Company qualification

Basic requirements for the qualification of suppliers

Merchandise Group: “FEER03” - PHOTOVOLTAIC MODULES FOR THE

DIRECT CONVERSION OF SOLAR ENERGY IN ELECTRICAL FOR

UTILITY SCALE APPLICATIONS
 Company qualification

Contents
1. INTRODUCTION......................................................................................................................................................3
1.1 EFFICACY OF THE QUALIFICATION REQUIREMENTS....................................................................................................3
1.2 TRANSMISSION OF DATA AND DOCUMENTS FOR ENEL QUALIFICATION AND THEIR CONSERVATION.........................3
1.3 TERMS AND DEFINITIONS............................................................................................................................................4
2. DESCRIPTION, FEATURES AND TECHNICAL QUALIFICATION REQUIREMENTS............................5
3. CONSULTATION CLASS ATTRIBUTION CRITERIA.....................................................................................5
4. QUALIFICATION OPERATION PHASE.............................................................................................................6
4.1 MAINTENANCE AND ADJUSTMENT OF THE QUALIFICATION REQUIREMENTS..............................................................6
4.2 RENEWAL OF QUALIFICATION.....................................................................................................................................6
4.3 CONSULTATION CLASS REVIEW..................................................................................................................................7
4.4 QUALIFICATION REVIEW............................................................................................................................................8
4.5 ENTERPRISES IN "QUALIFICATION EXCLUSION” STATUS.............................................................................................9
4.6 TRANSFER OF QUALIFICATION....................................................................................................................................9
4.7 VENDOR RATING SYSTEM..........................................................................................................................................9

1. Introduction
 Company qualification

This document briefly describes the characteristics of the merchandise group "FEER03" and
defines the basic technical quality requirements that companies must meet to be included in
the list of qualified suppliers of the Enel Group in the international scope of business. The
qualification awarded will be referred to the company making the application and may not be
intended as extended to the industrial group to which it belongs. The company must indicate
the countries for which it seeks qualification, reporting the detailed information required in
the following paragraphs, referring to the company or companies within the same industry
group. In the case of foreign countries in which the company does not have a significant
presence, either direct or through its industrial group, said company may rely on specific
contracts regardless of the qualification process in order to ensure the veracity of
statements made.

1.1 Efficacy of the qualification requirements

From the date of publication, all companies submitting a request for qualification, renewal or
review will be assessed in accordance with these requirement, which will be available on the
website http://globalprocurement.enel.com

1.2 Transmission of data and documents for Enel qualification and their
conservation

a) Companies may apply for the qualification process at any time by submitting their
application via the portal Enel Global Procurement (hereinafter referred to as the Enel Portal)
Data and documents required for proof of possession of the qualification requirements must
be in readable electronic format and uploaded to the system on the Enel website enclosed to
the request for qualification (RFQ).
All documents submitted must be updated to the last month, dated, stamped and signed by
a Company's legal representative.
The Company's legal representative must submit to Enel, in accordance with articles. 46 and
47 of DPR 28.12.2000 n. 445, the statement certifying the truth and validity of all
documentation submitted, signed, dated and enclosing a copy of a valid personal document.
During the qualification process, Enel may require the Company to update the
documentation already submitted to the system periodically if expired or to verify its
existence and to carry out an on site audit to verify the truthfulness of statements made.
The original documentation must be kept by the company for the entire duration of the Enel
qualification.
All requirements must be documented by the Company in a correct and complete manner,
within two calendar months after dispatch of the request for qualification (RFQ), following
the proven payment of the required fee (this term is also valid during holiday periods)
Failure to submit the afore-stated certifying documentation within this period may result in
the conclusion of the qualification process with the available data only.
In case of renewal of the qualification, all documentation must be submitted within one
month
d) The company must promptly notify Enel in case of any changes concerning its information
(e.g.: company structure, VAT code, social security number, address locations, phone
numbers, email address, etc.); the Company assumes the responsibilities and costs resulting
from the failed and prompt updating of your its data. On such occasions, the company is
obliged to use written notifications (usually in electronic format) and must provide for the
updating of the databases available on the Enel portal.

