Exhibit 99.2
Distributed
Solar Development, LLC |
Solar Portfolio Securitization |
FINAL |
|
Solar
Portfolio Securitization
Technical Due Diligence Report
FINAL
B&V
PROJECT NO. 412545
|
|
©Black & Veatch Holding Company 2022. All rights reserved.
Prepared
for
Distributed Solar Development, LLC
5 November 2022 |
| Distributed Solar Development, LLC | |
Solar Portfolio Securitization |
| 5 November 2022 |
|
Special Notice
Acceptance of this report, or use of any information
contained in this report, by any party receiving this report (each a “Recipient”) shall constitute an acknowledgement and
acceptance by such Recipient of, and agreement by such Recipient to be bound by, the following:
(1) This report was prepared for Distributed
Solar Development, LLC (“Client”) by Black & Veatch Management Consulting, LLC (“Black & Veatch”) and
is based on information not within the control of Black & Veatch. In preparing this report, Black & Veatch has assumed that the
information, both verbal and written, provided by others is complete and correct. Black & Veatch does not guarantee the accuracy of
the information, data or opinions contained in this report and does not represent or warrant that the information contained in this report
is sufficient or appropriate for any purpose.
(2) This report should not be construed as an
invitation or inducement to any Recipient or other party to engage or otherwise participate in the proposed or any other transaction,
to provide any financing, or to make any investment. Recipient acknowledges and agrees that it is not reasonably feasible for Black &
Veatch to conduct a comprehensive investigation and make definitive determinations for the compensation provided and without thorough
verification of the information upon which the Services were performed, and therefore Black & Veatch can offer no guarantee or assurances
that any facts, observations, analysis, projections, opinions, or other matters contained in the report will be more accurate, either
at the time the report is issued or at any other time.
(3) Recipient is not entitled to make any copies
of any portion of this report, use extracts therefrom or transmit any part thereof to any other party in any form, including without limitation
electronic or printed media of any kind.
(4) TO THE FULLEST EXTENT PERMITTED BY LAW,
BLACK & VEATCH S TOTAL LIABILITY, ON A CUMULATIVE AND AGGREGATE BASIS, TO CLIENT AND ALL RECIPIENTS AND OTHER PARTIES, RESULTING FROM
BLACK & VEATCH’S ACTIONS IN RELATION TO THE CREATION AND DISSEMINATION OF THIS REPORT, WILL BE LIMITED TO THE AMOUNT OF COMPENSATION
(EXCLUSIVE OF THE REIMBURSEMENT OF COSTS AND EXPENSES) ACTUALLY RECEIVED BY BLACK & VEATCH FROM CLIENT FOR THE CREATION OF THIS REPORT
UNDER THE IESA. Recipient hereby waives any right to seek or collect damages in excess thereof and releases Black & Veatch from any
and all damages or losses which, if required to be paid to Recipient, would result in Black & Veatch paying total damages to any and
all parties, including Client and all Recipients, in an amount that would exceed the limit set forth in the previous sentence.
The exclusive venue for any claim, cause of
action, legal proceeding, or lawsuit relating to this report shall be the state and federal courts located in New York City, Borough of
Manhattan, State of New York. Recipient and any other party irrevocably waive each argument, objection, defense, assertion, or claim that
venue is improper for any reason in the state and federal courts in New York City, Borough of Manhattan, State of New York for any claim,
cause of action, legal proceeding, or lawsuit brought in said courts or that such claims have been brought in an inconvenient forum.
The above terms and conditions are governed
by and shall be governed by and construed in accordance with the laws of the State of New York, without giving effect to the conflicts
of laws principles thereof other than Sections 5-1401 and 5-1402 of the General Obligations Law of the State of New York.
IF ANY RECIPIENT IS NOT WILLING TO ACKNOWLEDGE
AND ACCEPT, OR AGREE TO, THE TERMS SET FORTH ABOVE, IT MUST RETURN THIS REPORT TO BLACK & VEATCH IMMEDIATELY WITHOUT MAKING ANY COPIES
THEREOF, EXTRACTS THEREFROM OR USE (INCLUDING DISCLOSURE) THEREOF. A RECIPIENT’S FAILURE SO TO RETURN THIS REPORT SHALL CONSTITUTE
ITS ACKNOWLEDGEMENT AND ACCEPTANCE OF AND AGREEMENT TO THE TERMS SET FORTH ABOVE.
| Distributed Solar Development, LLC | |
Solar Portfolio Securitization |
| 5 November 2022 |
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Table of Contents
| Special Notice |
2 |
| 1.0 Portfolio Overview and Summary |
1-1 |
| 1.1 Introduction |
1-1 |
| 1.2 Scope of Work |
1-1 |
| 1.3 Approach and Methodology |
1-2 |
| 1.4 Principal Assumptions |
1-2 |
| 1.5 Summary of Conclusions |
1-3 |
| 1.5.1 Developer Experience and Qualifications |
1-3 |
| 1.5.2 EPC and Quality Assurance |
1-3 |
| 1.5.3 Operational Performance of Portfolio |
1-3 |
| 1.5.4 Financial Model |
1-4 |
| 2.0 Developer Experience and Qualifications |
2-1 |
| 2.1 Developer Experience |
2-1 |
| 2.2 Conclusions |
2-2 |
| 3.0 EPC, Quality Assurance, and Major Equipment |
3-1 |
| 3.1 Engineering, Procurement and Construction |
3-1 |
| 3.1.1 Site Selection |
3-1 |
| 3.1.2 Engineering Process |
3-2 |
| 3.1.3 Procurement and Major Equipment Selection |
3-5 |
| 3.1.4 Construction |
3-16 |
| 3.2 Quality Assurance and Quality Control |
3-20 |
| 4.0 Operating Performance of Operational Projects |
4-21 |
| 4.1 Assessment Methodology |
4-21 |
| 4.2 Availability and Irradiance Adjusted Historical Production |
4-21 |
| 4.2.1 Conclusions |
4-25 |
| 5.0 Portfolio Effect Benefit Analysis |
5-26 |
| 5.1.1 Methodology |
5-27 |
| 5.1.2 Conclusions |
5-28 |
| 6.0 Financial Model |
6-29 |
| 6.1 Performacne Assumptions |
6-29 |
| 6.2 Energy Generation |
6-29 |
| 6.3 Operating Expenses |
6-30 |
| 6.3.1 Solar PV System O&M Cost |
6-30 |
| 6.3.2 O&M Inverter Replacement |
6-32 |
| Appendix A. |
A-1 |
| BLACK & VEATCH | Table of Contents |
i |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
| Distributed Solar Development, LLC | |
Solar Portfolio Securitization |
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List
of Tables
| Table 1-1 Portfolio Projects: Location |
1-1 |
| Table 2-1 DSD Completed Projects: Location |
2-1 |
| Table 2-2 DSD Development Projects: Pipeline |
2-2 |
| Table 3-1 Preferred Warranty Terms |
3-5 |
| Table 3-2 Tesla Megapack Technical Specifications |
3-14 |
| Table 3-3 Tesla Megpack Inverter Specification |
3-15 |
| Table 3-4 Tesla Megapack Regulatory Summary |
3-15 |
| Table 4-1 Black & Veatch’s Weather Adjusted Expected Production (2021) |
4-23 |
| Table 4-2 Black & Veatch’s Weather Adjusted Production Ratios |
4-24 |
| Table 5-1 Contributions to Overall Uncertainty in the Expected Energy Production |
5-27 |
| Table 5-2 Portfolio Effect Benefit |
5-27 |
| Table 6-1 Energy Yield Assumptions |
6-29 |
| Table 6-2 O&M Costs |
6-31 |
| Table 6-3 Full Portfolio Site List |
A-1 |
| Table 6-4 Weather Adjusted Expected Production |
A-7 |
List of Figures
| Figure 4-1 Irradiance Anomalies Compared to Long-Term Average for June 2020 |
4-22 |
| Figure 4-2 Seasonality Curve |
4-23 |
| BLACK & VEATCH | Table of Contents |
ii |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
| Distributed Solar Development, LLC | |
Solar Portfolio Securitization |
| 5 November 2022 |
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| 1.0 | Portfolio Overview and Summary |
Black & Veatch Management Consulting LLC
(Black & Veatch) was retained by Distributed Solar Development, LLC (DSD) to provide technical due diligence services in connection
with DSD’s efforts to securitize operating distributed solar PV assets (“Portfolio”).
As listed in Table 1-1, The Portfolio consists
of 111 operating assets spread across eleven different states, ranging in size from approximately 20.8 kW to over 7.5 MW for an aggregate
DC capacity between 132.81 MWdc. Ten projects in the Portfolio are equipped with energy storage systems (ESS).
Table 1-1 Portfolio
Projects: Location
| Project Location |
Number of Projects |
Total Capacity (MWDC) |
| CA |
35 |
21.27 |
| CO |
5 |
9.89 |
| CT |
3 |
1.88 |
| HI |
2 |
2.02 |
| MA |
12 |
9.56 |
| MD |
2 |
7.76 |
| MN |
3 |
0.40 |
| NJ |
21 |
10.21 |
| NY |
26 |
67.33 |
| PA |
1 |
1.91 |
| RI |
1 |
0.57 |
| |
111 |
132.81 |
To conduct the assessment of the Portfolio,
and the processes associated with the technical and commercial aspects of the Portfolio, Black & Veatch conducted the following:
n
Data collection and informational calls with DSD,
n
Review of DSD experience and qualifications,
n
On-site review of representative DSD solar PV sites previously completed,
n
Review of the engineering design methodology for the Projects,
n
Assessment of performance at the Operating Projects,
n
Review of technical assumptions to the financial model.
| BLACK & VEATCH | Portfolio Overview and Summary |
1-1 |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
| Distributed Solar Development, LLC | |
Solar Portfolio Securitization |
| 5 November 2022 |
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In addition, Black & Veatch (1) discussed
with, and posed questions to DSD that Black & Veatch, in its sole judgment, chose to ask about the Portfolio; and (2) reviewed certain
technical reports prepared by others as identified in this report. The conclusions and findings that resulted from this review are summarized
in this report (Report).
The conclusions and findings that resulted from
this review are summarized in this Report. The Report was prepared in accordance with the Management Consulting Services Agreement between
DSD and Black & Veatch with effective date of May 22, 2019 (MCSA), and task order dated May 11, 2022 and the information contained
herein was developed based on the needs of DSD. The level of information included in the Report reflects the knowledge of issues gained
by Black & Veatch during the course of the review. The Report was prepared with respect to the potential financing of the Portfolio
and is solely for use of DSD. The Report should not be relied upon by any other party or for any other purpose.
Certain statements made in this Report are forward
looking. The achievement of certain events, results or performance contained in such forward-looking statements involve known and unknown
risks and uncertainties that may cause actual events, results or performance to be materially different than originally intended. Black
& Veatch does not plan to update or revise any forward-looking statements when such events, results, or performance occur.
| 1.3 | Approach and Methodology |
The Black & Veatch team, which included
project management specialists, financial analysis experts, solar PV technology specialists, and supporting engineers, gathered available
data from the electronic data room to assess the status of the Portfolio. Data requests for additional or updated documentation were submitted
as necessary.
Black & Veatch reviewed operating data for
representative operating projects included in the Portfolio, provided by DSD. Black & Veatch also reviewed the methodology for DSD’s
energy production estimates. The operating Projects were analyzed to determine the historical performance of DSD projects which may be
indicative of the future performance of the Portfolio.
In the assessment of the Portfolio, Black &
Veatch has used and relied upon certain information provided by representatives of DSD, and Black & Veatch assumes the information
provided is true and correct and reasonable for the purposes of this Report. In preparing this Report and the opinions presented herein,
Black & Veatch has made certain assumptions with respect to conditions that may exist, or events that may occur in the future. Black &
Veatch believes that the use of the information and assumptions is reasonable for purposes of this Report. However, some events may occur
or circumstances change that cannot be foreseen or controlled by Black & Veatch and that may render these assumptions incorrect.
To the extent the actual future conditions differ from those assumed herein or provided to Black & Veatch by others, the actual results
will differ from those that have been forecast in this Report.
In discussing the Portfolio, unless noted otherwise,
Black & Veatch considers the equipment, systems, and interconnections to be typical of those found in solar PV facilities of similar
size and nature. Black & Veatch has provided recommendations, where appropriate, based on previous experience and inspections of similar
facilities. When necessary, Black & Veatch identifies those areas considered to have design or operational deficiencies that are critical
to reliable operation of the facilities.
| BLACK & VEATCH | Portfolio Overview and Summary |
1-2 |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
| Distributed Solar Development, LLC | |
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Throughout this Report, Black & Veatch has
stated assumptions and reported information provided by others, all of which were relied upon in the development of the conclusions of
this Report. Following is a summary of principal considerations and assumptions made in developing the opinions expressed herein:
n
The Portfolio are being operated and maintained in accordance with good industry
practices, required renewals and replacements will be made in a timely manner, and the equipment is not being operated in a manner to
cause it to exceed equipment manufacturer’s recommendations.
n
All licenses permits and approvals, and permit modifications (if necessary) have
been obtained and/or renewed on a timely basis.
n
All contracts, agreements, rules, and regulations are fully enforceable in accordance
with their terms and that all parties will comply with the provisions of the respective agreements.
| 1.5 | Summary of Conclusions |
Based on the reviews and analyses described
in this Report, Black & Veatch is of the opinion that:
| 1.5.1 | Developer Experience and Qualifications |
n
Black & Veatch is of the opinion that DSD has an organization of the experience
and size conducive to developing, owning, and operating solar PV sites (including PV sites coupled with BESS equipment). The DSD team
has completed over 240 similar solar PV projects previously.
| 1.5.2 | EPC and Quality Assurance |
n
DSD’s EPC practices are consistent with accepted industry practices.
n
DSD’s processes for assessing project conditions, selecting suppliers and
subcontractors, and the quality assurance program through the project lifecycle, appear consistent with accepted industry practices.
n
Black & Veatch is of the opinion that the major equipment suppliers listed
for potential use in the Portfolio have demonstrated proven equipment supply track records for other solar PV projects or energy storage
systems.
| 1.5.3 | Operational Performance of Portfolio |
n
Based on actual operating energy and availability data provided for 2021, Black
& Veatch estimates downward impact of 1.3% on expected production adjusted for weather for the portfolio.
n
Based on geographic locations and distribution of projects withing the portfolio,
Black & Veatch expects a benefit of 0.7% (at P90 confidence interval) for the overall portfolio.
| n | The major technical assumptions, including energy yield, degradation rate,
and useful life in the Financial Model are found to be consistent with industry benchmarks. |
| BLACK & VEATCH | Portfolio Overview and Summary |
1-3 |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
| Distributed Solar Development, LLC | |
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| n | The P50 production estimates used for revenue projections in the Financial
Model assumes an availability of 99.2 percent for the Projects, consistent with the availability guarantee included in the master SSA.
|
| n | The capital cost, O&M cost, and inverter replacement assumptions are generally
within the range observed in the market for solar projects of similar size and technology. |
| BLACK & VEATCH | Portfolio Overview and Summary |
1-4 |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
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| 2.0 | Developer Experience and Qualifications |
Black & Veatch reviewed DSD as a solar PV
project developer, to assess their capabilities to execute the development of the Portfolio.
