Together to the sun

Wim Samyn VP Sales – CEO Solarplaza, Brussels 24 March 2011

1  The Sun as the centra

2  Linea Trovata – business units

3  What is the future of the PV-roofs in Belgium •  Price developments 2009 – 2012

•  Results 2007- 2010 – Cost price solar energy

•  What does the Belgian consumer want?

•  What is the best business model? Selling power or building installations?

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Overview

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1 The sun as the centre

•  We devour traditional energy sources and that leaves its traces.

•  Consequences -  Our Earth has lost the north

-  Humanity as part of the eco-system

•  1996 → Think tank “La Trovata” -  Ten engineers : Innovation team

-  Renewable energy : global scale.

-  Thinking out-of-the-box: looking for intelligent, renewable energy solutions by combining existing and new technologies

-  Seed for smart and renewable energy solutions

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2 LINEA TROVATA

•  Linea Trovata LT = trend of innovations, of renewal

•  Linea Trovata : network sharing the same vision…

-  Strong know-how driven by and with people.

-  Focus on the Long Term – LT. Not the strongest, but those who are able to adapt most adequately, will survive on the long haul

-  Only Quality will survive time’s passing.

-  Invests in innovation with a focus on the international market

-  A networking organisation where partners, dealers and employees work together in openness.

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2 LINEA TROVATA

•  International company driven by passionate entrepeneurs

•  Our 3 characteristics

1. Scientific knowledge – specialist in renewable energy -  Constantly looking for innovation in techniques

-  Our experts are only satisfied with the most efficient – en therefore renewable – energy solution

2. Professional, financial and legal foundation -  Already over 3.000 succesful completed projects!

-  The most profitable solution in your size and within your budget

-  Custom solution with several renewable energy techniques

3. Openness and trust – the right path -  Long Term

-  Combining the power of people with smart energy solutions

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2 LINEA TROVATA – Business units

•  We construct or co-invest in:

Solar energy, Solar thermal and heat pumps

Heat power and biomass

Completing the chain: fertelizer drying and recycling (patented technology)

- Integration techniques and systems for montage - Own feather weight systems

Windenergy for private customers and companies

- Investing in green energy project

- Charging stations - Carports - Electrical vehicles

Wooden(passive)construction

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3. What is the future for residential rooftops in Belgium?

•  Price developments 2009 – 2012

•  Results 2007- 2010 – Cost price solar energy

•  What does the Belgian consumer want?

•  What is the best business model?

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•  Price developments 2009 – 2012

•  On the way to grid-parity by 2015-2018?

•  Determined by costs (productiun, installation,…) en support mechanisms

•  Price residential: from 5-6 EUR/Wp in 2008 to 2,5-3,5 EUR/Wp in 2011

•  Marge-erosion.

•  Market evolution:

•  Since 2007 booming business – VREGCWAPE statistics

•  With current market information: cooling down of the market to be expected from Q4/2011 as a consequence of lower profitability of projects

•  Lower compensation for rooftopleas / electricity discount

•  Longer compensatory effects: evolution to commodity.

3. What is the future for residential rooftops in Belgium?

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•  Results 2007- 2010 – Cost prices solar energy

•  Yield (MWh/year) on average 5 - 15% better than expected.

•  Depreciation periode installation: economic vs technical

•  Technical: 4 kWp

•  12.000 EUR over 20 year or 600 EUR/year

•  3.600 kWh/year or 17 ct/kWh

•  Economic: what is the teturn on investment? Financial product vs necessary technical equipment.

•  Region-bound (Southern-Italy vs B → GRID Parity)

3. What is the future for residential rooftops in Belgium?

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•  What does the Belgian consumer want? There is no Belgian consumer.

•  Culturel differences: Wallonia, Flanders

•  Client oriented: different types of buyers:

•  Sunpower, Q-cell (European panel), Ping-Pong Solar

•  Early movers - … - late laggers // technical – financial – emotional buyer…

•  Price – recovery (compare different energy techniques – government stimulates and mandates)

•  Organsiation oriented: what is your Unique Selling Point? What is your company profiel?

•  Proximity, Quality, Prices, Size, technical or sales-driven, multi-technical (spreading the risks), unique

3. What is the future for residential rooftops in Belgium?

WHY INVEST?

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•  Energy- en costs savings

•  Marketing aspect

•  Guaranteeing stable energy cost price on the long term

•  Combination with heating – increasing comfort, with positive effects on the employee’s productivity

•  Combination with green mobility

•  Long term optionss

MICRO MACRO

•  Reduction particulate matter

•  Reduction of CO2-emission

•  Creating additional employment

•  Reduction of energy dependency

•  Smart grid

WHY NOT INVEST?

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•  Allocation of financial means

•  Increased costfactor

•  Difference between visions of owner-tenant-invester-developer

•  Legal and financial guarantees

•  Short term vision

MICRO MACRO

•  Infrastructure

•  Grid problems

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•  What is the best business model? Selling electricity or selling solar energy systems?

•  Depending on corporate strategy and positioning

•  Examples: distributor, project developer, investor

•  Integration in the value chain (become panel producer - supplier of electricity).

•  Clearly define USP, for yourself and the stakeholders.

3. What is the future for residential rooftops in Belgium?

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•  What is the best business model? Selling electricity or selling solar energy systems?

•  Depending on environmental factors:

• Support of large PV-installations? Third party financing?

• USD/EUR rate (financial mgt)

• Tecnological evolutions (amorphous vs crystalline)

• Political choices: 20/20/20-goals

• Stable political climate

3. What is the future for residential rooftops in Belgium?

Thank you!