U.S. Wind Industry Market Update Husum Wind Energy 23/9/10 Husum, Germany Amna Khan Deputy Director, Core Member Services

American Wind Energy Association Trade association for the wind energy industry founded in 1974 Over 2,400 business members Develops policies and conducts analysis to support wind industry growth Executes wind industry’s legislative agenda Promotes wind energy through advocacy, advertising and media relations Convenes conferences and workshops to educate the public and bring industry members together

AWEA’s Regional Partners Source: AWEA U.S. Wind Industry Annual Market Report

Market & Policy Update

 700 MW installed in 2Q10, for a total of at least 1,239 MW for the first half of  Total utility-scale wind capacity installed in the U.S. through the first half of 2010 is 36,303 MW  Installations in the first half of 2010 are down 71% and 57% from 2008 and 2009 first half levels respectively. U.S. Annual and Quarterly Wind Installation Source: AWEA

Wind Installations by Quarter Source: AWEA

Wind as Choice for New Generation Source: AWEA, SEIA, SNL, LBL, EIA 1H 2010 – estimate, final data at year end

Installed Capacity by State Source: AWEA Second Quarter 2010 Report

Wind Installations by Half  Installations in the first half of 2010 are down 71% and 57% from 2008 and 2009 first half levels respectively, and are more in-line with 2007 installations. Source: AWEA

Projects Under Construction > 5,500 MW under construction at end of 2Q 2010 Source: AWEA Second Quarter 2010 Report

TOP 20 WIND POWER OWNERS IN U.S. NextEra Energy Resources continues to lead ownership of wind assets in the U.S., with over 7,400 of the over 35,000 MW installed. Eight other companies now own over 1,000 MW of wind power assets, up from five last year. The top five companies own about 49% of the total U.S. fleet, down from 53% last year. Project Developers Ranking in 2009

Manufacturers’ Share of 2009 Installations in U.S. Source: AWEA U.S. Wind Industry Annual Market Report, 2009

Manufacturers of Installed Turbines Diversifying Over Time Source: AWEA, U.S. Wind Industry Annual Report, Year Ending 2009

ALL ONLINE WIND MANUFACTURING FACILITIES Current Manufacturing Facilities Source: AWEA U.S. Wind Industry Annual Market Report, 2009

TOTAL U.S. WIND INDUSTRY EMPLOYMENT At the end of 2009, wind industry employment remained steady with 85,000 Americans employed directly and indirectly by the wind industry. Compared to 2008, the construction sector employed an additional 500 workers in 2009 due to increased installation of new wind turbines. Operations and management jobs also grew by 1,000 over the previous year. However, due to many turbines on the market in 2008 and the credit crisis, 1,500 manufacturing jobs were lost in U.S. Wind Industry Jobs

Wind Manufacturing Activity  2 new manufacturing facilities were brought online in the first half of 2010, as compared to 5 facilities brought online in first half 2009 and 7 facilities brought online in first half New announcements are at similar levels. Source: AWEA

Efforts on Manufacturing June 2010: AWEA, BlueGreen Alliance, and United Steelworkers released a blueprint for expanding domestic manufacturing

Forward Look for 2010 Source: AWEA  Low wind installations in through 2Q put the annual expectations for 2010 in line with 2007 levels.  Even with over 5,500 MW under construction and a more active second half of year in store, AWEA expects that 2010 installations will likely be 25% to 45% below 2009 installations, depending on policy developments.  Much of the near-term activity is now concentrated in the Midwest, Northwest, and Intermountain regions.

Wind Projects Waiting in Queues Close to 300,000 MW of proposed wind projects are in interconnection queues. Source: AWEA, U.S. Wind Industry Annual Market Report, 2009

New Transmission Lines Proposed Source: AWEA, U.S. Wind Industry Annual Report, Year Ending 2009

Proposed & Planned U.S. Offshore Projects

Available AWEA Products on Wind Market

Near-term Policy Agenda  National Renewable Electricity Standard (RES)  Extension of American Reinvestment & Recovery Act (Stimulus bill)1603 Treasury Grant program under construction deadline  Expansion of Manufacturing Tax Credit (48C)

The 1603 Grant Has Kept Project Financing Afloat 1603 Grant has supported 87% of 2010 Projects

ARRA: Tax Provisions Section 48C Program The Recovery Act included a 30% investment tax credit for new investments in clean energy manufacturing. In early 2010, the Treasury announced recipients of the $2.3 billion manufacturing tax credit program. Over 50 wind related manufacturing facilities received the tax credit, receiving approximately 16% of the funding. Alstom Inc.and Subsidiaries Brevini Wind USA, Inc. Cardinal Fastener & Specialty Co Enertech, Inc. Hexcel Corporation Ingeteam Inc. Kaydon Martifer-Hirschfeld Energy Systems LLC Mistubishi Power Systems Americas, Inc. Nordex USA Inc Nordic Windpower Roller Bearing Co. of America, Inc. Schuff Steel Company Siemens Industry, Inc. Tindall Corporation TPI Composites, Inc. Vela Gear Systems, Inc. Wausaukee Composites, Inc. Winergy Drive Systems Corp. Sample of Recipients

Questions? Ms. Amna Khan Deputy Director, Core Member Services American Wind Energy Association 1501 M Street, NW Suite 1000 Washington, DC