EFTA Document EFTA01366658

Amendment #4 Page 229 of 868 Ilerstr . 91P-stgArfs.1 India The Erect oly Act, 2003, or 'Electrony Act' is the panepal leg stston that regulates the generation transmission. draritst,on, trading and use of electricity n toe The Electricity Act governs the eStabbstment, Operation and maintenance of any energy generating company and prescnbes technical sterols rds n relation to is tatnetirerty with the Indian power grid The ElecIncity Ad provides that an energy generating company may establish. operate and maintain a generalng facility without obtanrg a balite Ontlet the Elegl nonV Act If e oartPtieS with the presaged technical standards mimeo to connedyny with the power gild In addition. an energy generattg company rs permitted to sell e.t.a not), to any Ontritstion a tracing licensee and where permitted by the respective slate regulatory coin mssons. to consumers subbed to eyeing open access to the liaremsson and distributon systems and payment of applicable charges The Electricity Act establishes a two-level regulatory system (i) the Central Eectricity RegaLVory Canmisson, or 'CERC.' is responsible for regulating the tale charged by generabng locates owned by the Indian government and otter Independent power producers involved in generating or supplying electncty m more than one state, and fa regulabng the interstate lianvnisson of electricity, and (to) Slate Electncly Regulatory CornrrassonS. Or 'SERCs.' are responsive for regulating rdrattate transinsson and wavy d electlicty within each of their respective slates These cornmsvons are responsible for a vanety of functions ncluding determining muff levee, granting 'tenses, settling defy/es between the generating companies and the licensees The 'mien government has established the Ministry of New arc Renewable Energy. or 'MNRE: to faaµate on a national level research. development. commeicializahon and deployment of renewable energy systems for various aPPlcatons in resat trban industrial and commercial sectors In 2011. the St NRE estabinshed the Solar Energy Corporation of I n)a. el 'SEC.' as a not.forgrofit company to faoltate the development of solar energy generabrg capacity in India In general, feed-in tariffs applicable to solar protects are determ red trough one of the fallowing procedures under the Electricity Act • a 'cost plus' MetrOd under weigh the appropriate regulatory oommisaon determines the tariff based on the actual captat cost of the protect notrat've debt to equity ratios and otner parameters prescribed under the mulbyear tarts re9llabons adopted by the oommissons and • a compentrve belong process in accordance with the guidelines issued by the appropriate regulatory commission In tie case ot weld power prorects, fees n tariffs are cletermneci takag into account capital cog subrins.ons by venous stakeeidders and cedar operation and nantenance costs and have teen armunced by the SERCs in certain states such as the Stales ci Andhra Pradesh Gujarat and Tama Nadu pursuant to the appricable policy in the respectsre states South Africa South Afnca has a framework of legislation and regulators governng es energy sector The Renewable Energy independent Power Producer Procurement of 'REIPPP " program is a governmental procurement program that eftectivety reoures solar and wind protects in Soar, Afnca to comply with tms framework including the Va4DUS acts and polices regulatng tbe governmental procurement process geneially the most important of these being the Rubric Finance Management Act and the &coo-Based Black Economic Empowerment Ad, and the various acts and polcies regulating South African businesses generally and therefore also independent potter producers such as ernnrcnmentat heath and safety laws 721 http://cfdocs.btogo.com:27638/cf/drv7/pub/edgar/2015/07/20/0001193125-15-256461/d78... 7/20/2015 CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0058186 CONFIDENTIAL SDNY_GM_00204370 EFTA01366658