We belong to the World of Energy with the Largest Partners in the Industry:

1. We belong to the World of Energy with the Largest Partners in the Industry:

2. 30% Tax Credit Grant Advanced or at Tax Payment time in April 2010 • Incentives for solar systems • Economic Benefits: Federal Investment Tax Credit (ITC) • Accounting Issues • The Federal Investment Tax Credit is calculated on 30% of the system cost minus any local, or state credits for which a system may qualify. • The Federal ITC is a “dollar for dollar” credit against income taxes owed not a deduction. • The Investment Tax Credit -uncapped to both residential and commercial entities. • The ITC can be carried over many years if the investing entity cannot absorb the full amount in the first year.

3. SREC’S YOUR POWER PLANT PAYS OFF FOR YOUR BUSINESS PLUS SAVINGS • Renewable Energy Certificates • (REC) •  Represents the “attributes” (i.e. emissions, type, etc.) • of renewable energy generation that can have value • separate from commodity electricity • • 1 REC = 1 MWh of electricity • • AKA green tags and tradable renewable energy certificates •  Traded in both compliance and voluntary markets •  State policies on RECs different for RPS compliance • • Attributes and electricity traded together (i.e. “bundled”) • • Attributes traded separately from electricity (i.e. “unbundled”) • • Not geographically-restricted to local generation • • Price often capped by an Alternative Capacity Payment (ACP)

4. Federal MACR Accelerated Depreciation on Solar System • Bonus Depreciation •  Taxpayer can deduct 50% of capital cost of system after • adjusting for ITC in the first year that the equipment is placed • in service •  Example: • Cost of Solar Installation $10 Million • 30% ITC (taken as cash grant) - $3 million • Depreciable basis $7 million • First Year Bonus Depreciation: 50% * $7 million = $3.5 • million • Balance to Depreciate in Future Years $3.5 million • Still requires sufficient domestic tax appetite, though • not as significant as in previous years

5. Accelerated Depreciation In Detail • Solar Photovoltaic (PV) • Economic Benefits: Federal MACRS • Modified Accelerated Cost Recovery Systems • Federal Modified Accelerated Cost Recovery System (MACRS) is found in IRS Publication 946. • There are three MACRS conventions with different rate schedules: • First Quarter Convention: 35%, 26%, 15.60%, 11.01%, 11.01%, 1.38% = 100% • Mid-Year Convention: 20%, 32%, 19.20%, 11.50%, 11.50%, 5.80% = 100% • End-of-Year Convention: 5.0%, 38%, 22.80%, 13.68%, 10.94%, 9.58% = 100% • The systems are written off over the first 6 years of its life. • If the systems is sold after its 6thYear, the MACRS can be taken again by the new owner at its reduced value. • The Basis for MACRS is calculated by taking the System Cost minus half the Investment Tax Credit (ITC) or otherwise stated as 85% of the System Cost. • The MACRS is a tax deductible expense. To calculate the value of that deduction in cash flow analysis, apply the system owners’ income tax rate of the taxpayer –usually assume/take 35 –38%.

6. Simple Application Of MACR Depreciation for your Tax Year • Solar Photovoltaic (PV) • Economic Benefits: Federal Bonus MACRS • Bonus Modified Accelerated Cost Recovery Systems • The Bonus depreciation was first introduced in 2008 as part of the first stimulus package. • As of February 1st, 2009, the Bonus MACRS has not been renewed but it is expected to be in the coming months. • The Bonus depreciation is 50%. • To calculate: take 50% of the Federal Depreciable Basis and added this to your regular MACRS depreciation for that year for your total. However, since 1styear increases depreciation by 50%, subsequent years must be reduced by 50%.