DSD is wholly owned by BlackRock Real Assets,
and was previously operated under GE Solar, LLC since 2014. DSD is focused on DG solar projects ranging from 300 kW to 10 MW across rooftop,
carport, and ground-mounted systems in the Northeast, Mid-Atlantic, Midwest, and California regions of the US. DSD targets development
sites in municipal, university, schools, and hospital (MUSH) host locations. DSD provides full development, EPC, financing and O&M
services.
DSD has successfully reached COD on over 200
distributed PV solar projects, representing a total solar PV DC capacity of over 180 MW and a total BESS capacity of approaching 11 MW.
DSD’s first project after its evolution from GE Solar, LLC was completed in 2019, and the developer is actively developing and acquiring
additional sites.
An overview of DSD’s historical track
record of completed projects is presented in Table 2-1 and Table 2-2.
Table 2-1 DSD
Completed Projects: Location
| Project Location |
Number of Projects |
Total Capacity (MWDC) |
Total BESS Capacity (MW) |
| Georgia |
4 |
2.0 |
0.00 |
| Maryland |
22 |
15.5 |
0.00 |
| New Jersey |
48 |
26.8 |
0.00 |
| New York |
29 |
84.5 |
10.00 |
| California |
69 |
27.2 |
0.38 |
| Massachusetts |
20 |
19.3 |
0.45 |
| Colorado |
5 |
9.9 |
0.00 |
| Minnesota |
6 |
1.5 |
0.00 |
| Florida |
3 |
4.4 |
0.00 |
| Connecticut |
21 |
14.5 |
0.00 |
| South Carolina |
3 |
5.9 |
0.00 |
| Nevada |
1 |
1.0 |
0.00 |
| Vermont |
3 |
3.6 |
0.00 |
| Delaware |
1 |
0.9 |
0.00 |
| New Hampshire |
1 |
0.8 |
0.00 |
| North Carolina |
2 |
2.0 |
0.00 |
| Wisconsin |
1 |
1.3 |
0.00 |
| District of Columbia |
1 |
0.6 |
0.00 |
| Hawaii |
1 |
0.9 |
0.00 |
| Rhode Island |
1 |
0.6 |
0.00 |
| Total |
242 |
223.2 |
10.82 |
| BLACK & VEATCH | Developer Experience and Qualifications |
2-1 |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
| Distributed Solar Development, LLC | |
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Table 2-2 DSD
Development Projects: Pipeline
| Project Location |
Number of Projects |
Total Capacity (MWDC) |
Total BESS Capacity (MW) |
| Massachusetts |
28 |
68.55 |
27.76 |
| New Jersey |
43 |
57.78 |
1.88 |
| Minnesota |
7 |
11.28 |
0.00 |
| California |
67 |
53.67 |
13.15 |
| New York |
24 |
92.67 |
11.41 |
| Maryland |
6 |
14.53 |
0.00 |
| Connecticut |
9 |
7.98 |
0.00 |
| Arizona |
1 |
2.17 |
0.00 |
| Maine |
2 |
11.80 |
0.00 |
| Virginia |
2 |
3.17 |
0.00 |
| Pennsylvania |
1 |
1.28 |
0.00 |
| Ohio |
1 |
2.68 |
0.00 |
| District of Columbia |
2 |
0.62 |
0.00 |
| Total |
193 |
328.18 |
54.21 |
Black & Veatch is of the opinion that DSD
has an organization of the experience and size conducive to developing, owning and operating solar PV sites (including PV sites coupled
with BESS equipment). The DSD team has completed over 240 similar solar PV projects previously.
| BLACK & VEATCH | Developer Experience and Qualifications |
2-2 |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
| Distributed Solar Development, LLC | |
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| 3.0 | EPC, Quality Assurance, and Major Equipment |
Black & Veatch has reviewed the process
by which DSD develops and designs a project from initial site qualification through final design for construction, for the purpose of
identifying any significant discrepancies from accepted industry practice. Additionally, Black & Veatch has reviewed the Quality Assurance
and Quality Control (QA/QC) processes DSD follows to ensure quality design and construction. Lastly, Black & Veatch has reviewed the
DSD process for strategic acquisitions of DG solar PV sites from developers.
| 3.1 | Engineering, Procurement and Construction |
The following sections provide an overview of
DSD’s strategy for engineering, procurement, and construction (EPC) of the projects originated by DSD. DSD has an established project
development process from the origination at the point of award through notice to procced (NTP)/initial construction funding. The stages
of development include diligence, real estate, interconnection, incentives, engineering, and permitting.
DSD has a development team of project management
professionals who have core competencies in natural resource management, civil engineering, land use planning, federal, state, and local
permitting, interconnection processes and incentive management. The DSD development team is responsible for managing development budgets,
schedules, and resources to achieve funding and development NTP on all projects and providing a risk and opportunity analysis through
the development process.
All areas of DSD’s organization coordinate
on process with customer engagement, after which DSD negotiates a letter of intent (LOI) with potential hosts. During the LOI negotiation
process, DSD performs a desktop feasibility study and preliminary energy production modeling for prospective sites. Site selection for
the projects is primarily based on host requirements and cost analysis on business case studies. DSD initially performs a desktop site
diligence, including check of site locations by Google Earth or ArcGIS, analysis of wetland status using National Wetlands Inventory,
flood zone analysis with Federal Emergency Management Agency (FEMA), interconnection analysis, and topography analysis using resources
on the U.S. Geological Survey's (USGS) website and information from Authority Having Jurisdiction (AHJ) building and planning department.
DSD then performs analysis with two dimensions (2D) and three dimensions (3D) modeling to identify areas with less than 15 percent slope
and areas with potential shading and incorporates the site analysis findings to system design.
Upon the execution of LOI, DSD engages a broader
project management team and initiates high-level engineering, interconnection, and project development. DSD’s engineering team performs
an onsite evaluation to collect information on preliminary project and interconnection configurations. DSD as the EPC provider is responsible
for the permits and approvals for interconnection with the local electric utility. Potential shading concerns to be incorporated into
the production estimate model are also assessed at this time.
For rooftop projects, DSD discusses the roof
warranty with representatives of the manufacturer (Carlisle, Firestone, etc.) and the requirements for maintaining the warranty (including
pre-install and post-install inspections). DSD engages a third- party licensed structural professional engineering firm to perform a site
structural evaluation to determine the structural capacity available for the additional load of the proposed
| BLACK & VEATCH | EPC, Quality Assurance, and Major Equipment |
3-1 |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
| Distributed Solar Development, LLC | |
Solar Portfolio Securitization |
| 5 November 2022 |
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PV system. In some cases, re-roofing of the
facility is considered in conjunction with the installation of the PV system (may be paid for by DSD depending on the expected commercial
terms of the PPA).
A site-specific geotechnical investigation is
always performed for ground-mounted solar canopies because the bearing capacity of the soil must be capable of resisting the forces or
reactions at the base of the canopy columns through the engineered foundation.
For garage top canopies, no geotechnical investigation
is required, since the canopy columns tie to the existing concrete structure via anchor bolts or connection brackets. Instead, a third-party
structural firm is engaged to assess garage top canopies to confirm there is sufficient capacity in the concrete (sometimes steel) structure
to resist the forces imparted by the addition of the solar canopy, and is also typically engaged to approve the structural design of the
carport. DSD has a carport design group in-house which is utilized for most of the engineering design for single-tilt, ‘Y’
tilt, and ‘W’ tilt carport projects. DSD has also indicated that they hold IP related to ‘W’ carport topology
and associated drainage systems which can be used in conjunction with the solar array.
For ground-mount projects, DSD performs a topographic
survey in order to determine the project design and evaluate the proximity to utility infrastructure and interconnection feasibility.
DSD has a development engineering checklist
for the deliverables required at the development phase, which includes items provided by offtaker/host, site walk deliverables, rooftop
inspection findings (as applicable), site and environmental diligence list, CAD details, list of assumptions and customer feedback, and
preliminary CAD layout, and preliminary PVsyst report. Black & Veatch holds the opinion that the development engineering list is in
line with accepted industry practice.
The DSD engineering team works with the finance
team to determine the cost to build for each system to ensure that each project meets the technical and financial criteria. The finance
team will confirm with the engineering team regarding the finalized production estimates prior to contract negotiation with off-takers.
Detailed engineering design commences upon the execution of PPA. DSD adheres to an internal standard design methodology and utilizes DSD’s
standard loss assumptions for each system design, ensuring that the project is capable of meeting the energy production estimates defined
within the PPA.
The DSD engineering team consists two functional
teams, development engineering and project engineering. The development engineering team supports evaluation and bidding of projects until
the projects are awarded. The development engineering team utilizes a standardized, high volume, low overhead structure. The project engineering
team provides design management and oversight to the third-party EPC contractor who is performing engineering or, in the case of DSD acting
as EPC, manages the design process to create the final design and construction documents. When beneficial, DSD employs local or component-specific
expertise as engineering resources for specific portions of the overall design.
Under DSD's typical development process, DSD
completes 30 percent design in-house, and engages third party engineers for the issued-for-permit (IFP) and issued-for-construction (IFC)
design sets. The project engineering team steps in post award and manages the design process through construction and commissioning of
the projects. Once a project is awarded, a resource from the project engineering team is assigned to manage the design process for the
creation of final design and construction
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| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
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documentations. Third party engineering resources
are engaged as appropriate. The project engineering team sets the overall basis of the design and coordinates with third parties to create
the final construction plan to ensure adherence to the project needs and DSD design standards and specifications. DSD's internal design
standards for all projects involve a complete review of site conditions, property boundaries & easements, existing electrical configurations,
site topography and civil/structural considerations as necessary depending on the type of PV system. System size or annual energy production
are typically requested to be maximized in order to lower the total cost per kWh. Helioscope and SunDat iterations are performed initially
to quickly evaluate options, and subsequently a detailed PVSyst report with annual hourly data is generated once the optimal configuration
is derived. Black & Veatch reviewed DSD design requirements and technical specification for the EPC of solar projects, which specify
the design and equipment requirements for the components and systems of the projects, and the industry standards that the systems are
to be designed, constructed, and tested.
The following guidance is used for engagement
of third parties to support different disciplines:
| n | Racking layout and structural engineering is generally provided by selected
equipment providers to ensure compliance with local structural and foundational codes, except for canopies. The structural engineering
for canopies is conducted in-house, with racking system manufactured by steel providers according to DSD specifications. For canopy projects,
the AHJ confirms the applicable code cycles and roof design snow loads, wind speeds and seismic criteria. DSD’s canopy team applies
current IBC code and local codes in structural design of canopies, which is typically based on ASCE 7-16. Site specific wind, snow and
seismic design parameters are extracted from the ASCE database and verified by the local AHJ to ensure compliance to local code design
loads mandate, which is sometimes more stringent. DSD's internal team optimizes the structural design to deliver the optimal system size
and annual energy production based on feasible configurations and develops a bid document with confirmed design criteria for steel fabricators
to propose a canopy structure. The steel vendors optimize the steel member sizing and provide reactions at the base of the canopy columns.
The forces that are imparted to either the ground or the existing concrete garage structure are used to design the foundations or connections.
A site-specific geotechnical report is used for drilled pier and/or spread footing designs including concrete mix, dimensions and rebar
configurations specified for ground canopies because the bearing capacity of the soil must be capable of resisting the forces or reactions
at the base of the canopy columns through the engineered foundation. For garage top canopies projects, no geotechnical investigation is
required because the canopy columns tie to the existing concrete structure via anchor bolts or connection brackets. Connection engineering
and structural adequacy checks using the reactions are used to determine anchor bolt or connection brackets design. In connection brackets,
analysis of the existing structure is performed to confirm there is sufficient capacity in the concrete (sometimes steel) structure to
resist the forces imparted by the addition of the solar canopy. |
| n | Electrical design is generally developed in-house and may include a stamp
from a third party in jurisdictions where DSD does not carry the proper license. The DSD design requirements and technical specification
specify the requirements for combiner box, inverter, medium voltage and pad mounted transformers, panelboard, electrical raceway, grounding,
power and control wiring in accordance with applicable ANSI, NEMA, UL, NEC, NESC, IEEE, and local code, and design baseline of DC to AC
ratio and wiring losses. |
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| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
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| n | Civil engineering for the project sites, particularly for ground-mount and
canopy projects, is provided by a local or regional engineering firm to ensure AHJ compliance with environmental and code requirements
such as grading, set-backs, stormwater management, and landscaping. Oversight for this portion of scope is managed by DSD’s in-house
civil engineering resources. The DSD design requirements and technical specification specify the requirements on general site civil engineering,
including grading and drainage plan, access road construction and other road surfacing, pads for proposed substation and control house
building (as applicable), security fencing, hydrology study and geotechnical reports. DSD follows a low impact development approach related
to stormwater, attempting to maintain existing flow paths and not creating point discharge where possible. Generally, maintaining the
pre-construction peak flow and volume for the post construction scenario using 10-year, 50-year, or 100-year, depending on local AHJ requirements.
