bp solar: drivers for commercial solar projects

BP Solar – Proprietary and Confidential

BP Solar. Highest Lifetime Value. Lowest Lifetime Cost. 1

Commercial Solar: Drivers for Real ProjectsCommercial Solar: Drivers for Real Projects


BP Solar. Highest Lifetime Value. Lowest Lifetime Cost. 2 2

• Celebrating 100 years in business

• $361 billion in revenues – ranked #4 in 2008 Fortune’s Global 500

• Approximately 92,000 employees

• Engaged in many aspects of energy

− Exploration, extraction, movement, refining, and sale of petroleum-based products

− Alternative energy – including solar, wind, biofuels, hydrogen, and carbon capture sequestration

• Active in over 90 countries

• Ranked in Fortune as #1 on 2008 list of Most Accountable Big Companies

• BP has a fundamental belief that we can make a positive difference in the world

BP International

1. Wal-Mart Stores 2. Exxon Mobil 3. Royal Dutch Shell 4. BP 5. Toyota Motor 6. Chevron7. ING Group8. Total9. General Motors

10. ConocoPhillips

Largest Global Companies



BP Alternative Energy

• $8 billion investment over 10 years

• $2.9 billion by end of 2008

• Build material profitable new businesses in energy value chains which facilitate BP’s transition to a low-carbon future

• BP Alternative Energy

− Solar power

− Wind power

− Hydrogen power

− Biofuels

− Carbon capture and storage



BP Solar – Your Complete Solar Provider

Dependability:BP Solar brings a 35+ year heritage, financial strength, and a world renowned and trusted brand

Highest Lifetime Value and Lowest Lifetime Cost:Industry-leading module reliability, performance guarantees, lowest power output degradation

Solar Energy Services:More than just a module producer – including financing options, monitoring, operation and maintenance, and more

Strategic Partnerships:Extensive strategic relationships with governments, suppliers, customers, and financiers



BP SolarBP Solar’’s Track Record s Track Record –– 20082008Completed Turnkey Commercial Projects > 500kwCompleted Turnkey Commercial Projects > 500kw

5

CamGSMMord

SPOTS

PRODEEM

GERMANYDarst NordSolarpark GeiseltalseeFischer family - BavariaPfeiffer Seil and HebetechnikFenebergWaltenhofenMunich Airport

SPAIN Campillo del RíoCazalillaMoraManzanequeOrgazLa VegaAznalcollarParadasLa LuisianaOsunaMadridejosAricoUnicajaToledo Solar Power PlantMonelcoUSA

Marine Corps – 29 PalmsNuon Renewable VenturesCSU - PuebloFedExU.S. Cold StorageSea Gull LightingPV USAPalo VerdeWalmart (7 sites)Whole Foods – 2 sitesTargetStaples – 3 sitesCity of VallejoRiver ParkPaulsboro

KOREA JindoKorea Electric Power Corp.

Telecon

AUSTRALIACoca-Cola AmatilCadbury SchweppesSolar CitiesQueen Victoria markets

Spain 35.2MW

Germany 12.6MW

USA 11.9MW

Tunisia 7.1MW

Indonesia 4.4MW

Australia 4.1MW

South Korea 4.0MW

Brazil 1.3MW

Norway .5MW

Netherlands .35MW

Switzerland .125MW

TOTAL 81.6MW

Nuon Intl - Netherlands

Union Bank of Switzerland



Two Types of Commercial ProjectsTwo Types of Commercial Projects

• LCP – Large Commercial –

− Grid tied at customers site, typically at 480V three phase between customer main disconnect and meter:



Case Study: Walmart Case Study: Walmart –– 27 sites awarded in California27 sites awarded in California

Project Details

• Type: Grid connected

• System size: 500kw typical;

10 MW+ so far

• Annual production: 6,700,000 kWh

• YOC: 2007-2009

Situation Solution Accomplishments

• Walmart, the largest global company, set corporate objectives to run its operations with 100% renewable energy

• Walmart issues a 22-store pilot RFP for sites in California

• Seven sites awarded to BP Solar

• BP Solar delivers a 20º system tilt for maximum energy production and highest savings

• BP Solar delivers highest lifetime value at the lowest PPA rate

• BP has managed more than 12 construction sites across California at the same time

• Solar energy displaces ~30% of store energy consumption

• Walmart released additional RFP -BP Solar is the only vendor to win the contract for 20 additional sites

Project Example : LCP project Project Example : LCP project



Utility Scale PV SystemUtility Scale PV System

Typical interconnect into electric distribution or transmission system, at 13.5kv to EHV 69kv+



Project Details

• Type: Utility

• System size: 37 MW

• Annual production: kWh

• YOC: in design

Project Example: Utility scaleProject Example: Utility scale

Situation Solution Accomplishments

• LIPA RFP for 50MW of PV in 2008, BP Solar awarded 37MW+ portion

• PPA

• Construction begins in 2010

• BP Solar proposes a 37MW system located at the Brookhaven National Lab, directly adjacent to substation 8er.

• BP uses ground mount fixed tilt system utilizing available land

• Complicated environmental and physical arrangement

• Environmental studies complete

• Design on track

• Novel mounting system employed

• Tricky three way PPA

• Significant effort to satisfy direct Utility interconnection requirements.

Case Study: LIPACase Study: LIPA



Drivers to Real Commercial ProjectsDrivers to Real Commercial Projects

• Identify good candidate sites/ jobs

− Type

− Size

− Environment, location, labor, permitting

− Build rate

• Make sure the project is/can be funded and the economics work!

− Who is the developer, who is funding the project

− Don’t waste your time

• Focus on what the customer really wants to achieve

− What are the real objectives of the decision makers

− Don’t waste your time



Drivers, continuedDrivers, continued

• Win the (a) job (be good at bidding or selling)

− Highly competitive, must be robust, believable, certain

• Do the job well

− Front End Loading – get the design right, value engineering

− Performance estimation, performance guaranty

− Job execution excellence:

− Safety, Quality, Integrity, Cost Control, change management, CM.

− Find partners who share your sense of value, win-win out-look.

• Operate the job

− Keep the asset running at its peak, system data analysis

• Learn, Learn, Learn

•Civil•Structural mechanical•Electrical•Insolation•Weather / Soiling•Permitting



Good luck and thanks!

bp solar: drivers for commercial solar projects

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