Helios Energy Europe, S.L. Pza. del Xarol, 13-15 :: Pol. Ind. Les Guixeres 08915 BADALONA - Spain Heliene Modules Technical Review Final Report September 2011 OST Energy 44 North Road Brighton BN1 1YR, UK Tel: +44 (0)1273 666 880 Email: info@ostenergy.com http://www.ostenergy.com/ OST Italia S.r.l Piazzale Biancamano 820121 Milano, Italia Tel: + 39 02 6203 4000 Email: info@ostenergy.com http://www.ostenergy.com/
Issue and Revision Record Revision Date Originator Checker Approver Description v1.0 11/07/2011 MC/CM/SR OS OS Draft v2.0 16/08/2011 MC OS ST Update from factory visit v2.1 06/09/2011 MC OS OS Updated performance data Disclaimer This document has been prepared for the titled project or named part thereof and should not be relied upon or used for any other project without an independent check being carried out as to its suitability and prior written authority of OST Energy being obtained. OST Energy accepts no responsibility or liability for the consequence of this document being used for a purpose other than the purposes for which it was commissioned. Any person using or relying on the document for such other purpose agrees, and will by such use or reliance be taken to confirm his agreement to indemnify OST Energy for all loss or damage resulting there from. OST Energy accepts no responsibility or liability for this document to any party other than the person by whom it was commissioned. To the extent that this report is based on information supplied by other parties, OST Energy accepts no liability for any loss or damage suffered by the client, whether contractual or tortious, stemming from any conclusions based on data supplied by parties other than OST Energy and used by OST Energy in preparing this report. OST Energy are proud to have been named UK Renewable Advisory Firm of the Year 2010 by Finance Monthly Magazine. ii
Executive Summary OST Energy has been appointed by Heliene/Sunstroom to undertake an independent review of the PV modules they intend to install across the UK for which they will seek project finance. Heliene proposes to utilise their own branded modules across this portfolio and have been asked by various Lenders, with which they have held preliminary discussions, to provide further assistance over the technical suitability of these modules. The technical review is focused on the Heliene monocrystalline PV modules HEE215M (245 and 250Wp) which we have been requested to review. It should be noted that we would expect the same conclusions to apply to the 240Wp monocrystalline modules. In order to cover the polycrystalline technology as well, we have also reviewed the HEE210U 230Wp module. The purpose of the review will be to assess the technical suitability of the modules for use in the proposed photovoltaic installations and has been undertaken based on information contained in a data room, discussions with Heliene, information and observations from the factory visit and information from the public domain. While every effort has been made to check the validity of the provided information, OST cannot take responsibility for the completeness or otherwise of the information provided by Heliene over the course of this review. OST has undertaken the review from the point of view of Independent Engineer. Overview of the Company The Heliene group (Heliene), which is part of Helios Energy Europe SL, consists of four firms who manufacture photovoltaic modules. They share common technologies and have a common manufacturing platform developed by SAP Solar. Heliene, which started the first production line in Badalona, Spain in 2008, currently employs 45 people throughout its four manufacturing facilities. Other manufacturing facilities are located in: Heliene Inc. - Sault Ste Marie, Ontario, Canada Helios USA - Milwaukee, Wisconsin, USA Heliene France (Tournaire Solaire Energie) - France Since all of the plants are still working towards their total available production capacity, production in 2010 was 31 MWp, and the projected production level for 2011 is around ~90 MWp. The forecasted production and the total production capacity of each of the plants for the period 2010-2015 are outlined in the report. iii
Technical review of the PV modules We have reviewed the technical characteristics of the modules mentioned above, including efficiency and Fill Factor, and we have compared them to several currently available modules with similar output both at Standard Test Conditions (STC) and Nominal Operating Cell Temperature (NOCT) conditions. The efficiency of the polycrystalline 230Wp modules is in the upper range of the market while the Fill Factor is in line with average market standards. These performances are offered at a price that is in the lower range of the market. For the monocrystalline modules, the efficiency of both 245Wp and 250Wp models are comparable to the market average at both STC and NOCT. Fill Factor of both models, while being average at STC conditions, is at the lower end of common market expectations at NOCT; however they remain within the range of acceptability. Low irradiation detail has been requested but not provided for review. We have reviewed the module certifications which we consider to be in-line with market standards and appropriate for use in the EU and UK. Review of production machinery and key components Heliene s manufacturing facilities use production machinery developed and manufactured by SAP Solar, a division of SAP S.L., which is a subsidiary of Heliene. SAP Solar claim to have provided automated machinery dedicated to photovoltaic module manufacture for the past ten years, including providing turn-key production lines for PV modules. However, the company s reference section only accounts for one production line apart from the Heliene factories. The solar cells are supplied by Sunways AG (polycrystallyne) and Suniva Inc.(mono). We have sighted a sales agreement between Helios Energy Europe S.L. and Suniva Inc. for the supply of Suniva ARTisun cells and Suniva ARTisun SELECT cells (with efficiency between 18% and 19.2%) dated the 19 th November 2010. It should be noted that for the year 2011, both the aforementioned solar cells will be supplied to Heliene in variable percentages depending on availability. The remainder of the key components including junction boxes, connectors, glass, and back sheets are supplied by known manufacturers that we consider to be reputable. We do not expect any material concerns with the longevity / reliability of the components used in the Heliene modules. Manufacturing process and quality control The manufacturing process at Heliene is based on the SAP standardised production lines which limit manual operations and help control and traceability of the product throughout the whole process. iv
