BEFORE THE PUBLIC UTILITIES COMMISSION OF NEVADA · 2020-05-13 · with Techren Solar and the...

BEFORE THE PUBLIC UTILITIES COMMISSION OF NEVADA

IN THE MATTER of the Application of NEVADA POWER COMPANY, seeking approval of the Second Amendment to its Emissions Reduction and Capacity Replacement Plan Docket No. 16-08___ seeking approval of a 100 MW Purchased Power Agreement with Techren Solar and the retirement of Reid Gardner Unit 4 on or about February 28, 2017.

VOLUME 3 OF 4

NEVADA POWER COMPANY D/B/A NV ENERGY

TECHNICAL APPENDIX

ITEM DESCRIPTION PAGE NUMBER

LOAD FORECAST

REN-1 2016 ERCR RE RFP Protocol with Attachments (Part 2 of 2) 2 REN-2 Long-Term Renewable Power Purchase Agreement with Techren Solar 51 REN-3 2016 ERCR RE RFP Initial Short List Scoring Report – CONFIDENTIAL 204

Initial Screening Evaluation Report of the Independent Evaluator – 206REN-4 CONFIDENTIAL REN-5 Final Due Diligence and Selection Reports – CONFIDENTIAL 208 REN-6 Closing Report of the Independent Evaluator - CONFIDENTIAL 210

Closing Report Amendment of the Independent Evaluator REN-7 212CONFIDENTIAL

ECONOMIC ANALYSIS

ECON-1 L&R Tables 214 ECON-2 Operating Reserves Calculation 227 ECON-3 100 MW PWRR (Production Costs + Capital) 286

GENERATION

GEN-1 Reid Gardner 4 Key Decision Report and Production Cost Analysis 294

REN-1

CONTINUED FROM VOLUME 2

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ATTACHMENT F O&M Term Sheet

O&M TERM SHEET

THIS TERM SHEET DOES NOT CONSTITUTE A BINDING OFFER AND SHALL NOT FORM THE BASIS FOR AN AGREEMENT BY ESTOPPEL OR OTHERWISE. ANY ACTIONS TAKEN BY A PARTY IN RELIANCE ON THE TERMS SET FORTH IN THIS TERM SHEET OR ON STATEMENTS MADE DURING NEGOTIATIONS PURSUANT TO THIS TERM SHEET SHALL BE AT THAT PARTY’S OWN RISK. UNTIL THE PARTIES HAVE COMPLETED THEIR DUE DILIGENCE AND A DEFINITIVE AGREEMENT IS NEGOTIATED, APPROVED, EXECUTED AND DELIVERED, NO PARTY SHALL HAVE ANY LEGAL OBLIGATIONS, EXPRESSED OR IMPLIED, OR ARISING IN ANY OTHER MANNER UNDER THIS TERM SHEET OR IN THE COURSE OF ANY NEGOTIATIONS.

Operator: [__] (“Operator”).

Owner: Nevada Power Company, a Nevada corporation d/b/a NV Energy (“Owner”).

Scope: Operator and Owner would enter into an Operations and Maintenance Agreement (the “Agreement”) for the provision of O&M Services (defined below) with respect to a renewable power generation facility (the “Facility”) to be located in [__] Nevada (the “Site”) and to be constructed pursuant to an Engineering, Procurement and Construction Agreement (the “EPC Agreement”) between Owner and [__] (“EPC Contractor”). Operator shall be an affiliate of EPC Contractor.

O&M Services: Operator shall provide all necessary and recommended preventative, scheduled and unscheduled maintenance services for the entire Facility for the duration of the Term (the “O&M Services”), which shall include (i) certain basic services that constitute customary operation and maintenance activities for a regulated electric utility, to be defined and set forth in an exhibit to the Agreement, but including, at a minimum, annual cleaning (x2), full preventative maintenance (including mechanical, electrical, inverter, tracker and MV/HV/protective relay/battery maintenance services), visual inspection, system testing and calibration, corrective and unscheduled maintenance, failure response, notifications, forecasting, staffing and remote monitoring, warranty support, asset management, regulatory/compliance, marketing and balancing authority coordination, site and vegetation management (including any site grading and maintenance of storm water structures), garbage disposal, security services, perimeter fencing, restroom and Facility maintenance (including janitorial services), water supply, dust containment, snow removal, road maintenance, reporting and compliance (including but not limited to FERC, WECC, and environmental compliance), training of personnel and reasonable assistance to Owner in its annual operation, maintenance, administrative and general budgeting, and capital planning efforts (the “Basic Services”), (ii) any additional services requested by Owner or recommended by Operator and documented in a written change order executed by the parties (the “Additional Services”) and (iii) any emergency services necessary to address emergency affecting the safety or protection of persons or endangering the Facility or other property located at the Site (the “Emergency Services”). Operator shall have reviewed the EPC Agreement and related materials relating to the Facility and confirmed that the O&M Services are appropriate in scope for the Facility.

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Spare Parts Operator shall maintain any initial spare parts provided by Owner or EPC Contractor Title: and otherwise supply all necessary and recommended spare parts and consumables

for a regulated electric utility Facility (the “Spare Parts”). Operator shall maintain the Spare Parts at its own expense at the Site and on a dedicated basis for exclusive use for the Facility; provided, however, that with respect to Spare Parts related to Extra Work, Operator shall offer to sell to Owner such Spare Parts as are manufactured by Operator or its affiliates at Operator’s then-current market prices in the United States for spare parts and consumables for utility-scale projects subject to an agreed-upon discount set forth in the Agreement. All Spare Parts shall be on site no later than the Substantial Completion Date.

Operator shall provide a monthly report with respect to the inventory of Spare Parts, including any parts procured or replaced during such period, and shall make recommendations to Owner regarding the appropriate number and type of Spare Parts for the Facility. All Spare Parts procured or used with respect to the Facility shall be new O&M parts that comply with any applicable warranty requirements. Title to such Spare Parts shall transfer from Operator to Owner upon the earlier of Owner’s payment therefor or installation of the same into the Facility.

O&M Fee: Owner shall pay Operator a fee of $[__]/kW (AC) determined on the basis of final capacity of the Facility as certified under the EPC Agreement (the “O&M Fee”). The O&M Fee shall be paid in semi-annual installment in arrears and subject to escalation at one percent (1.0%) per annum. The O&M Fee covers all Basic Services. Operator shall not be entitled to any additional compensation, except as set forth in a change order with respect to Additional Services or with respect to Emergency Services or in connection with Owner’s purchase of Spare Parts as described above. Payment for Additional Services or Emergency Services shall be capped at (i) Operator’s personnel costs (at an agreed rate schedule) plus (ii) any actual, direct third-party costs to Operator plus a markup of five percent (5%). The O&M Fee shall be subject to an annual cost cap.

Term: The Agreement shall be executed and effective on or before the date that the EPC Agreement is executed by both Owner and EPC Contractor, provided that the operational term of the Agreement shall be a period of [______] ([___]) years, commencing upon Substantial Completion (as defined in the EPC Agreement) of the Facility (the “Term”).

Independent Operator is acting and shall be deemed for all purposes to be an independent Contractor: contractor and nothing in the Agreement shall be construed as constituting any

relationship with Owner other than that of owner and independent contractor. Owner and Operator are not partners, agents or joint venturers with each other, and the Agreement is not intended to nor shall it be construed to create a partnership or joint venture between Owner and Operator. Operator shall complete the O&M Services according to its own means and methods of work, which shall be in the exclusive charge and control of Operator and which shall not be subject to the control and supervision of Owner, except as to the results of the O&M Services.

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Subcontracts: Subject to Owner’s consent, not to be unreasonably withheld, Operator may enter into subcontracts for particular aspects of its obligations under the Agreement. All subcontracts shall incorporate and flow-down applicable requirements from the Agreement (including with respect to insurance), be assignable to the Owner upon termination of the Agreement and provide that Owner is a third-party beneficiary thereunder. Operator shall ensure that all subcontracts contain warranties with respect to services and equipment that comply with Owner’s warranty requirements.

Personnel: Operator shall provide an appropriate number of suitably qualified, trained, competent and experienced management, operating and maintenance personnel necessary to perform the O&M Services, and such personnel shall perform such services in accordance with applicable requirements. Operator shall pay all wages and benefits required by applicable law or contract with respect to personnel performing the O&M Services. Operator shall be responsible for all matters relating to labor relations, working conditions, training, employee benefits, safety programs and related matters pertaining to such personnel, including, if applicable, with any prevailing wage, project labor or other requirements.

