Solar power for a sustainable world 2011 Annual Report Summary

Transcription

1 ABENGOA SOLAR Solar power for a sustainable world Annual Report Summary

2 ABENGOA SOLAR Annual report United States Mexico Spain Morocco Italy Algeria India United Arab Emirates China Chile South Africa Australia

3 Table of contents ABENGOA SOLAR Annual report Letter from the CEO Advantages of concentrating solar power Industrial applications and key components Annual report 3

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5 View of commerical towers PS10 and PS20, 11 and 20 MW, and the two pilot tower plants, hybrid solar-gas and molten salt tower technology respectively, at the Solucar Complex, Spain.

6 ABENGOA SOLAR Annual report Letter from the CEO Letter from the CEO Advantages of concentrating solar power In, we have moved forward accomplishing our three strategic objectives: 1. New technologies: develop and commercialize more efficient technologies. 2. Concessions: create and operate a geographically diversified portfolio of solar plants. 3. : develop and sell technology and key technological components for our own plants and for third parties. In the first objective, new technologies, we have achieved several milestones: We have started commercialization of a new superheated solar tower technology, the fruit of four years of research and development, the operation experience between 2009 and of the pilot plant, Eureka, and the design of our commercial plants. At the end of, we won a bid in South Africa for the first commercial superheated tower (50 MW). This finished the cycle that was started in 2006 with the first analysis and R&D work, now allowing us to build PS50, a solar tower that is more efficient than any other currently. We have begun construction on the Solugas technology demonstration plant that combines a solar-air receiver with a gas combined-cycle which will permit us to reach, in the mid-term, efficiencies that have never been seen before in the solar industry. The construction of a molten salt solar tower has advanced in the Solucar Complex in Spain. This technology has advantages where it might be necessary to operate with solar energy during the night. This is not convenient in most mature markets but could be necessary in some geographical regions. In regards to the second objective, developing and operating solar plants, by the beginning of 2012 we reached 493 MW in operation and 1,010 MW in construction, with a total of 24 solar plants taking our geographic diversification to the next level. If we analyze the 1,653 MW of that are in operation, construction or preconstruction, 42 % of the power will be in Europe, 34 % in the United States, 18 % in Africa, and 6 % in the Middle East. In, we have reached some very important objectives in the area of concessions: In Spain, we brought three 50 MW thermal solar power plants online, two at the Écija Solar Complex with our partner E.On and another in the El Carpio Solar Complex with the Japanese company JGC in February In Algeria, the hydrid plant began operation. In the United States, we have started construction of our second large plant, Mojave, 280 MW (gross). In South Africa, the Department of Energy selected us to develop a 100 MW parabolic trough plant and a 50 MW tower, both with storage capacity. In the third objective, the supply of technology and key components, we have also made some important advances: The new parabolic trough collector (E2) became available with a significant cost reduction. The commercialization of the new high-concentration photovoltaic module M300, with 29 % efficiency and the fruit of 3 years of R&D, being installed in the first commercial plant (100 kw ) in Spain. Participation in the construction of the first solar thermal power plants in Agua Prieta, Mexico and Minera el Tesoro, Chile. Annual report 6

7 Letter from the CEO Advantages of concentrating solar power Letter from the CEO ABENGOA SOLAR Annual report As a result, we doubled sales in with respect to 2010, closing the year with revenues of 345 million euros and 165 million euros of EBITDA. The 771 employees in ten countries we had at year-end have been key to be able to achieve so much in so little time. In 2012, we have significant goals to reach. We will put 5 plants into operation in Spain and the Shams-1 plant in Abu Dhabi. These new plants along with those that are already in operation, will allow us to close the year with 18 plants in commercial operation, making operation and maintenance ever more important. In 2012, we will advance considerably in the construction of our large projects in the United States, Solana and Mojave (280 MW each), and the rest of the plants. Lastly, due to the intense competition in the electricity generation market, it is necessary to continue investing in R&D since more efficient, competitive ways to produce electricity are becoming more and more necessary. We close having achieved our principal objectives and having secured our place as a worldwide reference for the solar industry. Thanks to everyone s efforts we have successively met and overcome all of the goals and challenges. In our future growth strategy, the pillars on which Abengoa Solar stands will continue to be the development of new, more efficient technologies, the creation and operation of efficient solar plants, and technology and key component supply. Annual report 7

