SlideShare a Scribd company logo
Power Purchase Agreements Owners Perspective   Matt Gudorf – UC Irvine Energy Project Manager [email_address] 949-824-9309
Agenda ,[object Object],[object Object],[object Object],[object Object],[object Object],Please silence your phone unless you have a really funny ringtone!
University of California, Irvine ,[object Object],[object Object],[object Object],[object Object]
Solar Project Delivery Methods NONE Little or None Yes Upfront Capital? NONE Yes / or Re-Lease  Yes Purchase Required NONE Yes Yes System Expertise Required NONE Yes Yes Performance Risk NONE Yes Yes Maintenance Required Solar PPA Leasing Buying
What am I buying vs What is being provided  You’re buying the power ! Not the System !
What will the Provider do? • Provider Constructs/Owns/Maintains Solar Project • Provider receives federal tax credit (cash grant), State rebate and depreciates equipment • Provider sells electricity at negotiated rate (with or w/o escalator) • 10 to 25 year term
Allocating Risk  –  Environmental Compliance (CEQA) –  Completion Timing –  Bonds/Letter of Credit –  Insurance –  Buyout Clause –  Underperformance - Monetary Penalty - Breach / Default
[object Object],[object Object],[object Object],[object Object],[object Object],Solar Power Purchase Agreement Process ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Decision Time
Request for Proposals ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],Solar Power Purchase Agreement Process ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Decision Time
Technical Evaluation of Proposals ,[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],Solar Power Purchase Agreement Process ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Decision Time
Decision Time ,[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Billing, REC’s, Audits, The next 20 years
Contract Development ,[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Billing, REC’s, Audits, The next 20 years
Design and Construction ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Billing, REC’s, Audits, The next 20 years
Post Construction ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Billing, REC’s, Audits, The next 20 years
Billing, REC’s, Audits, The next 20 years ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
QUESTIONS ?

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Solar PPA Presentation

  • 1. Power Purchase Agreements Owners Perspective Matt Gudorf – UC Irvine Energy Project Manager [email_address] 949-824-9309
  • 2.
  • 3.
  • 4. Solar Project Delivery Methods NONE Little or None Yes Upfront Capital? NONE Yes / or Re-Lease Yes Purchase Required NONE Yes Yes System Expertise Required NONE Yes Yes Performance Risk NONE Yes Yes Maintenance Required Solar PPA Leasing Buying
  • 5. What am I buying vs What is being provided You’re buying the power ! Not the System !
  • 6. What will the Provider do? • Provider Constructs/Owns/Maintains Solar Project • Provider receives federal tax credit (cash grant), State rebate and depreciates equipment • Provider sells electricity at negotiated rate (with or w/o escalator) • 10 to 25 year term
  • 7. Allocating Risk – Environmental Compliance (CEQA) – Completion Timing – Bonds/Letter of Credit – Insurance – Buyout Clause – Underperformance - Monetary Penalty - Breach / Default
  • 8.
  • 9.
  • 10.
  • 11.
  • 12.
  • 13.
  • 14.
  • 15.
  • 16.
  • 17.
  • 18.
  • 19.
  • 20.
  • 21.

Editor's Notes

  1. UC Irvine is a growing…