Edgecombe-Martin EMC Employs Lead-edge Solar

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1 Edgecombe-Martin EMC Employs Lead-edge Solar Nelson and Mullins Innovation and Capital Conference presented by E4 Carolinas Joel Olsen CEO O2 EMC May 1st, 2017

2 O2: Independent Power Producer Avery Mayberry Ararat Rock Elkin Gamble Yadkinville Salisbury Rockwell Bear Poplar Cirrus Bunn Biscoe Montgomery Five Forks North 301 Battleboro Sandy Cross Tolson Chocowinity Gates Edenton Wadesboro Maxton Fairmont O2 Solar Projects = Operational = Under Development O2 Develops, Owns and Operates Ground Mounted Solar Power Plants across the Southeast

3 What do we do? We Develop and Own 1-20 MW Solar Power Plants Independent Power Producer (IPP) Who are our Partners? Towns, Cities, Counties Contractors Utilities Manufacturers Banks, Investors Where are we focused? Southeast Who is O2 EMC?

4 Tolson Solar Project 3 MW AC solar plant in Tarboro, NC Production of 7,000 MWh/year Interconnected with Edgecombe-Martin County EMC and selling power to NC EMC

5 MWh Tolson Solar Project Tracking system increases production during the ramp-up hours in the morning and the peak demand hours in the evening Tracking System Fixed Tilt System Hours

6 What the Grid Needs In order to achieve sustainable high penetrations of solar power into the grid, solar power should be available on-demand, when and where it is needed, in the desired amounts and in a manner that is comparable to or better than conventional power plants. -DOE Office of Energy Efficiency and Renewable Energy Example of Intermittent Solar Profiles Office of Energy Efficiency and Renewable Energy

7 Solar as a Reserve

8 Real Time Automated Controller Handles active power management on site Receives a signal from the utility grid and communicates with the solar inverters to adjust output to the grid accordingly Enables solar to become a generation resource controlled according to the needs of the grid

9 Active Power Control Example

10 What are the Potential Benefits of QFs: Low Voltage Ride Through Low Voltage Ride-Through Enable a solar plant to quickly restore voltage following a low voltage event Tripping an inverter on a low voltage condition is counterproductive and may increase power quality issues on the grid

11 VAR Support Rural coops often experience a need for VAR support Distribution Capacitor Banks are often used to improve the power factor by providing VAR support

12 QFs can provide VAR Support VAR Support Inverters have excellent VAR support capability As a solid-state device, inverters are capable of both producing and absorbing VARs quickly and precisely Robust VAR support allows inverters to increase reliability for distribution grids with low Voltage Stiffness Factors

13 Potential Storage Project Allows for increasing solar on the grid in an efficient, cost-effective way that minimizes curtailment Aligns energy production with consumption times Provides firm capacity during coincident peaks and transmission peak Shifting energy from stored, previously curtailed, energy to peak demand times Provision of power factor support

14 Solar Benefits for Coops and Munis Fixed low cost of energy and serves as price hedge on fuel price volatility for energy and capacity costs for 20 year period Fixed low cost of demand/capacity: peak/transmission fee reduction in kw Infrastructure upgrades that benefit members Ability to use solar facility for additional grid services: VAR Support, power factor correction, reserve Helps with economic development efforts to attracts Large Employers Increase in long term local property tax revenues

15 Questions?