Solar Energy Development & Investment

Mitchell R. Cohen, Esq. Principal & General Counsel National Energy Partners, LLC
(856) 273-5761 | mcohen@nepsolar.com

About National Energy Partners

National Energy Partners (NEP) is a renewable energy company focused on the development of Photovoltaic (PV) solar electrical systems. Working with organizations to deliver a greener society, NEP uses its expertise in real estate development, financing, and construction to make your solar project a success.

Solar Energy Development & Investment in the States

Focus: The 7 Ws
I. Why: Profits & Returns II. What: Types of Projects III.Where: Geographical Considerations IV.When: Now or Wait & See V. Whoh: Challenges & Pitfalls VI.Wow: What Works VII.Wins: Success Stories

I. Why Invest
I. Returns Commercial Real Estate, Oil & Gas II. Long Term Industry Forecasts III. Impact Investing IV. New Technologies V. Subsidies
i. ii. iii. iv. v. vi. Federal Grant: 30% Federal Investment Tax Credit (ITC): 30% Federal Accelerated Depreciation RECs & SRECs Favorable Zoning Real Estate Taxes No Added Assessment

II. What Types of Projects

I. Distributive Energy
Behind the meter or net metered

II. Ground-mounted Field Arrays, Rooftops, and Parking Lot Structures/Carports (charging stations) III. Avoid Grid or PJM Projects IV. Size: Anywhere between 250 kW to 10 MW V. SREC Availability or Feed-in Tariffs (FITs) VI.Credit of Offtaker

III. Where to Develop/Invest?

I. Look at Individual States, Not U.S. as a Whole II. No Federal SREC Program III. Federal Cash Grant (expires on 12-31-2011)/ITC is available until 12-31-2016 IV. Look for Viable SREC or FIT Program V. If Its Been There a While, It May Be Too Late VI. Be Ahead of the Curve & Do Due Diligence- Follow the EPCs VII. NEP
i. New Jersey (SREC), Massachusetts (SREC) and Hawaii (FIT) ii. Ohio, Maryland, Delaware iii. Eye on other states

IV. When
I. Does it Still Make Sense to Develop & Invest Now? II. Wait Until the Solyndra Fall-Out is Over? III.Worry About the Federal Grant? IV.We are Bullish on Solar Development now V. Competitors are Leaving the Marketplace

V. Whoh Challenges & Pitfalls

I. Subsidy Programs
i. Federal Grant ii. Investment Tax Credit and Availability of Tax Credit Investors

II. Legislative Risk III. Funding and Financing

i. ii. iii. iv. Overall Lending Marketplace They Dont Understand the Industry No Track Record Solyndra, et. al.

cont.
IV.Competition
i. ii. iii. iv. Natural Gas Wind Fossil Fuels Grid Parity

V. Legal
i. Going dark ii. Bankruptcy

VI. What Works

I. II. III. IV. V. Equity Funding Equity Brings Debt Fund the Development Companies Yourself Distributive Energy Projects Need to Make Profit on Sale of ElectricityDo Not Rely on SRECs Alone VI. Monitor SREC or FIT programs VII.Credit of Offtakers VIII.Develop Land Use, Energy and Construction Expertise IX. Control the Design/Construction and Energy Process X. Buy Shovel Ready projects

VII. Success Stories

XI.8.0 MW Pharmaceutical Manufacturing Company XII.5.2 MW College with Sustainability Focus XIII.3.2 MW Sewage Authority Project XIV.7.2 MW Vacant Office Park Being Totally Renovated for Hi-Tech Tenants XV.3.0 MW Cold Storage Facility

Thank you!

(856) 273-5761 | mcohen@nepsolar.com