Heliene and SAP Solar are working to introduce the ISO 9000 standard with a minimum of paper and a focus on a fully computerised line system. In general the production facilities are in line with expectations, with a reasonable level of automation and human QA. A good technical knowledge base was evident within Heliene regarding both the components and the modules themselves. Quality assurance was reviewed and is in line with expectations with a few exceptions outlined in the main body of the report, notably the cell flash tester and module electroluminescence tester. Module operational performance data Helios Energy Europe has provided information about the operational performance data of year 2009 and 2010 for two solar parks in Spain which are using Heliene modules: Los Arcos (2.8MWp), Navarra Valhermoso (1.1MWp), Castilla La-Mancha. We note that the performance data provided by Heliene does not refer to the entire plant(s) but to the energy measured at one of the inverters in each of the two plants: Los Arcos (117kWp) Valhermoso(106kWp) At Valhermoso, the performance data appears representative of the average performance of the whole plant. At Los Arcos, only a single inverter performance was provided. We point out that no irradiation data has been modelled on the sites; therefore both projects have been compared to meteorological stations to offer an idea of system performance over the periods of 2009 and 2010. While uncertainty exists in such a comparison, the provided production data and the meteorological measured data show system performance is in line with expectations. Returns A handful of recalls were noted by Heliene, mainly due to the connections in the junction box. We do not consider this to be a material issue due to the very low proportion of modules recalled in comparison to modules manufactured. Project experience Heliene modules are installed at a number of locations throughout Europe accounting for over 23 MWp. A list of projects using Heliene modules has been reviewed and shows a general acceptability and spread of the Heliene modules in projects throughout Europe. Warranties and Guarantees v
The modules are warranted for a period of 10 years against materials or workmanship manufacturing defects, which is in-line with current market standards. The guarantee is transferable from the original client to subsequent users/clients. Performance warranty for the Heliene modules is defined as follows: 90% of the minimal power output set forth in the spec sheet for 10 years 80% of the minimal power output set forth in the spec sheet for 25 years. It should be noted that market standards are currently increasing with tighter warranties being offered. To cover underperformance, Heliene will: Repair or, Replace or, Supply additional modules to compensate the loss of power or, Refund the amount of the purchase price of the faulty modules. We note that Heliene does not take into consideration any depreciation of the modules to be refunded. We understand that the full purchase price will be refunded even after 25 years; however, this should be confirmed. Warranty exclusions appear to be in-line with basic market standards. vi
Table of Contents Executive Summary... iii 1 Introduction... 2 2 Overview of the Company... 3 2.1 The Heliene Group... 3 2.2 Current and Forecast Production... 3 3 Technical Review of PV Modules... 5 3.1 Module characteristics... 5 3.2 Heliene Polycrystalline HEE210UA65 230Wp... 7 3.3 Heliene Monocrystalline modules... 10 3.4 Certifications... 14 4 Manufacturing process and quality control... 16 4.1 Main Manufacturing Processes... 16 4.2 Suppliers of production machinery: SAP Solar... 17 4.3 Suppliers of key components... 17 4.4 Lamination... 21 4.5 Frames... 23 4.6 Quality assurance... 24 5 Module Performance... 25 5.1 Module operational performance data... 25 5.2 Performance analysis methodology... 25 6 Acceptance in the Marketplace... 33 6.1 Project Experience... 33 6.2 Bankability... 33 6.3 Established contractors working with Heliene modules... 34 7 Warranties and Guarantees... 35 7.1 Product warranty... 35 7.2 Power Guarantee... 35 7.3 Warranty exclusions and limitations... 35 7.4 Claim under guarantee rights... 36 7.1 Warranties and guarantees comparison... 36 1
1 Introduction OST Energy has been appointed by Heliene/Sunstroom to undertake an independent review of the PV modules installed in the UK for which they will seek project finance. Heliene proposes to utilise their own branded modules across this portfolio and have been asked by various Lenders and equity providers, with which they have held preliminary discussion, to provide further assistance over the bankability of these modules. The technical review is focused on the Heliene monocrystalline PV modules HEE215M (245 and 250Wp) which we understand will be the most commonly used throughout the portfolio. In order to cover the polycrystalline technology as well, we have also reviewed the HEE210U 230Wp module. This review has been undertaken based on information contained in a data room, discussion with Heliene staff, information gleamed during the site visit and the public domain. While every effort has been made to check source information, OST takes no responsibility for the completeness or otherwise of the information provided for the purpose of the review. Our report will cover the following: Overview of the Company Technical review of PV modules Certifications Suppliers of machinery, key components and information reviewed during the site visit. Suppliers assessment Operational performance data Acceptance in the market Projects experience Bankability Warranties and guarantees. Our opinions on the Project are contained throughout the report and issues of most significance are discussed in the executive summary. 2
2 Overview of the Company 2.1 The Heliene Group The Heliene group (Heliene), which is part of Helios Energy Europe SL, consists of four firms who manufacture photovoltaic modules. They share common technologies and have a common manufacturing platform: highly automated manufacturing systems developed by SAP Solar. Heliene, which started the first production line in Badalona, Spain in 2008, currently employs 45 people throughout its four manufacturing facilities. In 2010 the plant in Badalona produced 25 MWp of Heliene modules. A second line was recently installed at this plant, so production is still increasing towards the total capacity of 40 MWp. Since then, Heliene Inc. has installed a production line in Sault Ste Marie, Ontario. This plant began manufacturing in October 2010, producing 3 MWp that year. It has so far produced 15 MWp in 2011. Helios USA has opened a plant in Milwaukee, Wisconsin, starting manufacture in February 2011. This plant has produced 3 MWp so far in 2011. Heliene France (Tournaire Solaire Energie) has opened its manufacturing line in Grasse, France, within the last month. The total capacity of this plant is 20 MWp per year. Heliene claims the standardisation of their automated production lines across different facilities allows uniform manufacturing standards and homogeneity of the final product which we consider a rational claim. 2.2 Current and Forecast Production As described above, Heliene operates several PV module manufacturing facilities. Since all of the plants are still working towards their total production capacity, production in 2010 was 31 MWp, and the projected production level for 2011 is around ~90 MWp. The forecasted production and the total production capacity of each of the plants for the period 2010-2015 are outlined in the table below. 3
Table 1: Forecasted production and total production capacity of each Heliene facility Location 2010 2011 2012 2013 2014 2015 Forecast Capacity Forecast Capacity Forecast Capacity Forecast Capacity Forecast Capacity Forecast Capacity Spain 25 25 30 35 25 40 40 40 40 40 40 40 Ontario 3 10 30 32 45 45 55 60 60 60 60 60 Milwaukee 3 4 15 32 25 32 45 64 65 100 75 100 France 0 0 15 20 50 60 100 112 100 112 100 112 TOTAL 31 39 90 119 160 177 240 276 265 312 275 312 Utilization Ratio 79% 76% 90% 87% 85% 88% 4
