means: All electric energy produced by or associated with the Generating Facility net of Station Use (and Site Host Load); and All renewable attributes, Renewable Energy Credits, Capacity Attributes and Green Attributes produced by or associated with the generating facility. Commercial operation must occur within 24 months of the date on which the CPUC approves the PPA, with potential six (6) month permitted extension. This includes projects in the GTSR/CSC Community Project bucket. Sellers must provide progress development updates on a monthly basis. Failure to meet the guaranteed commercial operation date after any excused delay is an Event of Default which would allow PG&E to terminate the PPA and retain the Project Development Security or Term Security as damages for the Seller s default. All output from the Project must be delivered through a single CAISO revenue meter located on the high-voltage side of the Project s final step-up transformer (which must be dedicated solely to the Project) nearest to the Interconnection Point. 24
PPA: Overview Energy deliveries Energy Deliveries: PG&E will pay for energy deliveries up to 100% of the Contract Quantity in a given year. Delivery shortfalls: Based on the performance characteristics of As-Available and Baseload technologies, Sellers must agree to deliver a minimum quantity, which is the Guaranteed Energy Production ( GEP ) of the Product: As-Available : 160% over two consecutive years Baseload: 90% over one year GEP is based on contract quantity, which is the estimated amount of megawatt-hours of energy that the Project will generate on an annual basis. If Seller fails to meet GEP, then Seller may be required to pay PG&E liquidated damages. If Seller repeatedly fails to meet GEP, then PG&E may default Seller and terminate the PPA. 25
PPA: Overview PG&E is Scheduling Coordinator. Sellers provide availability data and other information to PG&E. PG&E schedules energy from the project. PG&E may assess a Forecasting Penalty if Seller fails to meet the forecasting and data requirements under the PPA and exceeds the performance tolerance band. Intermittent projects must be PIRP/VER certified before the delivery term begins. This generally occurs at least 45 days after COD. Seller must curtail energy deliveries in response to curtailment requests from the CAISO, PTO or Buyer. Review the PPA carefully to better understand under what circumstances Seller will or will not be reimbursed for curtailed energy deliveries. PG&E has the right to require the seller to curtail energy deliveries during the Buyer Curtailment Period for unlimited hours per year and PG&E will pay for such curtailed energy at the contract price. Seller is required to respond to electronic signals from PG&E or the CAISO to curtail. 26
PPA: Overview Performance Assurance defined in the PPA as Project Development Security is due to PG&E within five (5) business days following CPUC approval of the PPA and must be in the form of a letter of credit or cash and in the following amounts: $60 per kw for intermittent resources $90 per kw for baseload resources Delivery Term Security (5% of expected total Project revenues as provided in the Offer form) is performance assurance due to PG&E before the Initial Energy Delivery Date and will be held by PG&E throughout the delivery term. GTSR/CSC projects 3MW or less owe one-time Term Security 30 days following the Effective Date of the agreement equal to $20/kW. 27
Time of Delivery (TOD) Factors For each hour of energy generated, Seller is paid contract price multiplied by the applicable TOD factor. A Seller that enters into the PPA with an Energy Only project, but later obtains a full deliverability or partial deliverability finding through the CAISO s annual study option will continue to be paid based on the Energy Only TOD factors only. Payment = Contract Price * TOD Factor * MWh Definitions Peak: Hours ending 16-21 PPT all days in the applicable Monthly Period Shoulder: Hours ending 7-15 PPT all days in the applicable Monthly Period Night: Hours ending 1-6, 22, 23 and 24 PPT all days in the applicable Monthly Period 28
Time of Delivery (TOD) Factors Full Capacity Deliverability Status Peak Shoulder Night A. Jul Sep 2.2304 0.8067 0.9569 B. Oct Mar 1.1982 0.7741 0.9399 C. Apr Jun 1.1941 0.6585 0.9299 Energy Only Peak Shoulder Night A. Jul Sep 1.4514 0.8317 1.0144 B. Oct Mar 1.2855 0.8312 1.0092 C. Apr Jun 1.1327 0.7036 0.9977 The TOD Factors shown above are consistent with those shown in PG&E s 2014 RPS Protocol 29
Evaluation Methodology 30