1.3 Terms and definitions

 Company qualification

Consultation class: Economic/technical parameter evaluated on a yearly basis and

correlated with production capacity.

Merchandise Groups merchandise categories (materials, labour, services) of interest to

Enel and subject to the qualification/registration process.

Eligibility: proof of the existence of the following qualification requirements: concerning

technical and operational (availability of appropriate means of design and manufacturing
resources and, where applicable, professional staff, means of testing and inspection, as well
as management systems for the realisation of the products of Enel interest), legal and
economic-financial (e.g. profitability, financial balance, etc.).

Ineligibility: proof of the non-existence of the following qualification requirements:

concerning technical and operational (availability of appropriate means of design and
manufacturing resources and, where applicable, professional staff, means of testing and
inspection, as well as management systems for the realisation of the products of Enel
interest), legal and economic-financial (e.g. profitability, financial balance, etc.).

Company: contractor, supplier or service provider, legal person, including craft companies,
trade, cooperatives, consortia, consortium companies and European Economic Interest
Groups (EEIG, which offers on the market, respectively, the realization of works or
structures, the supply of products, the provision of services).

Consortium: Refers to consortia foreseen by law, with or without legal person.

Global Procurement Portal: section of the Enel portal dedicated to the suppliers and
located at the URL http://globalprocurement.enel.com (hereinafter Enel Portal)

Qualification procedure (hereinafter procedure): all the measures to be undertaken and

the decisions to be taken - by the use of the electronic procedure displayed on the Enel
Global Procurement Portal

- collect and analyse information, assess the eligibility/ineligibility of the companies seeking
qualification, record and disseminate the outcome of the qualification process to the
Departments involved, also notifying the applicant companies of this outcome.

The process involves, for each company, the assessment of the legal, economic-financial,
organisational-managerial, technical-production and sustainability aspects, as well as
payment of the qualification fee when required

Basic qualification requirements technical, quality system and organisational

requirements that, for each merchandise group, the companies must have in order to obtain
qualification. The legal, sustainability and economic-financial requirements regarding the
company as a whole are also defined.

Request for Qualification: request accompanied by all the information and documentation
necessary to demonstrate specified that they meet the qualification requirements.

Quality Management System: QMS

Safety Management System: SMS:

Environmental Management System: EMS

Vendor Rating: process that apprises the performance of suppliers/contractors qualified to

perform the jobs awarded to them.

2. DESCRIPTION, FEATURES AND TECHNICAL QUALIFICATION REQUIREMENTS

 Company qualification

The main activities, features and technical qualification requirements relating to the
“FEER03” Merchandise Category, are described in attachment at the end of this document.
All the statements contained in the current document always prevail over what reported in
the Attachment.

3. CONSULTATION CLASS ATTRIBUTION CRITERIA

Each qualified company will be assigned a consultation class, which is an economic/technical
parameter evaluated on a yearly basis and correlated with production capacity of the
organisation.
The qualification and the consultation class are assigned to the company after verifying its
compliance with:

- Legal requirements;

- Reference related to the works/services/supplies provided in the M.G. under qualification;

- Economic-financial soundness;

- Legal aspects regarding sustainability (safety, environment and human rights).

All requirements must meet a basic level of sufficiency, evaluated through the assessment
criteria expressed for each aspect.

The following value of production capacity will be assumed in order to determine the
consultation class of the company:

Production capacity=FS

where:

-FS is the average of the company's turnover over the last three years related to the
activities of the merchandise group, performed with positive outcome.