3 Technical Review of PV Modules This section of the report reviews the technical characteristics of the Heliene HEE215MA67 (245Wp) and HEE215MA68 (250Wp) monocrystalline modules which we understand will be the most commonly used throughout the portfolio. In order to cover the polycrystalline technology as well, we have included the polycrystalline HEE210UA65 230Wp module. Certifications are also reviewed in this section. 3.1 Module characteristics Below are the technical characteristics of the aforementioned modules at Standard Test Conditions (STC) of 1000W/m 2, cell temperature 25 C, AM1.5 in accordance with EN 60904-3. Table 2: Module Technical Characteristic (STC) Parameter Unit HEE210UA65 230Wp HEE215MA67 245Wp HEE215MA68 250Wp Rate output PMPP (W) 230 245 250 Power tolerance %/Wp ±3% ±3% ±3% Maximum Power voltage (V) 29.50 30.03 30.30 Maximum Power current (A) 7.80 8.18 8.22 Open-circuit voltage (V OC ) (V) 36.80 37.26 37.40 Short-circuit current (I SC ) (A) 8.38 8.71 8.72 System Voltage (V) 1,000 1,000 1,000 By-pass diodes 3 3 3 Temperature coefficient of P Max % / C -0.43-0.44-0.44 Temperature coefficient of V OC % / C -0.32-0.34-0.34 Temperature coefficient of I SC % / C 0.07 0.07 0.07 Nominal Operating Cell Temperature ( C) 45 45 45 5
Operating temperature ( C) -40/+80-40/+80-40/+80 We consider the above characteristics to be in line with market standard. The I-V curve shows the difference in current and voltage when the module is exposed to a reduced irradiance from the STC (1000W/m 2 ) and shows the performance of the module at different levels of irradiance. Figure 1 shows the I-V Curves at various irradiance levels at 25 o C for the HEE215MA67 245Wp Heliene module as provided by the manufacturer. The I-V curves for the remaining two models of PV modules we have analysed in this report have been requested to Heliene. Figure 1: I-V Curves at various Irradiance levels at 25 o C Although it could be possible to ascertain the maximum power and the efficiency of the module at each of the different irradiance levels by knowing the current and voltage at that level, these figures are rarely obtainable from manufacturers and were not provided by Heliene. Further information should be provided on power variations at low irradiation in order to assess the full spectrum of performance. 6
Module efficiency is an electrical characteristic that helps us understand how effective a solar PV module is at converting light to electricity. Depending on construction, photovoltaic panels can produce electricity from a range of frequencies of light, but cannot cover the entire solar spectrum. Hence much of the incident sunlight energy is wasted by solar panels. The efficiency is defined as the ratio of the incident sunlight energy on the module, or more specifically the cells surface of the module, to the actual power output of the module. This value is given by the manufacturers at STC. Another approach to the performance of the modules is under Normal Operating Cell Temperature (NOCT) conditions. The NOTC rating, which is lower than the STC rating, is generally recognized as a more realistic measure of PV output because the test conditions better reflect "real-world" solar and climatic conditions. The NOCT conditions are as follows: Irradiance of 800W/m 2 Cell temperature of 45 o C Ambient temperature of 20 o C Wind speed of 1m/s. A further analysed characteristic to compare the performance of a solar PV module is the Fill Factor. The Fill Factor is defined as the ratio (or percentage) of the actual maximum obtainable power to the theoretical power (V OC X I SC ). Graphically, the Fill Factor is a measure of the "squareness" of the solar cell and is also the area of the largest rectangle which will fit under the I-V curve. Typical commercial available solar cells have a Fill Factor greater than 0.70. Grade B cells have a fill factor usually between 0.4 and 0.7. We have analysed the Fill Factor at both STC and NOCT. The following sections include tables and figures which are derived from a comparison of the Heliene modules to a range of currently available modules in the market place. We note that actual modules names could not be used due to confidentiality. 3.2 Heliene Polycrystalline HEE210UA65 230Wp Table 3 below shows a comparison of the efficiency and Fill Factor for several currently available polycrystalline modules with an output of 230Wp at both STC and NOCT conditions. To enable a better comparison of the above characteristics, the table also includes the price and/or range of prices for the polycrystalline modules, where available. We note that the Heliene prices are as of 17 th June 2011. 7
Table 3: Efficiencies, Fill Factor and Prices Comparison (230Wp) Manufacturer Power (STC) Power (NOCT) Efficiency (STC) Efficiency (NOCT) Fill Factor (STC) Fill Factor (NOCT) Price /W M1 230 168 13.94% 12.73% 0.758 0.742 1.23-1.49 M2 230 167 14.09% 12.79% 0.748 0.733 1.26-1.42 M4 230 167 13.48% 12.23% 0.749 0.723 1.55-1.59 M5 230 164.4 13.72% 12.26% 0.756 0.721 M6 230 167 14.02% 12.73% 0.750 0.758 1.67-1.75 M7 230 168 13.86% 12.65% 0.747 0.748 1.64 M8 230 167.7 13.77% 12.55% 0.736 0.750 1.45-1.58 M9 230 167 14.08% 12.78% 0.740 0.732 1.19-1.45 Heliene 230 171 13.83% 12.85% 0.746 0.734 1.35 1.47 (Pricing data source: Photon International April 2011) The data in Table 3 are shown graphically in the Figure 2 and Figure 3 below. Figure 2: Efficiency Comparison at STC (left) and NOCT (Right) conditions 8
Figure 3: Fill Factor Comparison at STC (Left) and NOCT (right) conditions From the figures above it is possible to see that the 230Wp polycrystalline Heliene modules efficiency is comparable to the market average at STC while, for NOCT conditions, the module efficiency is at the top of the market. The Fill Factor at both STC and NOCT is in the midrange of the market. Figure 4 below indicates that Heliene provides this performance at competitive prices. Figure 4: Comparison of the prices of polycrystalline. Overall, considering the characteristics outlined in the sections above, the Heliene polycrystalline modules have good performances at an average price that is in the lower range of the market. 9
3.3 Heliene Monocrystalline modules This section outlines a comparison of several currently available monocrystalline modules with an output of 245Wp and 250Wp at both STC and NOCT conditions. We note that the prices of both monocrystalline modules are compared graphically to that of other currently available market modules in Section 3.3.3 3.3.1 HEE210MA67 245Wp Table 4 below shows a comparison of the efficiency and Fill Factor for modules with an output of 245Wp. The price and/or range of prices for the monocrystalline modules, where available, are also included in the table. We note that the Heliene prices are as of 17 th June 2011. Table 4: Efficiencies, Fill Factor and Prices Comparison (245Wp) Manufacturer Power (STC) Power (NOCT) Efficiency (STC) Efficiency (NOCT) Fill Factor (STC) Fill Factor (NOCT) Price /W M1 245 180 14.85% 13.64% 0.772 0.761 1.23-1.49 M2 245 178 15.01% 13.63% 0.772 0.754 1.26-1.42 M3 245 178.97 14.63% 13.36% 0.766 0.764 1.42 M4 245 178 14.73% 13.38% 0.744 0.723 1.64-1.66 M5 245 179.1 14.61% 13.35% 0.788 0.782 M6 245 176 14.94% 13.41% 0.766 0.752 1.66-1.75 M7 245 178 15.01% 13.63% 0.772 0.754 1.64 M8 245 178.73 14.67% 13.38% 0.757 0.767 1.45-1.58 M9 245 177.9 15.00% 13.61% 0.750 0.734 1.37-1.40 M10 245 15.23% 0.761 1.20-1.42 Heliene 245 179 14.73% 13.45% 0.757 0.722 1.38 1.50 (Pricing data source: Photon International April 2011) 10