Evaluation Methodology PG&E will screen Offers on a pass-fail basis against the eligibility criteria discussed in the Eligibility Requirements section of this presentation. Eligible Offers will be ranked in order of Total Cost, which will include: Levelized Post-TOD Price. Costs will be levelized using PG&E s CPUC-authorized after tax weighted average cost of capital of 7.0 percent. Escalation is allowed, but no indexing. No price refreshes. RA Benefit. Transmission Costs ($/MWh): will be taken from applicable study. (Not applicable to CSC projects in the Community bucket). Energy Only projects: Only the reimbursable portion of the costs associated with reliability network upgrades required for will be used. Fully Capacity Deliverability Status and Partial Capacity Deliverability Status projects: Will use the reimbursable portion of the reliability network upgrade cost and the deliverability network upgrades net of the Project s resource adequacy value. 31
Evaluation Methodology PG&E assumes that all projects will achieve Full Capacity Deliverability Status or Partial Capacity Deliverability Status by the date provided in the Offer Form. RA benefit will be included from the date indicated through the remaining delivery term of the PPA. Projects failing to achieve the corresponding deliverability status by their submitted Deliverability Date will face penalties and/or default. RA benefits will be evaluated by applying the Net Qualifying Capacity (NQC) to the avoided capacity costs forecast. RA benefit is calculated using an incremental Effective Load Carrying Capability (ELCC) methodology, in which the incremental NQC diminishes with increasing renewable penetration. The CPUC noted in the 2014 RPS Plan proceeding that any lack of capacity need should be reflected in low resource adequacy values. PG&E currently discounts the capacity value of SP15 resources due to a RA capacity constraint (this constraint may change in the future). 32
Evaluation Methodology Supplier Diversity PG&E will consider a Participant's status as a WMDVLBE and/or an intent or policy of subcontracting with WMDVLBEs as a secondary project selection criterion. Seller Concentration The number of Offers submitted by a single Participant is not limited. However the total MW awarded in this RFO to any single Participant may be capped at 20 MW. 33
Offer Selection Example: RAM 6 and GTSR/CSC Project Total Cost Lowest Highest Total Offers Received Project MW Eligibility RAM GTSR Main Community EJ 1 20 2 6 3 14 4 1 5 20 6 4 7 9 8 19 9 15 10 20 11 3 12 1 13 9 14 5 15 5 16 15 17 12 18 8 19 1 20 19 FOR ILLUSTRATIVE PURPOSES ONLY 34
Offer Selection Example: RAM 6 Projects Selected Project Total Cost Lowest Highest Total Offers Received Project MW Eligibility RAM GTSR Main Community EJ 1 20 2 6 3 14 4 1 5 20 6 4 7 9 8 19 9 15 10 20 11 3 12 1 13 9 14 5 15 5 16 15 17 12 18 8 19 1 20 19 FOR ILLUSTRATIVE PURPOSES ONLY 35
Offer Selection Example: GTSR Projects Selected Project Total Cost Lowest Highest Total Offers Received Project MW Eligibility RAM GTSR Main Community EJ 1 20 2 6 3 14 4 1 5 20 6 4 7 9 8 19 9 15 10 20 11 3 12 1 13 9 14 5 15 5 16 15 17 12 18 8 19 1 20 19 FOR ILLUSTRATIVE PURPOSES ONLY 36
Keys to a Successful Proposal Expect a strong solicitation response o PG&E received 102 offer variations in the RAM 5 RFO Sellers may choose the option to bid a single project with variations. Variations include: o Size o Delivery Term o Fixed Price vs. Escalating Price o Full (or Partial) Capacity Deliverability Status vs. Energy Only 1 Submit a competitively priced Offer price refreshes are not allowed. Submit a complete Offer including: o o Most recent Interconnection Study or Interconnection Agreement, where applicable Supplier Diversity questionnaire 1 Participants are encouraged to submit an Energy Only bid (instead of or in addition to their deliverability bid) if there is any chance the deliverability bid may be declared ineligible. 37
Offer Price Assumptions The price that Participant submits in the Offer, including projects in the GTSR/CSC Community Project bucket, must assume the following: Grid Interconnection Costs Direct Assignment Costs: Sellers bears the Direct Assignment Costs because there is no reimbursement of these costs to Seller. Network Upgrades: Seller bears the cost of financing the Reliability Network Upgrades 1 for Energy Only projects. If a Seller submits its project as fully deliverable, the Seller must also fund any upgrades required to achieve Full Capacity Deliverability Status 1. Credits/Benefits: Investment Tax Credits and all other benefits, credits or grants that Seller reasonably expects to apply. If the project or Seller do not ultimately benefit from any expected benefit, tax credit or other award; Seller will not be permitted to terminate the PPA or seek a price adjustment. Offer Price: Will be adjusted by the Time of Delivery ( TOD ) factor for each period. 1 Developer may be entitled to repayment with interest over a 5-year period following initial operation for a portion of these upgrades. 38
