Green Ribbon Commission BU Renewable Energy Strategy June 15, 2015

StrategyThe Market Our Opportunity

StrategyThe Market Our Opportunity

StrategyThe Market Top 15 Universities Institution Green Power UsageGreen PowerResources (kWh/yr)% of Total Electricity Use 1 University of Pennsylvania 200,183,00051%Wind 2 Georgetown University 152,370,500130%Various 3 University of Oklahoma 134,898,60076%Wind 4 The Ohio State University 133,631,36923%Wind 5 Carnegie Mellon University 115,637,46698%Solar, Wind 6 Oklahoma State University 100,360,03971%Wind 7 Northwestern University 96,720,80038%Solar, Wind 8 Drexel University 96,678,000100%Solar, Wind 9 University of Utah 85,926,10028%Solar, Wind 10 University of Tennessee, Knoxville 80,020,00032%Biogas, Small-hydro, Solar, Wind 11 University at Buffalo 78,392,00036%Solar 12 University of Wisconsin 68,673,74015%Wind 13 The City University of New York 64,000,00015%Wind 14 University of Missouri 56,963,93522%Biomass, Solar, Wind 15 American University 56,315,885113%Solar, Wind 100% of Demand 50% of Demand 30% of Demand Our Opportunity Source: EPAEPA

StrategyThe Market State of Solar

$ 3 /Watt 2013 Average System Price StrategyThe Market State of Solar System Pricing Source: GreentechSolarGreentechSolar

StrategyThe Market State of Solar US Generation 36 % Solar of New US Generation In Q1-Q3 of 2014 Source: SEIASEIA

StrategyThe Market State of Solar Renewable Energy Source: US EIAUS EIA Generating Capacity for Solar PV in the Northeast 30% Investment Tax Credit

StrategyThe Market State of Solar Renewable Energy Source: US EIAUS EIA Generating Capacity for Wind in the Northeast 30% Investment Tax Credit

StrategyThe Market State of Solar Boston Properties 5 weeks 113 mtCO 2 e $ 1580 savings/week 950 Winter Street Waltham, MA

Strategy The Market State of Solar

Strategy The Market Considerations Financial Model  Build/Own/Maintain  Power Purchase Agreement (PPA)

State of Solar Strategy The Market Considerations Financial Model  Build/Own/Maintain  Power Purchase Agreement (PPA)  No Upfront Cost  Immediate Savings  Buy the Power  Long Term Agreement  Enable Project Financing

State of Solar Strategy The Market Considerations Financial Model  Build/Own/Maintain  Power Purchase Agreement (PPA)  Initial Cost/kWh  Escalation Rate  Price Floor  Buyout Schedule  Incentives  Risk

State of Solar Strategy The Market Considerations Renewables On Site  Solar  Wind Renewables Off Site  Inside MA  Inside NE  Outside NE

Strategy State of Solar The Market

State of Solar Strategy The Market Drivers 1.Reduce Annual Elect. Costs 2.Reduce Exposure to Price Volatility 3.Retain Renewable Energy Credits  Where possible 4.Maximize Value through Aggregation

State of Solar Strategy The Market Process Learning Curve  Proactive vs Reactive  AASHE  SSCC  NECSC  DOER  EPA Green Power  Peers  Developers  Brokers  Boston Properties

State of Solar Strategy The Market Feasibility Study  Bldg. by Bldg. Evaluation  Solar Resource  Interconnection  Infrastructure  Roof Condition  Structural Capacity  PV System Reqs.  Balance of System Reqs.  Economic Analysis Process

State of Solar Strategy The Market Three RFPs 1.CRC 2.BUMC/BMC 3.Large Off Site Process

State of Solar Strategy The Market Developing Projects Feasibility Study  Phase I1.7MW  Phase II2.0MW

State of Solar Strategy The Market 100 Ashford Street  750 kW Roof-mounted  790,000 kWh Annually Developing Projects

State of Solar Strategy The Market CILSE  112 kW Roof-mounted  140,000 kWh Annually Developing Projects

State of Solar Strategy The Market BUMC/BMC  610 Albany0.53MW  710 Albany0.45MW Developing Projects

State of Solar Strategy The Market Large Scale Off Site  American/GW Example  OSU Example  GRC Renewable Energy Purchasing Network Developing Projects Source: American UniversityAmerican University Source: Ohio State UniversityOhio State University

Institution Green Power UsageGreen PowerResources (kWh/yr)% of Total Electricity Use 1 University of Pennsylvania 200,183,00051%Wind 2 Georgetown University 152,370,500130%Various 3 University of Oklahoma 134,898,60076%Wind 4 The Ohio State University 133,631,36923%Wind 5 Carnegie Mellon University 115,637,46698%Solar, Wind 6 Oklahoma State University 100,360,03971%Wind 7 Northwestern University 96,720,80038%Solar, Wind 8 Drexel University 96,678,000100%Solar, Wind 9 University of Utah 85,926,10028%Solar, Wind 10 University of Tennessee, Knoxville 80,020,00032%Biogas, Small-hydro, Solar, Wind 11 University at Buffalo 78,392,00036%Solar 12 University of Wisconsin 68,673,74015%Wind 13 The City University of New York 64,000,00015%Wind 14 University of Missouri 56,963,93522%Biomass, Solar, Wind 15 American University 56,315,885113%Solar, Wind 100% of Demand 50% of Demand 30% of Demand GHG Reduction Annual Savings Total Saving 63%$1.5 – $3.5 Million $38 - $88 Million 44%$0.6 - $1.7 Million $14 - $44 Million 36%$0.4 - $0.8 Million $8 - $20 Million Source: EPAEPASource: CFR w/BU analysis GHG Reduction Annual Savings Total Saving GHG Reduction Annual Savings Total Saving State of Solar Strategy The Market Scale of Opportunity