8 Parabolic trough collector from Solnova 4, one of the three 50 MW parabolic trough plants that operate at the Solucar Complex in Spain.

9 Solar field of parabolic troughs in Helioenergy 1, a 50 MW plant that is part of the Écija Solar Complex in Spain.

10 ABENGOA SOLAR Annual report Letter from the CEO Advantages of concentrating solar power Consolidated revenues Abengoa Solar s consolidated revenues totaled million euros in, doubling 2010 revenues. million euros Capacity As of year-end, Abengoa Solar has 443 MW in operation, with an additional 1060 MW in construction and 150 MW in pre-construction, 1653 MW in total. MW in operation, construction and pre-construction Operation Construction , Pre-construction R&D investment In, Abengoa Solar has continued making substantial investment in the research and development of concentrating solar power and photovoltaic technologies to create innovative technological solutions that are more efficient and therefore able to compete with fossil fuels million euros Annual report 10

11 Letter from the CEO Advantages of concentrating solar power ABENGOA SOLAR Annual report EBITDA from operating activities As a result of an increase in concession-type and industrial production activities, Abengoa Solar increased its EBITDA in operating activities by approximately 135 % over million euros Fixed assets Abengoa Solar s assets were worth a total of 3,336.3 M in due to the advancement in construction of solar thermal power plants, almost doubling this figure over the previous year. million euros , , , Number of patents Due to extensive effort in R&D, Abengoa Solar s patents, both applied for and granted, totaled an accumulated 107 in. patents, applied for and granted Annual report 11

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13 Currently with 183 MW in operation, the Solucar Complex produces the equivalent of the energy needed to power 94,000 homes.

14 ABENGOA SOLAR Annual report Advantages of concentrating solar power Letter from the CEO Advantages of concentrating solar power The solar energy industry is growing worldwide and technological innovation is crucial to be able to compete with conventional generation. Abengoa Solar has broad expertise and experience in developing new solar technologies, able to compete in the medium term with fossil fuels and in solar plant development. The advantages of solar energy, specifically concentrating solar power (CSP), that have led to high growth in recent years and today make it a mature, cost-effective, efficient solution, are the following: Dispatchability The most important factor that sets concentrating solar power apart from other forms of renewable energy generation is its dispatchability, or the ability to adapt production to the demand. Dispatchability is considered essential, and perhaps the most valuable, for electricity systems. Having the ability to adjust energy generation to the demand curve has the benefit of being able to sell electricity to the grid at peak generation hours, with a resulting increase in price, and the ability to compensate for the effects of intermittent sources. Another advantage of CSP is that it is able to be combined with conventional power plants to form hybrid plants. Hybridization lowers dependency on conventional fuel and cuts CO 2 emissions from natural gas and coal-fueled generating plants. Abengoa Solar also has extensive experience in designing, building, operating and maintaining hybrid solar-gas plants. In Algeria, the 150 MW Hass-R Mel plant has been operating since using that technology. Solar thermal power is dispatchable because it has great thermal inertia that prevents it from ceasing to generate unexpectedly, due to the use of a small percentage of natural gas and thermal storage. In keeping with this, Abengoa Solar is building Solana, a 280 MW plant located in Arizona (USA) that will include six hours of molten salt storage capability. Annual report 14