Operator shall designate, and Owner shall accept, the individuals responsible for all matters relating to Operator’s performance under the Agreement (the “Key Operator Personnel”). If Operator elects to replace Key Operator Personnel, it shall promptly deliver a notice to Owner with the name and résumé of the proposed replacement individual. Owner shall have the right to approve any such replacement of Key Operator Personnel; provided, however, that such approval shall not be unreasonably withheld or delayed.

Business Operator, its employees, agents, representatives and subcontractors shall at all times Practices: maintain high ethical standards and avoid conflicts of interest in performing the

O&M Services. In conjunction with its performance of O&M Services, Operator and its employees, officers, agents and representatives shall comply with, and cause its subcontractors and their respective employees, officers, agents and representatives to comply with, all applicable laws prohibiting bribery, corruption, kick-backs or similar unethical practices including, without limitation, the United States Foreign Corrupt Practices Act and Owner’s “code of business conduct”, which code of business conduct would be included as an exhibit to the Agreement.

O&M Manual: Not later than one hundred eighty (180) days prior to the commencement of the Term, Operator shall prepare and submit, for Owner’s review and approval, a manual relating to the operation and maintenance of the Facility that incorporates any specific service requirements necessary to comply with the Requirements or that are an integral part of Operator’s obligations in connection with the O&M Services (the “O&M Manual”). Owner shall provide comments, if any, to the O&M Manual to Operator within thirty (30) days after Owner’s receipt of such O&M Manual. Operator shall modify the O&M Manual based upon Owner’s comments and shall provide Owner with a copy of such revised O&M Manual within thirty (30) days after Operator’s receipt of Owner’s comments. Once approved by the parties, the O&M Manual may not be amended or modified without the written consent of the parties, which approval shall not be unreasonably withheld.

Annual Maintenance

Not later than ninety (90) days prior to the commencement of each contract year, Owner and Operator shall meet to discuss the projected O&M Services for the

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Plan: Facility to be performed for such upcoming calendar year in accordance with the Requirements. Within twenty (20) days after each such meeting, Operator shall prepare and submit, for Owner’s review and approval, a recommended plan (an “Annual Maintenance Plan”) setting forth (i) Operator’s intended work plan for the O&M Services, (ii) the expected duration of the performance of any scheduled maintenance, (iii) a description of the O&M Services to be performed, (iv) any other related activities for each calendar month over the ensuing contract year, which Annual Maintenance Plan shall be in compliance with the Requirements, and, (v) spare parts list . Scheduled maintenance shall be subject to seasonal limitations and a cap on the number of hours of allowed maintenance annually. Owner shall provide comments to the Annual Maintenance Plan, if any, to Operator within fifteen (15) days after such meeting. Operator shall modify the Annual Maintenance Plan based upon Owner’s comments. Once approved by the parties, the Annual Maintenance Plan may not be amended or modified without the written consent of the parties, which approval shall not be unreasonably withheld. The approved Annual Maintenance Plan shall be integrated into the O&M Manual.

Reporting Operator shall provide usual and customary reports and summaries to Owner, Requirements: including: (a) a daily production report (via email and File Share upload) relating to

the weather, irradiance, availability and performance of the Facility, (b) a detailed monthly report (in written and electronic format) relating to the monthly and year-todate availability and performance of the Facility, inverter performance metrics, spare parts utilization and inventory, equipment failures and warranty claims, OSHA and safety-related matters, scheduled and unscheduled maintenance activities, alarm logs and failure reports and any Emergency Services or Additional Services performed, and (c) an annual report (in written and electronic format) including a summary of the monthly performance reports together with totals for the Performance Guarantee calculations and performance metrics and Owner recommendations.

Forecasting: Operator shall deliver to Owner (i) day-ahead and hour-ahead (with five (5) minute increments) forecasts of electrical energy deliveries from the Facility using Operator’s then current forecasting tools, (ii) projections of scheduled outages of the Facility and (iii) notification of changes to any forecast of electrical energy deliveries or of any forced outage of the Facility.

Notifications: Operator shall promptly notify Owner regarding any pending or threatened litigation, claim, dispute, action, investigation or proceeding relating to the Facility, any refusal or threatened refusal to grant, renew, or extend any permit, any discovery of any existing or concealed hazardous substances, forced outages of the Facility (and the known causes thereof and the corrective action taken with respect thereto), all notices and other communications from any governmental authority in relation to the Facility and any other event or circumstance that reasonably could be expected to adversely impact the operation of the Facility including labor disputes, violations of applicable laws or applicable permits, material damage to any of the major pieces of equipment comprising the Facility, or notices or other communications from the transmission provider.

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Monitoring Operator shall staff and maintain a first-tier network operations center, and shall Services: provide remote monitoring of the Facility therefrom on a twenty-four (24) hour a

day, seven (7) days a week basis via connection with the Facility’s SCADA system. Remote monitoring shall include real time performance, weather and operational metrics and remote event notification. Operator shall cause Owner to have a direct, real-time data feed with respect to the foregoing, install and maintain a dedicated T-1 line and such other telecommunications and equipment necessary to support the same, and shall host and maintain an electronic file share (“File Share”) and provide Owner with a license to access same.

Operator shall maintain on-site and area staffing consistent with minimum levels and qualifications to be established and included in the O&M Manual.

Alarm and Operator shall, in consultation with Owner, establish an alarm and failure Failure Response: notification protocol. Pursuant to the O&M Manual, upon receiving a system alarm

or failure notification, Operator shall initiate a response plan appropriate in light of the nature of the alarm or failure. Owner and Operator shall agree on a detailed, tiered failure response protocol, which shall require EPC Contractor to respond on-site to failures involving the outage of the Facility or one or more inverters within four (4) hours.

Operator shall promptly curtail the production of Facility upon direction by the utility or other governmental authority.

Minimal Operator shall use commercially reasonable efforts, in light of the circumstances at Interference: the time, to perform the O&M Services in a manner that will minimize interference

with the operation of the Facility and to conduct its work at such times so as to minimize reduction of production in respect of the Facility. Unless granted prior written approval from Owner, Operator shall not conduct any scheduled maintenance on Facility equipment that would reasonably be expected to reduce Facility production during summer peak hours.

Hazardous Operator shall minimize the use of hazardous substances and shall not and shall not Substances: permit any of its subcontractors, directly or indirectly, to use, handle, store, generate,

manufacture, transport or release any hazardous substances in, on or under the Facility, the Site and any adjacent areas thereto, except to the extent required for the performance of the O&M Services, in each such case in accordance with the Requirements. Operator shall promptly comply with all orders and directives of all governmental authorities regarding the use, transportation, storage, handling or presence of hazardous substances. If Operator discovers, encounters or is notified of the presence or any release of any hazardous substances at the Site, Operator shall promptly notify Owner thereof and stop work in and restrict access to the area containing such hazardous substances. Operator shall conduct and complete all investigations, studies, sampling, testing and remediation of the Site as required by the Requirements in connection with the release of hazardous substances by Operator. Operator shall not be entitled to any extension of time or additional compensation for any delay or costs incurred by Operator as a result of the remediation or removal of hazardous substances for which Operator is responsible.

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Standard of All O&M Services shall be performed by Operator in a good and workmanlike Performance: manner, free of any defect or deficiency, consistent with prudent utility practice with

respect to first-tier, grid-interconnected, rate-based, utility-scale renewable generation facilities in the Western United States, applicable laws, applicable permits, governmental approvals, applicable project documents, the Warranties, the O&M Manual, the Safety Plan and Owner’s operating procedures (collectively, the “Requirements”).

Services Operator shall warrant in the Agreement that the O&M Services will be performed in Warranty: a good and workmanlike manner and be free from defects in workmanship and

materials in accordance with the Requirements for a period of one (1) year after the completion thereof (the “Services Warranty”). When Operator detects or is notified of a defect covered by the Services Warranty, Operator shall, at its sole cost and expense, promptly repair, replace, and/or re-perform the services and/or materials as necessary to cure such defect. For any O&M Services (including any parts or equipment) required to be re-performed, repaired, corrected or replaced following discovery of a defect, the Services Warranty shall be extended for one (1) additional year after the date such performance, repair, correction or replacement is complete. In addition, to the extent not covered by a Warranty, Operator shall ensure that any replacement modules, inverters, trackers or other key equipment have warranties consistent with Owner’s warranty requirements.