The data in Table 4 are shown graphically in the Figure 5 and Figure 6 below. Figure 5: Efficiency Comparison at STC (left) and NOCT (right) conditions Figure 6: Fill Factor Comparison at STC (left) and NOCT (right) conditions From the figures above we can conclude that the 245Wp monocrystalline Heliene modules efficiency is comparable to the market average at both STC and NOCT conditions. The Fill Factor at STC is in the lower range of the market. However, apart from the M5 module figure, the Fill Factor gap between the other upper range modules and Heliene is very limited and within usual expectations. At NOCT, the Heliene Fill Factor is the lowest of the modules reviewed, however, again remains within expectations. 11
3.3.2 HEE210MA68 250Wp Table 5 below shows a comparison of the efficiency and Fill Factor for modules with an output of 250Wp. The price and/or range of prices for the monocrystalline modules, where available, are also included in the table. We note that the Heliene prices are as of 17 th June 2011. Table 5: Efficiencies, Fill Factor and Prices Comparison (250Wp) Manufacturer Power (STC) Power (NOCT) Efficiency (STC) Efficiency (NOCT) Fill Factor (STC) Fill Factor (NOCT) Price /W M1 250 183 15.15% 13.86% 0.775 0.762 1.23-1.49 M2 250 181 15.32% 13.86% 0.787 0.755 1.26-1.42 M3 250 182.58 14.93% 13.63% 0.772 0.768 1.42 M4 250 182 15.03% 13.68% 0.756 0.735 1.64-1.66 M5 250 183.3 14.91% 13.67% 0.800 0.794 M6 250 179 15.24% 13.64% 0.769 0.754 1.66-1.75 M7 250 181 15.32% 13.86% 0.778 0.755 1.64 M8 250 182.4 14.97% 13.65% 0.761 0.772 1.45-1.58 M9 250 181.6 15.30% 13.90% 0.754 0.737 1.37-1.40 M10 250 15.54% 0.762 1.20-1.42 M11 250 15.30% 0.754 M12 250 15.29% 0.762 Heliene 250 183 15.03% 13.75% 0.764 0.731 (Pricing data source: Photon International April 2011) 12
The data in Table 5 are shown graphically in Figure 7 and Figure 8 below. Figure 7: Efficiency Comparison at STC (left) and NOCT (right) conditions Figure 8: Fill Factor Comparison at STC (left) and NOCT (right) conditions From the figures above we can conclude that the 250Wp monocrystalline Heliene modules efficiency is in the lower range of the comparison at STC, while at NOCT conditions, their efficiency is in line with market average. The Fill Factor at STC is in the average/upper range of the market. At NOCT, the Heliene Fill Factor is the lowest of the modules reviewed, however, again remains within expectations. 13
3.3.3 Heliene Monocrystalline Modules Prices Figure 9 below shows a comparison of the price of the Heliene monocrystalline modules with several currently available modules. Overall, taking into consideration the characteristics outlined in the sections above, the Heliene monocrystalline modules appear to have average Key Performance Indicators at a price that is slightly above the average on the market. Figure 9: Comparison of prices (monocrystalline) (Pricing data source: Photon International April 2011) 3.4 Certifications The Heliene modules that are going to be used in the Heliene/Sunstroom portfolio hold the following certifications: IEC 61215:2005 EN 61215:2005 IEC 61730-1:2007 EN 61730-1:2007 IEC 61730-2:2007 EN 61730-2:2007 CE marking MCS accredited UL 1703 accreditation in process. CEC listed (California) ETL Listed Mark for compliance with North America safety standards. In addition, we have sighted a Certificate of inspection of a product manufacturing facility by TÜV NORD CERT GmbH for the Spanish production facility of Heliene stating that the manufacturing facility is technically equipped and managed in such way that uniform production is guaranteed for the listed product(s). 14
We consider these certifications to be in-line with market standards and appropriate for use in the EU and UK. 15
4 Manufacturing process and quality control The following section outlines an overview of the manufacturing process as described in the documentation provided by Heliene and from discussions and information gained from the factory visit. The quality control plan for the incoming components and the quality assurance of the Heliene products has also been reviewed. 4.1 Main Manufacturing Processes The main processes involved in the manufacturing of the Heliene modules are listed below: Handling of glass, Laying of encapsulating material on the glass, Feeding buffer of glass and encapsulate, Manual input of solar cell boxes into loading area, Feeding of solar cells, Automatic alignment of cells using Scara Kuka robots, Soldering of the tab-ribbon to interconnect cells in strings, Automatic ribbon cutting system, Automatic alignment of soldered strings on the glass/encapsulate, Transport to the connection table and verification, Visual verification of the alignment before lamination, Lamination and Expulsion extraction of laminated pack, Ventilation tunnel to temper laminated pack, Framing, Flash test, Classification by power and stacking of the modules in pallets separated by cardboard. 4.1.1 Automation Levels The manufacturing process is based on the SAP standardised and automated production lines which in the Spanish factory consist of the following key automated steps; Cell infra-red photography and quality checking Component traceability (and quality control) EVA cutting Cell contact soldering String laying to ensure the correct positioning of solder strings Lamination Flash test Stacking 16
Moving modules from one process to the next (in and out of laminator, framing, flash tests, accumulation points) And the following key manual processes; Glass stacking EVA laying on glass Cell loading Cell string alignment Quality inspections Junction box sealing Framing and corner softening Further description of each of the materials and general processes is below. 4.2 Suppliers of production machinery: SAP Solar Heliene s manufacturing facilities use production machinery developed and manufactured by SAP Solar, a division of SAP S.L., which is a subsidiary of Heliene. SAP S.L. has been operating for 25 years, providing automated manufacturing machinery to the automotive, soldering, pharmaceutical, textile, and photovoltaic industries. SAP Solar claim to have provided automated machinery dedicated to photovoltaic module manufacture for the past ten years, including providing turn-key production lines for PV modules. However, the company s reference section only accounts for one production line apart from the Heliene factories. 4.2.1 Factory observations The factory is located in Badalona, Spain on an industrial estate with good transport links. The manufacturing line is located in the same building as the offices. The manufacturing area is open to the outside in order to regulate temperature. While we consider best practice to keep the space at a positive pressure in order to minimise the chances of the impurity ingress, the modules have been manufactured in this way since the factory opened and consequently we would not expect this to cause any material change in performance going forward. 4.3 Suppliers of key components Materials for the key components are sourced from global international suppliers, these include: Solar cells: - Sunways AG (poly), Suniva Inc (mono). Solar Glass: - Saint Gobain Glass 17