15 Letter from the CEO Advantages of concentrating solar power Advantages of concentrating solar power ABENGOA SOLAR Annual report Commercially proven technology With the first commercial plants in the U.S., CSP technology has been in use for over 30 years. Plants have improved over time and significant technological developments have led to cost reduction and higher efficiency. CSP is neither an experimental technology nor one undergoing testing, but rather a commercial solution that can be adapted to a variety of geographic locations. Photovoltaic technology, in turn, with 60 GW in operation and commercial plants in place since the 1980s, is at a turning point in development, having succeeded in matching the cost of conventional electrical power generation sources in a number of regions. Abengoa Solar has 443 MW in operation, of which 431 MW are CSP, making it the world leader in installed capacity of this technology. Energy security Diversification in the energy mix is one of the most important elements in energy policy. One of the most important benefits of solar energy is that it lowers the dependency on oil, gas and uranium of countries that do not have these resources available to them. Solar energy increases the proportion of renewable energy in the energy mix and, in the case of CSP, enhances system reliability as the result of its dispatchability. Additionally, solar energy helps offset the volatility of fossil fuels. Local job creation During the construction and subsequent operation and maintenance over the course of the useful life of solar power plants, between 4 and 5 temporary jobs will be created for each MW during project execution and between 1 and 2 permanent positions per MW during the operating period. Depending on the number of projects, manufacturing supply chains may develop, in addition to the creation of R&D facilities in the surrounding area. Solana is a good example of this. During the plant construction phase, up to 1,600 jobs will be created, boosting economic development in the town of Gila Bend, Arizona. A host of indirect jobs are also being generated in the manufacturing of key components and services in the supply chain required by a project of this magnitude. As of year-end, the supply chain spans 23 states and has 30 contracted companies Annual report 15

16 E2 parabolic trough collector in Solana. Solana will have approximately 3,200 parabolic trough modules of this type.

17 Solana, 280 MW plant under construction in Arizona (USA), is creating between 1,600-1,700 jobs during its construction phase.

18 ABENGOA SOLAR Annual report Letter from the CEO Advantages of concentrating solar power Abengoa Solar counts on the development of new technologies, which can be used either in its own plants or sold to third parties, as a competitive advantage leading to growth and viability. evolves very rapidly, and viable, efficient alternatives are always needed for taking on new projects and fulfilling market needs. This ongoing R&D effort gives Abengoa Solar a greater chance of being able to offer competitive technologies in the future, and enables the company to provide a portfolio of solutions that can be adapted to each project or market. The pillars supporting Abengoa Solar s technological innovation strategy are the following: An international team of over 100 people dedicated to R&D, and research facilities in Seville (Spain) and Denver, Colorado (U.S.). A global network for collaborating with leading sector institutions, including NREL in the U.S., Ciemat in Spain, DLR in Germany, and Australia s CSIRO, as well as many universities and companies. Financing activities through two distinct yet complementary sources. Abengoa Solar contributes significant investment as it considers the continual pursuit of innovative solutions critical to future sustainable growth. Funding is also obtained through public subsidy programs in place in Spain, the European Union, and the U.S., among others. Annual report 18

