What Works? What Doesn’t Work and Why?

2. What Works? What Doesn’t Work and Why? Power Purchase Agreements Robert Eidson, Lead Associate Booz Allen Hamilton 15 January 2013

3. Booz Allen Hamilton – supporting Army’s Energy Initiatives Task Force What we’re doing to enhance the success of EITF’s renewable energy transactions?

4. Power Purchase Agreement (PPA) Template • Using the MATOC as a basis, this template draws on best practices from industry and other branches of the military EITF PPA Template Industry PPAs MATOC Navy/AF/Army PPAs Energy Initiatives Task Force UNCLASSIFIED 4

5. Power Purchase Agreement Template Purpose • Create a predictable, clear, repeatable PPA template for EITF use regardless of the supporting acquisition activity Army’s Objectives • Create a user-friendly and informative product highlighting key terms, conditions, and potential negotiating issues • Integrate standard commercial terms with FAR language • Provide a flexible structure adaptable to any technology-specific transaction • Highlight the parameters and risks relevant to a PPA transaction • Create an educational and instructional tool for PPA managers and contracting officials

6. Expected Outcomes • Increased acquisition sophistication and transactional acumen throughout the Army acquisition team • Improved Army transactional credibility with private sector • Standardized EITF format and template for Army use • More efficient solicitation process between EITF and its acquisition activities • Enhanced EITF value proposition • Greater industry participation equates to better pricing and higher likelihood of program success

7. Next Steps Pending internal Army approval, solicit Industry feedback on EITF’s PPA template

8. Thank You Robert B. Eidson Lead Associate Booz Allen Hamilton 423-773-1496 eidson_robert@bah.com Supporting Army’s EITF