Warranty Operator shall, on Owner’s behalf, maintain, administer and pursue claims with Enforcement: respect to all applicable warranties provided by EPC Contractor and suppliers of the

modules, inverters, trackers and other components of the Facility (the “Warranties”). Operator shall manage, supervise and verify that all persons providing Warranties for the Facility comply promptly and diligently with all of their respective warranty obligations and coordinate and schedule the provision of all warranty work with the O&M Services. Operator shall keep Owner reasonably informed of the status of any warranty claims and, in any case, provide information and documentation reasonably requested by Owner. Operator shall not be required to commence or prosecute a legal action (whether litigation, arbitration or otherwise) to enforce a warranty claim, except as may be agreed as part of the Additional Services, but Operator shall cooperate with Owner’s reasonable requests in connection with any such legal action.

Safety Requirements:

Operator shall take necessary safety and other precautions to protect property and persons from damage, injury or illness arising out of the performance of the O&M Services and be responsible for the compliance by Operator, its employees, agents, representatives and subcontractors with all requirements governing occupational health and safety in accordance with the Requirements. Operator shall be solely responsible for initiating, maintaining, and supervising all safety measures and programs in connection with the performance of the O&M Services. Not later than one hundred twenty (120) days prior to the commencement of the Term, Operator shall provide Owner with a Site-specific safety plan in connection with Operator’s performance of its obligations that complies with the Requirements (the “Safety Plan”). Owner shall be entitled to review and provide comments to the Safety Plan and Operator shall incorporate any comments provided by Owner. Operator shall be responsible for updating and revising the Safety Plan to comply with all Requirements includes any changes thereto. Operator shall comply with the Safety Plan including with respect to passes, badges, drug and alcohol testing and conduct

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on the Site.

Performance Operator shall deliver a performance guarantee (“Performance Guarantee”) to Guarantee: Owner which shall guarantee that the actual annual output of the Facility is at least

ninety-seven percent (97%) of the expected output on a weather-adjusted basis (as calculated from on-site weather data by PVsyst or equivalent), subject to customary limitations with respect to force majeure, scheduled maintenance, outages directed by Owner or the transmission provider and guidance-level degradation after the first year of operation. Shortfalls in output shall be compensated based upon Owner’s avoided energy price and the values of any environmental attributes associated with the deficiency quantity. Operator shall be excused under the Performance Guarantee if Owner terminates the O&M Agreement for convenience. Owner may, in its sole discretion, accept an availability guarantee in lieu of the Performance Guarantee for years subsequent to the first year of operation.

Credit Support: Operator shall deliver (i) an ultimate parent guaranty covering Operator’s performance under the Agreement, the Performance Guarantee and any other agreements or undertakings related to the O&M Services or the Facility and (ii) such other credit support as may reasonably be required by Owner.

Regulatory/ Operator shall register with the North American Electric Reliability Corporation Compliance: (NERC) as the “Generator Operator” with respect to the Facility and shall cause the

Facility to comply with all requirements of any governmental authorities including, but not limited to, NERC, WECC, CAISO, WREGIS and the PUCN.

Training: Operator shall provide two (2) separate eight (8) hour training sessions per year for Owner’s personnel.

Force Majeure; In the event a force majeure (to be defined) or excusable event (to be defined, but Excusable including Owner-caused delays and changes in law) prevents Operator from Events: performing any services, Operator shall be excused from performing such services

for the duration of the event. Owner may, at its sole option, request that Operator remediate the effects of such event by agreeing to a change order that details the remediation work and Operator’s fee to perform such work.

Site Access: Owner shall provide Operator with such access to the Facility as reasonably necessary to enable Operator to perform its obligations, including ingress and egress rights to the Site. Such access shall extend to the employees, contractors and subcontractors of Operator and to local electric utility personnel, and be in accordance with any ground lease, easement or related instrument in effect with respect to the Site. Operator shall take commercially reasonable efforts to perform its obligations in such a manner that minimize the inconvenience to and interference with Owner’s use of the Site.

Indemnification: Operators shall indemnify Owner and its affiliates, successors, assigns, officers, directors, employees and agents (“Owner Parties”), and hold them harmless from and against all reasonable out-of-pocket costs, expenses and actual liabilities arising out of or relating to any claim or any litigation or other proceeding that relate to (a) claims for injury or property damage, (b) worker’s compensation claims, (c) penalties due to failure to comply with applicable law, (d) taxes owed by Operator,

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(e) Liens arising with respect to the Facility and (f) hazardous substances.

Liens: Operator shall keep and maintain the Facility and the Site free and clear of all liens, encumbrances, claims, charges that if unpaid, might become a lien, and rights of retention (“Liens”) resulting from the action of Operator or work done at the request of Operator (including without limitation, work done by any subcontractor, supplier of goods or services, employee, material man or laborer). Operator shall take prompt steps to discharge any such Lien. Operator shall require each of its subcontractors to make payments to their respective subcontractors and sub-subcontractors in a similar manner, and Operator shall indemnify and hold harmless Owner for any losses or expenses incurred by Owner (including reasonable attorneys’ fees) in discharging any such Lien. Upon request from Owner, Operator shall request lien waivers from a subcontractor upon completion and payment for such subcontractor’s relevant work and, upon request from Owner, Operator shall supply copies of such lien waivers to Owner.

Termination Rights:

Owner may terminate the Agreement for convenience upon sixty (60) days’ notice in which case Owner shall pay Operator for any O&M Services performed, plus Operator’s reasonable demobilization expenses (not to exceed a demobilization cap to be agreed by the parties) and a declining value termination payment based on Operator’s expected profit for the remainder of the Term.

In the event of an Operator Default, (a) Owner may terminate the Agreement and exercise any rights available thereunder, at law or in equity, and (b) Operator shall pay Owner a termination payment equal to the difference between the O&M Fee and the cost to Owner of, or market price associated with, procuring replacement services for the remainder of the Term.

For purposes hereof, an “Operator Default” shall include any of the following:

i. Operator becomes insolvent;

ii. Operator fails to pay to Owner any amounts due (other than any amounts which are the subject of a bona fide dispute) within thirty (30) days after written notice of such failure from Owner to Operator;

iii. Operator fails to perform any of its material obligations and such failure is not remedied within thirty (30) days after written notice of such failure from Owner to Operator;

iv. Any representation or warranty by Operator is false or misleading;

v. Operator attempts to assign the Agreement in violation of its terms;

vi. Operator or any affiliate defaults under any other agreement, warranty, guaranty or instrument relating to the operation or construction of the Facility, the equipment comprising the Facility or the O&M Services;

vii. The Facility production is below ninety percent (90%) for any consecutive twenty-four (24) month period; or

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viii. The aggregate liability of Operator exceeds Operator’s Limitation of Liability in any period.

In the event of an Owner default, as its sole remedy therefor, (a) Operator may terminate the Agreement and (b) Owner shall pay Operator for any amounts owed to Operator plus Operator’s reasonable demobilization costs (subject to a demobilization cap to be agreed).

Following any termination of the Agreement for any reason, Operator shall (a) withdraw from the Site and expeditiously transfer to Owner any Spare Parts, warranties, manuals, software licenses, keys, access credentials, records, reports and other documentation relating to the Facility and O&M Services and (b) cooperate with Owner and any replacement operator concerning the transition of operational responsibility for the Facility.

Insurance: Operator shall maintain in effect, insurance coverage of the following types and limits in addition to any other coverage required by law:

i. Workers’ Compensation Insurance. Workers’ Compensation in the minimum amount required by statute and Employers’ Liability with minimum limit of $1,000,000.

ii. Commercial General Liability Insurance. Commercial General Liability on an “occurrence form” in the minimum amount of $2,000,000 per occurrence combined single limit and $3,000,000 in aggregate, including (a) broad form contractual liability coverage, (b) products/completed operations, (c) personal injury, (d) independent contractors and (e) sudden and accidental pollution liability (if not provided by separate pollution coverage). Coverage shall include a cross liability/severability of interests clause.

iii. Automobile Liability Insurance. Comprehensive Automobile Liability in the minimum amount of $1,000,000 each accident combined single limit, including owned, hired and non-owned vehicles.

iv. Umbrella or Excess Liability Insurance. Umbrella/Excess Insurance on an “occurrence form” in the minimum amount of $20,000,000 each occurrence and annual aggregate which shall be in excess of the primary coverage referred to in clause (i) (employer’s liability only), clause (ii) and clause (iii) above.

v. Pollution Liability. Pollution liability coverage with a limit of not less than $3,000,000 per claim and in the annual aggregate.