19 Letter from the CEO Advantages of concentrating solar power ABENGOA SOLAR Annual report During, Abengoa has continued developing innovative technological solutions, both concentrating solar power and photovoltaic, that have maintained its leadership position in the solar energy sector. The main achievements were: Superheated steam technology was validated after the pilot plant Eureka was in operation almost 2000 hours in the Solucar Complex (Seville), reaching temperatures higher than 500 C. Thanks to the demonstrated experience of this plant, the technology has been validated at commercial scale, and later endorsed by the South Africa Department of Energy with a contract for a 50 MW superheated solar power tower. Construction began on the Solugas project, a tower pilot plant using hybrid solar-gas technology. This project, which should come into operation during 2012, is intended to demonstrate the operation of towers at higher temperatures using air as the heat transfer fluid and a more efficient cycle. Construction began on the CRS Sales project, which will go into operation during This project involves the engineering and manufacturing of a demonstration tower which will use a mixture of molten salts as the heat transfer fluid. Thanks to the continual effort and collaboration with other companies, Abengoa Solar has developed the new parabolic trough collector, E2. The optical, thermal and structural characteristics of the design have been tested to guarantee maximum production. Furthermore, the structure production and mounting process has been fine-tuned, efficiently reducing the time and work required. At Solana, the 280 MW plant in Arizona (USA), more than 3,000 modules are being installed. As an accumulation of lessons learned in the development of past models, Abengoa Solar has developed a new 140 m 2 hydraulic heliostat for towers that will incorporate and test different new components. With this new heliostat, Abengoa Solar will reduce supply and manufacturing costs by approximately 35 %. Projects to improve the operation of direct steam generation parabolic trough collectors and the continued validation of thermal storage using molten salts. In the field of high-concentration photovoltaics, Abengoa has developed a module, with more than 29 % efficiency, using a technology that is not silicon based, and it is being installed in a plant in Spain. Pilot tower plant with molten salt receiver Parabolic trough direct steam generation pilot plant Photovoltaic lab high-concentration photovoltaics Dish Stirling Thermal storage pilot plant Hybrid solar-gas pilot plant Demonstration loop using oil Annual report 19

20 Abengoa Solar has a team of more than 100 people dedicated solely to research and development of more efficient solar technologies. The Solucar Complex has an R&D area and various pilot plants, including the pilot plant with a molten salt receiver, the direct steam generation plant and the hybrid solar-gas pilot plant, as seen here.

21 Tower pilot plant using the hybrid solar-gas technology under construction in the Solucar Complex (Spain).

22 ABENGOA SOLAR Annual report Letter from the CEO Advantages of concentrating solar power Plants in operation Abengoa Solar, as of year-end, has a total of 443 MW in operation. In, we consolidated our experience in operating the two main concentrating solar technologies, power tower and parabolic trough. As far as tower technology is concerned, PS10, the world s first commercial power tower, has been in operation for more than four years, and PS20 for over two, with excellent results. As for parabolic trough technology, Abengoa Solar has reached a total of 250 MW in operation, with Helioenergy 1 and 2, 50 MW plants at the Écija Solar Complex, coming online and the three 50 MW plants at the Solucar Complex, Solnova 1, 3 and 4. The 150 MW Hassi-R Mel combined-cycle hybrid plant with a solar field in Algeria also went into operation. Abengoa Solar has 12 MW of photovoltaics in operation in six plants using various technologies, including high-concentration photovoltaics. Solucar Complex When PS10 began operating in 2007, apart from being the world s first solar thermal power tower in commercial use, it was also the first plant to incorporate a storage system. This storage system enables the plant to continue generating electricity for approximately one hour, and serves to continue production during transitory periods when the sun is not shining or at the end of the day when the solar radiation is insufficient. Since entering into operation, PS10 has helped prove the viability of tower technology on a commercial scale. PS20, the world s second solar power tower plant which has been operating commercially since 2009, incorporated highly significant enhancements developed by Abengoa Solar over the first power tower, PS10. PS20 features a more efficient receiver and a variety of improvements in the operation and control systems, as well as the thermal energy storage system. After more than a year in operation, the three parabolic trough plants located at the Solucar Complex, Solnova 1, Solnova 3 and Solnova 4, are providing significant value to the company by serving as the basis for future plants in Spain, the United States, Abu Dhabi, and South Africa. Annual report 22

23 Letter from the CEO Advantages of concentrating solar power ABENGOA SOLAR Annual report Écija Solar Complex In, Abengoa Solar began operating two parabolic trough plants, 50 MW each, at the Écija Solar Complex. These plants were developed through a joint venture with E.On. This constitutes a significant milestone for both companies and underscores their commitment to furthering solar energy development. These were the first plants that Abengoa Solar has brought online with the participation of an industrial partner. ABENGOA SOLAR In the case of the second plant in this complex, Helioenergy 2, the rights allowed under its inscription in the Spanish Registro Administrativo de Instalaciones de Producción en Régimen Especial went into effect as of January 1, 2012, after the close of. Annual report 23

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25 Sunset in the solar field in Solana. From an environmental perspective, the plant offers clean, greenhouse gas free energy for approximately 70, 000 homes, preventing almost half a million tons of CO 2 emissions from being emitted into the atmosphere each year.