Connectors: - Multi-Contact (Stäubli Group) Diodes: - EIC Junction Boxes - MIM Solar Output Cable: - Leoni Studer Frame: - Hydro Aluminium Extrusion EVA: - Specialized Technology Resources Back Foil: - Isovolta, Coveme Glues: - DOW Corning. 4.3.1 Multicrystalline solar cells Sunways AG Sunways AG is a German based company founded in 1993 that manufactures silicon-based solar cells, inverters and solar modules. The HEE210U modules are manufactured using Sunways multi-crystalline 3 bus bar solar cells. Each module is manufactured with 60 Sunways Solar Cells Multi 156 (CA50-J). The cells have efficiencies ranging from 16.1% to 17% (±3%) at Standard Test Conditions (STC) of 1000W/m 2, 25 C, AM1.5. The individual cells are classified as per their current at the fixed voltage of V fix = 515mV in 7 different classes. The solar cells are sealed in foil packages of 100 pieces and packed in foam for transportation. Sunways ensure quality of the cells using a camera-based final visual check for an even appearance of the solar cells in the module. The electrical measurements are taken using equipment that is calibrated according to ISO 9001:2008. We consider Sunways to be a reputable manufacturer of solar PV technology. 4.3.2 Monocrystalline solar cells Suniva Inc. Suniva Inc. is a US based company that manufactures high-efficiency monocrystalline cells and modules. The HEE215M series of modules are manufactured using Suniva monocrystalline 3 bus bar solar cells. Each module is manufactured using 60 Suniva ARTisun monocrystalline photovoltaic cells. The cells have efficiencies of between 17.4% and 18.2% at Standard Test Conditions (STC) of 1000W/m2, 25 C, AM1.5. 18
For the period of 1 st January to 7 th July 2011 Suniva have supplied Heliene with a total capacity of 6.4MW of solar cells, which equates to approximately one and a half million cells. The volume of returns or recalls is stated as being less that 0.05% of that supplied. We have sighted a sales agreement between Helios Energy Europe S.L. and Suniva Inc. for the supply of Suniva ARTisun cells and Suniva ARTisun SELECT cells (with efficiency between 18% and 19.2%) dated the 19 th November 2010. It should be noted that for the year 2011, both the aforementioned solar cells will be supplied to Heliene in variable percentages depending on availability. In 2012, the supply will consist of 100% Suniva ARTisun SELECT cells which we expect to enhance the overall efficiency of the monocrystalline Heliene modules. 4.3.3 Cells Factory Observations As described in section 4.3 cells come from a single supplier for monocrystalline (Suniva) and from a single supplier for polycrystalline (Sunways). At the time of the site visit only monocrystalline modules were manufactured. Heliene is currently reliant on the cell testers of Suniva for quality control of cells. The tolerance of the incoming cells is ±0.02Wp, on an average of 4.3 Wp. Cells are batched into set efficiency bins (i.e. 18.95% to 19.05%) and each bin will only ever be used on a single module batch in order to minimise cell mismatch losses. Heliene has plans to purchase a cell flash tester in order to increase quality control of incoming cells and to enable further sorting of cells to increase module performance, which we consider indicative of good practice. It should be noted however that Suniva cells are both reputable and have been used for a reasonably long period of time without flash testing. Consequently we would not material deviations in performance from what has been established on the ground. Cells are loaded into the soldering machines in the polystyrene boxes, where the mechanised process begins. Infra-red photographs are taken of every cell in order to identify any cracked cells, which are removed from the process for disposal. 4.3.4 Soldering process The soldering process was observed during the factory visit and is of the contact type. The cells are placed onto the tabbing machine by an automated arm, then three tabs are strung across each of the cells. The multi pinned hot soldering arm vertically travels down onto the cells for approximately 3 seconds to solder the tabs onto the cells. The tabbed strings then get pulled through by a cells width, and the process is repeated. While we consider the process to be satisfactory, it may be viewed as slightly dated in the current market. We consider that due to the visual testing of each module and relatively long history of production, established module performance should continue. Electroluminescence testing machinery was being installed at the point of the factory visit which we consider will increase the QA and minimise any potential risk of micro cracks at the output level going forward. 19
4.3.5 Solar glass Saint Gobain Glass Saint Gobain Glass (SGG) provides Heliene with the front glass for their modules. The modules are manufactured with highly transparent, anti-reflective 4mm solar glass. Heliene manufacture the modules with the SGG Albarino range of solar glass. The Albarino series of SGG glass, which is divided into three different ranges with different microprismatic patterns and properties, presents the top performance in the Saint Gobain production. SGG Albarino is manufactured in accordance with EN572-5 and the tempering process is in accordance with EN12150-1. We consider Saint Gobain to be a reputable manufacturer of the components supplied to Heliene. 4.3.6 Glass- Factory confirmation Glass is sourced from Saint Gobain, and was stated as being low iron quartz, high transmittance glass as we would expect. Glass is quality controlled by visual inspection upon entry to the factory, and is hand cleaned prior to the laying of EVA at the start of the process. Figure 10: Glass Stacking (left) and glass loading (right) 4.3.7 Ethylene Vinyl Acetate (EVA) The EVA formulation is produced by Specialized Technology Resources Inc. (STR), and provides reported excellent photothermal stability; discolouration resistance is great enough that it can be used behind non-uv-screening glass. Shelf life of the EVA is 6 months, however it was stated as having a just in time waiting period where it is stored at 25 degrees. Spot checks on the gel content are undertaken on the incoming EVA, and further tests are undertaken following lamination. EVA arrives on rolls, is machine cut into the correct lengths, and is hand laid onto the glass following glass cleaning. 20
