July 20, 2017

FLORIDA MUNICIPAL ELECTRIC ASSOCIATION

ANNUAL CONFERENCE

Project-Based Energy Services Not-for-Profit

Operations

Resource Development

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Regulation & Market Complexities Coal Clean Air Act of 1970 111(b) – New Source Performance Standards 111(d) – Clean Power Plan (repealed?) Regional Haze Rulings

Useful life Fuel Competitiveness

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Regulation & Market Complexities Federal Power Act 1935 Regional Transmission Markets California Independent System Operator (CAISO) Mountain West Transmission Group (SPP West)

Energy Imbalance Market (EIM) Reliability Ramp Rate

Public Utility Regulatory Policies Act 1978 (PURPA) Integrated Resource Plans (IRP) Low priced renewable energy projects

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Regulation & Market Complexities Energy Policy Act of 2005 (EPC ‘05) Exempted hydraulic fracturing from Clean Water Act Clean coal initiative Tax credits for wind, solar, energy efficiency and

nuclear Public electric utilities must offer net metering DOE loan guarantees Extended daylight savings time by five weeks Set electric grid reliability standards

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Regulation & Market Complexities Renewable Energy Endangered Species Act of 1973 Migratory Bird Treaty Act of 1918 Bald & Golden Eagle Protection Act of 1940

Natural Gas Clean Water Act of 1972 What is the end-goal for C02 reduction Fuel price volatility

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Regulation & Market Complexities Load growth Energy efficiency Distributed generation Replacement capacity Future power market

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Why the CFPP NuScale technology Cost competitive Reduced exposure to environmental regulations Modular generation additions Small footprint on the land

Phased development approach provides UAMPS the ability to gain clarity on regulation and market complexities and the cost of compliance costs --compared to the costs relative to proceeding with the CFPP

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Why the CFPP (cont) Cost competitiveness provides UAMPS with: Option as to carbon regulation in the future Fuel stability Stable regulatory environment

Multiple generation fits well into future market structures EIM participation Fast ramp rate Integration of variable resources

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What is a NuScale Power Module?

Each NPM is installed below-grade in a seismically robust, steel-lined, concrete pool

NPMs can be incrementally added to match load growth - up to 12 NPMs for 600 MWe gross (~570 net) total output

A NuScale Power Module (NPM) includes the reactor vessel, steam generators, pressurizer and containment in an integral package that eliminates reactor coolant pumps and large bore piping (no LB-LOCA)

Each NPM is 50 MWe and factory built for easy transport and installation

Each NPM has its own skid-mounted steam turbine-generator and condenser

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*Source: NRC

Size Comparison

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Reactor Building Cross-SectionReactor building houses NuScale power modules, spent fuel pool, and reactor

reactor building crane

refueling machine

reactor pool

weir reactor vessel flange tool

containment vessel flange tool

NuScale Power Module

biological shield

spent fuel pool

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Reactor Building Overhead View

reactor building cranecontainment vessel flange tool

reactor vessel flange tool

refueling machinespent fuel pool

module import trolley

reactor pool

NuScale Power Module

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Site Overview

annex building

warehouse

cooling towers A

cooling towers B

reactor building

administration building

radwaste building

switchyard

turbine building B

ISFSI (dry cask storage)

turbine building A

parking

control building

protected area fence

34.5 acres (~14 hectares) within the protected area fence

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Normal Operation Primary side

natural circulation integral pressurizer No Reactor Coolant

Pumps

Secondary side feedwater plenums two helical steam

generators with large surface area per volume to maximize thermal efficiency

steam plenums

main steam line

pressurizer

helical coil steam generator

main feedwater line

hot leg riser

downcomercore

primary coolant flow path

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NuScale Power Train

NOT TO SCALE

main steam isolation valves

main feedwater isolation valves

decay heat removal actuation valves

decay heat removal passive condenser

control rod drives

reactor vent valves

steam header

feedwater header

control rodsreactor recirculation

valves

reactor pool

containment vessel

reactor pressure vessel pressurizer

upper plenum

steam generators

hot leg riser

reactor coredowncomer

lower plenum

safety relief valves

• Each NuScale power module feeds one turbine generator train eliminating single-shaft risk