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27 The Solucar Complex produces the equivalent amount of energy to power 94,000 homes and prevents more than 114,000 tons of CO 2 emissions each year.

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29 The Solucar Complex, currently with 183 MW in operation, employs solar tower technology, parabolic troughs and photovoltaics, in addition to the pilot plants of various technologies.

30 ABENGOA SOLAR Annual Report Letter from the CEO Advantages of concentrating solar power El Carpio Solar Complex In the beginning of February 2012, the first of the 50 MW parabolic trough plants that Abengoa Solar is building together with Japanese JGC Corporation at the El Carpio Solar Complex went into operation. The second plant started commercial operation at the beginning of March Each plant will yield energy production equivalent to powering 25,700 households, minimizing natural resource consumption and waste generation. Each plant will prevent the emission of 31,400 tons of CO 2 into the atmosphere. ABENGOA SOLAR Annual report 30

31 Letter from the CEO Advantages of concentrating solar power ABENGOA SOLAR Annual Report Hassi-R Mel Together with New Energy Algeria, in Abengoa began operation of the 150 MW solar combinedcycle hybrid plant in Hassi-R mel, Algeria. The solar field is comprised of 224 parabolic troughs and has the capacity to produce up to 25 MW of power. Apart from significant energy and fuel savings, the design of this power station will reduce CO 2 emissions by around 33,000 tons for each year the plant is in operation. ABENGOA Annual report 31

32 ABENGOA SOLAR Annual report Letter from the CEO Advantages of concentrating solar power Photovoltaic plants Abengoa Solar has six photovoltaic plants in operation in Spain, with a total capacity of 12 MW of various technologies. Of these plants, noteworthy are Sevilla PV, which has been in operation since 2006, and Casaquemada PV, with 1.9 MW of which 100 kw are highconcentration PV. The remaining capacity is divided between the Copero PV, Las Cabezas PV and Linares PV plants. Annual report 32

33 High-concentration photovoltaic module (HCPV). Abengoa Solar brought this high-concentration PV system to market in April of. 33

34 ABENGOA SOLAR Annual report Letter from the CEO Advantages of concentrating solar power Plants under construction Extremadura Solar Complex The solar complex is comprised of four 50 MW parabolic trough plants, all under construction. Two of them, 70 % owned by Abengoa Solar and 30 % by Japanese Itochu, are scheduled to go into commercial operation in The other two plants will enter into operation in the second half of Each plant will produce the equivalent of the energy needed to power 25,700 households, minimizing the consumption of natural resources and the generation of waste. Each facility will likewise prevent the emission of 31,400 tons of CO 2 into the atmosphere. ABENGOA SOLAR Annual report 34

35 Letter from the CEO Advantages of concentrating solar power ABENGOA SOLAR Annual report Castilla-La Mancha Solar Complex Located between the towns of San Juan, Villarta de San Juan and Puerto Lápice (Castilla-La Mancha), this solar complex is made up of two 50 MW parabolic trough plants. The facilities are expected to enter into commercial operation over the course of Each plant will yield production equivalent to supplying energy to 25,700 homes, minimizing natural resource consumption and waste generation. Each facility will also eliminate the emission of 31,400 tons of CO 2 into the atmosphere. Annual report 35