Offer Price Assumptions Generation Profile Participant must provide hourly generation forecast Collateral Requirements Factor in costs, if any, to provide Project Development Security and Delivery Term Security or Term Security PG&E s Revenue Calculator is provided as informational only and is only an estimate Calculates revenue from the energy generation profile Takes into account the applicable TOD factors 39
Offer Submittal Process and Offer Form 40
Offer Submittal Offers must be submitted via the online platform at Power Advocate. Only accepted registrants are permitted to submit offers. Register through Power Advocate at https://www.poweradvocate.com/pr.do?okey=50467&pubevent=true. PG&E strongly encourages you to register well in advance of Offer due date. PG&E will only consider Offers that, as of the submittal deadline, are complete and conforming Offers. PG&E will notify Participants of errors (e.g. incomplete or incorrect documents) and will allow two (2) Business days to correct. By submitting an Offer into this RFO, each Participant is required to abide by the confidentiality obligations specified in Section IX of the RAM 6 Protocol. 41
Required Offer Submission Forms Offer package must be in the format as specified in the RAM 6 Protocol. Fully Completed Offer Form; includes Developer Experience and Supplier Diversity Questionnaire (Appendix A). Format: MS Excel. Completed RAM/CSC PPA Cover Sheet and Appendix XIII (Appendix B). Format: MS Word. Site Control Questionnaire and Attestation (Appendix C). Format: PDF and applicable GIS data file format. Acknowledgement and Commitment of Site Owner (Appendix D). Format: PDF. Interconnection Studies. Format: PDF or MS Word. Single Line Diagram. Format: PDF. Note: PG&E will review and ensure that the PPA cover sheet and required Appendix XIII are complete and meet the terms of the PPA during the bid evaluation process. Incomplete documentation will require additional communication to resolve any issues. 42
Communications and Website RFO website (www.pge.com/rfo/ram) provides everything you need to submit an offer, including (but not limited to) the following: RFO Documents for the joint solicitation Detailed instructions for submitting Offers(s) using Power Advocate Announcements, updates and Q&A Link to PG&E s GTSR/CSC Website Community Solar Choice/GTSR website (www.pge.com/rfo/communitysolarchoice) provides CSC specific resources including (but not limited to) the following List of Environmental Justice census tracts List of cities for the Community Project bucket All solicitation communications should be directed to: RAMRFO@pge.com with a copy to the Independent Evaluators at fmossburg@bostonpacific.com and schoi@bostonpacific.com GTSR/CSC specific questions can be sent to GTSRProcurement@pge.com 43
Offer Form Structure Instructions Validation Worksheet Appendix A1: Participant Information and Developer Experience Appendix A2: Project Description and Contract Information Appendix A3: Energy Pricing Sheet Appendix A4: Estimated Energy Production Profile Appendix A5: Supplier Diversity Help 44
Offer Form Instructions Be sure to enable macros when opening the Offer Form. Instruction tab provides clear directions on completing the offer form. Please make sure you save and submit the form in Microsoft Excel.xlsb format. No other formats will be accepted. Each cell with a yellow background must be filled out. Once completed the yellow background will disappear. Grayed out cells are auto-calculated cells. Help information is available for each field where data can be entered. Select a field and then click the Help button at the top of the tab. If the word Complete does not appear at the top of the page the form will be deemed invalid and returned to you. 45
Offer Form Developer Experience Counterparty Information Counterparty/Legal Entity Name Street Address City ABC Renewables 123 Main Street Renewables State CA Zip Code 12345 Country Website USA Legal entity is the legal name that will be signing the PPA Developer Information Developer Name: Street Address City ABC Renewables 123 Main Street Renewables State CA Zip Code 12345 Authorized Contact #1 Authorized Contact #2 First Name First Name Last Name Last Name Title Title Phone 1 Phone 1 Phone 2 Phone 2 Email Email The participant must provide evidence that one member of the development team has completed at least one project of similar technology and capacity or have begun construction of a least one similar project. Key Team Members Project Developer Project Title/Role Project Name Technology Type Size (MW) COD Jane Doe Jane Doe Principal Developer Solar Project 1 Photovoltaic 0.50 1/1/2011 John Doe John Doe Project Manager Wind Project 2 Wind 20.00 1/1/2010 46