Operator (or its particular contractor or subcontractor) must provide Owner with 30days prior written notice before any required insurance policy expires, is cancelled, or is altered.

Deductible or retention amounts under the required policies must not exceed 5% of the per occurrence coverage limits, without the express written consent of Owner.

Each contract of insurance must be with an insurer approved to do business in the

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State of Nevada, is “A-” Rated or better by A.M. Best Company (see www.ambest.com) and must include the following provisions or endorsements:

(A) Additional Insured. Naming Owner, its directors, officers, and employees as additional insureds on the general liability, automobile liability, pollution liability and excess/umbrella insurance policies.

(B) Primary Insurance. Stating that the insurance is primary insurance with respect to the interest of Owner and that any insurance maintained by Owner is excess and not contributory insurance.

(C) Subrogation Waivers. Providing Owner with waivers of subrogation on all coverages.

(D) Separation of Insured. Providing for “Separation of Insured” coverage in the general liability, automobile liability, pollution liability and excess/umbrella insurance policies.

(E) Conversion from Claim Made to Occurrence. Providing that, if any policy is maintained on a “claims made” form and is converted to an “occurrence form”, the new policy will be endorsed to provide coverage back to a retroactive date acceptable to Owner.

(F) Notice Requirement. Providing that Owner is entitled to 30-days’ prior written notice before such contract of insurance expires, is cancelled, or is altered.

Before Operator or any of its subcontractors enters upon the Site, Operator must provide Owner with certificates of insurance that name Owner as an additional insured and that evidence the coverage required by the Agreement, including additional insured endorsement numbers.

Intellectual Property Matters:

Owner shall hold title to any drawings, specifications, documents, plans and designs, licenses or other work product provided by or on behalf of Operator in connection with the O&M Services. In addition, Operator shall grant to Owner, for the life of the Facility, a paid-up, irrevocable, non-exclusive, royalty-free right and license under all intellectual property rights that are used by Operator in providing the O&M Services as necessary to own, use, operate, maintain, service, repair, alter commission, decommission, remove and dispose of the Facility.

Limitation of Liability:

Operator’s aggregate liability for all losses and all other costs and obligations arising out of or relating to the Agreement shall not, in any contract year, exceed two hundred percent (200%) of the O&M Fee and other amounts paid or payable to Operator with respect to such contract year (“Operator’s Limitation of Liability”).

With the exception of the obligations to indemnify against claims of third parties (and without limiting any obligation of the Operator to pay liquidated damages under the Agreement or the Performance Guarantee), neither party shall be liable to the other for any consequential, incidental, punitive, exemplary or indirect damages or lost profits; provided that to the extent not fully covered by insurance, each party shall remain liable for any damage to or loss of any property or equipment (including

Field Code Changed

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any deductible amounts) caused by such party’s fraud, gross negligence, or willful misconduct.

Taxes: Operator shall pay any and all sales and use, goods and services, value added, customs and duties (including federal import taxes, including any import duties or fees, on materials imported for performance of the O&M Services), withholding, service, general excise, ad valorem or similar taxes to the extent assessed or assessable under applicable law, and taxes measured by or imposed on the net income or net profit of Operator.

Records; Audit: Operator shall maintain in accordance with prudent utility practices all records relating to the provision of the O&M Services and the Facility for a period not less than the Term of the Agreement plus five (5) years. To the extent specified in the O&M Manual, such records shall be maintained in electronic form on the File Share. In addition, Owner shall have the right to audit and inspect Operator’s records upon reasonable advance notice.

Assignment: Neither party may assign its rights and obligations under the Agreement without the non-assigning party’s prior written consent, except that (i) Owner may assign its rights and obligations to (a) any successor in interest with respect to the Facility or (b) any financing party of Owner by way of security for the performance of obligations to such financing party and (ii) either party may make assignments to its affiliates; provided, in the case of Operator, that any credit support remains in effect.

Confidentiality: Each party shall keep confidential and not disclose any confidential information of the other party, subject to customary exceptions. Notwithstanding the foregoing, Operator shall acknowledge that the PUCN and the Nevada Office of the Attorney General, Bureau of Consumer Protection (the “BCP”), have the power to examine Owner’s books, records, minutes, papers and property and may, from time to time, request or require Owner to disclose or report to the PUCN and/or BCP (or any representatives thereof), as the case may be, any confidential information so requested or required.

Dispute This Term Sheet is, and the Agreement shall be, governed by the laws of the State of Resolution; Nevada, without regard to its conflict of laws provisions. Governing Law:

The parties shall submit to the exclusive jurisdiction of the United States Federal District Court located in Las Vegas, Nevada, or, if such court does not have subject matter jurisdiction, the state courts of the State of Nevada. Each party shall waive any objection to forum or venue, and any right to jury trial. The parties shall consent to joinder or consolidation with respect to any disputes involving common issues of law or fact with respect to the Facility, the EPC Agreement or any other agreement relating to the Facility.

Any disputes between the parties not resolved via good faith negotiations may proceed to litigation unless the parties mutually agree to arbitration, which arbitration shall be in accordance with the Commercial Arbitration Rules of the American Arbitration Association.

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Regulatory Support:

Operator shall, at its own expense, reasonably assist Owner in its efforts to recover costs associated with the operation of the Facility for ratemaking purposes.

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PROJECT SCORECARD 2016 ERCR RFP

purpose and use

The project scorecard (PSC) is a tool to evaluate the viability of a project, relative to all other projects that bid into NV Energy's 2016 Emissions Reduction Capacity Replacement (ERCR) Request for Proposal (RFP).

The PSC uses standardized categories and criteria to quantify a project's strengths and weaknesses in key areas of project development. A project's score is indicative of a project's likelihood to achieve commercial development. Each project will be scored in three categories: Price (60%), Non-Price (30%) and Economic Benefits as laid out in SB123 (10%).

Price evaluation is done using the financial inputs provided from each bidder. These inputs are analyzed in a financial model which results in a levelized cost of energy (LCOE) that represents the cost of each megawatt hour of energy delivered over the life of the project. The LCOE is input into a Total Scores Summary analysis.

Non-Price evaluation is done using the Non-Price-Scoring Guidelines tab of this workbook. All bidder responses and information provided for non-price scoring is scored on a scale of 1-10 and weighted based on importance. A final score for each proposal is calculated in accordance with the Non-Price Scoring Guidelines and entered into the Total Scores Summary analysis

Economic Benefits as laid out in SB123 include evaluating the economic benefits, opportunities for the creation of new jobs and value to customers. All bidder responses and information provided for economic benefits will be evaluated and the overall economic benefits to the state of Nevada scored. Each bidder is score will be entered into the Total Scores Summary analysis.

Additional explanations or comments are placed within each tab

Page 15 of 301

Evaluation�Procedures�and�Criteria

NV�Energy�will�select�proposals�for�each�of�the�two�Products�based�on�a�proposal’s�highest�overall�score�derived� from�an�evaluation�of�price�and�nonͲprice�factors.��If�a�bidder�submits�a�proposal�for�both�Product�1�and�Product�2,� the�bidder�must�provide�separate�Technical�Proposal�Input�Forms�for�each�Product�proposal.

The�nonͲprice�analysis�is�divided�into�five�categories.�The�five�categories�are�(1)�bidder�qualification�and� experience;�(2)�technology,�(3)�conformity�to�the�terms�of�the�proͲforma�agreements;�(4)�development�milestones;� and�(5)�benefits�to�the�state�of�Nevada.�The�criteria�for�each�of�these�five�categories�are�set�forth�below.��NV�Energy� reserves�the�right�to�weigh�one�or�more�of�the�categories�below�more�significantly�than�another�category,� depending�on�the�individual�characteristics�of�any�proposal.��In�evaluating�the�nonͲprice�categories,�NV�Energy�is� focused�on�ensuring�any�selected�renewable�project�proposal�meets�the�expectations�of�the�ERCR�plan,�will�result� in�a�viable�project�meeting�construction�and�development�milestones,�and�will�be�successfully�and�professionally� operated�for�the�life�of�the�contract.