36 ABENGOA SOLAR Annual report Letter from the CEO Advantages of concentrating solar power Solana Located approximately 70 miles southwest of Phoenix, Arizona, Solana is one of the largest solar thermal power plants under construction in the world. The plant has a gross power output capacity of 280 MW and employs state-of-the-art parabolic trough technology. Solana will produce enough energy to power the equivalent of 70,000 American households, and will prevent the emission of 475,000 tons of CO 2 per year. The power generated will be sold to Arizona Public Service (APS), the largest electric utility in the state of Arizona through a 30-year power purchase agreement. Solana will include six hours of molten salt technology-based storage, which will provide power during periods of cloud cover or after sundown. With this storage capability, Solana will generate electricity to meet peak demand in Arizona. The plant is currently under construction, meeting all anticipated schedules. The process of parabolic trough assembly began recently and Solana will begin operation in Annual report 36

37 Letter from the CEO Advantages of concentrating solar power ABENGOA SOLAR Annual report Mojave This project stems from a contract signed with Pacific Gas & Electric (PG&E) to supply electricity that will be generated at the new 280 MW (gross) plant, Mojave Solar Project. The plant is located around 100 miles northeast of Los Angeles and is generating around 1,600 new construction jobs and 85 permanent facility operation and maintenance jobs. This leading-edge parabolic trough plant features various key components that are designed by Abengoa Solar and manufactured locally. The project is giving a significant economic boost to the region by helping the State of California to meet its renewable energy targets, substituting solar energy and other alternative sources that prevent the emission of greenhouse gases for fossil fuels. The construction of the plant began in and it will begin operation in Annual report 37

38 ABENGOA SOLAR Annual report Letter from the CEO Advantages of concentrating solar power Shams-1 This project arose from a consortium comprised of Abengoa Solar, Masdar and Total, signifying a strategic milestone for Abengoa Solar given the tremendous development potential throughout the Middle East. The Shams-1 plant covers an area of approximately 741 acres in the Abu Dhabi desert, and will have a power output capacity of 100 MW with nearly 600,000 m 2 of Abengoa Solar-designed ASTRØ parabolic trough collectors. Among the plant s other innovative features, the plant uses a dry cooling system. Construction is moving along satisfactorily and the plant is expected to go into operation in late ABENGOA SOLAR Annual report 38

39 Letter from the CEO Advantages of concentrating solar power ABENGOA SOLAR Annual report Plants in pre-construction South Africa Abengoa Solar was selected by the South African Department of Energy to develop the country s first two solar thermal power projects. These projects are part of South Africa s plan to meet their goal that by 2030, 17,800 MW will come from renewable energy sources, reducing the country s dependence on oil and natural gas. Abengoa Solar will own 51 % of the projects, and the remaining 49 % will belong to the state-owned Industrial Development Corporation (IDC). IDC is South Africa s largest development finance institution and has contributed to the industrial development needed for the country s economic growth. Khi Solar One (50 MW) will be Abengoa s third commercial solar power tower, and the first to be built outside of Spain. This plant, equipped with two hours of storage, represents a significant technological advance in efficiency due to a process using higher temperatures. This is the product of the new generation of superheated steam technology developed by Abengoa in its R&D facilities. This plant will employ dry cooling and will consequently reduce water consumption by 80 %. KaXu Solar One, a 100 MW parabolic trough plant, will have 3 hours of storage capability and will use dry cooling. It will be the largest concentrating solar power plant on the African continent. ABENGOA SOLAR Plants under development Abengoa Solar has a team of more than 100 people dedicated to plant promotion in the markets in which the company operates. In recent years, Abengoa Solar has made a tremendous effort in promoting solar plants which has given rise to an extensive portfolio of both concentrating solar power and photovoltaic projects that are in different phases of promotion. Annual report 39

40 The solar power tower PS20 prevents the emission of 12,000 tons of CO 2 into the atmosphere each year.

41 Molten salt thermal storage tank in Solana. The plant will use this system to produce electricity during cloudy periods and after the sun goes down, meeting the peak demand this area has during the summer months.