The site is revegetated with hearty vegetation that promote infiltration and filters all sediment from any runoff leaving the site. A
full hydrology study is only conducted for larger sites that exceed 1 acre of impervious area, panels are not considered imperious or
where required by the local AHJ. For site partially in a floodplain, DSD refers to FEMA FIRM maps for base flood elevation (BFE). If the
project includes zone A (undefined BFE), DSD works with the local flood plain administrator who will either define the BFE or require
analysis by a civil engineer to determine the BFE. |
| n | Disconnect switches are typically placed as close to the POI as possible.
Weather stations are likewise typically placed as close to the POI as possible. The data acquisition system (DAS), including the weather
station, is preferred to be powered by the power source from the host building or regular distribution grid, so that if there is a solar
plant trip the DAS will still be able to supply information. |
Black & Veatch is of the opinion that DSD
design requirements and technical specifications are in line with accepted industry practice.
DSD selects engineering design contractors based
on the track record and company qualification. The contractors are required to meet the DSD's design requirement and technical specification
for the project and should be capable of meeting all the code and design requirements of the AHJ for each project. DSD has identified
preferred contractors in each jurisdiction that the Projects are located to support the engineering design. Although DSD will also work
with other contractors, these preferred contractors have been previously vetted and have successfully completed previous projects. Details
on the preferred contractors are summarized in the Appendix B.
DSD’s engineering team has a set of standard
deliverables to be completed by each subcontractor. All drawings and reports are required to be approved by DSD in-house personnel. DSD
has a standard scope of work for engineering services, including conceptual design, 90 percent design set, IFP set, IFC set, and as-built
drawings. The scope of work also includes requirements on design parameters. Black & Veatch considers the standard deliverable list
to be in line with accepted industry practice.
Overall, the approach to have an established
in-house engineering team with support from third parties as appropriate allows DSD to integrate engineering with estimating, construction,
and project financing, and improve overall efficiency from project development to O&M and asset management.
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| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
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| 3.1.3 | Procurement and Major Equipment Selection |
DSD’s procurement of equipment is coordinated
among the construction, engineering, and accounting functions of the organization under the direction of the Chief Operation Officer (COO).
The role of the procurement team is to maintain established relationships with module manufactures for forward looking pricing and technology
efficiency and provide such information to internal design and budgeting teams, and engineering team when technical evaluation is required.
The COO also provides direct negotiation support on master supply agreements for modules and inverters. Initial pricing for inverters
for inverter selection is managed by the engineering team. Final procurement of equipment and onboarding is primarily managed by project
managers in the construction team upon receipt of equipment specifications from the engineering team.
DSD procures modules and inverters with manufacturers
directly and procures most racking systems and common balance of plant materials from contracting partners. The contracting partners are
also responsible for site logistics for module and inverter deliveries, as coordinated by the project manager and operations administrators.
DSD selects and approves suppliers of PV equipment,
including PV modules, inverters, trackers, and energy storage systems through an internal selection process. DSD maintains an approved
vendor list based on project experiences and feedback collected. In general, DSD selects module suppliers that are included on Bloomberg
New Energy Finance “Tier 1” manufacturer list. In addition, DSD has preferred warranty terms for each type of major equipment,
as listed in Table 3-1. Any material deviation from the preferred warranty terms requires review by an independent engineer.
Table 3-1 Preferred
Warranty Terms
| Major Equipment |
Preferred Warranty Terms |
| Modules |
10 to 25-year
limited product warranty
25-year limited peak power warranty |
| Inverters |
10 to 12-year limited product warranty (materials and workmanship) |
| Batteries |
10 to 20 years of operation |
| Racking |
20 to 25-year limited product warranty |
DSD also established the following criteria
for major equipment supplier selection:
| n | Proven and consistent record of providing high quality and high efficiency
products to the US market, with very few (if any) warranty claims or start-up issues based on DSD’s direct experience. |
| n | Well established US based support staff for technical support, warranty claims
and logistics. |
| n | Consistent power output and field performance. |
| n | Those with a historically high “say-do” ratio that operate with
integrity in the US market (never cancelled a PO after it was already confirmed, equipment consistently shows up as scheduled, stands
behind their warranty, etc.). |
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| n | Favorable contractual terms and conditions. |
As an operating practice, DSD only selects equipment
vendors that are well-established and well-recognized in the solar PV industry. To be considered for use by DSD, all vendors are required
to have appropriate certifications and quality/warranty track records to be regarded as top-tier manufacturers. It is common in industry
for developers to work with a variety of equipment vendors. This allows them to be able to negotiate for best pricing and also diversify
the technical makeup of an operating Portfolio.
Black & Veatch reviewed the key major equipment
suppliers expected to be utilized in the Portfolio.
Hanwha, a subsidiary of Hanwha Group, is a Fortune
Global 500 Firm and a Top-Ten business enterprise in South Korea. As of 2021, the Hanwha Group has 25 affiliates in North America and
469 global networks within the manufacturing and construction, finance, and services and leisure sectors. Hanwha engages in downstream
development and EPC business, as well as PV module manufacturing. Hanwha is one of the world’s largest solar cell and photovoltaic
manufacturers with total annual module production capacity of 11.3 GW as of May 2020. One of its affiliates, Hanwha Q CELLS has built
a production facility in the US in 2019, with an annual module manufacturing capacity 1.7 GW.
Hanwha offers a 12-year limited product warranty
and a 25-year limited performance warranty for crystalline Q Cells series monofacial modules. The limited product warranty warrants that
the modules will be free from defects in materials and workmanship under normal application, installation, use, and service conditions.
The limited peak power warranty warrants that the power output measured at STC will not be less than 98.0 percent of the nameplate power
output at the end of the first year after the warranty start date and will be no less than 85 percent at the end of the 25th year, with
annual degradation no more than 0.54 percent. In the event of a valid warranty claim, Hanwha will either repair the module(s) or provide
replacement module(s).
JA Solar Technology Co. Ltd. (JA Solar) is a
manufacturer headquartered in Beijing and was incorporated in 2005 for the commercial production of solar cells in China. JA Solar has
been listed on the Shenzhen Stock Exchange since 2019. In 2009, JA Solar expanded its business to silicon wafer and module manufacturing
in addition of solar cell manufacturing. JA Solar has 12 manufacturing and research and development facilities, with a total module manufacturing
capacity of 11 GW, silicon wafer manufacturing capacity of 11.5 GW, and solar cell manufacturing capacity of 16 GW as of 2020. JA Solar
reported a total module shipment of 63 GW as of the fourth quarter of 2020.
JA Solar offers a 12-year limited product warranty
and a 30-year limited peak power warranty for its monocrystalline and polycrystalline modules. The limited product warranty warrants that
the modules will be free from defects in materials and workmanship under normal application, installation, use, and service conditions.
The limited peak power warranty for monocrystalline modules warrants that the power output measured at STC will not be less than 97.0
percent of the nameplate power output at the end of the first year after the warranty start date and will be no less than 82.5 percent
at the end of the 30th year, with annual degradation no more than 0.5 percent. The limited peak power warranty for polycrystalline
modules warrants that the power output measured at STC will not be less than 97.5
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| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
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percent of the nameplate power output at the
end of the first year after the warranty start date and will be no less than 83.0 percent at the end of the 30th year, with
annual degradation no more than 0.5 percent. In the event of a valid warranty claim, Hanwha will either repair the module(s) or provide
replacement module(s).
LG Electronics was established in 1958 in South
Korea and is a large multinational producer of consumer electronics, mobile communications devices and home appliances. LG is a publicly
traded company, listed on the Korea Stock Exchange. The company has reportedly been involved in the research and development of solar
PV technology dating back to 1985. In the mid-2000s, LG Chemical (LG Chem) formed a solar cell research team which formally integrated
with LG in 2008. In 2009, LG constructed multiple PV cell and module ISO 9001 certified factories in Gumi, Korea. Mass production began
in 2010 leading to 400 MW accumulated production supply and sales in 32 countries in 2012. In 2019, LG opened a solar module manufacturing
facility in Huntsville, Alabama, with an annual manufacturing capacity of 550 MW.
LG offers a 12-year limited product warranty
and a 25-year limited peak power warranty, commencing on the date of original purchase for Mono X plus and NeON™ 2 modules. The
limited product warranty warrants that the modules will be free from defects in materials and workmanship under normal application, installation,
use, and service conditions. The limited peak power warranty for Mono X, NeON™ 2 and NeON BiFacial modules warrants that the power
output measured at STC will not be less than 98 percent of the nameplate power output at the end of the first year after the warranty
start date and will be no less than 84.8 percent at the end of the 25th year, with annual degradation no more than 0.55 percent.
The test for underperformance includes a measurement tolerance of 3.0 percent. In the event of a valid warranty claim, LG will either
repair the module(s) or provide additional module(s) and provide shipment to the initial delivery location.
| 3.1.3.1.4 | Astronergy (Chint) |
Astronergy Solar (Astronergy) was established
in 2006 and is headquartered in Zhejiang, China. The company is a part of the Chint Group, which was founded in 1984 in Wenzhou, China.
The Chint Group currently employs over 25,000 global employees and has reported a revenue of $5.10 billion in 2020. The subsidiary is
engaged in the PV power station development and PV module production. Astronergy reports an annual production capacity of approximately
8 GW, with projects developed in Thailand, Spain, the United States, India, Bulgaria, Romania, South Africa, and Japan. The company’s
primary manufacturing facilities are located in China, Thailand, Malaysia, and Germany.
Astronergy offers a 10-year limited product
warranty and a 25-year limited peak power warranty, commencing on the date of delivery of the modules. The limited product warranty warrants
that the modules will be free from defects in materials and workmanship under normal application, installation, use, and service conditions.
The limited peak power warranty for the modules warrants that the power output measured at STC will not be less than 97.5 percent of the
nameplate power output at the end of the first year after the warranty start date and will be no less than 83.0 percent at the end of
the 25th year, with annual degradation no more than 0.7 percent. In the event of a valid warranty claim, Astronergy will either repair
the module(s) or provide additional module(s) and provide shipment to the initial delivery location.
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ZNShine Solar (ZNShine) (NEEQ Stock Code: 838463)
was founded in 1998 and is currently headquartered in Jin Tan, Jiangsu, China. ZNShine is a solar solution manufacturer and also provides
EPC services and works on projects development and operation. ZNShine currently has projects in Japan, India, Germany, Italy, Switzerland,
the UK, the USA, Canada, Chile, Australia, and Africa.
ZNShine reported an annual PV production of
6 GW in 2021. As of 2021, ZNShine employs over 1,200 employees worldwide.
ZNShine solar modules are backed by a 12-year
product workmanship and 25-year linear power output warranty. Warranty start date occurs when the module is delivered to the buyer. ZNShine
warrants that modules will be free from defects in material and workmanship. The warranty covers mechanical and electrical integrity and
stability according to approved operation methods and provided there are no localized impacts or external forces. If there are any warranty
claims, ZNShine can opt to either repair or replace faulty modules or provide a refund at residual market value of the equipment. For
output warranty, with polycrystalline modules, first year loss is 2.5 percent and subsequent years are 0.7 percent through the twenty-fifth
year for a nominal output value of 80.7 percent at the end of the power output warranty period.
LONGi Solar (LONGi) is a wholly-owned subsidiary
of LONGi Green Energy Technology Co., Ltd (LONGi Green Energy), the largest supplier of mono-crystalline silicon wafers in the world for
utility, commercial, and residential systems. LONGi was founded in 2000 and is headquartered in Xi’an, Shanxi, China, with US headquarters
in San Jose, California. LONGi operates globally with branches in Japan, Europe, North America, India, Malaysia, Australia, and Africa.
The company is a pure-play manufacturer of mono-crystalline solar cells and modules. Production of mono-crystalline silicon is completed
at several locations in China and Malaysia by LONGi Silicon, a wholly-owned subsidiary of LONGi Green Energy.
As of the first quarter of 2021, LONGi reported
a module shipment of 24.5 GW annually and a module capacity of 50 GW. In 2020, LONGi’s annual revenue was reported at $8.41 billion.
LONGi reported total assets exceeding $14.2 billion through Q1 2021.
The product warranty has a 10-year term, commencing
on the date of purchase by the original end use purchaser or six months after the modules are shipped out of the production plant. The
limited product warranty warrants that the modules will be free from defects in materials and workmanship under normal application, installation,
use, and service conditions. In the event of a valid product warranty claim, LONGi will, at its sole option, repair or replace the module(s).
LONGi Solar also offers a twenty-five-year linear
performance warranty, warranting the power output measured at STC will not be less than 97.0 percent of the labeled power output at the
end of the first year after the warranty start date; thereafter 0.7 percent per year degradation; and will be no less than 80.2 percent
at the end of the twenty-fifth year.
Trina Solar Co. Ltd. (Trina Solar) is headquartered
in Changzhou, Jiangsu Province, China, and was founded in 1997 for the manufacturing, selling, research, and development of PV products,
EPC, O&M, smart
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micro-grid, multi-energy complementary systems,
and energy cloud-platform operations. Trina Solar has been listed on the STAR Market of the Shanghai Stock Exchange since June 2020. In
the last quarter of 2021, the company reported total revenue of 13.23 billion CNY and net income of 719.96 million CNY. As of December
31, 2020, its total assets were worth $6.99 billion.
As of June 30, 2021, Trina Solar delivered more
than 80GW of solar modules worldwide and ranked on the list of "Top 500 Private Enterprises in China”. Trina Solar has connected
over 5.5GW of solar power plants to the grid worldwide. The company has over 19,000 employees and provides services to over 100 customers
globally, with regional headquarters in Singapore, Tokyo, Zurich, Dubai, Fremont, and Miami, global sales and office centers in Spain,
Mexico, Chile, Italy, Germany, Australia, United Arab Emirates, France, Columbia, Brazil, India and production bases in Vietnam and Thailand.
Trina Solar offers a 10-year limited product
warranty and a 25-year limited peak power warranty for its polycrystalline and monocrystalline modules. The limited product warranty warrants
that the modules will be free from defects in design, material, workmanship, or manufacture that materially impedes the functioning of
the module(s) and that the module(s) will conform to the specifications and the drawings applicable. The limited peak power warranty for
polycrystalline modules warrants that the power output measured at STC will not be less than 97.5 percent of the nameplate power output
at the end of the first year after the warranty start date and will be no less than 80.7 percent at the end of the 25th year,
with annual degradation no more than 0.7 percent. The limited peak power warranty for monocrystalline modules warrants that the power
output measured at STC will not be less than 97.0 percent of the nameplate power output at the end of the first year after the warranty
start date and will be no less than 80.68 percent at the end of the 25th year, with annual degradation no more than 0.68 percent.