Category�1�–�Bidder�Qualification�&�Experience ��•�Project�Development�Experience ��•�Project�Ownership/O&M�Experience ��•�Safety�Ͳ�OSHA�Recordable�Incident�Rate ��•�Financial�Capability Category�2�–�Technology ��•�Technical�Feasibility ��•�Resource�Quality ��•�Equipment�Supply�Control ��•�Utilization�of�Resource Category�3�–�Conformity�to�ProͲForma�Agreements ��•�Magnitude�of�proposed�edits�to�proͲforma�PPA�and,�if�applicable,�ground�lease Category�4�–�Development�Milestones ��•�Site�Control ��•�Permitting�Status/Feasibility ��•�Project�Financing�Status ��•�Interconnection�Progress ��•�Transmission�Requirements ��•�Reasonableness�of�Identified�Critical�Path�Dates Category�5�–�Economic�Benefits ��•�Location�of�Jobs�Created ��•�Number�of�Jobs�Created ��•�Economic�Benefits�to�Nevada

Page 16 of 301

afudc

Company�Contact�Information

Primary�Contact�Information Name: Title: Company: EͲMail: Phone�Number:

Secondary�Contact�Information Name: Title: Company: EͲMail: Phone�Number:

Corporate�Information Business�Address�1 Business�Address�2 City State Zip�Code State of Business Incorporation

Credit�Ratings Moody's S&P Fitch Other�Please�Specify

Additional�Corporate�Information Please�use�this�space�to�list�any�information�about�your�firm�that�could�be�relevant�to�this�RFP.�This�includes�corporate�relationships�and�any� existing�contracts�with�NV�Energy�or�other�parties�of�interest.�This�field�is�not�required.

Page 17 of 301

2016_ERCR_Attach_G_Price_Technical_Input_Forms_v4.xlsm / Price Input

Resource

Bidder�Name Site�Name Is�the�resource�new�or�existing? Assumed�asset�life�(years) Construction�Start�Date�(mm/dd/yyyy) Commercial�Operation�Date�(mm/dd/yyyy) Plant�Size�Ͳ�Nameplate�(MW�AC) Plant�Size�Ͳ�Nameplate�(MW�DC)�(Solar�Only) Contract�Term�(10�to�25�years) Is�proposed�project�to�be�located�on�NV�Energy's�"Dry�Lake"�solar�site?�(Yes/No)�

Note:��All�capacity�and�energy�values�should�be�on�an�AC�basis�delivered�to�NV�Energy's�system,�except�where�otherwise�stated.

Price�Input�Form�Ͳ�PPA�Structures NV�Energy�2016�ERCR�Renewable�Energy�RFP:�Confidential�and�Proprietary

Please complete all cells highlighted in yellow. INPUT LIMITED TO 1 DECIMAL POINT IN THIS TABLE Average�hourly�Net�Energy�delivered��to�NV�Energy�System�(MWhs,�Year�1)

Tran

smission�In

form

ation

Is�the�project�directly�interconnected�to�NV�Energy's�system?�(Yes/No) Point�of�Interconnection�(Must�be�in�Nevada) Transmission�System�Owner�at�Point�of�Interconnection �(e.g.�Nevada�Power,�Sierra�Pacific,�WAPA,�etc.) If�Interconnection�is�with�Third�Party,�who�pays�wheeling�costs�(PTP,�losses) If�NV�Energy�is�expected�to�pay�wheeling�costs�enter�total�costs�($/MWh) If�interconnection�is�with�Third�Party,�is�firm�transmission�available�to�NV�Energy's�System?�(Yes/No)

Point�of�Power�Delivery�to�NV�Energy�(if�different�from�point�of�interconnection) Can/will�energy�be�backed�by�third�party�transmission�provider�reserves?�(Yes/No) For�a�"new"�facility�with�NV�Energy�Transmission�Provider�LGIA,�please�provide�the�following: Total�cost�of�Interconnection�Customer’s�Interconnection�Facilities�(ICIF�Ͳ�$) Total�cost�of�Transmission�Provider’s�Interconnection�Facilities�(TPIF�Ͳ�$) Total�cost�of�Network�Upgrades�(Stand�alone�+�Individual�+�Shared�Ͳ�$)

Pricing�Inpu

ts

Total�Purchase�Price�as�Lump�Sum�at�COD/closing�(Products�1�&�2) Specify�Lump�Sum�Payment�Date�(mm/dd/yyyy)�(Product�1�&�2) Retainage�Amount�(%) What�percentage�of�resource�qualifies�for�the�Investment�Tax�Credit�(ITC)?�(%) What�percentage�of�Purchase�Price�is�materials?�(%) For�Renewable�PPA�product�1,�what�is�Year�1�price�($/MWh) For�Renewable�PPA�product�1,�what�is�escalator�(%/yr)

Expe

cted�Hou

rly�Gen

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Whs)

Peak Hour�Ending Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

OffͲPeak

1 2 3 4 5 6

OnͲPe

ak

7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22

OffͲ

Peak

23 24

Daily�Supply�Amt ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ Daily�OnͲPeak�Supply�Amt ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ

Monthly�Supply�Amt ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ ��Ͳ Annual�Supply�Amt ��Ͳ

Planned�Outage�Rate�Schedule�(maintenance�months:�March,�April,�October�and�November)

Ope

ratio

ns�&�M

ainten

ance

Fixed�O&M�Fee�for�first�year�(total�annual�cost)�($/yr) Annual�Fixed�O&M�Fee�Escalation�Rate�(%) Variable�O&M�Fee�for�first�year�($/MWh) Annual�Variable�O&M�Fee�Escalation�Rate�(%) Other�Fixed�Costs�(Rent,�Land�Lease,�etc.)�($/yr) Annual�Other�Fixed�Fee�Escalation�Rate�(%) What�type�of�energy�guaranty�is�included? Percent�of�the�expected�net�energy�or�equipment�guaranteed?�(Preference�is�97%) Is�this�guaranty�based�on�adjusting�for�actual�weather�or�fixed�based�on�the�net�energy�after�degradation In�the�event�the�energy�performance�or�effective�availability�guaranty�is�not�met,�penalty�($/MWh)

Number�of�annual�panel�washings�included

Year�0�Energy��(year�COD�achieved,�unless�COD�is�January�1 )

Month Expected�MWh Prior�to�Commercial�Operation�(Test�Energy)

Expected�MWh Commercial�Operation

Expected�MW�Online

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

For�energy�delivery�figures�below,�show�net�energy�delivered�at�the�revenue�meter�net�of�any�planned� outages�and�degradation.�Also�show�the�net�energy�guaranteed,�if�applicable. Net�Energy�Expected Net�Energy�Guaranteed

Resource�Cap

acity

Degradation�% %�of�the�net�energy�guaranteed? Net�Energy�delivered�(MWhs)�Ͳ�Year�0 �� Ͳ �� Ͳ Net�Energy�delivered�(MWhs)�Ͳ�Year�1 �� Ͳ �� Ͳ Net�Energy�delivered�(MWhs)�Ͳ�Year�2 Net�Energy�delivered�(MWhs)�Ͳ�Year�3 Net�Energy�delivered�(MWhs)�Ͳ�Year�4 Net�Energy�delivered�(MWhs)�Ͳ�Year�5 Net�Energy�delivered�(MWhs)�Ͳ�Year�6 Net�Energy�delivered�(MWhs)�Ͳ�Year�7 Net�Energy�delivered�(MWhs)�Ͳ�Year�8 Net�Energy�delivered�(MWhs)�Ͳ�Year�9 Net�Energy�delivered�(MWhs)�Ͳ�Year�10 Net�Energy�delivered�(MWhs)�Ͳ�Year�11 Net�Energy�delivered�(MWhs)�Ͳ�Year�12 Net�Energy�delivered�(MWhs)�Ͳ�Year�13 Net�Energy�delivered�(MWhs)�Ͳ�Year�14 Net�Energy�delivered�(MWhs)�Ͳ�Year�15 Net�Energy�delivered�(MWhs)�Ͳ�Year�16 Net�Energy�delivered�(MWhs)�Ͳ�Year�17 Net�Energy�delivered�(MWhs)�Ͳ�Year�18 Net�Energy�delivered�(MWhs)�Ͳ�Year�19 Net�Energy�delivered�(MWhs)�Ͳ�Year�20 Net�Energy�delivered�(MWhs)�Ͳ�Year�21 Net�Energy�delivered�(MWhs)�Ͳ�Year�22 Net�Energy�delivered�(MWhs)�Ͳ�Year�23 Net�Energy�delivered�(MWhs)�Ͳ�Year�24 Net�Energy�delivered�(MWhs)�Ͳ�Year�25