Figure 11: EVA cutting 4.3.8 Back foil Two types of back foil are used in the production of the Heliene modules from different manufacturers. Isovolta AG, a leading international manufacturer of electrical insulation materials, technical laminates and composite materials supply the Icosolar 2442 backsheet. This is a multilayer polyvinyl fluoride/polyethylene terephthalate film in the standard PVF/PET/PVF format (TEDLAR). Coveme, an Italian manufacturer specialised in flexible insulation materials, supplies the dymat PYE backsheet laminate which is based on two layers of PET polyester film and a thick primer which provides high bonding to EVA. The total laminate thickness is 295 microns ±5%. dymat is TÜV certified and UL (E313506) recognized. Coveme is ISO 9001-2008 certified. 4.3.9 Back foil Quality check Back foil is checked visually upon entry into the factory and following module manufacture. Key for the visual inspection are the appearance of bubbles / delamination of the three layers making up the back-foil, to ensure a suitable manufacturing process and effective lamination procedure. 4.4 Lamination The lamination process is reportedly matched to the EVA chemical make-up, and is fully automated to ensure consistency of product. With the current EVA, the lamination process is as follows for each module. 240s vacuum 660s curing process at 143 to 145 o C Temperature and time can be balanced to enhance the required curing of the EVA. 21
Some peel tests are conducted following the lamination, particularly when a new batch of EVA is delivered which we consider sensible. On a sample basis, external gel tests are also undertaken to confirm the polymer and amorphous content of the EVA following curing. We consider the lamination process to be suitable and in line with expectation. 4.4.1 Junction Boxes Junction boxes are sourced from MIM Solar, which is a Spanish company who supply to other module manufacturers in Spain. A full client list has not been sighted however we do consider them to be a reputable company. Heliene stated that there was a good working relationship between them and MIM and that any issues which arise are dealt with quickly. Figure 12: Junction Box stacking for inspection prior to attachment 4.4.2 Diodes Both HEE215M and HEE210U modules utilise 3 bypass diodes which are supplied by Electronics Industry Public Company Limited (EIC). The model of diodes used is the MUR1520/S. The diodes are manufactured in accordance with ISO9001:2000, ISO14001:2004, and UKAS Quality Management 005 and are certified with TH97/10561QM and TW00/17276EM. We consider EIC to be a reputable manufacturer of the components supplied to Heliene. 4.4.3 Output Cables The output cables used are BETAflam Solar 125 flex cables produced by Leoni Studer AG, a well-established manufacturer of cabling systems. The conducting core is tinned copper, and the insulation and UV-resistant jacket are made of Polyolefin Copolymer electron-beam cross-linked which is flame retardant and halogen free. The cables have a minimum bending radius of 4 x Ø (cable diameter). We consider Leoni Studer AG to be a reputable manufacturer of DC cables. 22
4.4.4 Connectors Multi-Contact AG, which is part of the Stäubli Group, supplies the Solarline male and female connectors specifically designed for photovoltaic systems. The connectors are TÜV approved, and are currently in use in multiple PV systems worldwide. Multi-Contact AG is the market leader connector manufacturer and we consider it to be a very reputable supplier. 4.4.5 Glues Glues are supplied by Dow Corning, a global leader in silicones and silicon-based technology which provides over 7,000 products and services to more than 25,000 customers throughout the world. The glue used by Heliene is the DOW Corning 7091, a high performance neutral cure silicone adhesive, which is designed for applications demanding a strong but flexible bond, such as when bonding materials with differing thermal expansion rates, e.g. glass to metal or glass to plastic. This product is stable and flexible from -55 o C to +180 o C, with good adhesion to a variety of substrates. We consider DOW Corning to be a reputable manufacturer of the glues supplied to Heliene. Figure 13: Glue mixing prior to Junction box attachment 4.5 Frames Frames are designed by Heliene and provided by Hydro Aluminium Extrusion Spain, S.A who have been supplying frames to the factory since it opened. No material issues have been noted and the frames appeared to be of good quality. The corners of the frames are filed down prior to packing and loading. 23
4.6 Quality assurance Certification for neither ISO 9001:2008 nor ISO 14001:2004 is held by Heliene. However, Heliene and SAP Solar are working to introduce the ISO 9000 standard. Heliene has adopted a Total Productive Maintenance (TPM) approach for the maintenance of the production lines which involves corrective maintenance, preventative maintenance and predictive maintenance and enables the machine operator(s) to be trained to perform much of the simple maintenance and fault-finding on the machinery. We expect a prompt response by local personnel to any machinery fault that could interfere with production should be the consequence of the TPM system. However, we note that Heliene has adopted the European Foundation for Quality Management (EQFM) model in order to maintain total quality administration in its business processes and its relationships with employees, clients, shareholders and communities where it operates. Figure 14: Quality Assurance at string tabbing level (Left) and following lamination (right) 4.6.1 Recalls/returns During the factory visit it was noted that the recall level of the modules was very low, with approximately 15 recalls during the life of the factory of approximately 20 modules each time. The reason for the recalls was cited as being due to electrical issues in the junction boxes. 24
5 Module Performance 5.1 Module operational performance data Helios Energy Europe has provided information about the operational performance data of year 2009 and 2010 for two solar parks in Spain which are using Heliene modules: Los Arcos (2.8MWp), Navarra Valhermoso (1.1MWp), Castilla La-Mancha. We note that the performance data provided by Heliene does not refer to the entire plant(s) but to the energy measured at one of the inverters in each of the two plants: Los Arcos (117kWp) Valhermoso(106kWp) We can confirm this performance data to representative of the average performance of the Valhermoso plant. We do not have the same level of confidence for the Los Arcos plant since readings at each inverter for the period in question were not provided. The methodology used to analyse the performance of the modules is described in the sections below. 5.2 Performance analysis methodology To analyse the performance of the modules we have compared the estimated energy yield, measured irradiation, and the energy output of the plants as recorded by their monitoring systems. We note that the estimated energy yield used in the following analysis has been calculated assuming a performance ratio of approximately 80% which we consider to be acceptable for systems of this type in Spain. Irradiation data for the sites was not provided, consequently the following approach has been undertaken to enable a comparison. Long term PVGIS horizontal irradiation has been used as the starting point, which has been adjusted for the same location with measured meteorological station data over each corresponding month of production. This enables an expected production of the system to be estimated in a given month and for a given year. While this method relies on a certain level of accuracy in terms of uplift assumptions, geographical deviations and initial data appropriateness, we do consider it offers an indication of the ability of the projects and therefore modules to perform in line with expectations. Each of the adjusted energy yields has then been compared to the actual energy production of the two sites to draw our conclusions. 25
