![Page 1: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/1.jpg)
© Copyright 2013, First Solar, Inc.© Copyright 2013, First Solar, Inc.
First Solar FuelSmart™: Powering Energy Security
Dr Raed Bkayrat, VP Business Development, Saudi Arabia
![Page 2: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/2.jpg)
2
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
First Solar at a Glance
Driving innovation across entire value chain and plant solution
Strongest Financial Stability & Bankability in the industry
Facilitated approx. $9B USD worth of project financing
Over 8GW installed worldwide and over 3GW contracted pipeline
Founded in 1999 and publicly traded on Nasdaq (FSLR)
Cost competitive with conventional energy sources today
![Page 3: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/3.jpg)
3
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
site: San Luis Obispo, USA
size: 550MW
owners:MidAmerican Energy
Holdings Company
TOPAZ SOLAR FARM
Largest investment grade renewable bond in history
![Page 4: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/4.jpg)
4
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
The First Solar Advantage
PV energy solutions with superior value and less risk
=More Value
& Less Risk
=More Cost
& More Risk
Other PV Providers’ Model
First Solar’s Model
![Page 5: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/5.jpg)
© Copyright 2013, First Solar, Inc.
Making the Case for Fuel Replacement
![Page 6: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/6.jpg)
6
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
Solar is Less Expensive than Diesel
• PV electricity prices have reduced over 50%
Sources: Diesel Pricing US Energy Information Administration; Solar Pricing: DOE, Lawrence Berkley National Laboratory
• Diesel prices remain highly volatile and have steadily increased
Small PV System Median Installed Price 2003–2012 WTI Crude Oil Prices 2003–2013
![Page 7: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/7.jpg)
7
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
Coal NuclearU.S. (NG) Japan (LNG)
U.S. (NG)
Gas Peaking EU (NG)
Japan (LNG) India
Diesel Australia EU
First Solar $0.00
$0.10
$0.20
$0.30
$0.40
$0.50
$0.60
Solar is Cost Competitive with Conventional Energy Sources Today
Sources: Coal and Nuclear: Bloomberg New Energy Finance LCOE Update: Q2 2013; Gas Combined Cycle, Gas Peaking, and Diesel: Lazard LCOE Sensitivity Analysis June 2013; First Solar: Internal data. (a) Does not include cost of carbon capture. (b) NG = natural gas. LNG = liquefied natural gas. Data assumes natural gas prices of $10 in Northern Europe and $18 in Japan (all in US$ per MMBTU). (c) Assumes diesel prices of $3.00 for India, $4.30 for Australia, and $7.00 for Northern Europe (all in US$ per gallon). Diesel assumes a high end capacity factor of 30% representing intermittent utilization and low end capacity factor of 95% representing base load utilization, O&M cost of $15 per KW/year, heat rate of 10,000 BTU/KWh and total capital costs of $500-$800 per KW of capacity.
a b b cGas Combined Cycle
![Page 8: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/8.jpg)
8
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
PV is Highly Compatible with High Ambient Temperatures • Thermal energy output decreases when PV energy output increases
![Page 9: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/9.jpg)
9
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
PV Hybrid Systems combine PV solar generation with a fossil fuel engine generator to reduce fuel consumption and save costs.
Solution: The PV Hybrid
Compatible with any thermal engine technology
Mid Speed EngineLow Speed Engine
Combustion Turbine High Speed Engine
![Page 10: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/10.jpg)
10
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
• Operate as a secondary power source
• Will not replace existing thermal infrastructure/fleet
• Are commercially viable due to operational fuel savings alone
First Solar FuelSmart™ Hybrid Systems
Think of solar as a source of fuel, not just additional capacity.
![Page 11: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/11.jpg)
11
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
First Solar FuelSmart™ Benefits
• Economic
• Operational
• Environmental
![Page 12: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/12.jpg)
12
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
First Solar FuelSmart™ Benefits
• Economic
• Operational
• Environmental
— Reduces fuel consumption—Saves fuel costs—Mitigates fuel price volatility risk
— PV is highly scalable and repeatable—Allows for phased implementation —Reduces technical and financial risk
![Page 13: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/13.jpg)
13
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
First Solar FuelSmart™ Benefits
• Economic
• Operational
• Environmental
— Reduces fuel consumption—Reduces imports and increases energy
independence—Reduces fuel transportation and logistics
— Reduces thermal plant operation time—Extends asset life—Increases redundancy—Reduces O&M
![Page 14: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/14.jpg)
14
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
First Solar FuelSmart™ Benefits
• Economic
• Operational
• Environmental
— Increases potential revenue via trading credits
— Reduces CO2 emissions and noise
— Contributes to positive community and PR potential
— Aids in overcoming regulatory boundaries for additional capacity for brownfield expansion
![Page 15: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/15.jpg)
16
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
How It Works – Typical Day
![Page 16: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/16.jpg)
17
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
How It Works – Typical Day
![Page 17: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/17.jpg)
18
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
How It Works – Typical Day
![Page 18: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/18.jpg)
19
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
How It Works – Typical Day
![Page 19: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/19.jpg)
20
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
How It Works – Typical Day
![Page 20: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/20.jpg)
21
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
How It Works – Typical Day
![Page 21: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/21.jpg)
22
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
How It Works – Typical Day
![Page 22: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/22.jpg)
23
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
How It Works – Typical Day
![Page 23: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/23.jpg)
24
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
How It Works – Typical Day
![Page 24: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/24.jpg)
25
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
How It Works – Typical Day
![Page 25: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/25.jpg)
26
© C
opyr
ight
201
3, F
irst
Sol
ar, I
nc.
Key Takeaways
Solar is cheaper than diesel. With fixed pricing and no fuel-price volatility, solar represents a meaningful value proposition for anyone burning liquid fuel as their primary energy source.
Think of solar as a source of fuel, not just additional generation capacity. PV hybrid systems are designed to operate as a secondary power source to reduce fuel consumption and are not intended to replace the existing thermal infrastructure.
First Solar’s FuelSmart™ solutions effectively combine photovoltaic (PV) solar generation with a fossil fuel engine generator to reduce fuel consumption and save costs.
![Page 26: © Copyright 2013, First Solar, Inc. First Solar FuelSmart™: Powering Energy Security Dr Raed Bkayrat, VP Business Development, Saudi Arabia](https://reader038.vdocuments.net/reader038/viewer/2022110304/551aacd7550346e0158b603d/html5/thumbnails/26.jpg)