Plan

ned�Outage�Inpu

ts

Year 1 2 3 4 5 6 7 8 9 10 Month Outage�% Outage�% Outage�% Outage�% Outage�% Outage�% Outage�% Outage�% Outage�% Outage�% Jan 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Feb 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Mar 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Apr 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% May 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Jun 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Jul 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Aug 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Sep 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Oct 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Nov 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Dec 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Year 11 12 13 14 15 16 17 18 19 20 Month Outage�% Outage�% Outage�% Outage�% Outage�% Outage�% Outage�% Outage�% Outage�% Outage�% Jan 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Feb 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Mar 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Apr 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% May 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Jun 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Jul 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Aug 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Sep 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Oct 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Nov 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% Dec 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%

Complete years 21-25 only if 25 year term proposed Year 21 22 23 24 25 Month Outage�% Outage�% Outage�% Outage�% Outage�% Jan 0.00% 0.00% 0.00% 0.00% 0.00% Feb 0.00% 0.00% 0.00% 0.00% 0.00% Mar 0.00% 0.00% 0.00% 0.00% 0.00% Apr 0.00% 0.00% 0.00% 0.00% 0.00% May 0.00% 0.00% 0.00% 0.00% 0.00% Jun 0.00% 0.00% 0.00% 0.00% 0.00% Jul 0.00% 0.00% 0.00% 0.00% 0.00% Aug 0.00% 0.00% 0.00% 0.00% 0.00% Sep 0.00% 0.00% 0.00% 0.00% 0.00% Oct 0.00% 0.00% 0.00% 0.00% 0.00% Nov 0.00% 0.00% 0.00% 0.00% 0.00% Dec 0.00% 0.00% 0.00% 0.00% 0.00%

Footno

tes:

(if�app

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�*�If�NV�Energy�is�expected�to�pay�wheeling�costs,�enter�details�below:

�**�If�other�fixed�costs�(Rent,�Land�Lease,�etc.),�enter�details�below:

EPC Milestone Cash Flows

Month Gross Invoice w/o Sales Tax

Retainag e

Net Invoice

Payment to be

%Cash Flow

Jan-17 -$ -$ -$ 0.00% Feb-17 -$ -$ -$ 0.00% Mar-17 -$ -$ -$ 0.00% Apr-17 -$ -$ -$ 0.00% May-17 -$ -$ -$ 0.00% Jun-17 -$ -$ -$ 0.00% Jul-17 -$ -$ -$ 0.00% Aug-17 -$ -$ -$ 0.00% Sep-17 -$ -$ -$ 0.00% Oct-17 -$ -$ -$ 0.00% Nov-17 -$ -$ -$ 0.00% Dec-17 -$ -$ -$ 0.00% Total -$ -$ -$ -$ -$ 0.00% Gross invoice less retainage -$ -$ -$

Page 18 of 301NV�Energy�Confidential 7/14/2016 Page 4

Complete all cells highlighted in yellow.

RESOURCE�QUALITY�–�8760�PRODUCTION�PROFILE

Enter Year 1 hourly energy generation below (including daylight saving time)

Provide hourly generation for each field below. Data Input is limited to 1 decimal point.

Month Day Hour Ending MWh 1 1 1 1 1 2 1 1 3 1 1 4 1 1 5 1 1 6 1 1 7 1 1 8 1 1 9 1 1 10 1 1 11 1 1 12 1 1 13 1 1 14 1 1 15 1 1 16 1 1 17 1 1 18 1 1 19 1 1 20 1 1 21 1 1 22 1 1 23 1 1 24 1 2 1 1 2 2 1 2 3 1 2 4 1 2 5 1 2 6 1 2 7

Provide all estimate assumptions

Assumptions:

Page 19 of 301

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Page 20 of 301

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Non-Price Scoring Guidelines 2016 ERCR RFP

Documentation�and�responses�to�questions�provided�by�each�bidder�will�be�reviewed�and�granted�points�based�on�how�that�information�satisfies�the�requirements�of�the�categories�below.�The� weighting�for�each�question�within�each�of�the�five�categories�varies.�The�contribution�of�each�question�to�the�overall�nonͲprice�score�is�shown�on�the�NonͲPriceͲScore�Calculator�tab.

Description/Criteria Points NVE IE 1) Company / Development Team Category Weight 25%

A) Project Development Experience

The company and/or the development team has successfully developed, constructed, and/or placed into commercial operation 5 or more projects of similar technology and similar or larger capacity related to the project proposal.

10

The company and/or the development team successfully developed, constructed, and placed into commercial operation 3 or more projects of any technology and similar or larger capacity 8 (wholesale generation). The company and/or the development team has (i) completed at least one project of similar technology and capacity; and (ii) begun construction of at least one other project of similar 7 technology. Either (i) the company and/or the development team has completed at least one project of any technology and capacity (wholesale generation); or (ii) begun construction of at least one 5 other similar project. None of the above. 0

B) Ownership / O&M Experience

The company, development team or subcontractor own and operate (or at least has experience with) 3 or more projects of similar technology and similar or larger capacity. (e.g., 20 MW photovoltaic facility (thin-film)) that are commercial.

10

The company, development team or subcontractor own and operate (or at least has 8 experience with) 5 or more projects of any technology and similar or larger capacity (wholesale generation) that are in commercial operations. The company, development team or subcontractor has experience with at least 2 project with 7 similar technology and capacity that are in commercial operation. The company, development team or subcontractor has experience with at least 1 project of 5 any technology and capacity (wholesale generation).

0

10B) Safety - Occupational Safety and Health

The company, development team or subcontractor has a OSHA recordable incident rate of less than or equal to 1.35

None of the above.

Administration recordable incident rate The company, development team or subcontractor has a OSHA recordable incident rate

greater than 1.35 and less than or equal to 1.4 8

The company, development team or subcontractor has a OSHA recordable incident rate greater than 1.4 and less than or equal to 1.45 The company, development team or subcontractor has a OSHA recordable incident rate greater than 1.45 and less than or equal to 1.5 Greater than 1.5 will result in disqualification.

7

5

0

C) Financial Capability The Bidder has obtained financing for at least 3 projects of similar technology and size, has proven financial capability with a favorable bond rating, and provided three years of financial statements that its financially capable.

10

The Bidder has obtained financing for at least 2 projects of similar technology, provides financial statements that demonstrate strong financial capability and has a favorable bond rating (above investment grade) The Bidder has financial experience with at least 1 project with similar technology that is in commercial operation, demonstrates strong financial capability and/or has a favorable bond rating. The Bidder has financed at least 1 power project, has demonstrated reasonable financial capability based on financials and/or has a favorable bond rating. None of the above.

8

7

5

0

2) Technology Category Weight 25%

A) Technical Feasibility Project will use approved or proven commercialized technology or commercialized technology that is nearly identical (e.g. similar models) to technology that is currently in use at a minimum of 5 operating facilities of similar capacity (worldwide).

10

Project will use approved or commercialized technology that is currently in use at a minimum of 2 operating facilities, but at first-of-its-kind scale. For example, existing projects do not exceed 20 MW and the proposed project is for greater than 50 MW.

Either (i) the project will use key components of commercialized technology, but in an application that has not yet been commercially proven or is not approved; or (ii) project feasibility is supported by third party, independent engineer's report that verifies the cost and performance. (Technology is not commercially proven); or (iii) if there is one or more Trench bushings installed on a GSU (full remedy $1,000,000-$4,000,000).

None of the above.