In the event of a valid warranty claim, Trina Solar will either refund the salvage value of the module(s), repair the module(s), or provide
replacement module(s).
Headquartered in Tokyo, Japan, VSUN Solar is
an affiliate with FUJI Solar Co., Ltd. VSUN Solar is a solar solution provider, with research and development base in Tokyo, sales offices
in the US. Germany, China and production bases for solar modules located in Bac Giang province in Vietnam and Zhengjiang province in China.
VSUN Solar reported an annual production of 2.1 GW in 2020.
VSUN solar modules are backed by a 10 year product
workmanship and 25 year linear power output warranty.
VSUN solar offers a 12-year limited product
warranty, a 25-year limited performance warranty for monofacial modules, and a 30-year limited performance warranty for bifacial modules.
Full warranty terms were not available for review.
SMA Solar Technology AG (SMA) is a Rocklin,
California, based subsidiary of SMA Solar Technology AG, an international solar inverter manufacturer founded in 1981 with headquarters
in Niestetal, Germany with manufacturing facilities in Germany, Denver, Colorado, and Ontario, Canada. SMA designs, produces, and distributes
inverters and photovoltaic system components for grid-tied and off-grid photovoltaic
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applications. The company offers inverters ranging
from residential size to utility scale projects, and reports over 100 GW installed capacity worldwide.
SMA offers a 10-year limited product warranty
covering inverter installations in the United States and Canada. SMA, will either repair, replace the defective product, or refund actual
cash value. Any repaired or replaced product will be warranted for defect-free in materials and workmanship for the remainder of original
unit warranty period. The limited product warranty is exclusive of damage due to shipping, improper installation, rust, or corrosion.
SolarEdge Technologies Inc. (SolarEdge), established
in 2006 with headquarters in California, provides solar PV inverters, power optimizers, electronic vehicle charging, and other energy
management and power supply solutions. Solar Edge has over 2,000 employees globally.
SolarEdge has been listed on NASDAQ since 2015.
In 2020, SolarEdge reported a total revenue of $1.46 billion and an annual shipment of 6.1 GW of inverters. SolarEdge reportedly has over
2 million inverters and over 55 million power optimizers shipped worldwide since 2010.
SolarEdge offers a 12-year limited product warranty covering
materials and workmanship which begins four months after the shipment date or the installation date, whichever is earlier. SolarEdge,
at its sole option, will repair or replace the defective product. Any repaired or replaced product will be warranted for defect-free in
materials and workmanship for the remainder of original unit warranty period. The limited product warranty is exclusive of damage due
to improper installation, misuse, or shipping.
Founded in 1997 and headquartered in Heifei,
China, Sungrow Power Supply Co., Ltd (Sungrow) is a provider of power supply equipment for solar PV and wind projects, including grid-connected
inverters, power converters and distributed power supply. Sungrow has offices located in multiple locations in Europe, North America,
and Australia. Sungrow has been listed on the Shenzhen Stock Exchange since 2011 and currently has more than one thousand employees.
As of December 2020, Sungrow reported over 154
GW of inverters installed in over 154 countries. Sungrow reported an annual installed capacity of 5 GW in the US. Sungrow has a global
annual production capacity of 90 GW.
Sungrow offers a 10-year limited product warranty
for string inverters. Sungrow, will either repair or replace the defective product, at the discretion of the manufacturer. Sungrow and
end-user will mutually agree upon the conduct of tests to determine if a product is defective. The limited product warranty is exclusive
of damage due to shipping, improper installation, improper use, neglect, unauthorized alterations, acts of nature, or voltage surges coming
from PV array DC side or from grid AC side.
| 3.1.3.2.4 | Chint Power Systems Americas |
CPS Americas is a part of the Chint Group, founded
in 1984 in the city of Wenzhou, China. CPS Americas provides string inverters, combiner boxes, energy storage, and communications equipment
to the solar PV industry. CPS Americas has shipped over 2 GW of power conversion equipment to the North American market.
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CPS Americas offers a five-year limited product
warranty covering materials and workmanship which begins one month after the shipment date or the installation date, whichever comes first.
CPS Americas, at its sole option, will repair or replace the defective product. Any repaired or replaced product will be warranted for
defect-free in materials and workmanship for the remainder of original unit warranty period. The limited product warranty is exclusive
of damage due to shipping, improper installation, rust, or corrosion.
Fimer S.p.A. (Fimer) was founded in 1942 and
is headquartered in Vimercate, Monza e Brianza, Italy. The company specializes in solar inverters and mobility systems for residential,
commercial and industrial, and utility scale applications. In 2020, Fimer acquired the ABB solar inverter business, including two manufacturing
plants, in Italy and in India, and a R&D facility in Finland. In 2021, Fimer employs over 1,100 professionals across 20+ countries
worldwide. Fimer reports to have over 12 global repairs centers, 3 production sites, and 3 R&D centers.
In 2021, Fimer reported to have an annual capacity
of over 12 GW per year in string inverters, central inverters, and storage solutions. The company also has approximately 55 GW of installed
capacity across 5 continents.
Fimer provides a warranty for 5 years from the
date of purchase plus six months from the date of equipment shipment. An extended warranty of an additional 5 years can be purchased for
the Fimer inverters. Under the terms of the warranty, Delta may elect to repair or replacement the faulty equipment, at the discretion
of the manufacturer. Normal wear and tear are not considered a product defect. The warranty is exclusive of problems arising from packaging
or delivery, customer alterations or modifications, improper operations, consumable components such as fuses causing issues, or if the
equipment has been in storage for more than one year after delivery.
| 3.1.3.2.6 | Yaskawa Solectria |
Solectria Renewables, LLC was established in
January 2005 to manufacture and design three-phase central PV inverters, and was acquired by Yaskawa America, Inc. in 2014. Currently,
as a commercial PV inverter supplier, Yaskawa Solectria Solar (Solectria), headquartered in Lawrence, Massachusetts, manufactures 3.8
kW to 750 kW PV inverters, string combiners and web-based monitoring for a range of sizes of solar systems. Solectria is backed by over
100 years of power electronics and inverter experience at 360 Merrimack Street, Lawrence, Massachusetts. As of 2016, Solectria was valued
at US$ 4 billion, with 22 manufacturing locations worldwide and over 23 million inverters installed globally, with its cumulative installations
of PV inverters exceeding 3 GW.
Solectria offers a 10-year limited product warranty
covering materials and workmanship which begins four months after the shipment date or the installation date, whichever is earlier. Solectria,
at its sole option, will repair or replace the defective product. Any repaired or replaced product will be warranted for defect-free in
materials and workmanship for the remainder of original unit warranty period. The limited product warranty is exclusive of damage due
to improper installation, misuse, or shipping.
| 3.1.3.2.7 | Power Electronics |
Power Electronics is headquartered in Valenica,
Spain, and was founded in 1987. It is a major manufacturer of solar inverters in America, Europe, and Oceania and generates a revenue
of about $1
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billion. It has over 3000 employees and serves
more than 50 countries. The company produces utility-scale solar inverters that it has provided over 10,000 solar inverters to over 1,166
solar projects, resulting in over 50 GW of installed AC power and over 30 GW of annual production capacity.
Power Electronics provides a warranty that their
products are free from defects and faults for 3 years from the date of delivery to the buyer, meaning that the product remains in compliance
regarding its condition and performance with respect to its specification. Under the terms of the warranty, Power Electronics may elect
to repair or replace the faulty or defective product(s) at their discretion as well as cover associated logistical costs. The warranty
excludes external parts manufactured by third parties as well as components that must be replaced periodically such as Fuses+DC switch,
lamps & air filters, or consumable materials subject to normal wear and tear. Under the terms of the warranty, the seller does not
repair or replace product(s) whose defects arise from the following: improper use, failure to observe seller's instructions regarding
transport, installation, functioning, maintenance, and storage, third-party repairs without prior authorization, negligence during implementations
of authorized repairs, illegible or modified serial numbers, anomalies from elements coupled by the buyer, accidents that place the product
outside its storage and operational specification, and continued use after fault or defect identification.
Delta is a part of the Delta Electronics Inc.,
a provider for power and thermal management solutions founded in 1971 in Taiwan. Delta provides solar string inverters ranging from 3
kW to 80 kW and energy storage devices for residential, commercial, industrial and utility applications.
Delta provides a warranty for 10 years plus
six months from the date of equipment delivery. Under the terms of the warranty, Delta may elect to repair or replacement the faulty equipment,
at the discretion of the manufacturer. Normal wear and tear are not considered a product defect. The warranty is exclusive of problems
arising from packaging or delivery, customer alterations or modifications, improper operations, consumable components such as fuses causing
issues, or if the equipment has been in storage for more than one year after delivery.
| 3.1.3.2.9 | Yaskawa Solectria |
Solectria Renewables, LLC was established in
January 2005 to manufacture and design three-phase central PV inverters, and was acquired by Yaskawa America, Inc. in 2014. Currently,
as a commercial PV inverter supplier, Yaskawa Solectria Solar (Solectria), headquartered in Lawrence, Massachusetts, manufactures 3.8
kW to 750 kW PV inverters, string combiners and web-based monitoring for a range of sizes of solar systems. Solectria is backed by over
100 years of power electronics and inverter experience at 360 Merrimack Street, Lawrence, Massachusetts. As of 2016, Solectria was valued
at US$ 4 billion, with 22 manufacturing locations worldwide and over 23 million inverters installed globally, with its cumulative installations
of PV inverters exceeding 3 GW.
Solectria offers a 10-year limited product warranty
covering materials and workmanship which begins four months after the shipment date or the installation date, whichever is earlier. Solectria,
at its sole option, will repair or replace the defective product. Any repaired or replaced product will be warranted for defect-free in
materials and workmanship for the remainder of original unit warranty period. The limited product warranty is exclusive of damage due
to improper installation, misuse, or shipping.
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RBI is a subsidiary of Rough Brothers, Inc.,
an Ohio-based company founded in 1932 and specializing in the design, manufacture, and construction of greenhouses. RBI is headquartered
in Cincinnati, Ohio, and has multiple manufacturing facilities including Ohio, North Carolina, California and Shanghai. The RBI manufacturing
facility has capability of fabricating 800 MW of solar mounting structures annually.
RBI provides ground mount, roof mount, landfill,
and carport mounting structures. RBI has installed multiple commercial scale and rooftop projects in the U.S. ranging from 23.5 kW to
235 MW. RBI has provided turn-key racking system engineering, manufacturing, and construction services in the United States since 2009
and has installed over 4GW of racking structures globally.
RBI typically provides a 20-year structural
warranty from date of delivery of its racking system.
CBC is a material building manufacturers based
in Lathrop, California. CBC has started manufacturing custom metal buildings from 1984. In 2007, CBC was acquired by Nucor Corporation,
the largest steel producer in the United States. CBC provides building solutions for a variety of applications including commercial, industrial,
agricultural, manufacturing, educational, hangars, institutional, and recreational. CBC is a Metal Building Manufacturers Association
(MBMA) approved full production manufacturing plant.
CBC reportedly has achieved IAS accreditation
criteria for structural steel AC742, Canadian Standards Association CSA A660 (Certification of Manufacturers of Steel Building Systems)
and CSA W47.1 (Fusion Welding of Steel Company Certification) certifications.
PanelClaw is a flat roof racking provider based
in North Andover, Massachusetts, established in 2008. PanelClaw has launched eight flat roof products in the past eight years to gradually
lower the life-cycle-cost of the system.
PanelClaw reportedly has deployed racking systems
on over 10,000 projects, with a total capacity of 1.75 GW in more than 35 counties globally. Projects range from 5 kW to 20 MW on a single
roof.
FTC is a single-axis tracker supplier, which
also provides project development, construction management services, engineering services for solar installations, featuring software
and engineering solution. FTC reportedly has deployed trackers on over 1 GW of operating assets since 2010.
Black & Veatch believes that FTC has a good
reliability track record and is not aware of anything that would cast doubt on the financial outlook of FTC.
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| 3.1.3.4 | Energy Storage Systems |
Tesla is a company that specializes in electric
vehicles, solar power, and battery energy storage. Tesla is based in Palo Alto, California and is one the largest manufacturers of batteries
in the world. The company offers energy storage solutions for residential-, commercial-, and utility-scale applications. Its Powerpack
system is a fully-integrated AC-connected storage solution. The Powerpack system integrates with solar generation to optimize generation
by storing shaved energy to time shifting load, as well as providing ancillary services.
Tesla provides a limited warranty that its systems
will be free from defects in design, workmanship, and materials. As part of the warranty the minimum energy retention percentage after
10 years will be 80.0 percent, unless aggregate discharge throughput exceeds 3,104 kWh per kWh of nameplate energy rating prior to 10
years. Tesla may elect to repair or replace warranted equipment. The warranty does not cover normal wear-and-tear, vibration that does
not impact performance, damage during shipping, systems operated outside of specifications, improper commissioning or repairs, neglect,
or vandalism.
Black & Veatch notes that all of the Panther
Portfolio BESS implementations will be AC-coupled with solar inverters separate from the inverter integrated with Tesla Megapacks. This
decision was based on DSD’s use case and storage sizing analyses for projects, which tended to favor the AC-coupled Tesla Megapack
option.
Table 3-2 and Table 3-3 summarize some
of the key technical design specifications of the Tesla Megapack equipment. No derates are needed from the BESS equipment to meet system
design and electrical requirements.