7. Cars Run out of Gas So will WE….

8. Incentives and SRECS simplified • SRECS are calculated once per. Year. • SRECS are a unit of 1 mWh as per. Meter. • SRECS are on a schedule $693.00 Currently. • E.G. $693.00 X approx: 7 SRECS = • NJ Clean Energy Rebate is $3.80/watt • Total of $38,000.00 as per. NJ Clean Energy. • Current Rebate $1.00/watt only $10k, 12-09

9. The Green Economy of Recognition and awareness….. It’s Carbon Reduction • Buildings are the largest source of CO2 emissions and electricity consumption, because we don’t know how they are operating in time to take corrective action • The current manual method of utility bill analysis is historical, 30-45 days after use • We may do this once a year, or if motivated, we might look on a monthly basis • Smart metering will take us to 15 minute interval data • But there is a “hidden world” of missed opportunity at real-time intervals below 1 minute, and at the 10 second or faster range • We can’t change building energy performance by looking backwards 30-45 or 365 days… you need real-time data to take action in time before the bill arrives

10. 10 kW Solar System with Household Names as Loads for Learning Tours

11. Why NJ through BPU pays incentives

12. Rebate and SRECS will Go Down while the Electric Bills continues to go up.

13. Simple Solar System illustration

14. 10kW sample verses Laundry Roof space on Site.

15. Training and Up to the Minute Education in this Industry is number 1 along with the best partners in the world as our stability and longevity.

16. Free Commercial Grade Energy Audit valued in the 1,000.00’s • Large Commercial Load Analysis and Auditing

17. We do all the paper work, qualifications, and installation.. RELAX, while you reduce your usage of expensive and non-renewable energy to secure your business stability and longevity with REAL COST savings by elimination…….

18. Lovely Laundries Roof Mount 10 kW DC Photovoltaic system Electrical Loads at 5 Horse Power including dozens of electric washing machines and dryers with Fans.

19. Primary Components of System 2(5k)Suny Boys, disconnect, combiner boxes, and meters. Canadian Solar or comparable DC Panels……….

20. Sample of Loads in Building

21. Laundry AC Components Overview: (3) 450 AMP fuses (3) Panel Boards

22. AC Components Overview con’t. Dedicated Disconnects Washers Energy Release Roof Flu’s

23. AC Components Con’t Flu for Energy Release 3rd AC Pannel

24. Laundry Full View and Minor Obstructions identified Front Building Roof Incline Minor Shade flu shafts, no issue.

25. Satellite View Laundry Width X Length Length is 97.0 feet Width is 57.0 feet

26. Quality And Assurance Program NJ Clean Energy Installer Training Installer Registration Process Evaluation Process Inspection & Monitoring Process Evaluation Process Inspection & Monitoring Process Administrative Training Technical Training Registration as a Program Certified Trade Ally Demonstration of Performance Demonstrated Proficiency Submission Requirements: – Photograph of RE system – PVWatts analysis – Shading analysis (Google Earth) – Metering worksheet – Final paperwork attestation • Administrative Training • Technical Training • Registration as a Program • Certified Trade Ally • Demonstration of • Performance

27. Inspection and Monitoring Process Final Approval and Evaluation • Reduce Inspection Ratio in • aggregate from 100% to • 50% (~70% on average for • 2009) • • Monitor installer community • for proficiency

28. Steps of Solar System Approval Application Step 1 DONE Rebate Approval DONE Notification sent if application is incomplete • Application returned if deemed to be significantly deficient • Determination of whether funds are available. • Rebate approval letter is sent • Customer and/or • Contractor • research system • Customer Submits • application • package • Application • determined to be • complete and • eligible

29. Final Steps in Solar System Process Step:3 System Install and Documentation process Step 4: Inspection and Payment Approval Process “your making Power”. System referred for inspection • System passes inspection or is waived • Rebate payment approved and SREC registered • Pass local code inspection • Rebate check sent • Complete system • installation • Apply for utility • interconnection • Submit final • application and • request program • inspection

30. “Your Making Power”……

31. MODULE- B-SERIES All data at standard testing conditions: STC = 1000W/m2, AM1.5, 25°C±2°C Mono verses Poly 280 watt

32. Solar Cells illustrations Silicon Wafer Individual Cells Maximum Power Point IV curve

33. Your Headed in the Right Direction with Solar Energy. Without a meter and a gas gauge we can run out of resources before EXCUSES.

34. Brigantine Presbyterian Solar System Sizing Audit Point of Utility Bill overview for church. Call utility company to confirm ratchet charged or not? 11.15 in comparison with an MUA account at 11.2 rate? High Point in access of $600 and as low as $200. Low energy use months will yield profit for church and programs for members. • 1.       Area: 75’ x 14’  à About 44 of 270W Mono Crystalline panels could fit. • System size: 11.88kw • 2.       Area: 100’ x 44’ à About 150 of 270W Mono Crystalline panels could fit • System size: 40.5kw