Offer Form Developer Experience Please be sure to read each attestation and affirmation on the Developer Experience tab. A number of these items are specific to and/or new to this RFO. Acknowledgement of Protocol By selecting Yes participant hereby agrees to the terms of the Solicitation Protocol. Participant acknowledges that any costs incurred to become eligible or remain eligible for the solicitation, and any costs incurred to prepare an offer for this RFO are solely the responsibility of Participant. Section IX: Participant will abide by the confidentiality terms and conditions. Section XIV: Participant knowingly and voluntarily waives all remedies or damages at law or equity concerning or related in any way to the Solicitation. Electronic Signature Select "Yes" to certify that the typed name acts as your electronic signature <Choose> Title <Choose> Participant Authorization By selecting 'Yes", participant hereby confirms that they are "a duly authorized representative of Participant." <Choose> Electronic Signature Select "Yes" to certify that the typed name acts as your electronic signature <Choose> Title Attestation By providing the electronic signature, below, Participant hereby attests that all information provided in this Offer Form and in response to this RAM RFO is true and correct to the best of Participant's knowledge as of the date such <Choose> information is provided. Electronic Signature Select "Yes" to certify that the typed name acts as your electronic signature <Choose> Title Affirmation of ability to perform all obligations under the PPA I have read and understand the PPA and attest that we are able to perform all obligations under the PPA and Protocol. <Choose> Electronic Signature Select "Yes" to certify that the typed name acts as your electronic signature <Choose> Title Affirmation of project capacity capability to comply with Section 3.9(q) This Project has the capability to comply with Section 3.1(q) (Seller Equipment Required for Curtailment Instruction Communications) of the PPA. <Choose> Electronic Signature Select "Yes" to certify that the typed name acts as your electronic signature <Choose> Title 47
Offer Form Product Description 48
Offer Form Sequencing Incorrect Offer sequencing is one of the main causes for delays in Offer processing. Below is an example of incorrect and correct sequencing. Please ensure your Offers meeting this criteria to ensure timely Offer processing with minimal back-and-forth communication between PG&E and the developers. Incorrectly Sequenced Offers: 1 Offer with 3 Variants Correctly Sequenced Offers: 2 Offers with 3 Variants 49
Offer Form Product Description Community Solar Choice/GTSR Wizard oject previously been offered to PG&E? No Is this project currently under contract? No Fill out the 'Submission History' summary at the bottom of this form. Contract With <Choose One> Log # RAM2015_6 Contract Expiration Date Offer Information Product Type Transaction Type Capacity Type As-Available Peaking Full Buy Partial Deliverability te CA Zip Code 94108 Project Size (MW) 20.00 de -100.00000000 degrees Partial Capacity Offered (MW) 10.00 on Guaranteed Commercial Operation Date 1/1/2018 Deliverability Date 1/1/2020 Delivery Term (months) 20.00 Avg Pre-TOD Price ($/MWh) - cribe tions Community Solar Option Help CHP No Required Click to check if qualified for Community Solar Choice/GTSR 240.00 0 1 General Green Option Qualified Environmental Justice Qualified Community Project Qualified Green Option Consideration Requested FALSE FALSE FALSE FALSE Additional Information on Existing QF Projects 50
Community Solar Choice/GTSR Wizard 51
Offer Form Product Description Interconnection Information If Partial or Full Capacity Deliverability are selected, be sure to fill in the Deliverability Date based on your interconnection documentation. An estimate of average pre-tod price will be automatically populated after the revenue calculator is run. Interconnection details are required in the Electrical Interconnection Information section. 52