42 ABENGOA SOLAR Annual report Letter from the CEO Advantages of concentrating solar power Industrial applications Abengoa Solar offers solar solutions for all types of companies, including medium-sized solar thermal systems to supply thermal energy or heat specifically designed for all types of industrial processes. We also offer roof-top and small photovoltaic systems for our commercial clients. For solar thermal, Abengoa Solar designs, engineers, manufactures, and assembles parabolic trough systems for supplying industrial steam to industrial customers. This industrial steam can be used in a wide variety of processes, including building air conditioning, heat generation and a number of industrial processes. Project highlights in were the following: Minera El Tesoro, Chile Abengoa Solar executed the design and engineering for one of the largest industrial solar steam systems in the world. Located in Antofagasta, Chile, the system will have a maximum power output capacity of 10 MW and will reduce fossil fuel use by 50 % in the copper refining process. At the same time, the plant will prevent the emission of 10,000 tons of CO 2 per year. Plant operation and customer turnover is expected in Other installations Abengoa Solar is building a solar thermal plant to supply thermal energy on land adjacent to the Kraft Foods facilities in Brazil. The aim of this project is to balance the factory s demand for hot water. Plant start-up and customer turnover is scheduled for March Abengoa Solar supplied a demonstration plant to the Red River College of Applied Arts, Science and in Winnipeg, Canada. The plant is intended to test the technology under extreme temperature conditions. Abengoa Solar installed two 40 kw photovoltaic rooftops at Cummins Power Generation facilities located in Fridley and Shoreview, Minnesota. Annual report 42

43 Letter from the CEO Advantages of concentrating solar power ABENGOA SOLAR Annual report Key component and technology supply As a result of its technological leadership and experience gained from executed projects, Abengoa Solar has developed a business activity dedicated to third-party sale of key components for concentrating solar power and photovoltaic plants. In tower technology, Abengoa designs, manufactures and offers to third parties solar tower heliostats. Actually, Abengoa offers complete solar fields, with heliostats of different dimensions and characteristics, installation and operation start-up. Similarly, Abengoa Solar offers third parties solar tower receivers of different dimensions and technologies. In the area of parabolic trough technology, Abengoa offers several collectors, including turn-key installation. Abengoa Solar has a strategic alliance with Rioglass Solar for the manufacturing of mirrors for the solar fields. We participated in the founding of this company in 2007 and it is the world leader in parabolic trough mirror supply for the solar industry. Abengoa offers the construction of turn-key parabolic trough solar fields and plants. Currently, Abengoa is constructing the parabolic trough field of the hybrid solar-gas plant in Agua Prieta, Mexico. Abengoa Solar has ample solar tracking experience due to extensive operation of concentrating solar power plants. As a logical consequence of this adquired knowledge, Abengoa Solar developed its own tracking systems for photovoltaic plants, like the T140 tracker, designed specifically for ground installations, and the Tornasol, which is ideal for roof-top installations. In high-concentration photovoltaics, Abengoa Solar sells the M300 module with 29 % efficiency rates. Annual report 43

44 Parabolic trough collectors in the industrial installation on the roof of Campus Palmas Altas, Abengoa s headquarters, in Seville, Spain.

45 Heliostat in PS10 solar tower plant. PS10 s solar field is comprised of 624 heliostats and each one measures 120 square meters.