Table 3-2 Tesla
Megapack Technical Specifications
| PARAMETER |
2-hour module |
| AC Output Power (kWp) |
1,341.0 |
| AC Power (kVA) |
1,358.5 |
| AC Minimum Initial Energy (kWh) |
2,682.0 |
| AC Power Increments at 400 / 480 / 505 V (kVA) |
59.5 / 71.5 / 75.2 |
| Maximum Apparent Power @ 480 / 505 V AC (kVA) |
1,573.0 / 1,654.9 |
| Minimum Energy Rating with 6 Modules (kWh) |
1,072.8 |
| Roundtrip Efficiency (BOL) at 1,341 kWp |
STC: 87.0%
TAMBHOT: 85.5%
TAMBCOLD: 87.5% |
| Minimum Roundtrip Efficiency (non-CMA) over 10 years at 1,341 kWp |
STC: 81.0%
TAMBHOT: 80.0%
TAMBCOLD: 82.0% |
| Aux Load for Site Controller (kWh) at 1,341 kWp |
0.5 kWh |
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Table 3-3 Tesla
Megpack Inverter Specification
| PARAMETER |
400 V AC |
440 V AC |
480 V aC |
505 V AC |
| Rated Output Power (per Powerstage) |
59.5 kVA |
65.5 kVA |
71.5 kVA |
75.2 kVA |
| Overload Capability |
120% of rated current (10 sec max) |
| Output Voltage Range (SS) |
360-555 V AC |
| Frequency Range |
45 – 65 Hz |
| System Configuration |
3-wire, Wye
Note: Grounded wye required at secondary |
| Max Continuous Current |
86 A per Powerstage |
| Peak Efficiency |
> 98.9% |
| Full Load Efficiency |
98.5% |
| CEC Weighted Efficiency |
98.84% |
| Power Factor at Full Load |
> 99% |
| Adjustable Power Factor |
-1 to +1 |
| Maximum Short Circuit Current |
85 kAIC |
Additionally, the Tesla Megapack has obtained
key certifications that include applicable fire safety requirements. For permitting, compliance with AHJ and local fire codes is mandatory
for local jurisdictional construction approvals. With the pertinent certifications and granted government permits, Black & Veatch
is of the opinion that safety design for BESS installations is consistent with industry standards.
Table 3-4 specifies the regulatory compliance
for the Tesla Megapack.
Table 3-4 Tesla
Megapack Regulatory Summary
| PARAMETER |
Certification |
| Lithium-ion Cells |
NRTL listed to UL 1642 |
| System |
NRTL listed to UL 1973, UL 9540, UL 9540A, UL 1741 SA, IEC 62619, IEEE
1547
Compliant to grid codes and safety standards of all major markets |
In 2014, Samsung and Sungrow developed a jointly-developed
commercial energy storage system. The system includes lithium-ion batteries from Samsung combined with bi-directional inverters from Sungrow
in a single integrated container. The system comes with a standard warranty of 6 years, with extensions up to 13 years available. Samsung,
headquartered in Suwon South Korea, is one of the top three largest lithium battery suppliers in the world. Samsung/Sungrow battery energy
storage systems come with a
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performance guarantee that depends on the number
of cycles and aggregate through-put. The higher the through-put recorded, the lower the guaranteed energy available at a given year, through
20 years of operation. Battery systems must be operated within stipulated operating conditions for the guarantee to be valid. For warranty
claims, Samsung/Sungrow may elect to replace equipment, add capacity beyond the original capacity, or provide a cash payment.
DSD indicated that 10 to 15 years ESS warranties
are in envisioned for all Mohawk Projects equipped with ESS based on the warranties available at reasonable pricing from OEMs. For the
one project using Samsung/Sungrow in the Mohawk Portfolio, DSD has purchased an extended warranty to 10 years, consistent with requirements
for the NYSERDA incentive. Extending to a 20-year warranty is a major expense due at year 0, which is significantly less cost effective
than planning to replace/augment the ESS in the middle of the project term. All other projects equipped with ESS will be using Tesla hardware
with a 10 to 15 years warranty.
Black & Veatch is of the opinion that the
major equipment suppliers listed for potential use in the Portfolio appear to have demonstrated proven equipment supply track records
for other solar PV projects or energy storage systems.
Installation of the solar PV, BESS, and balance
of systems are performed with oversight by DSD. DSD partners with subcontractors for direct labor and equipment at each site through the
construction phase. DSD may subcontract a complete scope of work to a third-party subcontractor via a construction services agreement,
under which the subcontractor will perform the work as described in a specific work order. The third-party subcontractor with the construction
services agreement then typically works with local or regional electrical, mechanical, and/or structural subcontractors to execute the
scope of work. Alternatively, DSD may maintain the prime contractor role and subcontract directly with multiple parties (electrical, mechanical,
and/or structural subcontractors) to execute projects.
Scope of construction may vary depending on
the size and configuration of each project, however the responsibility of the EPC contractor typically includes the installation of system
components up to the point of interconnection.
DSD utilizes a qualification form to select
qualified subcontractors based on relevant experience in PV installations, quantity and qualifications of staff, company ownership, financial
standing, and company operation overview. DSD has also selected preferred regional partners leveraging its previous project experience.
Details on the preferred contractors are summarized in the Appendix A.
The project manager will issue an onboarding
package with all documentation required by DSD. After the completion of required documentation by the subcontractor(s), a master construction
services agreement will be executed with approval from the head of construction and the CEO of DSD. New subcontractor information will
be stored in the onboarded subcontractor folder. The subcontractor will be onboarded upon the completion of all required information and
receipt of all necessary approvals. DSD is primarily responsible for construction management, quality assurance and quality control during
the construction process, and supervision of commissioning and installation activities.
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For rooftop installations that require roof
penetrations, DSD makes sure that such work is performed by contractors approved by the roofing manufacturer to maintain existing warranties
to the roofing structures.
For most energy storage systems DSD deploys,
all electrical components within each system (including for the Tesla Megapack) come pre-installed. For the other products DSD chooses
to use, if electrical assembly/integration happens on-site, within the energy storage system, that would be the responsibility of either
the ESS Partner (Stem), or the energy storage OEM.
For electrically integrating the energy storage
system into the broader solar + storage project, that scope is the responsibility of a given site’s construction contractors. Once
that has been completed mechanically, and basic electrical connectivity is confirmed and documented (typically via energy storage commissioning
protocols and checklists) it is then the responsibility of the ESS partner or the energy storage OEM, to test and commission the energy
storage product.
Under the standard EPC form, commissioning and
testing items (with the exception of performance testing) are required at Substantial Completion. These tests include the following items:
| · | Megger test DC & AC circuits |
| · | DC string polarity check |
| · | Grounding continuity and resistance test |
| · | Ground fault – current injection testing |
| · | Electrical equipment torque |
| · | HiPot or VLF testing for MV circuits |
| · | DAS commissioning including weather station |
| · | Relay MV testing and programming |
| · | Energy storage system commissioning |
Performance testing is not required to be completed
until June 30, 2023 (or before). This time buffer is provided noting that weather conditions during the anticipated commissioning periods
for many sites in
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the Portfolio may make performance testing difficult
to complete until a milder season. Hence, performance testing is not required for Portfolio sites to declare substantial completion.
| 3.1.4.1 | Contractor Vetting Process |
DSD has established a process to qualify and
vet potential contractors for any of its development sites. In general, DSD works with contractors with whom they have already successfully
completed projects and also seeks referrals from stakeholders.
Prior to any engagement, potential contractors
must fill out a technical pre-qualification form for DSD review. The form is designed to collect pertinent information about the company,
such as number of employees, year the company was started, specific trades and geographies of specialization, license information, ownership
information, references on recent projects, financial capabilities, and bonding capabilities.
After receiving a pre-qualification form, DSD
reviews the information to ensure that the following metrics are achieved before qualifying potential contractors:
| n | Contractor must have completed at least three previous solar PV projects. |
| n | The expectation for size of completed projects is at least multiple sites
of more than 500 kW, aggregating to at least 3 MW in total. |
| n | Contractors need to self-perform their work with at least 50 percent of workers
being direct employees of the contractor company. |
| n | Size of contractor company needs to be greater than 10 people. |
| n | Each contractor needs to have at least two verified positive references, with
specific verifications on previous projects being on schedule, with appropriate quality, and with reasonable change orders. |
DSD also requires all potential contractors
to complete an Environmental, Health, and Safety (EHS) questionnaire. As part of this questionnaire, potential subcontractors must provide
information related to areas such as legal entity establishment, safety record and statistics, workers’ compensation coverage, liability
insurance, government agency violations, work procedures & policies. As part of reviewing EHS questionnaires, DSD performs a review
of safety performance statistics and infraction records for the previous three years.
For EHS requirements, DSD will first ensure
that potential contractors meet the following stipulations:
| n | Contractors must have an active and acceptable EHS policy in place. |
| n | Contractors must have an active and acceptable EHS training program and policy
in place. |
| n | Contractors must have had a safety record that is free of fatalities over
the past three years. |
| n | Contractors must demonstrate full insurance coverage in line with the requirements
set forth in any given site construction contract. |
DSD reviews technical prequalification and EHS
forms to ensure that contractors are technically qualified and have acceptable track records. After a contractor is approved but before
assigning them to a project,
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DSD provides an onboarding package that stipulates
requirements and expectations for working with DSD. This includes executing a Master Services Agreement and Non-Disclosure Agreement,
approving the individual project manager and collecting subcontractor information.
Following a project, DSD personnel fill out
an evaluation form to rate contractor performance. Contractors are rated on areas such as quality, schedule, safety, change orders, and
overall relationship. DSD maintains a database of vetted contractors and ratings to help identify opportunities for future projects.
Related to energy storage applications, DSD
views projects with both solar and energy storage scopes as a single system. Therefore, DSD selects construction contractors for different
trades that have demonstrated experience and competence in deploying both types of assets. For the Portfolio, all of the projects with
energy storage components are anticipated to be located in California and will use Tesla Megapacks, (which come with some of the most
comprehensive documentation, and simplest scope, on how to complete construction successfully compared to other OEMs), and solar canopies.
As Tesla products represent more than 50 percent of the large-scale energy storage products deployed in California, DSD has noted that
the construction contractors with strongest credentials for solar canopy construction evaluation criteria and general metrics (including
consideration such as experience, references, cost, schedules, terms & conditions, etc.), also proved highly competent to deploy Tesla
Megapack products.
Overall, Black & Veatch is of the opinion
that the contractor vetting process is in-line with similar processes in the industry and is a reasonable approach for the Portfolio.
| 3.1.4.2 | Commissioning and Testing |
DSD has specifications for system commissioning
process and equipment testing of PV system. The commissioning specification includes standard documentations and checklists, safety requirements,
commissioning scope, QA/QC, timeline for commissioning activities, and testing requirements. Commissioning and testing activities include
the following:
| n | DC string and DC combiner polarity, fuse continuity and Voc testing; |
| n | Ground resistance and continuity; |
| n | Ground fault-current injection; |
| n | Electrical and mechanical torque testing; |
| n | Relay trip settings and testing; |
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| n | Metering & CT/PT commissioning; |
| n | Performance testing, including capacity test per ASTM E2848-13; |
| n | Review and approval of all testing and inspection documentations; and |
| n | DAS web portal configuration. |
The equipment testing specification includes
the equipment testing scope, testing procedures, testing forms and reports.
ESS commissioning is the obligation of DSD’s
storage partners, or their subcontractors. DSD’s storage partners, or their subcontractors manage the specifics of commissioning
procedures, and DSD oversees the process to ensure that the schedule and other contractual obligations are met.
Black & Veatch is of the opinion that the
commissioning and performance testing requirements are in line with accepted industry practice.
| 3.2 | Quality Assurance and Quality Control |
DSD has a QA/QC program in place that is used
to ensure all solar PV sites are constructed, commissioned, and tested properly. The program outlines tasks to be performed by the QA/QC
department and the responsibilities of other departments in the QA/QC processes. The processes are used to measure and assure the quality
of the construction and design of all projects managed by DSD’s operations group.
The QA/QC program includes comprehensive inspection
checklists and testing requirements for different types of projects prior to installation of systems. Subcontractors are required to report
and check the quality of their work using DSD provided documentation through the Procore platform. DSD will perform audits of the subcontractors
self-reporting. Subcontractors do have the option to submit their own QA/QC process to the DSD QA/QC department and DSD project manager
for review and approval. If the subcontractor processes are deemed sufficient, they may be used, with the understanding that the DSD QAQC
program will be utilized as a minimum requirement.
Subcontractors must also provide installation
photographs to go along with DSD’s inspection template. Photographs required include pre-construction, civil, mechanical, structural,
electrical and major equipment. The checklist depicts the exact contents that DSD is looking for each category.
Material management is designated to an onsite
representative who is responsible for the onsite material management. The representative reports any damaged, lost or stolen material
and material inventory. The subcontractors can submit their own material management program for review and approval by the DSD QA/QC department
and DSD project manager.
The field inspections are performed by the Project
Manager, the QA/QC Manager and the Project Engineer. The QA/QC department produces a quality control deficiency report from the site visit
that will be distributed to the project team for review and remediation. The Construction Manager is responsible for managing the subcontractors
to close any relevant deficiency items. Feedback is highly encouraged from the subcontractors and DSD employees to continually improve
the processes in place.
Overall, Black & Veatch believes that the
quality assurance program is comprehensive and should be able to ensure the project quality if appropriately implemented.
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| 4.0 | Operating Performance of Operational Projects |
| 4.1 | Assessment Methodology |
Black & Veatch was provided with historical
production data for 55 Projects within the Portfolio in order to assess historical operations and opine on the go-ahead production assumptions.
Black & Veatch was provided the following
data for each of the Projects assessed:
| 1. | Monthly expected production data from pre-construction production estimates |
| 2. | Monthly actual production as reported for the sites from project’s COD through April 2022. Black
& Veatch utilized data for period of 2021 to perform weather adjusted operational assessment. |
| 3. | Monthly actual availability for each of the projects. |
Black & Veatch reviewed actual historical
production and availability data as provided by DSD, as discussed in Section 4.2. Error! Reference source not found. This review
was aimed at understanding how production has been on an absolute basis and what level of availability has been achieved by the projects.
Next, Black & Veatch reviewed the latest full year of operational data (2021). For this full year of operation, Black & Veatch
adjusted the actual reported production to account for project unavailability on a monthly basis. The adjusted production was then compared
to the expected production in order to understand the relative performance of the Projects during 2021.
| 4.2 | Availability and Irradiance Adjusted Historical Production |
Historical production and availability data
were analyzed from January 2021 through December 2021 (Assessment Period), given that this was the most recent full year of operations
where most of the Projects were operational for the full period.
