1. Solar Cogeneration for Commercial Rooftops Arun Gupta, PhD agupta@skyentechnologies.com

2. Introduction What is Solar Cogeneration?  Fun fact: Typical photovoltaic (PV) solar panels waste roughly 85% of their energy as heat  Q: Why not capture that heat and use it to heat water? What is Concentrating Solar?  Using mirrors or lenses to concentrate sunlight  Why? Less PV material, higher thermal efficiency

3. Applications For Solar Cogen Hospitals Universities, Apartments, & Hotels Food Processing Commercial Cooling & Heating Desalination Industrial Washing Commercial & industrial buildings with significant hot water needs

4. Solar Cogen w/o Concentration  Bond a standard solar panel on top of a solar water heater  Problem: really low thermal efficiency  Is it worth the plumbing costs?

5. Challenge of Concentrating Solar Tracking increases cost, reduces reliability  Need strong rigid supports  Big motors  Exposed to elements  Wind, dust, moisture Optics are expensive  Large curved mirrors  Fresnel lenses Big Motor Strong Supports Curved mirrors

6. A Unique Solution  Proprietary error-tolerant internal tracking system  No heavy steel supports -- just integrated aluminum racking  No large motors with questionable reliability  Tracking and optics protected from the elements  Proprietary optics reduce cost  No Fresnel lenses or curved mirrors  Manufactured with small quantities of low cost materials  Generates more electricity than any other system

7. Superiority of High Concentration Skyven uses triple junction III-V PV cells that are…  500x more expensive per cm 2 than silicon solar cells But they produce power with…  2x higher efficiency  800x solar concentration That’s 1600x more power production at 500x the cost, or a 3.2x cost advantage Secret ingredient : Do this without destroying the cost advantage !

8. Concentration vs Tracking Cost Skyven has no external tracking and injection molded optics None 1000 10 None $ (1 axis) $$$ (ultra precision) 100 $$ (2 axis) CONCENTRATION TRACKING & OPTICS COST Cogenra & Co.

9. The Skyven Cogen System Rows of stationary mirror panels reflect and concentrate sunlight onto the back of the previous row SUNLIGHT

10. The Skyven Cogen System Small lightweight mirrors move in two axes to track the sun Protected by stationary aluminum frame & glass window Wind deflector CPV cells (hidden) Solar receiver optics Water heating pipe Co-installed with traditional PV panels

11. Max Rooftop Power Density 207kW peak electrical 230kW peak thermal 437kW peak total 150kW peak electrical 270kW peak thermal How much power output can each solar product get from a 1500m 2 rooftop area? Skyven Cogen Traditional PV Alone Solar Hot Water Avg. in US for water hot enough for thermal storage

12. Modules $255k $105k Racking incl. w/ modules$42k Inverters & eBOS$60k $60k Labor$40k$40k Misc & Soft Costs$129k$129k Total$484k$376k Per Watt$2.34/W$2.50/W Installed Cost on Electricity SkyvenTraditional PV Based on electricity from a 1500m 2 system, ignoring hot water Cost data from GTM Research and NREL

13. Collectors --$270k Racking --$45k Other Hardware † $92k $120k Labor$75k$225k Soft Costs--$180k Total$167k$840k Per Watt$0.73/W$3.11/W Installed Cost on Hot Water SkyvenSolar Hot Water Based on system from 1500m 2 rooftop Cost data from NREL, SunMaxx, and Heliodyne Additional costs over those in the electrical cost analysis †Heat exchanger, pump, valves, sensors, storage tank, piping, insulation

14. Water Heating Cost Comparison CapEx ($/W t ) $0.73$3.11--$0.40-- Power|Fuel----$0.10 /kWh $0.10 /kWh $8.13 /MMBTU LCOE † /MMBTU $11.13$25.78$41.90$14.94$11.72 †Levelized Cost of Energy (LCOE) of 80 ° C heat over 25 year lifetime with 3% inflation Electricity and natural gas cost data from US EIA (US national avg. in 2012 in commercial sector)

15. High Efficiency Data from SRCC at 80C above ambient (hot enough for thermal storage) Data from factory datasheets

16. Ultra-low Wear & Tear Stepper Motors  Brushless: Moving parts never touch so immune to wear & tear Plastic Gears & Bearings  Commonly rated for 5000+ hours of movement  Skyven mirrors move for 0.05s once every 5s, or 1% of the time  5000 hours / 1% = 500k hours = 58 year lifetime 50+ Year Proven Lifetime in the Field  Factory automation, industrial machinery  Aerospace, automotive, and telecom Ford Shelby Mustang Throttle Body

17. Inexpensive Materials That Last Reflective surface: 3M Solar Mirror Film Used in utility scale CSP Used in industrial piping Mirrors: talc and carbon black filled polypropylene

18. Challenges on the Rooftop  Must be light enough for the roof to support  Must have low height to avoid eyesores  Must have straightforward and easy installation

19. Light Weight Ballast with roof attach option Roof attach only

20. Ease of Installation Integrated racking unfolds like legs of a table. Receivers slide in like a drawer Wind deflectors snap into place like a tent cover. Wires plug together and pipes screw together

21. Benefit Summary  Revolutionary system design  Ultra low cost  Combined heat & power  High efficiency  Moving parts protected  High reliability  Lightweight panel  Rooftop friendly  Integrated racking & plumbing  Installer friendly