5

2

0

B) Resource Quality Bidder demonstrated that the resource can support the production profile. For example: 10

Page 21 of 301



Description/Criteria Points NVE IE- Geothermal: Based on results of test wells or verified third party resource assessment. Minimum of one production well and injection well flow results to support the viability and amount of the geothermal resource submitted.

- Wind: Based on meteorological tower data, verified third party resource assessment. At least one year of wind data utilizing at least two anemometers for any wind project to support capacity factors submitted. - Biomass/Biogas: Sufficient quantities of fuel stock under control or contract for a minimum of ten years. A letter of intent with a biomass/biogas fuel source for a period of 10 years or greater. A third party resource assessment report. Report to include at a minimum: history of landfill, total volume permitted, volume filled, estimated closure date, organic fraction of the municipal solid waste, moisture levels, temperature and ph of the waste, future waste receipts, increase or decrease and average rainfall in the area. - Solar: Based on credible solar radiation meteorological data or verified third party solar radiation resource assessment. Specific resource and technology requirements are set forth in the RFP, including a requirement that all bids include panels manufactured by a “Tier 1” solar panel manufacturer.

The resource appears sufficient to support the project's production profile. Assumptions are reasonable, for example, based on comparable facilities in the same resource area, but not 5 demonstrated by bidder, data, and/or resource assessment as described above.

None of the above. 0

C) Equipment Supply Control Bidder provided detail for all equipment including plan for procurement, supplier detail, and some form of commitment from major equipment suppliers (from approved vendor list, if applicable) including warranty information for equipment.

10

Demonstrated ability to deliver on time.

Bidder provided detail for major equipment including plan for procurement, supplier detail, but had a limited form of commitment from major equipment suppliers. Most suppliers were identified but there no warranty information for equipment provided.

7

Bidder provided detail for major equipment and plan for procurement with identification of potential suppliers but no commitment from equipment suppliers 5

Bidder outlined major equipment with a procurement plan but did not identify suppliers or have any form of commitment. 2


D) Utilization of Resource 10

7

Resource output can effectively be integrated into NV Energy system, and there are no transmission constraints Resource can be integrated however, there are transmission constraints

Resource can be integrated however ancillary services have not been confirmed. 5

Resource can be integrated however there are no ancillary services available from interconnection entity. 2


3) Conformity to Agreements Category Weight 25%

A) Redlines / Risk to Customers No redlines or changes to the Pro forma Agreement(s) 10 Minimal changes/redlines to Pro forma Agreement(s) however, no incremental risks to Nevada customers Changes/redlines to Pro forma Agreement(s) adding additional risk to Nevada customers Changes/redlines to Pro forma Agreement(s) adding additional substantial risk to Nevada customers None of the above

7

5

2

0

4) Development Milestones Category Weight 25%

A) Site Control

10

Project (located in Nevada) has 100% site control for the project site, gen-tie line corridor connecting the facility to the grid. In addition, if applicable associated water line and gas lateral to the facility. Site control is achieved through either (i) direct ownership; (ii) a lease; or (iii) an executed option to lease or purchase, including the equivalent process for securing site control on public lands, as applicable.

Project (located in Nevada) does not have full site control over the project site and gen-tie line corridor connecting the facility to the grid, or if applicable associated water line and gas lateral to the facility, but has demonstrated clear path to achieving full site control for the project site 7

and gen-tie line. Project (located in Nevada) does not have full site control over the project site and gen-tie line corridor connecting the facility to the grid, or if applicable associated water line and gas lateral to the facility, but has demonstrated clear path to achieving full site control for the project site, 4

the gen-tie line, if applicable the water line or gas lateral, but not all.

Page 22 of 301



Description/Criteria Points NVE IE


Project has at a minimum applied for several major permits. The project is on private land and

B) Permitting Status/Feasibility 10Bidder has identified all permitting requirements for project and has shown proof that permitting process has begun and is on track to meet project timelines. There does not appear to be any public opposition to project. Bidder has identified all permitting requirements for project and has shown proof that the permitting process schedule is reasonable to meet project timelines. There does not appear to be any public opposition to project. Permitting is feasible. Bidder has shown an understanding of the NEPA process through BLM and appears to be on track with this process and all other permitting requirements. There does not appear to be any public opposition to project. Permitting appears feasible but may cause some delays in schedule.

Bidder has demonstrated an understanding of the permitting requirements for this project but has not initiated permitting, Bidder has successfully permitted a facility of similar technology and capacity. No fatal flaws have been identified (e.g., protected species and/or land, high land mitigation requirement), permits appear feasible but schedule delays are a concern.

8

5

3

Bidder has not initiated permitting. Bidder has provided a high level permitting plan only. Concern over feasibility of the permitting schedule. 2

None of the above or project has opposition 0

C) Project Financing Status

The bidder demonstrated that project financing has been secured either through "balance sheet" financing or project finance lender with commitment letter. The Bidder has provided a detailed financing plan which includes audited financial statements for the last 3 years if balance sheet financed.

10

The bidder will not rely on balance sheet financing and will secure project financing. Bidder presents a credible financing plan including references to lenders from other project financings with potential interest in this project.

5

The bidder presents a general plan for financing the project but does not demonstrate relationships with lenders who may be interested in this project. 2


D) Interconnection Progress 10The project has executed its Interconnection Agreement.

The project has completed its Facilities Study. If the project will interconnect outside NVE's Balancing Authority, it has achieved the equivalent interconnection progress, including acquisition of ancillary services.

8

The project has completed its System Impact Study, and has posted necessary deposits and is in compliance with all requirements for maintaining queue position, or the project has inititated its Facilities Study. If the project will interconnect outside NVE's Balancing Authority, it has achieved the equivalent interconnection progress, including acquisition of ancillary services.

6

The project has initiated the System Impact Study, and has posted necessary deposits and is in compliance with all requirements for maintaining queue position. If the project will interconnect outside NVE's Balancing Authority, it has achieved the equivalent interconnection progress, including acquisition of ancillary services. The project has submitted its Interconnection Request and posted required deposits. None of the above.

4

2 0

E) Transmission Requirements 10No transmission system upgrades required.

(Network Upgrades) Engineering and Environmental issues have been addressed and transmission access is expected before June 2017. 8

Engineering and Environmental issues have been addressed and transmission access is expected before December 2017. 6

Engineering and Environmental issues have been addressed and transmission access is expected before March 2018. 4

Engineering and Environmental issues have been addressed and transmission access is expected on or before May 2018. 2


10F) Reasonableness of COD -demonstrated by critical path schedule Reviewer reasonably expects project's COD to occur on or before of the proposed online date.

Page 23 of 301



Description/Criteria Points NVE IEReviewer should validate the Reviewer reasonably expects project's COD to occur within 1 - 3 months of the proposed 7reasonableness of project's online date. commercial online date (COD) Reviewer reasonably expects project's COD to occur within 4 - 6 months of the proposed 5based on the scores given for online date. criteria above. Reviewer reasonably expects project's COD to occur within 7 - 9 months of the proposed 3online date.

0Reviewer reasonably expects project's COD to occur more than 9 months after the proposed online date.

Page 24 of 301

NonͲPrice�Input�Form�Ͳ�Part�1 2016 Open Resource RFP NV�Energy�2016�ERCR�RFP:�Confidential�and�Proprietary

Responses should be straightforward and concise. Emphasis should be placed on accuracy, completeness, and clarity of content. Do not exceed 1,000 characters. See RFP bid protocol document for further information on responses.

Page/Section References Question Response from Written Proposal

Compa

ny�/�Develop

men

t�Team

A)�How�many�projects�with�similar�technology�and�similar�or�larger� capacity�(wholesale�generation)�has�your�company/team�successfully� develop,�construct�and/or�place�into�commercial�operation?�Please� specify. A)�If�none,�how�many�projects�of�any�technology�and�similar�or�larger� capacity�(wholesale�generation)�has�your�company/team�successfully� develop,�construct�and/or�place�into�commercial�operation?�Please� specify. A)�If�none,�how�many�similar�projects�has�your�company/team�began� construction�of?�Please�specify. B)�How�many�projects�that�are�in�commercial�operations�with�similar� technology�and�similar�or�larger�capacity�(wholesale�generation)�does� your�company�own�and�operate?�Please�specify.

B)�If�none,�how�many�projects�that�are�in�commercial�operations�of� any�technology�and�similar�or�larger�capacity�(wholesale�generation)� does�your�company/team�own�and�operate?�Please�specify.