Offer Form Energy Pricing Monthly Period July - September October - March April - June TOD Factors for each Fully Deliverable TOD Period Baseload and Peaking TOD Performance Requirements Time of Delivery (TOD) Periods & Factors 1. Peak 2. Shoulder 3. Night Energy Full Deliv Energy Full Deliv Energy Full Deliv 1.4514 2.2304 0.8317 0.8067 1.0144 0.9569 Pricing Type Escalating Step 1 240.00 1.2855 1.1982 0.8312 0.7741 1.0092 0.9399 Escalation Rate 1.00% Step 1a 1.1327 1.1941 0.7036 0.6585 0.9977 0.9299 Select either fixed or escalating Pricing Type. Fixed pricing requires inputting only first year price whereas Escalated pricing requires first year price and annual escalation rate. Contract Year Number Contract Year Start Date (mm/dd/yyyy) Contract Year Stop Date (mm/dd/yyyy) Contract Capacity (MW) Expected Annual Capacity Factor (%) Contract Quantity: Expected Annual Net Energy (MWh) Contract Price ($/MWh) 1 01/01/18 0 12/31/18 0 20.00 $80.00 2 01/01/19 0 12/31/19 0 20.00 $80.80 3 01/01/20 0 12/31/20 0 20.00 $81.61 4 01/01/21 0 12/31/21 0 20.00 $82.42 5 01/01/22 0 12/31/22 0 20.00 $83.25 6 01/01/23 0 12/31/23 0 20.00 $84.08 7 01/01/24 0 12/31/24 0 20.00 $84.92 8 01/01/25 0 12/31/25 0 20.00 $85.77 9 01/01/26 0 12/31/26 0 20.00 $86.63 10 01/01/27 0 12/31/27 0 20.00 $87.49 11 01/01/28 0 12/31/28 0 20.00 $88.37 12 01/01/29 0 12/31/29 0 20.00 $89.25 13 01/01/30 0 12/31/30 0 20.00 $90.15 14 01/01/31 0 12/31/31 0 20.00 $91.05 15 01/01/32 0 12/31/32 0 20.00 $91.96 16 01/01/33 0 12/31/33 0 20.00 $92.88 17 01/01/34 0 12/31/34 0 20.00 $93.81 18 01/01/35 0 12/31/35 0 20.00 $94.74 19 01/01/36 0 12/31/36 0 20.00 $95.69 20 01/01/37 0 12/31/37 0 20.00 $96.65 0.00% 0 $0.00 53
Offer Form Generation Profile The revenue calculator embedded in the Offer Form, provides illustrative examples only. It is not intended to be relied upon for the purpose of making a decision in relation to your offer. 54
Interconnection Information 55
Wholesale Generator Interconnection Study Processes Before you start Know your interconnection tariff obligations. Participant is responsible for timely applications and timely completion of applicable process. Online RAM Map provides an indication of line conditions at point of interconnection. (http://www.pge.com/b2b/energysupply/wholesaleelectricsuppliersolicitation/pvrfo/pv map/) Processes Fast Track Independent Study Cluster Study For future RFOs, Participants should initiate the interconnection process early, to ensure that eligibility requirements are met. 56
Fast Track and Independent Schedule Application through Interconnection Agreement CAISO Process applies to SCE and SDG&E as well, IOU processes vary slightly Fast Track Window Initial Review Supplemental Review Interconnection Agreement Timeline CAISO* connections PG&E connections No Window 15BD 10BD ~4 months ~6 months No Window 15BD 20BD ~4 months ~9 months Independent Study Window SIS FAS Interconnection Agreement Timeline CAISO* connections PG&E connections No Window 90BD 90BD ~4 months ~12 months No Window 60BD 60BD ~4 months ~16 months Note: BD = business days Note*: Subject to CAISO Tariff. 57
Cluster Schedule Application through Interconnection Agreement CAISO Process applies to SCE and SDG&E as well, IOU processes vary slightly CAISO* Cluster Group Application Window Phase I Phase II Interconnection Agreement 3, 4, and 5 Closed Completed Completed Completed 6 Closed Completed Completed In Progress 7 Closed Completed 8 April 1 April 30, 2015 Target November 2015 Target August 2015 Target August 2016 Target April/May 2016 Target April/May 2017 PG&E WDT Cluster Application Window Phase I Phase II Interconnection Agreement 4 and 5 Closed Completed Completed Completed 6 Closed Completed Completed In Progress 7 Closed Completed 8 March 1 March 31, 2015 Target November 2015 Target August 2015 Target August 2016 Target April/May 2016 Target April/May 2017 Note*: Subject to CAISO Tariff. 58
Post- Interconnection Agreement Process Post-Interconnection Agreement, PG&E and customer engineer, design, procure and construct (EPC) electrical interconnection (implementation kickoff could occur as late as five months following an agreed upon IA). Timeline for completion dependent on scope of capital improvements assigned to project PG&E engineers capital improvements per Interconnection Agreement Customer engineers electrical system on customer side of meter and any upgrades to be customer-built and deeded Post-EPC, PG&E, CAISO and customer coordinate a pre-parallel inspection and commissioning to achieve commercial operation Note some Critical Path Items: Long Lead Time Material Procurement Clearance Window (typically between September to April each calendar year) California Public Utilities Commission (CPUC) and County Permitting (could cause a project to take an additional two to three years to complete) Land acquisition Environmental Evaluation and Permitting (could take two to three years to complete) 59
Intermission 60
Q & A 61