22. Prototype & Technical Validation Successful electric and thermal harvesting Achieves temperatures above 420°C Gen1 Prototype, completed Nov. 2013 “The detailed technical and economic calculations suggest that this project can be successful for flat commercial rooftops” “This project can have a huge impact in reducing the energy consumption of new and existing buildings” – The US Dept. of Energy, Office of Science May 2013

23. Thank you! Questions?

24. Backup Slides

25. Industry Landscape CleanTechnology The Grid Traditional PV Solar Water Heating Gas CHP Natural gas or electric water heaters, water heat pumps Building Efficiency Upgrades WaterHeating ElectricPower SolarCHP

26. Solar CHP Competitors CogenraChromasunSundrum / Solimpeks Skyven Height above rooftop 6 ft 5 ft < 3 ft 3 ft Heat to electricity ratio 3:1 ∞ 2:1 1:1 External motors reliability risk External Internal None Internal Ease of installation Extra cost over a PV installation † No PV $1.50/W None †How much would it cost above a standard PV installation with equivalent electric output?

27. Market Size c TAM: 300GW solar power potential on commercial rooftops in the US, 800GW globally SAM: 15% need hot water Data from NREL, McKinsey, DOE Office of Building Equipment, and IEA TAM: 3200GW th of low temp (<120C) solar hot water capacity globally by 2050 for industrial process heat. COMMERCIAL INDUSTRIAL SAM: 100% need electricity Global Market Size Commercial: $120 billion Industrial: $1.7 trillion

28. Go to Market Strategy  Target direct sales to colleges and universities  Hungry for green image portrayed by renewables  Larger risk profile for innovative technologies  Have regular renovations and areas with hot water need  Example of initial traction  Eastfield College in Dallas, TX is ready for a pilot installation  We have already surveyed a rooftop site and established how the system will interface with existing building systems

29. Scale-Up Strategy  Top-tier new construction and renovation companies  General Contractors and Architects  Building Efficiency Companies  Solar EPCs (engineering, procurement, construction)  Example of initial traction  The Whiting-Turner Contracting Company (#106 on Forbes’ largest private company list)

30. Manufacturing Strategy  Key design requirement: System must be entirely manufacturable with standard equipment  Strategy: Contract manufacture, assemble, and ship  Benefits:  Minimizes up-front capital requirements  Allows for supply-chain competition  In early discussion with manufacturing consulting firm with over 200 years of combined experience Standard injection-molding machine available globally

31. Founding Team Arun Gupta, PhD Founder & CEO Expert in electrical/mechanical/optical system design. Used this expertise to found a business that has raised over $30M and is expected to generate $100M+ revenue in 2015. Alvin Hathaway Jr., JD, MBA Business Operations & Intellectual Property Expert in supply chain management and licensed IP attorney. Experience includes managing a complex international supply chain for a $400M+ business.

32. Advisors & Partners Bryan Russett Solar Industry Advisor Broad experience in the solar industry from Schneider Electric, Solar Design Associates, and several start ups. Includes design and installation of PV systems from 2kW to 10MW. Michael Moussa Mechanical Engineering Consultant Mechanical design and manufacturing expertise for extreme reliability parts used in bridges. Owns a rapid prototyping company.

33. Revenue Forecast Product Launch Break Even Early adoption Main stream adoption

34. Development Plan & Funding Needs Development MilestoneCompletion Date Funding Required 1 st gen prototype generates real-world power & heat Nov 2013-- Integrate system electronicsMar 2014$300k Complete final design for racking and frameMay 2014 Long-term outdoor performance prototype ready for test Aug 2014 3 rd party validation of long-term outdoor performance Mar 2015$2M System is ready for productionMar 2015 Safety certifications obtained. Initial orders placed.Sep 2015 Production beginsOct 2015 * Funding will support employee wages, material costs, and 3 rd party laboratory fees

35. Status Summary (Dec 2013)  Completed:  Fully functional prototype  Full patent filed  Currently seeking:  Series A funding to manufacture product  Strategic partners  Future milestones:  2 nd gen form-fit-function prototype: expected mid 2014  Manufacturing-ready by mid 2015 First gen prototype panel

36. Risk Reduction Just as Tesla adapted laptop batteries to power cars Skyven is adapting projector technology for solar energy

37. Projector Technology DLP Chip Light Source Mirror Panel Triple Junction PV Cell Optics Skyven’s optics work similar to a projector running backwards. Projector Skyven

38. Commercial HVAC Decision Tree From DOE Office of Building Equipment

39. High Reliability Slow Moving Internal Parts Materials That Last PV Cells and Motors Adapted from Space Technology All parts sealed in glass / aluminum enclosure High Reliability

40. Green Buildings at the Right Cost  Rooftop systems technology that combines solar power with solar water heating  Drastic reduction in levelized cost  Water heating: Lower than any other method, including burning natural gas  Power: Matches the best that PV has to offer Extreme Efficiency Cost Savings

41. Our System  Rows of flat, south-facing panels tilted at 45°  Each panel contains hundreds of coaster-sized flat mirrors  Mirrors track the sun in two axes, reflecting sunlight into receivers mounted on the back of the preceding row  All moving parts protected inside a glass and aluminum panel housing. Panels themselves are stationary. PanelRacking & Wind Deflector Receivers