For each of the 55 Projects and across each
month in the Assessment Period, Black & Veatch reviewed the ratio of monthly actual production versus the monthly expected energy
production adjusted for degradation (raw production ratio).
The raw production ratio was next adjusted for
irradiance variations in order to gross up actual production to that which would be expected under long-term average solar resource conditions.
In order to account for the irradiance variations across the assessment period, Black & Veatch reviewed the irradiance at each Project’s
location for the purpose of assessing how sunny the full year was compared to the historical average for each Project’s location.
Error! Reference source not found. includes the Projects overlaid on a map showing irradiance anomalies compared to the long-term
average for June of 2020, as an example.
| BLACK & VEATCH | Operating Performance of Operational Projects |
4-21 |
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Figure 4-1 Irradiance
Anomalies Compared to Long-Term Average for June 2020
For operational projects, the expected energy
estimates can be validated against the actual energy. However, in any particular year, the solar resource is expected to deviate from
its long-term mean, thereby accounting for some of the difference seen between actual energy and expected energy. Using geographic information
system (GIS) spatial analysis, Black & Veatch obtained the irradiance anomaly for each system in the Portfolio. These irradiance anomalies
were then applied to remove the bias and produce an adjusted production estimate based on the actual system performance. The irradiance
anomalies were derived from Modern-Era Retrospective analysis for Research and Applications, version 2 (MERRA-2) global horizontal irradiance
(GHI) anomaly maps provided by 3Tier on a monthly basis. The irradiance anomaly for a particular month and location is equal to the actual
GHI during that month (e.g. GHI in January 2020) divided by the long-term average GHI during that calendar month (e.g. average GHI in
January).
In order to estimate the irradiance-adjusted
production ratios, the expected energy must be adjusted to account for the solar resource observed in a given year. The irradiance-adjusted
production ratios, which are a ratio of the raw production ratio and irradiance anomaly, were calculated for each Project on a monthly
basis. Regions with higher-than-normal long-term average of irradiance over the one-year period had negative correction factors to account
for the anomaly. Similarly, regions with lower-than-normal long-term average of irradiance over the one-year period had positive correction
factors to account for the anomaly.
Figure 4-2 illustrates the seasonality of annual
generation expected for different states.
| BLACK & VEATCH | Operating Performance of Operational Projects |
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Figure
4-2 Seasonality Curve
The result of the analysis is an availability
and irradiance adjusted view of historical operations for all the 55 Projects. This adjusted monthly energy for each project obtained
was aggregated for projects located for each state and a production ratio was obtained for each state.
Black & Veatch would expect this to be highly
indicative of future Project performance. Table 4-1 outlines Black & Veatch’s expected production for the 10 states with
at least a full year of operating data available.
Table 4-1 Black
& Veatch’s Weather Adjusted Expected Production (2021)
| State |
Expected
PRODUCTION
[Mwh] |
weather adjusted expected production [MWH] |
PERCENT
CHANGE
[%] |
| CA |
15,880,705 |
15,944,612 |
100.4% |
| CT |
1,832,550 |
1,798,450 |
98.1% |
| HI |
1,156,867 |
1,173,424 |
101.4% |
| MA |
4,679,161 |
4,625,341 |
98.8% |
| NJ |
6,695,348 |
6,490,667 |
96.9% |
| NY |
26,967,362 |
26,461,529 |
98.1% |
| Portfolio |
57,211,993 |
56,494,022 |
98.7% |
Black & Veatch has listed weather adjusted annual P50 energy
estimates for each project in Appendix A:Table 6-4.
The change in production ratio, defined as the ratio of measured
energy adjusted for availability to expected energy adjusted for weather and availability is shown in Table 4-2.
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Table 4-2 Black
& Veatch’s Weather Adjusted Production Ratios
| State |
ORIGINAL PRODUCTION RATIO [%] |
WEATHER ADJUSTED PRODUCTION RATIO [%] |
PERCENT
CHANGE
[%] |
| CA |
93.1% |
92.7% |
0.4% |
| CT |
94.1% |
95.9% |
-1.9% |
| HI |
83.2% |
82.1% |
1.4% |
| MA |
95.7% |
96.8% |
-1.2% |
| NJ |
95.1% |
98.1% |
-3.1% |
| NY |
86.7% |
88.3% |
-1.9% |
| Portfolio |
90.4% |
91.5% |
-1.3% |
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n
Based on actual operating energy and availability data provided for 2021, Black
& Veatch estimates downward impact of 1.3% on expected production adjusted for weather for the portfolio.
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| 5.0 | Portfolio Effect Benefit Analysis |
A portfolio will generally benefit from a diversity
of projects containing different technologies and resource areas. With such diversity, variance of output in one project can be offset
by variance in output of another project. The reduction in overall variance is referred to as the portfolio effect. The portfolio effect
is generally dependent on the correlation between variances of the individual projects. Perfect correlation results in no reduction in
total variance, whereas perfect independence results in a reduction in total variance. In practice, portfolios generally fall somewhere
between, and an analysis of correlation must be performed to determine the overall portfolio effect.
Based on an assumption of
linear correlation between projects, the level of correlation is defined by the Pearson Coefficient, [r], which ranges in value from -1
to +1. A value of +1 represents perfect dependence, a value of 0 represents perfect independence, and a value of -1 represents perfect
inverse dependence.
In the case of perfect dependence,
the total variance reduces to the sum of the individual variances. In the case of perfect independence, the total variance reduces to
the square root of the sum of the squares of the individual variances. For cases of partial dependence, the total variance is bounded
by the two previous cases, and is calculated as the square root of the sum of the covariance matrix as defined below:
For this analysis, Black &
Veatch has considered a portfolio effect for the following individual uncertainties:
| n | Interannual variability: uncertainty which results from variation in solar
resource over a long-term period. |
| n | Solar resource uncertainty: uncertainty associated with measurement techniques
and modeling bias |
| n | Energy modeling and loss factors uncertainty: uncertainty associated with
modeling assumptions, simplifications, and inaccuracies. |
Some uncertainties, such as interannual
variability can be directly analyzed to determine the Pearson Coefficient between projects. Other uncertainties, such as energy modeling
and loss factors, lack comprehensive industry assessments of correlation, therefore the assumed correlations are qualitative and based
on Black & Veatch’s engineering experience.
Black & Veatch has assumed typical values for energy modelling
and loss factor uncertainties. The total uncertainty can therefore be decomposed into interannual variability, energy model, solar resource.
The decomposition methodology is based on the normal distribution, where the square of total variance is equal to the sum of the squares
of individual variances.
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Black & Veatch utilized weather adjusted
data from 55 projects which was estimated during the operational assessment of the portfolio. Based on review of preconstruction PVsyst
reports and operational data, Black & Veatch estimated the uncertainties described in Table 5-1:
Table 5-1 Contributions
to Overall Uncertainty in the Expected Energy Production
| Uncertainty Contribution |
Type of Uncertainty |
Source(s) |
Estimate [1] |
Solar Resource,
Uncertainty in the Mean |
Systematic |
Measurement techniques and modeling bias |
3.3% – 5.0% |
Solar Resource,
Interannual Variability |
Random |
Interannual variability of solar resource |
Estimated for each project |
Performance Modeling
Uncertainty |
Systematic |
Modeling assumptions, simplifications, and inaccuracies |
4.5% – 5.0% |
| Total Uncertainty |
Combined |
|
5.8% – 7.5% |
The interannual variability for each project
was estimated using long term data from Vaisala/3Tier satellite based solar resource. Black & Veatch assumed solar resource uncertainty
and modeling uncertainty based on review of preconstruction production estimate data and the assumptions used for weather adjustment analysis
of the portfolio. Black & Veatch then estimated the portfolio level interannual variability for each project using time series data
using the covariance matrix calculation.
Table 5-2 and Table 5-3 below summarize
the portfolio effect benefit:
Table 5-2 Portfolio
Effect Benefit
| P-LEVEL |
PXX/P50
(NO
EFFECT) |
PXX/P50
(PORTFOLIO
EFFECT) |
PORTFOLIO EFFECT |
| P50 |
100.00% |
100.00% |
0.0% |
| P75 |
95.50% |
95.86% |
0.4% |
| P90 |
91.44% |
92.13% |
0.7% |
| P95 |
89.02% |
89.89% |
1.0% |
| P99 |
84.47% |
85.71% |
1.5% |
[1]
Uncertainties are expressed as a percentage ratio of a one standard deviation relative to the mean, assuming a normal distribution. The
individual uncertainty contributions are assumed to be independent of each other.
| BLACK & VEATCH | Portfolio Effect Benefit Analysis |
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Table 5-3 Portfolio
Effect Benefit on Overall P50
| P-LEVEL |
Energy
(MWh)
(NO
EFFECT) |
Energy
(MWh)
(PORTFOLIO
EFFECT) |
PORTFOLIO EFFECT |
| P50 |
169,384,772 |
169,384,772 |
0.0% |
| P75 |
161,758,040 |
162,365,280 |
0.4% |
| P90 |
154,893,744 |
156,047,518 |
0.7% |
| P95 |
150,785,738 |
152,266,592 |
1.0% |
| P99 |
143,079,804 |
145,174,204 |
1.5% |
n
Based on geographic locations and distribution of projects withing the portfolio,
Black & Veatch expects a benefit of 0.7% (at P90 confidence interval) for the overall portfolio.
| BLACK & VEATCH | Portfolio Effect Benefit Analysis |
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Black & Veatch reviewed two financial models
titled “Project Mohawk Financial Model_5.2.2022_v305.xlsm” and “DSD Eos Model_DSD_12-27-2021_Warehouse_v18.2_CS.xlsm”
(Financial Models). Black & Veatch reviewed the major technical input assumptions forecasting revenue and expenses related to construction
and operation of the Portfolio. Black & Veatch does not comment on insurance, taxes, and legal related items.
| 6.1 | PerformaNCe Assumptions |
The Financial Models assume a P50 DC degradation
rate of 0.5 percent per year. Black & Veatch believes that this is reasonable and consistent with published industry research and
notes that in many cases degradation on the order of 0.45 percent or lower has been offered by module manufacturers recently.
The Financial Model assumes a project term from
15 to 25 years. The project term is based on the 20 years term included in the DSD's representative PPA form, subject to modification
per customer negotiations or incentive programs.
The P50 production estimates used for revenue
projections have incorporated an effective yield factor of 99.2 percent, consistent with the availability guarantee of 99.2 percent included
in the draft master SSA for the Portfolio.
The year 1 P50 production for the Mohawk Portfolio
is assumed to be 230,474 GWh while for Eos Portfolio is assumed to be 114,545 GWh, as indicated in the Financial Models.
Black & Veatch reviewed each state’s
range of energy yield in the Financial Model as summarized in Table 6-1. Black & Veatch is of the opinion that the energy yields
generally appear reasonable and consistent with similar projects located in the same regions as those in the DSD Portfolio.
Table 6-1 Energy
Yield Assumptions
| State |
Year 1 kWh per kWdc |
| CA |
1,370.0 to 2,232.1 |
| CO |
1,895.9 to 1,945.4 |
| CT |
1,135.5 to 1,261.0 |
| DC |
1,206.0 to 1,252.0 |
| HI |
1,251.9 to 1,413.3 |
| MA |
1,105.4 to 1,331.5 |
| MD |
1,244.3 to 1,596.0 |
| ME |
1,260.0 |
| MN |
1,132.3 to 1,201.5 |
| NJ |
1,044.8 to 1,468.0 |
| NY |
1,077.0 to 1,505.0 |
| OH |
1,508.5 |
| PA |
1,044.8 |
| RI |
1,182.5 to 1,224.9 |
| BLACK & VEATCH | Financial Model |
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For a solar PV asset, the principal contributors
to the useful life are the solar modules, the inverters, the racking, and the electrical system. Provided that (1) all equipment is operated
in accordance with manufacturer recommendations; (2) all renewals and replacements are made on a timely basis; (3) an industry accepted
solar PV module long term degradation rate is achieved; and (4) corrosion monitoring is successful extending the useful life of the racking,
Black & Veatch believes the 35 year useful life assumption for the solar PV projects in the Portfolio is reasonable and the forecasted
operating expenses and replacement costs are adequate to support such an assumption.
| 6.3.1 | Solar PV System O&M Cost |
Black & Veatch reviewed the operating expenses
included in the Financial Model, as summarized in Table 6-2. Corrective maintenance, module washing, and vegetation management are
covered under the O&M expense line item included in the Financial Model. The Financial Model assumes different O&M costs for the
Projects based on the install type:
| n | Rooftop: $6.54/kWDC to $10.90/kWDC; |
| n | Ground-mount: $7.50/kWDC to $14.51/kWDC; |
| n | Carport: $9.40/kWDC to $14.06/kWDC; |
| n | Mix: $9.00/kWDC to $10.90/kWDC |
The O&M costs are subject to an annual escalation
of two percent during PPA contract period, and an annual escalation from one to two percent post PPA contract period. Black & Veatch
is of the opinion that the O&M costs included in the Financial Model for the solar PV systems are reasonable and consistent with other
projects of similar size, technology, and location.