• 100% turbine bypass capability• Generator is totally enclosed water to air

cooled (no hydrogen cooling required)• Small, simple components support short,

simple refueling outages

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Simplicity Enhances Safety

Natural Convection for Cooling Passively safe, driven by gravity, natural circulation

of water over the fuel No pumps, no need for emergency generators

Seismically Robust System submerged in a below-ground pool of water

in an earthquake resistant building Reactor pool attenuates ground motion and

dissipates energy Simple and Small

Reactor core is 1/20th the size of large reactor cores

Integrated reactor design, no large-break loss-of-coolant accidents

Defense-in-Depth Multiple additional barriers to protect against the

release of radiation to the environment

Steel containment has >10 times pressure rating than typical PWR

Water volume to thermal power ratio is four times larger than typical PWR

Reactor core has onlyfive percent of the fuelof a large reactor

160 MWt NuScale Power Module

All safety equipment needed to protect the core is shown on this picture

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Triple Crown of Nuclear Safety

WATER COOLING BOILING AIR COOLING

Reactors cooled for an unlimited time without Operator Action, AC or DC Power, or additional water

* Based on testing and conservative calculations assuming all 12 modules in simultaneous upset conditions and reduced pool water inventory

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Reducing Plant RiskRisk = (frequency of failure) X (consequences)

Probability of core damage due to NuScale reactor equipment failures is 1 in 100,000,000 years

Ground level

ReactorVessel

ContainmentPool StructureAnd Liner

Fuel Clad

Reactor Pool

BiologicalShield

Reactor Building

10‐8

10‐7

10‐6

10‐5

10‐4

10‐3

NRC Goal (new reactors)

Operating PWRs

Operating BWRs

New LWRs(active)

New LWRs(passive)

NuScale10‐9

Cor

e D

amag

e Fr

eque

ncy

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Smaller Emergency Planning Zone (EPZ) Due to Enhanced Safety

(depending on site characteristics)

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NuScale 12-Module Control Room Simulator

Corvallis, Oregon

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NuScale Diverse Energy Platform

10-Module Plant coupled to a 250,000 barrels/d refinery

Oil Refineries Study - Reduction of Carbon Emissions

(Fluor and NuScale)

Hydrogen Production Study – High-Temperature Steam Electrolysis

(INL and NuScale)

Desalination Study – Sized for the Carlsbad Site

(Aquatech and NuScale)

1-Module dedicated to UAMPS 57.6 MW wind farm

Integration with Wind Study - Horse Butte Site

(UAMPS, ENW and NuScale)

6-Module Plant for Emission Free Hydrogen Production

8-Module Plant can produce 50 Mgal/d (190K m3/d) of clean water plus 350 MWe

Reliable Power for Mission Critical Facilities (NuScale)

12-Module Plant coupled to a100 MWe Mission Critical Facility

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NuScale Redundant Array of Independent Reactors (RAIR)

for Mission Critical Facilities Highly reliable power is required for Mission-Critical

Facilities. Hospitals, Data Centers, Government Facilities,

banking or retail systems Security systems, telecommunications, air traffic

control Safety systems for conventional Nuclear Plants

Process failure can cause significant financial or reputational damage to the organization or may impact national security or safety570 MWe net

> 95% Capacity

NuScale 12-Module Plant

DEDICATED MICROGRID95 MWe net

> 99.99% Availability

UTILITY MACROGRID

MISSION CRITICAL FACILITY

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Funding

Participant Assessment FinancialTax-Exempt Financing DOE Loan Guarantee

DOE Cooperative AgreementSite Development

NuScale Cost ShareCOLA

Advance Nuclear Production Tax Credit

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CFPP TEAM

NuScale—OEM Provider Fluor Corporation—EPC Contractor ENERCON—Siting Consultant Energy Northwest—Operator Hogan Lovells—NRC & DOE Counsel for UAMPS Other consultants and legal advisors with particular

expertise Givens Pursley—ID water and environmental counsel to

UAMPS Banks Bank of America Merrill Lynch Piper Jaffery

Other consulting work as needed26

Objectives

UAMPS’ FY17 Fatal flaws Monitor NuScale Design Certification Process

UAMPS’ FY18 Enter into take-or-pay Power Sales Contracts Capitalize CFPP

UAMPS’ FY18 Submit COLA

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NRC Licensing

UAMPS plans to submit a Combined Operating Licensing (COL) application in Q4 of 2018 or Q1 of 2019 39 month NRC review period NRC will compile an Environmental Impact Statement (EIS)

analyzing the impacts of constructing, operating, and decommissioning the CFPP on the human environment