The following classification is applied for the consultation classes:

- Class 1 up to 200,000 Euro/year
- Class 2 up to 500,000 Euro/year
- Class 3 up to 1,000,000 Euro/year
- Class 4 up to 2,000,000 Euro/year
- Class 5 up to 4,000,000 Euro/year
- Class 6 up to 6,000,000 Euro/year
- Class 7 up to 10,000,000 Euro/year
- Class 8 up to 15,000,000 Euro/year
- Class 9 Unlimited

In the case in which the value of the potential production falls within an intermediate
interval between two successive classes, the classification is attributed to the value of the
nearest class. The consultation class may take into account evaluations of all aspects
foreseen in qualifying process (technical, sustainability, financial, vendor rating, etc.).
In the case of business associations provided that the parent company and the members
meet all of the requirements mentioned (legal, technical-qualifying and economic-financial),
the consultation class is calculated as a function of the sum the average annual production
capacity (last three years) for the specific M.G seeking qualification of each member of the
Association.
 Company qualification

In the case of consortia that, in addition to the management structure, are also in
possession of resources to directly perform the activities that are scope of the M.G.
(operating personnel, resources and equipment), the contribution of the productive capacity
of the Consortium will be evaluated on the same criteria used for the individual companies of
the consortium and will play a part is establishing the consultation class of the Consortium.

In the case of business associations, when the sum of the figures for the consultation classes
attributed to the individual member companies does not correspond to the amount of the
class assigned by Enel to the entire Association (either by default or in excess), the
allocation of works/services/supplies acquired must take into account the percentage
amount relative to the consultation class of the single company in comparison with the sum
of the amounts related to the classes of all members.

The consultation classes 7, 8 and 9 of Business Associations will be assigned in compliance

with the basic requirements:

 Class 7: one member must have at least class 5;

 Class 8: one member must have at least class 6;
 Class 9: one member must have at least class 6 and another member
must have at least class 5.

Furthermore:

 normally, the sum of the figures for the consultation classes attributable to an
enterprise for qualification in one or more merchandise groups, cannot exceed
the value of the average total production achieved in the past three years;

4. QUALIFICATION OPERATION PHASE

4.1 Maintenance and adjustment of the qualification requirements

In the five years of qualification the Company must maintain at least the minimum
requirements. During the 5-year validity of the qualification, Enel reserves the right to
conduct audits at companies to ensure that these requirements of qualification are always in
place.

The audits will, among other aspects, concern:

 technical and management structure and professional suitability

requirements of the technical staff;
 the consistency of operational resources and professional expertise
requirements;
 Implementation of the Quality Management System in all aspects of
the activities of M.G. qualified including for Safety and Environment.

Should a basic requirement not be met, actions may be taken to reduce the
consultation class or to suspend or even revoke the qualification.

The company may request, if the conditions to do so are at hand, a review of the
qualification and its possible limitations by integrating the documentation to
demonstrate that all limitations have been overcome.

4.2 Renewal of qualification

 Company qualification

Enel qualification lasts five years. Upon expiry of this period, it may be renewed for an
additional five-year term.

The Company that intends to submit the qualification renewal request must activate it in the
system, via the function present in the current qualifying RFQ available in the six months
preceding its expiry, before the expiry date of the qualification, penalty the expiry of the
same and resulting in exclusion from the Company's qualification system.

The request for renewal, including all the data and documents necessary for these purposes,
is considered validly and effectively forwarded when the company has completely sent the
aforementioned documentation and data, together with the payment of the qualifying
expenses.

During the renewal of the qualification, the Company may be subject to audits to, among
other things, assess the possession of technical-managerial and economic-financial
requirements.

4.3 Consultation class review

At Company's request (including Consortia), the transition to a superior consultation class

requires proof of possession of the relevant technical-operational and economic-financial
requirements.

The above request to review the consultation class by the Company it submitted when said
company sustains to have acquired the relevant requirements; by standard this will not be
examined before a new financial statement, following the previous one verified, is available.
This request will not be examined during the previous six months of qualification expiry,
unless the interested company does not request the renewal of the qualification.

The corporate structure change request made by associations of businesses that take on
new members, as a rule, will be taken into consideration not before reaching twelve months
of qualification and no later than the thirtieth month from qualification, unless, in this last
case, a renewal of qualification is not required.

The companies that have already had a review of the consultation class or
completion of an extraordinary operation (sale or acquisition of business units,
transfer of the production site, etc.), in the presence of further such requests in
the same five-year period, will be submitted to early renewal of the qualification.