| BLACK & VEATCH | Financial Model |
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Table 6-2 O&M
Costs
| STATE |
Install Type |
O&M cost DURING CONTRACT ($/kWDC) |
O&M cost POST CONTRACT ($/kWDC) |
| |
|
MIN |
MAX |
MIN |
MAX |
| CA |
Carport |
10.90 |
14.06 |
10.90 |
14.06 |
| Ground-mount |
9.00 |
14.51 |
9.00 |
14.51 |
| Ground-mount + Carport |
9.00 |
9.95 |
| Ground-mount + Rooftop + Carport |
10.27 |
10.27 |
| Rooftop |
9.40 |
9.40 |
| Rooftop + Carport |
10.51 |
10.56 |
10.51 |
10.56 |
| Rooftop + Ground-mount |
9.93 |
10.90 |
9.93 |
10.90 |
| CO |
Ground-mount |
9.00 |
9.00 |
| CT |
Carport |
9.40 |
10.90 |
9.40 |
10.90 |
| Ground-mount |
9.00 |
9.00 |
| Ground-mount + Carport |
10.90 |
10.90 |
| Rooftop |
8.00 |
9.40 |
8.00 |
9.40 |
| DC |
Carport |
10.90 |
10.90 |
| HI |
Ground-mount |
9.00 |
9.00 |
| Rooftop |
9.40 |
9.40 |
| MA |
Carport |
10.90 |
10.90 |
| Rooftop |
8.91 |
10.90 |
8.91 |
10.90 |
| MD |
Ground-mount |
9.00 |
9.00 |
| Rooftop |
9.40 |
9.40 |
| ME |
Ground-mount |
9.00 |
9.00 |
| MN |
Rooftop |
9.40 |
9.40 |
| NJ |
Carport |
10.90 |
10.90 |
| Carport + Rooftop |
10.90 |
10.90 |
| Ground-mount |
8.14 |
9.00 |
8.14 |
9.00 |
| Rooftop |
6.54 |
9.40 |
6.54 |
9.40 |
| Rooftop + Carport |
10.15 |
10.52 |
10.15 |
10.52 |
| NY |
Carport |
10.90 |
10.90 |
| Ground-mount |
7.50 |
9.00 |
7.50 |
9.00 |
| Rooftop |
9.40 |
9.40 |
| PA |
Ground-mount |
9.00 |
9.00 |
| RI |
Rooftop |
9.40 |
9.40 |
| BLACK & VEATCH | Financial Model |
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Within the broader operating expense categories
in the Financial Model, the following detailed expense items are accounted:
| n | O&M: continuous remote monitoring, site inspection, planned and
preventive maintenance (inverters, transformers, modules, auxiliary equipment) |
| n | Asset Management: regulatory affairs, financial reporting, compliance
and monitoring, accounting, etc. |
| ● | The modeled cost for asset management services range from $2.19/kW to $2.60/kW, depending on installation type. These costs are generally
consistent with the fixed fees indicated in the Asset Management Agreement. |
| n | ESS Expenses: ESS management and optimization, preventive maintenance |
| ● | The modeled cost for ESS O&M is $14.50/kWdc to $37.20/kWdc. |
| ● | The modeled cost for ESS replacement is $0.08/Wdc – $0.29/Wdc. |
Overall, Black & Veatch is of the opinion
that the O&M and other Opex estimates in the Financial Model are reasonable.
| 6.3.2 | O&M Inverter Replacement |
A major maintenance reserve for inverter replacement
and other unscheduled maintenance is required to service the Portfolio, inverter replacement is not covered under the SSA, and unscheduled
maintenance will be charged at additional costs pursuant to the SSA.
The Financial Model includes two O&M service-related
line items (separate from asset management) for the solar PV systems: O&M Expense during contract/post contract and inverter replacement.
Due to the development status of the Projects, Black & Veatch was provided with a representative SSA, which does not include the contracted
costs for comparison against the Financial Model. Black & Veatch was not provided with details of the expenses expected to be covered
beyond the covered services under the SSA. The assumed O&M Expense during contract/post contract in the Financial Model are comparable
to assumptions for similar portfolio projects covering full preventative and selective corrective maintenance/unscheduled maintenance
activities (including planned module cleaning and vegetation management activities).
Assuming such services are covered under the
O&M Expense during contract/post contract, Black & Veatch holds the opinion that the Financial Model budget assumption of $70/kWDC
for inverter replacement in Year 11 and Year 21 for each Project, is reasonable for projects with an inverter warranty period of 10 years
and is consistent with other similar projects with which Black & Veatch is familiar.4
| BLACK & VEATCH | Financial Model |
6-32 |
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Appendix A.
Table 6-3 Full
Portfolio Site List
| PROJECT |
Location |
Capacity (kWDC) |
Capacity (kWAC) |
Configuration |
ESS |
| THD Baltimore DC- 5830 Project Tiger |
Maryland |
2644.9 |
1550.0 |
RT |
No Storage |
| THD Baltimore DCs - 5829 Project Lion |
Maryland |
5119.2 |
3750.0 |
RT |
No Storage |
| THD Quicksilver Portfolio - 0903 South Plainfield |
New Jersey |
294.0 |
250.0 |
RT |
No Storage |
| SCH County - (3K) 59 Hetcheltown Rd Glenville, |
New York |
1653.1 |
1350.0 |
GM |
No Storage |
| SCH County - (2A) 156 Barhydt Rd Glenville, |
New York |
7564.3 |
4975.0 |
GM ESS |
Storage Included |
| SCH County - (2B) 4982 Rynex Corners Rd Pattersonville, |
New York |
4498.2 |
2500.0 |
GM ESS |
Storage Included |
| SCH County - (1C) 2 Rice Rd Schenectady, |
New York |
954.7 |
750.0 |
GM |
No Storage |
| SCH County - (1B) 10 Alice Wagner Way Niskayuna, |
New York |
4596.8 |
3500.0 |
GM |
No Storage |
| SCH County - (1E) 398 Anthony St Schenectady, |
New York |
1317.6 |
1000.0 |
GM |
No Storage |
| SCH County - (2D) 98 Cheltingham Ave Schenectady, |
New York |
3500.6 |
2750.0 |
GM |
No Storage |
| THD 2019 NJ Portfolio - 0970 Delran |
New Jersey |
497.7 |
400.0 |
RT |
No Storage |
| THD 2019 NJ Portfolio - 0962 Bridgewater |
New Jersey |
504.8 |
400.0 |
RT |
No Storage |
| THD 2019 NJ Portfolio - 0950 Passaic |
New Jersey |
519.0 |
400.0 |
RT |
No Storage |
| THD 2019 NJ Portfolio - 0934 Linden |
New Jersey |
511.9 |
400.0 |
RT |
No Storage |
| THD 2019 NJ Portfolio - 0921 West Windsor |
New Jersey |
391.1 |
300.0 |
RT |
No Storage |
| THD Quicksilver Portfolio - 0969 Forked River |
New Jersey |
476.4 |
400.0 |
RT |
No Storage |
| THD Quicksilver Portfolio - 0933 Howell |
New Jersey |
567.5 |
437.5 |
RT |
No Storage |
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| PROJECT |
Location |
Capacity (kWDC) |
Capacity (kWAC) |
Configuration |
ESS |
| THD NJ - 2021 Point Break Portfolio - 0982 East Windsor |
New Jersey |
510.8 |
375.0 |
RT |
No Storage |
| THD Quicksilver Portfolio - 6905 Elizabeth |
New Jersey |
192.0 |
150.0 |
RT |
No Storage |
| City of Fresno (CA) - Municipal Service Center |
California |
963.2 |
752.0 |
RT CPY |
No Storage |
| City of Fresno (CA) - City Hall |
California |
923.8 |
738.0 |
CPY |
No Storage |
| CVEC Round 4 Portfolio - Brewster Captain's Golf Course |
Massachusetts |
1112.2 |
824.0 |
CPY ESS |
Storage Included |
| CVEC Round 5 Portfolio - Sandwich Police Station |
Massachusetts |
201.7 |
150.0 |
CPY |
No Storage |
| Town of Sharon Portfolio - East Elementary School |
Massachusetts |
209.2 |
158.3 |
CPY |
No Storage |
| CVEC Round 4 Portfolio - Brewster Captain's Golf Course Driving Range |
Massachusetts |
650.7 |
480.0 |
CPY |
No Storage |
| CVEC Round 4 Portfolio - Monomoy Regional High School |
Massachusetts |
239.5 |
166.6 |
RT |
No Storage |
| THD Quicksilver Portfolio - FDC Perth Amboy |
New Jersey |
1023.8 |
600.0 |
RT |
No Storage |
| THD NJ - 2021 Point Break Portfolio - 0957 Old Bridge |
New Jersey |
572.8 |
437.5 |
RT |
No Storage |
| City of Adelanto (CA) - Turner |
California |
482.7 |
360.0 |
GM |
No Storage |
| City of Adelanto (CA) - Water Tank Air Expy |
California |
507.3 |
412.0 |
RT CPY |
No Storage |
| City of Adelanto (CA) - Pump Meter 22 |
California |
591.7 |
480.0 |
GM |
No Storage |
| City of Adelanto (CA) - City Hall |
California |
130.4 |
100.0 |
CPY |
No Storage |
| City of Adelanto (CA) - Senior Center |
California |
20.8 |
15.4 |
RT |
No Storage |
| City of Adelanto (CA) - Sheriff's Station |
California |
75.8 |
65.0 |
RT CPY |
No Storage |
| City of Adelanto (CA) - Turner Wells |
California |
658.9 |
540.0 |
GM |
No Storage |
| City of Adelanto (CA) - Waste Water |
California |
1089.4 |
840.0 |
GM |
No Storage |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
| Distributed Solar Development, LLC | |
Solar Portfolio Securitization |
| 5 November 2022 |
|
| PROJECT |
Location |
Capacity (kWDC) |
Capacity (kWAC) |
Configuration |
ESS |
| City of Adelanto (CA) - Adelanto Stadium |
California |
120.9 |
100.0 |
CPY |
No Storage |
| City of Adelanto (CA) - Well#14 |
California |
195.1 |
180.0 |
GM |
No Storage |
| Bishop Ranch - BR 1-X |
California |
1093.1 |
875.0 |
RT CPY ESS |
Storage Included |
| Bishop Ranch - BR 1-Y |
California |
1283.1 |
1120.0 |
RT GM CPY ESS |
Storage Included |
| Windsor Unified School District - Mattie Washburn |
California |
185.0 |
144.0 |
CPY |
No Storage |
| Windsor Unified School District - Brooks Elementary |
California |
156.0 |
122.0 |
CPY |
No Storage |
| Windsor Unified School District - Cali Calmecac |
California |
199.0 |
144.0 |
CPY |
No Storage |
| Windsor Unified School District - Windsor Middle School |
California |
277.0 |
208.0 |
CPY |
No Storage |
| Windsor Unified School District - Windsor High School |
California |
746.6 |
572.0 |
CPY ESS |
Storage Included |
| Marathon Solar Farm II LLC_North |
New York |
3944.9 |
2850.0 |
GM |
No Storage |
| Marathon Solar Farm LLC_South |
New York |
6016.9 |
4350.0 |
GM |
No Storage |
| Oak Leaf - CSG Portfolio (OL 44) |
Colorado |
1979.6 |
1500.0 |
GM |
No Storage |
| Oak Leaf - CSG Portfolio (OL 36) |
Colorado |
1978.0 |
1500.0 |
GM |
No Storage |
| Oak Leaf - CSG Portfolio (OL 37) |
Colorado |
1979.6 |
1500.0 |
GM |
No Storage |
| Oak Leaf - CSG Portfolio (OL 39) |
Colorado |
1978.0 |
1500.0 |
GM |
No Storage |
| Oak Leaf - CSG Portfolio (OL 38) |
Colorado |
1999.6 |
1500.0 |
GM |
No Storage |
| Riverton Community Housing - 1227 4th Street Coop |
Minnesota |
69.5 |
61.2 |
RT |
No Storage |
| Township of Monroe - Radix Elementary |
New Jersey |
839.8 |
625.0 |
GM |
No Storage |
| Township of Monroe - Municipal Building |
New Jersey |
224.0 |
175.0 |
CPY |
No Storage |
| Riverton Community Housing - 1220 Brook Avenue |
Minnesota |
134.3 |
100.0 |
RT |
No Storage |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
| Distributed Solar Development, LLC | |
Solar Portfolio Securitization |
| 5 November 2022 |
|
| PROJECT |
Location |
Capacity (kWDC) |
Capacity (kWAC) |
Configuration |
ESS |
| Riverton Community Housing - Franklin 2329 |
Minnesota |
113.8 |
98.4 |
RT |
No Storage |
| Township of Monroe - Library |
New Jersey |
91.8 |
50.0 |
CPY |
No Storage |
| Township of Monroe - MUA Storage |
New Jersey |
91.8 |
62.5 |
GM |
No Storage |
| THD 2019 NJ Portfolio - 0931 Phillipsburg |
New Jersey |
469.3 |
350.0 |
RT |
No Storage |
| White Plains_RFP-Longview Garage |
New York |
476.9 |
375.0 |
CPY |
No Storage |
| White Plains_RFP-Lyon Place Garage |
New York |
473.5 |
375.0 |
CPY |
No Storage |
| Fontana - Public Works |
California |
185.6 |
150.0 |
RT |
No Storage |
| Fontana - East Annex |
California |
40.5 |
36.0 |
RT |
No Storage |
| White Plains_RFP-Sanitation Building |
New York |
415.7 |
375.0 |
RT |
No Storage |
| White Plains_RFP-Gillie Park |
New York |
260.1 |
200.0 |
CPY |
No Storage |
| THD 2019 NJ Portfolio - 0983 Hackensack |
New Jersey |
348.4 |
300.0 |
RT |
No Storage |
| THD 2019 NJ Portfolio - 0932 Lodi |
New Jersey |
455.0 |
350.0 |
RT |
No Storage |
| THD 2019 NJ Portfolio - 0910 Secaucus |
New Jersey |
327.1 |
250.0 |
RT |
No Storage |
| White Plains_RFP-Ebersole Ice Rink |
New York |
241.0 |
187.5 |
CPY |
No Storage |
| White Plains_RFP-Gedney Way Landfill |
New York |
2295.0 |
2000.0 |
GM CPY ESS |
Storage Included |
| White Plains_RFP-Shapham Place |
New York |
1537.7 |
1187.5 |