Further assumptions and methodologies are described in the following sections. 5.2.1 Los Arcos The irradiation data for the Los Arcos PV plant were obtained from the Los Arcos MARM Met station, which is located 4km South of the PV plant, from the http://meteo.navarra.es web site of the Navarra Government. Table 6 below illustrates the irradiation comparison between PVGIS and the Met station irradiation data for both 2009, on the left half of the table and 2010, on the right. 26
Table 6: Irradiation comparison Los Arcos (2009 and 2010) 2009 PVGIS @ Met station Los Arcos (kwh/m2) Recorded @ Met station Los Arcos (kwh/m2) Percentage Recorded/PVGIS (%) 2010 PVGIS @ Met station Los Arcos (kwh/m2) Recorded @ Met station Los Arcos (kwh/m2) Percentage Recorded/PVGIS (%) Jan 49.3 43.7 88.6 Jan 49.3 44.6 90.5 Feb 65 77.5 119.2 Feb 65 60.4 92.9 Mar 116 135 116.4 Mar 116 114.1 98.4 Apr 137 140.2 102.3 Apr 137 158.4 115.6 May 173 201.3 116.4 May 173 167.6 96.9 Jun 188 208.2 110.7 Jun 188 186.6 99.3 Jul 196 229 116.8 Jul 196 224.3 114.4 Aug 174 186.4 107.1 Aug 174 192 110.3 Sep 134 140 104.5 Sep 134 133.8 99.9 Oct 91.6 102 111.4 Oct 91.6 94.6 103.3 Nov 54.1 53.7 99.3 Nov 54.1 53.8 99.4 Dec 41.2 42.2 102.4 Dec 41.2 49.7 120.6 Total 1419.2 1559.2 109.9 Total 1419.2 1479.9 104.3 As explained in section 6.2 above, the PVGIS estimated energy yield of the Los Arcos PV plant has been adjusted to reflect yearly irradiation-linked values as outlined in table 7 below. 27
Month PVGIS Estimated Energy (kwh) 2009 Percentage Recorded/PVGIS (%) Table 7: Actual vs. Adjusted Estimated energy for year 2009 and 2010 (Los Arcos) 2009 Adjusted Estimated Energy (kwh) 2009 Actual Energy Production (kwh) Actual/Adjusted Energy (2009) (%) 2010 Percentage Recorded/PVGIS (%) 2010 Adjusted Estimated Energy (kwh) 2010 Actual Energy Production (kwh) Actual/Adjusted Energy (2010) (%) Jan 9110 88.6 8075 7565 93.7 90.5 8242 7837 95.1 Feb 10700 119.2 12758 12148 95.2 92.9 9943 9762 98.2 Mar 17200 116.4 20017 16571 82.8 98.4 16918 16927 100.0 Apr 17600 102.3 18011 16538 91.8 115.6 20349 20938 102.9 May 20800 116.4 24203 21269 87.9 96.9 20151 19840 98.5 Jun 22200 110.7 24585 23169 94.2 99.3 22035 21305 96.7 Jul 23500 116.8 27457 26679 97.2 114.4 26893 26467 98.4 Aug 21500 107.1 23032 19834 86.1 110.3 23724 23760 100.2 Sep 18900 104.5 19746 19915 100.9 99.9 18872 18883 100.1 Oct 14300 111.4 15924 17774 111.6 103.3 14768 16907 114.5 Nov 9710 99.3 9638 9782 101.5 99.4 9656 9967 103.2 Dec 7780 102.4 7969 8667 108.8 120.6 9385 10463 111.5 Total 193300 109.9 212368 199910 94 104.3 201568 203056 100.7 From table 7 we can conclude that on average, over the year, the plant has performed slightly under expectations (94%) for 2009 and within expectations (100.7%) for 2010. While we understand that there is an uncertainty associated with the approach taken, we consider the following: It is reasonable to assume that there are no material issues with the project and therefore modules over the two year time period; Despite the poor performance of the first 8 months of 2009, the following good performance is a good indication that the modules are reasonably consistent. Further clarification on the reason for the initial underperformance should be gained from Heliene. 28
5.2.2 Valhermoso Unlike for the Los Arcos plant, we have not obtained irradiation values for any meteorological station nearby the Valhermoso plant; thus we have opted to use the two closest Met stations with available data for the period in question: Cuenca, about 80 km North of Valhermoso Albacete, about 90 km South of the site. The irradiation data were obtained from the http://pagina.jccm.es web site of the Regional Government of Castilla-La Mancha. We have compared the PVGIS with the Met stations irradiation data on a year basis, 2009 in table 8 and 2010 in table 9. For each year we have calculated an average percentage difference between the Met station and the PVGIS values which we have then applied in table 10 to obtain an estimated energy yield figure for the specific year. We note that the production of energy for January and February 2009 was not available; therefore we have excluded these values (in red in table 10) from the calculation of the estimated energy yield of that year. Due to the northern irradiation being understandably lower than the southern, and the reasonably even north south split, we have taken the mean average of the two stations for as representative a comparison as is possible. 29
2009 PVGIS @ Met station Cuenca (kwh/m2) Table 8: Irradiation comparison Cuenca and Albacete Met stations 2009 Recorded @ Met station Cuenca (kwh/m2) Percentage Recorded/PVGIS (%) PVGIS @ Met station Albacete (kwh/m2) Recorded @ Met station Albacete (kwh/m2) Percentage Recorded/PVGIS (%) 2009 Average Percentage Recorded/PVGIS (%) Jan 65.9 52 78.9 71.4 74 103.6 91.3 Feb 79.3 82 103.4 84.8 110.9 130.8 117.1 Mar 136 134.6 99.0 137 161.5 117.9 108.4 Apr 155 157 101.3 158 196.5 124.4 112.8 May 200 211.3 105.7 199 235.8 118.5 112.1 Jun 211 213 100.9 211 234.7 111.2 106.1 Jul 221 235 106.3 220 265.6 120.7 113.5 Aug 195 200 102.6 195 229.9 117.9 110.2 Sep 150 130.3 86.9 151 162.7 107.7 97.3 Oct 108 113.8 105.4 113 145.8 129.0 117.2 Nov 67.9 67.7 99.7 72.5 102.2 141.0 120.3 Dec 55.6 43.2 77.7 61.2 74.4 121.6 99.6 Total 1644.7 1639.9 99.7 1673.9 1994 119.1 109.4 2010 PVGIS @ Met station Cuenca (kwh/m2) Table 9: Irradiation comparison Cuenca and Albacete Met stations 2010 Recorded @ Met station Cuenca (kwh/m2) Percentage Recorded/PVGIS (%) PVGIS @ Met station Albacete (kwh/m2) Recorded @ Met station Albacete (kwh/m2) Percentage Recorded/PVGIS (%) 2010 Average Percentage Recorded/PVGIS (%) Jan 65.9 52.5 79.7 71.4 79.2 110.9 95.3 Feb 79.3 80.6 101.6 84.8 78.1 92.1 96.9 Mar 136 113.8 83.7 137 143.4 104.7 94.2 Apr 155 155.9 100.6 158 182.9 115.8 108.2 May 200 190.8 95.4 199 208.5 104.8 100.1 30
Jun 211 198.4 94.0 211 221.9 105.2 99.6 Jul 221 231.2 104.6 220 249.8 113.5 109.1 Aug 195 195.2 100.1 195 219.6 112.6 106.4 Sep 150 148.3 98.9 151 181.5 120.2 109.5 Oct 108 106.5 98.6 113 146.9 130.0 114.3 Nov 67.9 61.8 91.0 72.5 99 136.6 113.8 Dec 55.6 47.5 85.4 61.2 82.5 134.8 110.1 Total 1644.7 1582.5 96.2 1673.9 1893.3 113.1 104.7 Month PVGIS Estimated Energy (kwh) Table 10: Actual vs. Adjusted Estimated energy for year 2009 and 2010 (Valhermoso) 2009 Average Percentage Recorded/PVGIS (%) 2009 Adjusted Estimated Energy (kwh) 2009 Actual Energy Production (kwh) Percentage Actual/Adjusted Energy (2009) 2010 Average Percentage Recorded/PVGIS (%) 2010 Adjusted Estimated Energy (kwh) 2010 Actual Energy Production (kwh) Percentage Actual/Adjusted Energy (2010) Jan 10300 91.3 N/A N/A N/A 95.3 9815 5961 60.7 Feb 10500 117.1 N/A N/A N/A 96.9 10171 8495 83.5 Mar 14500 108.4 15722 16623 105.7 94.2 13655 14007 102.6 Apr 14000 112.8 15796 16840 106.6 108.2 15144 16029 105.8 May 15800 112.1 17707 18744 105.9 100.1 15814 17880 113.1 Jun 15400 106.1 16338 18278 111.9 99.6 15338 16951 110.5 Jul 16300 113.5 18506 19382 104.7 109.1 17780 19342 108.8 Aug 15900 110.2 17527 19077 108.8 106.4 16911 17684 104.6 Sep 14600 97.3 14207 14945 105.2 109.5 15992 16658 104.2 Oct 12900 117.2 15119 15692 103.8 114.3 14745 14915 101.2 Nov 9810 120.3 11805 10990 93.1 113.8 11162 10381 93.0 Dec 8980 99.6 8947 6697 74.8 110.1 9889 8147 82.4 Total 158990 109.4 151673 157268 104 104.7 166403 166450 100.0 31