C)�Provide�the�OSHA�recordable�incident�rate�for�the�following�entities� associated�with�the�proposal:� ��The�bidder,�proposed�prime�contractor�and/or�material� subcontractor(s) C)�Provide�Bidder's,�proposed�prime�contractor�and/or�material� subcontractor(s)'s�corporate�safety�incident�report�for�the�preceding� five�(5)�years. C)�Has�the�Bidder,�proposed�prime�contractor�and/or�material� subcontractor(s)�had�any�fatalaties�in�the�last�three�years. D)�Please�provide�three�years�of�financial�statements. D)�What�is�your�company’s�bond�rating? D)�Please�provide�other�proof�of�financial�capability.

Techno

logy

A)�Provide�information�including�technical�specifications�for�the� technology�that�will�be�used�in�this�project.�Explain�how�many�similar� projects�the�technology�has�been�used�to�demonstrate�commercial� use�at�a�similarly�sized,�environmentally�comparable�site.� Demonstrate�or�explain�quality�of�materials�that�will�be�used�in� relation�to�competitor�materials�if�applicable.�If�the�plant�has�any� Trench�bushings�installed�on�GSUs,�please�explain�how�many,�what� voltage,�what�vintage�and�where�they�were�manufactured?

B)�Provide�8760�energy�profile�including�all�assumptions�for�year�1� (8760�Prod.�Profile�tab),�12x24�model�and�annual�generation� expectations�for�all�test�energy�and�generation�for�duration�of�plant� life�(Price�Input�tab).�If�any�of�this�data�has�been�tested�(via�met� stations�or�similar)�or�verified�by�a�third�party�assessment,�include� verification�information. C)�Provide�information�demonstrating�that�all�equipment�can�be� procured�within�the�required�time�period�including�identifying�if� relationships�and�plans�for�procurement�already�exist�with�vendors.

D)�Explain�and�demonstrate�that�resource�can�effectively�be� integrated�through�your�transmission�path�or�as��network�resource�to� NVE.�If�not,�explain�transmission�constraints.

D ev A)�SITE�CONTROL: Does�the�project�have�100%�project�site�control?

If�Yes,�please�specify�project�site�control�type If�lease,�when�will�the�agreement�expire?�(mm/dd/yyyy) If�the�project�does�not�have�100%�site�control�of�project�site,�explain� the�status�of�site�control�and�what�is�needed�to�get�full�site�control�

Does�the�project�have�100%�site�control�for�the�genͲtie�line�corridor� connecting�the�facility�to�the�grid?

Please�specify��genͲtie�line�site�control�type If�lease�or�rightͲofͲway,�when�will�the�agreement�expire?� (mm/dd/yyyy) If�the�project�does�not�have�100%�site�control�for�the�genͲtie�line,� explain�the�status�of�site�control�and�what�is�needed�to�get�full�site� control�

Comments/clarifications? B)�PERMITTING�STATUS: Is�project�on�private�or�public�land? Identify�all�permitting�requirements�for�project: Has�permitting�been�initiated?�(Yes/No)�Provide�documentation .

If�yes,�provide�status�of�each�permitting�requirement. If�no,�has�permitting�for�a�similar�technology�and�capacity�been� successfully�completed�on�other�projects?

Is�permitting�process�on�track�to�meet�project�timelines?�(Yes/No)

Is�there�any�known�public�opposition�to�the�project.�(Yes/No)

If�yes,�please�describe. Describe�any�protected�species�and/or�land�that�has�been�identified?

What�are�the�land�mitigation�requirements? Comments/clarifications? C)�PROJECT�FINANCING�STATUS: Has�project�financing�been�secured?�(Yes/No)

If�yes,�is�financing�through�"balance�sheet"�financing�or�power� purchase�agreement�(PPA)�financing?�Provide�documentation. Page 25 of 301

If�no,�provide�information�demonstrating�that�project�financing�can� be�secured�for�this�project�and�has�been�secured�for�similar�projects

Provide�the�number�of�projects�that�company/team�has�received� financing�on�within�the�last�3�years?�(#)

How�many�of�them�were�of�similar�technology?�(#) How�many�of�them�were�of�similar�or�larger�capacity?�(#)

Comments/clarifications? D)�INTERCONNECTION�PROGRESS: Has�an�Interconnection�Agreement�been�executed�for�the�project?� (Yes/No)

If�no,�has�project: Completed�the�Facilities�Study?�(Yes/No) Completed�the�System�Impact�Study?�(Yes/No) Initiated�the�Facilities�Study?�(Yes/No) Initiated�the�System�Impact�Study?�(Yes/No) Submitted�the�Interconnection�Request?�(Yes/No) Have�the�necessary�deposits�been�made?�(Yes/No) Is�project�in�compliance�with�all�utility�requirements�for� maintaining�queue�position?�(Yes/No) If�the�project�will�interconnect�outside�NV�Energy's�balancing� authority,�has�it�achieved�the�equivalent�interconnection� progress?�Please�describe.

Comments/clarifications? E)�TRANSMISSION�REQUIREMENTS�(NETWORK�UPGRADES): Are�transmission�system�upgrades�required?�(Yes/No) �If�yes,�please�describe. Have�engineering�and�environmental�issues�been�addressed?� (Yes/No) When�is�transmission�access�expected?�(mm/dd/yyyy)

Comments/clarifications?

Page 26 of 301

Economic Benefit Scoring Guidelines 2016 ERCR RFP

Documentation�and�responses�to�questions�provided�by�each�bidder�will�be�reviewed�and�granted�points�based�on�how�that�information�satisfies�the�requirements�of�the�categories�below.�The� weighting�for�each�is�worth�1/3�of�the�total.

Description/Criteria Points NVE IE

1) Advance Objectives of SB123

10Location of jobs created Jobs will be created in Nevada Power Company service territory (1) (New direct and indirect jobs) Jobs will be created in Sierra Pacific Power Company service territory 3

Jobs will be created in Nevada 2 No job creation information was provided or no jobs created in Nevada 0

10Number of jobs created The jobs created in Nevada are in the top quarter percentile of bids (New direct and indirect jobs) The jobs created in Nevada are in the 2nd quarter percentile of bids 7

The jobs created in Nevada are in the 3rd quarter percentile of bids 5 The jobs created in Nevada are in the 4th quarter percentile of bids 3 No job creation information was provided or no jobs created in Nevada 0

10Economic Benefits to Nevada The levelized benefits of energy to Nevada are in the top quarter percentile of bids The levelized benefits of energy to Nevada are in the 2nd quarter percentile of bids 7 The levelized benefits of energy to Nevada are in the 3rd quarter percentile of bids 5 The levelized benefits of energy to Nevada are in the 4th quarter percentile of bids 3 No economic benefit information was provided. 0

Page 27 of 301

ECONOMIC BENEFIT INPUT - INSTRUCTIONS 2016 ERCR RFP

Bidders should complete the question below and provide inputs to the relevant worksheet (PV-Solar, Wind, Geothermal, Biopower) to claim and quantify the economic benefits of the generating facility to the state of Nevada. Only direct economic benefits to the state of Nevada (due to spending on construction and operation of the facility by the bidder) should be entered.

**Explanations/descriptions of claimed in-state benefits should be provided for each cost component (last column of relevant worksheet)**

Enter�Resource�Location:

1. Bidders should enter all cost data using the relevant worksheet based on project technology

2. Data is to be entered for both the construction phase and the operations phase.

3. All data should be entered in nominal dollars (including inflation). Bidders should state their inflation assumptions and if they differ by cost category.

4. Only in-state expenditures should be provided. If no in-state expenditures are expected for a particular cost component, then the response should be left blank (or zeros entered).

5. Contingency spending or costs should not be included.

6. All labor costs are fully burdened (include all employer paid costs, including benefits, insurance, and taxes). Bidders should also provide labor cost parameters.

7. All property/local taxes (or payments in lieu of taxes) and sales tax/state tax payments should be submitted.

Page 28 of 301

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BEFORE THE PUBLIC UTILITIES COMMISSION OF NEVADA · 2020-05-13 · with Techren Solar and the...

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Transcript of BEFORE THE PUBLIC UTILITIES COMMISSION OF NEVADA · 2020-05-13 · with Techren Solar and the...