CPY ESS |
Storage Included |
| Lightstar Renewables - Project 1001 |
New York |
4694.8 |
3900.0 |
GM |
No Storage |
| Fontana - Senior Center |
California |
184.5 |
172.0 |
CPY |
No Storage |
| Fontana - Community Services |
California |
30.8 |
30.0 |
RT |
No Storage |
| Fontana - Heritage Community |
California |
76.5 |
70.3 |
RT GM |
No Storage |
| Fontana - Police Department |
California |
778.5 |
662.0 |
CPY |
No Storage |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
| Distributed Solar Development, LLC | |
Solar Portfolio Securitization |
| 5 November 2022 |
|
| PROJECT |
Location |
Capacity (kWDC) |
Capacity (kWAC) |
Configuration |
ESS |
| Fontana - City Hall & DSO |
California |
246.4 |
222.0 |
RT CPY |
No Storage |
| Lightstar Renewables - Project 1002 |
New York |
2358.1 |
2100.0 |
GM |
No Storage |
| Source Power Company- Silver Creek |
New York |
7507.1 |
5000.0 |
GM |
No Storage |
| Source Power Company - Richland |
New York |
2630.9 |
2000.0 |
GM ESS |
Storage Included |
| San Bernardino City USD - Professional Development Center |
California |
495.4 |
450.0 |
CPY |
No Storage |
| Big Bend - 12 Campanelli |
Massachusetts |
337.5 |
233.3 |
RT |
No Storage |
| Big Bend - 202 S Washington |
Massachusetts |
1397.3 |
966.6 |
RT |
No Storage |
| Big Bend - 100 Campanelli |
Massachusetts |
1152.5 |
800.0 |
RT |
No Storage |
| Big Bend - 35 Otis Street |
Massachusetts |
997.5 |
766.6 |
RT |
No Storage |
| Source Power Company- Aldrich |
New York |
6951.4 |
5000.0 |
GM |
No Storage |
| Capital Christian Center |
California |
1123.4 |
892.0 |
CPY |
No Storage |
| Piedmont - 235 Presidential Way |
Massachusetts |
1216.8 |
840.0 |
CPY |
No Storage |
| LG HQ NJ_RFP |
New Jersey |
1302.8 |
936.0 |
RT CPY |
No Storage |
| Berkeley Properties - 417 South Street |
Massachusetts |
663.6 |
466.6 |
RT |
No Storage |
| CSCU - Asnuntuck AMF Carport |
Connecticut |
311.0 |
240.0 |
CPY |
No Storage |
| CSCU Housatonic CC Rooftop II |
Connecticut |
329.0 |
249.9 |
RT |
No Storage |
| Mauna Loa Macadamia Nut |
Hawaii |
1094.9 |
780.0 |
GM ESS |
Storage Included |
| MGM Springfield Casino MA |
Massachusetts |
1382.4 |
960.0 |
CPY |
No Storage |
| San Diego Rock Church RT_(Baker) |
California |
727.8 |
562.0 |
RT |
No Storage |
| Brentwood - Adams Middle School |
California |
344.3 |
260.0 |
CPY |
No Storage |
| Brentwood - Krey Elementary School |
California |
243.0 |
186.0 |
CPY |
No Storage |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
| Distributed Solar Development, LLC | |
Solar Portfolio Securitization |
| 5 November 2022 |
|
| PROJECT |
Location |
Capacity (kWDC) |
Capacity (kWAC) |
Configuration |
ESS |
| Brentwood - Loma Vista Elementary School |
California |
273.6 |
200.0 |
CPY |
No Storage |
| Brentwood - Mary Casey Black Elementary School |
California |
184.7 |
136.0 |
CPY |
No Storage |
| Brentwood - Ron Nunn Elementary School |
California |
148.5 |
110.0 |
CPY |
No Storage |
| Lathrop - Community Center |
California |
100.8 |
72.0 |
CPY |
No Storage |
| Lathrop - City Hall |
California |
208.8 |
156.0 |
CPY |
No Storage |
| Lathrop - Christopher Way |
California |
1085.6 |
900.0 |
GM |
No Storage |
| Jordan Energy-DFA Middlebury Center Plant |
Pennsylvania |
1908.2 |
1125.0 |
GM |
No Storage |
| 2015 Pitkin Solar, LLC |
New York |
763.2 |
530.0 |
RT |
No Storage |
| Kingspan Insulated Panels |
California |
930.1 |
733.3 |
RT |
No Storage |
| CSCU - Southern CT State University (East Campus) |
Connecticut |
1239.8 |
960.0 |
CPY |
No Storage |
| Windward Mall - Kaneohe, HI |
Hawaii |
924.1 |
780.0 |
RT |
No Storage |
| The Source at White Plains (UBS) |
New York |
1424.6 |
1000.0 |
CPY |
No Storage |
| Carraway fka The Residences at Corporate Park Drive |
New York |
1249.9 |
975.0 |
RT CPY |
No Storage |
| Toray Plastics, North Kingstown RI |
Rhode Island |
572.8 |
480.0 |
RT |
No Storage |
| Lost Hills Oilfield |
California |
2176.2 |
1860.0 |
GM |
No Storage |
| BBARWA |
California |
1660.0 |
1300.0 |
GM CPY |
No Storage |
| Park Center |
California |
326.4 |
245.8 |
RT CPY |
No Storage |
| Riverton Community Housing - Franklin 2300 |
Minnesota |
85.3 |
73.4 |
RT |
No Storage |
(2) Configuration: CPY = Canopy; GM = Ground Mount;
RT = Rooftop; ESS = Energy Storage System
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
| Distributed Solar Development, LLC | |
Solar Portfolio Securitization |
| 5 November 2022 |
|
Table 6-4 Weather
Adjusted Expected Production
| PROJECT |
State |
DC
Capacity
[kWp] |
MEASURED
ENERGY
[kwh] |
MEASURED
ENERGY (AVAILABILITY AND WEATHER ADJUSTED.)
[kwh] |
EXPECTED
ENERGY
[kwh]
|
BV
WEATHER ADJUSTED EXPECTED ENERGY
[kwh] |
| Berkeley Properties - 417 South Street |
Massachusetts |
663.6 |
659,779 |
690,149 |
782,690 |
768,618 |
| Big Bend - 100 Campanelli Parkway |
Massachusetts |
1152.45 |
1,315,477 |
1,318,048 |
1,365,971 |
1,348,971 |
| Big Bend - 12 Campanelli Parkway |
Massachusetts |
337.5 |
390,182 |
386,410 |
403,029 |
398,026 |
| Brentwood - Adams |
California |
344.25 |
569,927 |
564,227 |
555,033 |
567,902 |
| Brentwood - Krey |
California |
243 |
392,975 |
393,075 |
392,086 |
401,174 |
| Brentwood - Loma Vista |
California |
273.6 |
440,834 |
436,486 |
435,146 |
445,241 |
| Brentwood - Mary Casey |
California |
184.68 |
287,815 |
284,937 |
293,979 |
300,779 |
| Brentwood - Ron Nunn |
California |
148.5 |
223,810 |
221,581 |
464,669 |
475,510 |
| City of Adelanto - City Hall |
California |
130.35 |
219,091 |
216,900 |
222,669 |
221,153 |
| City of Adelanto - Pump #22 |
California |
591.71 |
1,137,426 |
1,128,098 |
1,154,731 |
1,151,014 |
| City of Adelanto - Senior Center |
California |
20.8 |
31,201 |
33,338 |
32,052 |
31,824 |
| City of Adelanto - Sheriff Station |
California |
75.84 |
129,576 |
128,319 |
133,761 |
132,846 |
| City of Adelanto - Stadium |
California |
120.87 |
221,836 |
223,215 |
207,691 |
206,313 |
| City of Adelanto - Turner Well |
California |
658.86 |
1,267,326 |
1,255,445 |
1,258,687 |
1,254,111 |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
| Distributed Solar Development, LLC | |
Solar Portfolio Securitization |
| 5 November 2022 |
|
| PROJECT |
State |
DC
Capacity
[kWp] |
MEASURED
ENERGY
[kwh] |
MEASURED
ENERGY (AVAILABILITY AND WEATHER ADJUSTED.)
[kwh] |
EXPECTED
ENERGY
[kwh]
|
BV
WEATHER ADJUSTED EXPECTED ENERGY
[kwh] |
| City of Adelanto - Waste Water Treatment |
California |
1089.41 |
1,838,764 |
1,871,098 |
2,089,224 |
2,082,570 |
| City of Adelanto - Water Tank Expy |
California |
507.29 |
892,165 |
883,291 |
911,143 |
905,101 |
| City of Adelanto - Well 14 |
California |
195.13 |
373,515 |
369,787 |
384,004 |
382,905 |
| CSCU - Asnuntuck AMF |
Connecticut |
311.04 |
345,563 |
342,490 |
353,150 |
349,171 |
| CSCU - Southern Connecticut State University - East Campus |
Connecticut |
1239.84 |
1,395,589 |
1,382,114 |
1,479,400 |
1,449,279 |
| CVEC - Sandwich Police Department |
Massachusetts |
201.69 |
216,072 |
213,918 |
227,260 |
225,765 |
| Fontana City Hall |
California |
246.38 |
386,166 |
382,371 |
394,200 |
390,345 |
| Fontana Community Services Dept |
California |
30.75 |
45,570 |
45,325 |
47,557 |
47,094 |
| Fontana East Annex |
California |
40.5 |
58,419 |
57,845 |
69,392 |
68,762 |
| Fontana Heritage Community Center |
California |
76.5 |
112,740 |
113,347 |
116,580 |
115,249 |
| Fontana Police Department |
California |
778.5 |
1,184,470 |
1,174,919 |
1,292,929 |
1,279,268 |
| Fontana Senior Center |
California |
184.5 |
303,268 |
300,257 |
321,723 |
318,665 |
| Lathrop - Christopher Way |
California |
1085.63 |
1,968,085 |
2,096,830 |
2,286,800 |
2,327,197 |
| Lathrop - City Hall |
California |
208.8 |
326,384 |
323,540 |
344,099 |
350,553 |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
| Distributed Solar Development, LLC | |
Solar Portfolio Securitization |
| 5 November 2022 |
|
| PROJECT |
State |
DC
Capacity
[kWp] |
MEASURED
ENERGY
[kwh] |
MEASURED
ENERGY (AVAILABILITY AND WEATHER ADJUSTED.)
[kwh] |
EXPECTED
ENERGY
[kwh]
|
BV
WEATHER ADJUSTED EXPECTED ENERGY
[kwh] |
| Lathrop - Community Center |
California |
100.8 |
142,540 |
142,568 |
155,425 |
158,369 |
| LG - HQ |
New Jersey |
1302.8 |
1,592,170 |
1,616,023 |
1,572,870 |
1,519,057 |
| Marathon I South |
New York |
6016.92 |
5,718,441 |
6,135,549 |
7,134,185 |
6,990,343 |
| Marathon II North |
New York |
3944.85 |
3,753,546 |
3,950,477 |
4,654,962 |
4,560,461 |
| MGM - Springfield |
Massachusetts |
1382.4 |
1,614,545 |
1,599,787 |
1,615,900 |
1,600,221 |
| Monomoy High School |
Massachusetts |
239.49 |
272,845 |
270,117 |
284,311 |
283,741 |
| Schdy - 1B Niskayuna |
New York |
4596.8 |
4,713,084 |
4,867,141 |
5,416,437 |
5,326,570 |
| Schdy - 1C Rice Road |
New York |
954.72 |
1,035,728 |
1,025,536 |
1,193,371 |
1,175,881 |
| Schdy - 1E Anthony St |
New York |
1317.6 |
1,292,948 |
1,289,552 |
1,593,074 |
1,566,761 |
| Schdy - 2D Landfill |
New York |
3500.64 |
3,564,320 |
3,557,167 |
4,080,019 |
4,010,788 |
| Schdy - 3K Hetcheltown |
New York |
1653.08 |
1,889,333 |
1,871,988 |
1,969,314 |
1,936,394 |
| THD - Bridgewater II, NJ - (Store #962) |
New Jersey |
504.81 |
581,640 |
576,792 |
621,530 |
601,383 |
| THD - Delran, NJ - (Store# #970) |
New Jersey |
497.7 |
549,256 |
544,758 |
609,770 |
598,949 |
| THD - Forked River, NJ - (Store #969) |
New Jersey |
476.37 |
611,187 |
606,840 |
614,673 |
596,911 |
| THD - Linden, NJ - (Store #934) |
New Jersey |
511.92 |
605,759 |
600,370 |
638,274 |
617,964 |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
| Distributed Solar Development, LLC | |
Solar Portfolio Securitization |
| 5 November 2022 |
|
| PROJECT |
State |
DC
Capacity
[kWp] |
MEASURED
ENERGY
[kwh] |
MEASURED
ENERGY (AVAILABILITY AND WEATHER ADJUSTED.)
[kwh] |
EXPECTED
ENERGY
[kwh]
|
BV
WEATHER ADJUSTED EXPECTED ENERGY
[kwh] |
| THD - Lodi, NJ - (Store #932_ |
New Jersey |
455.04 |
503,046 |
499,870 |
559,410 |
540,859 |
| THD - Passaic, NJ - (Store #950) |
New Jersey |
519.03 |
591,595 |
586,389 |
637,000 |
618,530 |
| THD - Phillipsburg, NJ- (Store #931) |
New Jersey |
469.26 |
533,401 |
531,669 |
569,698 |
553,829 |
| THD - Secaucus, NJ - (Store #910) |
New Jersey |
327.06 |
363,029 |
359,784 |
400,270 |
386,864 |
| THD - West Windsor, NJ - (Store #921) |
New Jersey |
391.05 |
451,013 |
447,349 |
471,853 |
456,322 |
| The Rock Church - Point Loma |
California |
727.75 |
994,061 |
984,523 |
1,112,238 |
1,091,050 |
| Windsor - Brooks Elementary School |
California |
156 |
214,844 |
212,717 |
230,044 |
236,562 |
| Windsor - Cali Calmecac Language Academy |
California |
199 |
272,839 |
272,903 |
287,360 |
295,534 |
| Windsor - Mattie Washburn ES |
California |
185 |
273,392 |
272,940 |
278,568 |
287,083 |
| Windsor - Middle School |
California |
277 |
394,935 |
392,067 |
408,915 |
420,437 |
| Windward Mall |
Hawaii |
924.1 |
968,274 |
962,976 |
1,156,867 |
1,173,424 |
| YSG Pitkin |
New York |
763.2 |
682,917 |
679,201 |
926,000 |
894,330 |
| |
|
43,536 |
50,914,714 |
51,694,414 |
57,211,993 |
56,494,022 |
| Acceptance or use of this Report constitutes an acknowledgement and acceptance of, and agreement to be bound by, the terms of the Special Notice set forth on the cover page of this Report (the “Special Notice”). If the Recipient is not willing to accept and acknowledge, or to agree to be bound by, the terms set forth in the Special Notice, it must return the Report to Black & Veatch immediately without making any copies thereof, extracts there from or use (including disclosure) thereof. |