46 ABENGOA SOLAR Annual report Letter from the CEO Advantages of concentrating solar power Corporate Social Responsibility (CSR) has become one of the cornerstones of the company s business strategy. With this in mind, in Abengoa Solar not only continued to work towards growing as a company, but also ensured that this growth be sustainable by working to guarantee the impacts of its activities are positive for society and for the environment. The company s relationship with staff, local community, customers and partners, and suppliers is the foundation of the CSR strategy. The basis of this relationship is the transparent disclosure of information and community engagement by the company. In, ties between the local community and the company were strengthened, consolidating the partnering-related tasks in the communities where solar plants are located through open house events organized for the town of Sanlúcar la Mayor and other communities surrounding the Solucar Complex, as well as ongoing guided visits to the complex. Annual report 46

47 Letter from the CEO Advantages of concentrating solar power ABENGOA SOLAR Annual report Generating energy from the sun is an activity that results in numerous environmental and social benefits, including greenhouse gas emission reduction and lowering the dependence on fossil fuels. Abengoa Solar also engages in a number of activities aimed at magnifying the positive effect of solar energy in the local communities where the company operates. Noteworthy among these initiatives related to the environment is the first phase of the Sustainable Mobility Plan being implemented at the Solucar Complex to streamline commuting to and from work towards being more sustainable, and the renewal for the third consecutive year of EcoPass, the Denver Regional Transportation District (RTD) program aimed at promoting public transportation in the United States. An internal standard has also been implemented throughout Abengoa s companies in order to generate an inventory of greenhouse gas (GHG) emissions. This norm is intended to define the methodology for generating and maintaining the emissions inventory, and enables all Abengoa companies to monitor and report both direct and indirect GHG emissions. The purpose of this inventory is to gain in-depth knowledge of the GHG emissions associated with each Abengoa activity in order to assess the situation with respect to the competition and identify options for improvement, evaluate our company s providers according to their emissions, and label Abengoa products and services, identifying their GHG emissions. As a result of the company s own activity, monitoring is conducted on the number of tons of CO 2 prevented from being released into the atmosphere through solar power generation. Since its inception, Abengoa Solar has managed to prevent over 236,460 tons of CO 2 emissions into the atmosphere. Annual report 47

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49 Sunrise in Solana, which is currently under construction in Arizona, United States.

50 ABENGOA SOLAR Annual report Letter from the CEO Advantages of concentrating solar power In operation Spain Solucar Complex, Seville Solnova 1 Solnova 3 Solnova 4 PS10 PS20 Sevilla PV Casaquemada PV Écija Solar Complex Las Cabezas PV Copero PV Linares PV Algeria ISCC Hassi-R mel Total Under construction Spain El Carpio Solar Complex Extremadura Solar Complex Castilla-La Mancha Solar Complex United States Solana, Arizona Mojave, California United Arab Emirates Shams-1, Abu Dhabi Total Pre-construction South Africa Kaxu Solar One Khi Solar One Total 50 MW 50 MW 50 MW 11 MW 20 MW 1.2 MW 1.9 MW 2X50 MW 5.7 MW 0.8 MW 1.9 MW 150 MW 443 MW 2x50 MW 4x50 MW 2x50 MW 280 MW 280 MW 100 MW 1,060 MW 100 MW 50 MW 150 MW Annual report Data as of December 31,. In case of the Ecija Solar Complex, the inscription of the second 50 MW plant in the Registro Administrativo de Instalaciones de Producción en Régimen Especial took effect as of January 1,

51 Letter from the CEO Advantages of concentrating solar power ABENGOA SOLAR Annual report Board of Directors Chairman Vice Chairman Director Director Director Director Director Santiago Seage Daniel Villalba Vilá H.R.H. Prince Carlos de Borbón Dos Sicilias Manuel Gasset Loring Francisco Javier Salas Collantes Bernardo Villazán Gil José Domínguez Abascal Management Structure Chairman and Chief Executive Officer Spain U.S. International Santiago Seage Eduardo Duque Armando Zuluaga Michael Geyer New Technologies Tower Parabolic trough Photovoltaic Antonio Esteban Henry Price Fernando Celaya Solar Complexes Solucar Écija El Carpio Castilla- La Mancha Extremadura Solana Mojave Valerio Fernández Rafael Osuna José Emilio Camacho Jorge Osborne José Esteban del Corral Emiliano García Frederick Redell Contact: Allison Lenthall, Director of Communication Annual report 51

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