In the case of associations of companies which change their corporate structure after
obtaining the Enel qualification, possession of requirements related to the M.G. concerned
will be assessed at the new enterprise and at the parent company of the Association, which
is responsible for the integration of the organisation.

A determination of the requirements for the revision of the consultation class will, as a
rule,be done by examining the descriptive documentation of the Company's improved
potential and on the basis of a new audit to the organisation.

Requests for consultation class review are not considered for the following cases:

- business temporarily excluded from the list of qualified vendors;

- before the lapse of one year from the re-admission in the register of vendors,
following a period of suspension for liability linked to the enterprise (legal,
management, security, environmental, social responsibility aspects, etc.);
 Company qualification

- for companies that are affected by one of the conditions of exclusion regarding
legal requirements;
- when coinciding with extraordinary transactions regarding business transfers
of business units to non-qualified companies, changing the company name,
etc.)
- by newly established enterprises qualified for less than a year.

4.4 Qualification Review

Any significant changes in the corporate structure, or ownership, as well as any abnormal
behaviour observed and reported by the units in charge of contract management or detected
by the Vendor Rating system, or following a spot check relating to the maintenance of the
requirements by the qualified Companies shall entail a review of qualification.

The outcome of the review may be followed by the review of the qualification parameters or
other measures.

The qualification shall be reviewed in the event of significant changes occurred in the
Enterprise, such as:

• change of company ownership of replacement of the Technical Director;

• renovations; transfers;

• mergers;

• divisions;

• transfers;

• sales;

• transfers.

By way of example, exclusion from the qualification system (after suspension when
necessary) may be enforced upon the occurrence of events such as:

• supervening economic - financial unreliability of the enterprise;

• supervening technical - organisational reliability also resulting from the Vendor Rating
index;

• supervening absence of one of the legal requirements including

• negligence in the execution of the contract, which has caused death or serious injury;

• misrepresentations concerning the requirements and conditions for obtaining qualification;

• serious failures during the tender procedures;

• serious breaches of contract;;

• substantial changes in the type of production, works and / or services;

• existence of conflict of interest;

• failure and / or untimely communications to Enel of any changes with respect to the
information previously provided.

While under review, the Company may be subject to examination to ascertain the
possession of the qualification requirements. Execution of the audits will take into account,
 Company qualification

among other things, any supplementary needs to adapt to new technical requirements or
laws or contractual requirements standards.

4.5 Enterprises in "qualification exclusion” status

For enterprises that are in a state of temporary exclusion from the qualification system, no
operations of any kind will be performed (e.g. .: review of consultation class, business
transfer, integration into business associations, etc.) before the formal readmission and,
where provided, in accordance with the time specified in chap. 4.3.

4.6 Transfer of qualification

Upon the occurrence of certain extraordinary corporate transactions involving companies

already qualified, the qualification may, at the explicit request of the interested parties, be
transferred from one enterprise to another.

Any transfer of the qualification starts from the date of approval by Enel, without prejudice
to the expiry date for the original qualification.

In case of transfer, the original qualification is suspended for the assignor company as of the
date of the deed on the transfer.

Following the request for transfer of the affected company of the, together with the
necessary documentation, the transfer of qualifications may be granted after the positive
verification that all qualification requirements have been acquired by the transferee company
(human, technical, certification, etc.).

The request for transfer of qualification, may involve an audit to be carried out at the
transferee company in order to ensure that it meets the technical-managerial and economic-
financial requirements.

Upon the conclusion of the transfer of qualification, which can also be partial, the transferor
company will be revoked qualification.

4.7 Vendor Rating System

During the five years of qualification, the Company is subjected to continuous monitoring
provided by the vendor rating system implemented by Enel.

On a quarterly basis, an assessment is made of the indices that, according to the values of
the results, may also affect qualification, i.e. the renewal process thereof.

Vendor Rating is a system that allows Enel, through the measurement of the performance of
qualified enterprises, to oversee the technical and quality aspects of corporate procurement.

The application of the V.R. system leads to assignment of an indicator that can be used for
the application of various measures toward the enterprise such as, for example:.