Pre-COL Application submittal activities Site Characterization work for potential sites Pre-engagement work with NRC on licensing issues unique to

NuScale’s technology NRC license for on-site spent fuel storage generated by

CFPP NuScale Design Certification Application (DCA) Process by which NRC approves NPM technology 39 month review period

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USE Agreement UAMPS and DOE has entered into a use agreement

February 2016 Use agreement will serve as the vehicle to allow UAMPS to

explore certain sites at INL Final site for CFPP would not be designated in the use permit

until after NRC NEPA is complete NEPA strategy—DOE conditionally agrees to the future actions

pending NRC completing its permitting process Other Provisions

Site Access Security Plan Emergency Planning Licensee Control of CFPP Facility Fuel Transport Spent Fuel Storage—on site storage covered under NRC COL issued

to CFPP Decommissioning DOE Orders

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Why INL Site? Community Experience and knowledge of nuclear development Experience workforce

Site data requirements Numerous studies and data collection for NRC

Location near UAMPS members Existing infrastructure Readily available land and resources Electrically sound Transmission availability to members Adds system balance and integrity to region

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Idaho National Laboratory Site

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View of Site – Closest Highway Approach

(On Hwy 26 approaching junction with Hwy 20, viewing elevation of ~ 100’ )

Southwest

CFPP

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• NuScale includes unique capabilities for following electric load requirements as they vary with customer demand and rapid output variations from renewables: NuFollow™

• There are three means to change power output from a NuScale facility:– Dispatchable modules – taking one or more reactors offline for

extended periods of low grid demand or sustained wind output– Power Maneuverability – adjusting

reactor power for one or more modules (intermediate time frames)

– Turbine Bypass – bypassing turbine steam to the condenser (short timeframes)

• Explored integration with Horse Butte wind farm in Idaho

• Partnered with Utah Associated MunicipalPower Systems and Energy Northwest

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Horse Butte Wind Farm Commissioned in 2012 32 Vestes V100 turbines 1.8 MWe capacity per

turbine 57.6 MWe total capacity 17,600 acres

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000

40,000

45,000

24 hour output (Nov. 11, 2014)

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Examples: Load-following Options

Reactor output

Turbine bypass

0%

20%

40%

60%

80%

100%

120%

4:00 5:00 6:00 7:00 8:00 9:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 18:00 19:00 20:00 21:00 22:00 23:00

Turbine bypass only

Turbine bypass

0%

20%

40%

60%

80%

100%

120%

4:00 5:00 6:00 7:00 8:00 9:00 10:00 11:00 12:00 13:00 14:00 15:00 16:00 17:00 18:00 19:00 20:00 21:00 22:00 23:00

Reactor output

Reactor power shaping + turbine bypass

422 MWh wasted (44%)

160 MWh wasted

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CAISO Demand March 27, 2017

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UAMPS CFPP Project ScheduleNovember 2016

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NPM Fabricator

2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027

ProjectDevelopment

Operations

Licensing

Construction and Fabrication

Design & Engineering

Site Characterization

Start COLA Submit COLA NRC Issue COL

Submit DCA

NRC Issue DC

NPM 12COD

Start OperationalReadiness Program

Operator Training Program

Accreditation NPM 1COD

Start Finalized

Plant Design

Complete Final Plant Design

Install NPM 12

Install NPM 1

Start NPM Fabrication

Procure Long Lead NPM Materials

Site Selection

Site Use Agreement

Implement QA program EPC Contract Execution

Onboard Partners

Site Prep & Mobilizatio

n

1st Fuel load

1st Safety Concrete Pour

FinalAcceptanceFNTP

LNTPs

Site Specific Engineering

EPC Development Agreement

Contact Information

Douglas Hunter155 North 400 West, Suite 480

Salt Lake City, UT 84103801-214-6401

doug@uamps.com