1. Balancing the Carbon – Wind Equation: How Carbon Policy(ies) is/are shaping large scale renewable deployment and vice versa Seth Kaplan Senior Manager, Regional Government Affairs EDP Renewables North America

2. 2 “The extension of renewable energy tax credits at the end of last year as part of the congressional budget deal will have more impact over the short term on U.S. greenhouse gas emissions than the Clean Power Plan, a White House official said today.” (“ U.S. can meet Paris goal despite frozen rule -- White House” 2/10/16) “The Supreme Court's stay of U.S. EPA's Clean Power Plan doesn't amount to much for many of the nation's electric utilities, as they were already planning to close down their older coal-fired generating units in the next five to 10 years and move to cleaner sources of electric power... While the ‘unusual’ ruling was a ‘surprise’ for Gerard Anderson, CEO of DTE Energy Co., he said the court decision will have no effect on the company, at least over the next decade... Before the court's stay, American Electric Power Co. Inc. -- a major operator of coal-fueled power plants -- had projected a significant drop in those units' production. Coal plants account for 60 percent of the utility's 32,000 megawatts of generation capacity, and AEP expected that to drop to 45 percent by 2026... ‘I don't think the stay changes the projection,’ said John McManus, AEP's vice president for environmental services. ‘That is based on existing rules we know about and assumptions based on natural gas prices, electricity market prices and customer demand.’” (“For many utilities, court action 'doesn't really change anything'” 2/11/16) CPP stay ≠ A total halt to climate progress

3. 3 The Law and science demand action on climate – CPP challenges can only delay the inevitable MA v. EPA, 549 U.S. 497, 127 S. Ct. 1438 (2007)

4. 4 Carbon + Tax Policy = Renewable (particularly Wind) deployment Strong renewables policy (like PTC extension) shifts carbon efforts (like CPP) towards the needed long- term goal of zero-carbon electricity, reducing dependence on gas. Remember: while gas still reduces emissions in parts of the U.S. now it locks in emissions for the life of the gas plant. A half ton per Megawatt-hour (gas) is better than one ton (coal) but it is still a lot more than zero. Wind is effective, low-cost compliance tool.

5. 5 Wind Resource & Economics, Driving Policy in the Red States = RGGI & CA (active cap & trade) = Other (or related) Carbon policy = Wind Demand & Interest Driving Policy * = Rest of Nation * * Judgement Calls