• Exclusion from qualification system or readmission to the same;

• Informed Choices in the award of contracts;

• Review of the consultation class for an increase or decrease;

 Company qualification

• Renewals of the five-year qualification;

• Recognition of the qualitative improvement of the supplies for the purposes of

allocation of incentives for better performance.

ATTACHMENT N.1 (description, features and technical qualification requirement

FEER03 - PHOTOVOLTAIC MODULES FOR THE DIRECT CONVERSION OF SOLAR

ENERGY IN ELECTRICAL FOR UTILITY SCALE APPLICATIONS
 Company qualification

INDEX

1. INTRODUCTION............................................................................................................................................3
2. SCOPE OF WORK..........................................................................................................................................3
3. QUALIFICATION TECHNICAL REQUIREMENTS...............................................................................3
3.1. TESTS AND STANDARDS..................................................................................................................................3
4. BASIC REQUIREMENTS FOR QUALIFICATION..................................................................................3
5. QUALITY REQUIREMENT (S)...................................................................................................................4
6. SAFETY REQUIREMENT (S)......................................................................................................................4
7. ENVIRNMENTAL REQUIREMENT (S).....................................................................................................4
8. DOCUMENTATION TO PROVIDE BY SUPPLIER.................................................................................5
 Company qualification

1. Introduction

The present document describes briefly the merchandise group "PHOTOVOLTAIC MODULES
FOR THE DIRECT CONVERSION OF SOLAR ENERGY IN ELECTRICAL FOR UTILITY SCALE
APPLICATIONS” and defines the basic technical requirements that companies have to meet
in order to be added to the list of qualified suppliers of Enel’s Group.
The group has two different types of photovoltaic modules technologies:
 Crystalline silicon;
 Thin-film.
The merchandising group defines the technical requirements and the basic qualities that the
company potential suppliers shall have in order to be included in the list of qualified
suppliers of ENEL Group.

2. SCOPE OF WORK

This Product Group refers to the supply of photovoltaic modules for the direct conversion of
solar energy into electrical energy for large utility scale applications.
The construction of the PV modules described above includes the following activities:
 Planning and control of operations and implementation;
 Detailed design;
 Realization of the PV module;
 Tests and checks on raw material ( incoming inspection ), during
production and at outgoing level;
 Packaging and shipping;
 After sales service.

3. QUALIFICATION Technical REQUIREMENTS

The characteristics and technical reference standards of supply are indicated in the technical
specifications provided by ENEL Group attached to each contract.
The construction, testing and shipping of the PV module shall be in accordance with the
technical specifications of ENEL Group, applicable IEC and UL standards and specific
regulatory standards of each country (including the requirements of the local network
operator). Hereafter, the main technical characteristics.

3.1 Tests and Standards

The tests are intended to characterize the type of material produced by the supplier.
The acceptance tests are normally made for each supply and designed to ensure that the
material complies with the technical conditions prescribed by ENEL.
By agreement with ENEL, the type of tests “basic” may be replaced by presenting a valid
certificate of compliance with the IEC/EN 61215 & 61730 standards issued by third party
laboratories accredited recognized by an accreditation body participant in the mutual
recognition agreements of EA (European accreditation cooperation), in accordance with the
requirements of UNI CEI EN ISO/IEC 17025).
The acceptance tests are normally carried out at the manufacturer’s premises.
The supply of each PV module is subject to the passing of the type tests and acceptance
tests.

4. Basic requirements for qualification

 Company qualification

Contractor’s qualification will depend upon his ability to fulfil required documentation by
ENEL mentioned in this document.
a) References of supplies, already completed, related to Product Group. The
supplier shall submit references that have produced and sold, directly or
through subsidiaries, modules of the group of goods qualifying for at least a
total quantity of 500 MW in the last two years;
b) Adequate organizational structure with qualified and skilled employees in the
manufacturing, testing, quality control and inspection units;
c) Adequate physical plant (safety, environment, space and technology),
machinery & equipment (calibrated), production processes (certified) for the
fabrication of the components object of this MG;
d) Structured production process with a declared annual production capacity;
e) The respective testing facilities (certified), instrumentation & equipment
(calibrated) and procedures to perform all checks and final tests, including
the EGP required factory acceptance tests;
f) Declaration of warehouses (internal or external) for the storage of the
component object of MG;
g) Adequate organizational structure of Logistic (internal or external) to manage
the shipping phase and customs. It is required a declaration of previous
experience;
h) A tracking platform/system in place for the monitoring of the components
during transit from the factory to the site of destination;