The average meteorological station data offers a reasonable indication that the performance of the project is in line with the original system performance expectations. 32
6 Acceptance in the Marketplace 6.1 Project Experience Heliene modules are installed at a number of locations throughout Europe. The total capacity installed in various countries can be seen below: Spain 6 MWp Italy 6 MWp France 5 MWp Netherlands 3 MWp Belgium 2 MWp UK 5 MWp Greece 40 kwp Poland 4.9 kwp Total Heliene installations in Europe amount to 23.1 MWp. Examples of existing ground mounted installations: Los Arcos, Navarra Spain - Capacity: 2.8 MWp - Modules: HEE215M 240/245Wp - Contractor: Sunstroom Valhermoso, Cuenca Spain - Capacity: 1.1 MWp - Modules: HEE215M 240/245Wp - Contractor: Sunstroom Cherasco, Piemonte Italy - Capacity: 806 kwp - Modules: HEE215M 240Wp - Contractor: not available Malmesbury, Woltshire England - Capacity: 5 MWp - Modules: HEE215M 245Wp - Contractor: not available. The above list of projects using Heliene modules, although non-exhaustive, proves a good acceptability and spread of the Heliene modules in projects throughout Europe. 6.2 Bankability According to documentation provided by Heliene, a number of banks/equity providers have financed existing projects using the Heliene modules, including: La Caixa 33
Caja Rural de Navarra Caja de ahorros del Mediterraneo Banca Cívica Banco Sabadell Intesa Sanpaolo Veneto Banca SCARL Banque Populaire de l Ouest Rennes Crédit Lyonnais BNP Paribas Banque de Bretagne HSBC France Crédit du Nord We consider that the above list appears acceptable when compared to other manufacturers in the current market. 6.3 Established contractors working with Heliene modules There are several recognized contractors who work with Heliene modules. Their strongest affiliation is with Sunstroom, with whom they have collaborated on a number of projects, but other contractors include: Solar Premium Gelcotrel Solelux Electrica Riese 34
7 Warranties and Guarantees The Manufacturing or material faults and the Power Guarantee warranty are described in this section. All the following information has been taken from the Guarantee Certificate provided for revision by Heliene. 7.1 Product warranty Heliene guarantees that, for a period of 10 years from the date of delivery of the modules to the first buyer, the product will be free from faults in their materials or their manufacturing process. This also includes the incorporation, use or installation of their relevant components, under ordinary conditions of service. Should at any time during the warranty s validity period the module not function correctly due to its manufacture or deterioration or wear of any of its components, Heliene agrees to: Repair or, Replace or, Refund the amount of the purchase received from the client. The guarantee is transferable from the original client to subsequent users/clients. 7.2 Power Guarantee Performance warranty for the Heliene modules is defined as follows: 90% of the minimal power output set forth in the spec sheet for 10 years 80% of the minimal power output set forth in the spec sheet for 25 years. Should, at any time during the guarantee validity period, the module power output fall below the average guarantee, Heliene will: Repair or, Replace or, Supply additional modules to compensate the loss of power or, Refund the amount of the purchase price of the faulty modules. We note that Heliene does not take into consideration any depreciation of the modules to be refunded. We understand that the full purchase price will be refunded even after 25 years; however, this should be confirmed. 7.3 Warranty exclusions and limitations The guarantee does not cover the following cases: Accidents due to shipment, storage, use or any other process; 35
No-compliance with the instructions of installation, use and/or maintenance; Modifications and/or handling that are incorrect. Incorrect installation or use; Any damage occurred as a result of surges, atmospheric discharges, floods, plagues, earthquakes, fires, and actions by third parties or any other reason implying nonconformity with standard conditions of operation of the modules and/or outside Heliene s control; Manipulation of serial numbers leading to unequivocal identification. We note the following: The guarantees do not cover the shipping costs for the return of the repaired/replaced module nor the installation/reinstallation of such modules; In case of replaced modules for power shortfall, validity of warranty continues to be from the date of initial first sale and not the date of replacement. o For the modules replaced/repaired for defects, this is not specified; however we would assume to be the same. A different model of the module could be supplied for substitution should the manufacturing of the original model have ceased. The replaced modules will be under the ownership of Heliene. 7.4 Claim under guarantee rights Any defects must be formalised in a written complaint and submitted to the seller or Helios within 60 days from the fault having been detected. Helios will then investigate the fault and notify the client within the shortest timeframe possible. We note that there is no indication of the time required by Helios to substitute the module; this should be stated for the avoidance of doubt. 7.1 Warranties and guarantees comparison The table below shows a comparison of the warranties and performance tolerance of several currently available modules with an output power of between 230 and 250Wp and is based on the modules which were compared in the Section 3. Table 11: Comparison of several currently available PV modules Manufacturer Performance Tolerance Workmanship and Materials Warranty PR Guarantee M1 0/+5% 5 years 5 years at 95%, 12 years at 90%, 18 years at 85%, 25 years at 80% M2 ±3% 5 years 12 years at 90%, 25 years at 80% M3-0/+2% 10 years 10 years at 90%, 25 years at 80% 36
M4-0/+2% 5 years 12 years at 90%, 25 years at 80% M5 ±3% 10 years M6 ±3% 10 years -0.7% per year linearly for 25 years (84%) 5 years at 95%, 10 years at 90%, 15 years at 87%, 20 years at 83%, 25 years at 80% M7-0/+2% 5 years 12 years at 90%, 25 years at 80% M8-0/+2% 10 year -0.6% per year linearly for 25 years (83%) M9 ±3% 5 years 10 years at 90%, 25 years at 80% M10-0/+2% 6 years 25 years at 80% M11 ±3% 5 years 10 years at 90%, 25 years at 80% M12 ±3% 5 years 10 years at 90%, 25 years at 80% Heliene ±3% 10 years 10 years at 90%, 25 years at 80% The warranties and guarantee offered by Heliene are in line with basic market standards. However, we note that while it is becoming common in the market to offer a 12 years output guarantee of 90%, Heliene offers a performance guarantee of 90% for only 10 years. In addition, very recently recognised manufacturers have started offering linear degradation warranties putting them far in excess of the market standard. We note that the performance tolerance of the Heliene modules is an area of potential weakness in the comparison, as several competing modules offer a positively-biased range for performance tolerance. 37