5. QUALITY MANAGEMENT SYSTEM

The company must have the certification of conformity of the company Quality Management
System (QMS) in the most recent edition of the ISO 9001 standard concerning the activity
within the qualification, issued by an accredited certification body.
The certification body shall be accredited by an accreditation body signatory of the EA
(European Cooperation for Accreditation) or IAF (International Accreditation Forum) MLA
(Multilateral Agreement), in compliance with the requirements of the current edition of the
ISO/IEC 17021 standard.
In the specific case of Consortium also each single grouped company must have the
mentioned certification.
In addition, in order to assure the implementation of the Quality Management System while
performing the requested Works\Supply\Services (specified in the Technical Specification –
Basic Requirement for Qualification) the Company shall prepare a “PROJECT QUALITY PLAN”
(PQP). This document aims to demonstrate how the Company assure the Quality for the
requested activities, how the Company will be meeting the statutory, regulatory, customer
requirements and other interested parties requirements, how the Company has defined the
deliverables, Quality Control, approvals and responsibilities and how the Company will be
ensuring that any externally provided services / products will remain under its quality
management system control.
The ANNEX “Project Quality Plan – minimum contents” indicates the minimum contents /
information to be taken into consideration by the Company for the preparation of the
“Project Quality Plan”. The content of the PQP must be adequately precise and detailed
enough to reflect the Company’s activities specific for the Works\Supply\Services (specified
in the Technical Specification – Basic Requirement for Qualification).
In preparing the “Project Quality Plan”, the Company may use its own format by including at
least the requirements set out in the ANNEX “PQP – minimum contents”. Where documented
processes, procedures, work instructions or plans meet those requirements, the Company
shall refer to them and shall include them as Annexes.
The Company shall submit the “Project Quality Plan” to ENEL during the Qualification
process.
Enel reserves his own right to verify the effectiveness and the implementation of the “Project
 Company qualification

Quality Plan” through an AUDIT, in order to assess its conformity in relation to the
Merchandise Group under evaluation.

6. SAFETY REQUIREMENT (s)

The Company apply an internal Safety Management Systems (SMS) in compliance with the
requirements of Enel Group HSE Terms

7. Environmental REQUIREMENT (S)

The Company apply for his activities an Environmental Management Systems (EMS)
compliant with the edition in force of the international standard ISO 14001.
In the specific case of Consortium, temporary company group, etc. the main Company must
have the mentioned Environmental Management Systems (EMS).

8. Documentation to provide by Supplier

The supplier has to provide ENEL the documents listed below:

(a) Previous projects list (template provided by ENEL to be fill)

(i) Total modules in the field (in MW or GW)
(ii) Markets
(iii) Factory locations
(b) Manufacturing Process
(i) Description of manufacturing process
(ii) Quality Control Plan
(iii)Incoming material inspection plan
(iv)Vendor qualification, monitoring, and inspection procedures
(c) Module production capacity and ranking if in top 10
(d) Product Certifications (If available)
(i) UL 1703
(ii) IEC 61215 & 61730
(iii)IEC 61701(salt mist)
(iv)IEC 62716 (ammonia)
(v) IEC 60068-2-68 (blowing sand)
(vi)10.1109/PVSC.2013.6744437 (desert)
(e) Factory Certifications (if available)
(f) Certificate ISO 9001, edition in force (if available)
(g) Certificate ISO 45001, edition in force (if available)
(h) Certificate ISO 14001, edition in force (if available)
(i) Any previous bankability studies or other reports
(j) Project Quality Plan as described in section 5
Company qualification