EFTA Document EFTA01366659

Amendment #4 Page 230 of 868 110.kg c.:59 rnr The National Energy Regulator of South Africa or 'NERSA• is the pnmery regulator of South Atnca's energy sector and is responsible for regulating electricity, piped-gas and petroleum psehre irclustnes Solar and wind projects are governed by the Electricity Regulat on Act, which is the primary enabling legslaton for the RE PPP program and by other legslation applicable to water affairs, environmental affairs agriculture. forestry and fisheries and mince! resources Under the REIPPP program, a solar or wind prcsect n regulated as an independent power producer arid is authorized to pocket and sell electncity to Eckert the tour-tryst:age* state-owned power dirty. pursuant to a license issued by NERSA A solar a wind project is not generally subject to regulation as a pudic ditty in the traditional sense and. thus. is exempt Iran complying with South Africa's complex systemof power producer and procurement rules and regulators that are applicable to ESkO111 Honduras In May 2014. Florduras passed the taw for the ElecInc Industry that established a new regulatory framework for the electncity generation market. The market is regulated by three entities (0 the Ministry she superior authority in the electnoty subsector); (ii) the Electrioty Regulatory Commescri a decentralized entity charged van ganbng operating toenses, defiling the mettrxbEgy for calculating rates mentors-a a public registry of the corpanes participating in the elednoty sector and sancboring meat :chitty, and nu) the Systems Operator, an entity overseeing as technical aspects of the electncty Generation market. including proper coordination <A the generation and transmission system and controthrg the operations of the national grid. Tres tew authorizes ary company to pancipete in the electricity generation market with the proper licensing It guarantees free access to the gnd. as all transmission and destnbuton convenes we obligated to permit connection by other companies to thew networks This law aso prohibits transmission companies from generating distntheng and commercialize-kg electric energy and ckstntuton companies from Generatrg electric energy, with few exceptions to be cerbted ty the Electncey Regulatory Corrrnission. Costa Rica The Costa Rican Electncty Institute, or 'ICE: controls the generation, traremission and dstnbuton of eleovioty in Costa Rica T re Costa Ran -Law to Authonze Private Large-Scale Electricity Generation' (Laws No. 7200 and 7508) arid its reeled legislator authanzes the private generation of renewable energy in Costa Rica by limed capacity renewable energy plants' These laws provide that the wade sector may panicpate in the generation of etc:teary with the sole purpose of sellrg power to ICS inckiding providing for (i) the cntere and process for a private party to be selected as a power supper for ICE. ha the types of projects which fall withn the scope of the Law (a) the national quota for prate electhaty generation (N) tares and (v) the jurisdiction of Costa Rican mines My company incorporated in Costa Rica may apply to supply power to ICE under a competitive pudic bidding scheme. so krg as no brew person holds more than 65% of share captal of such company The renewable energy public gadding scheme is desired to provide power generators with guaranteed payment under lag-term Mks, which are awarded for 20 years to renewable power producers that offer the lowest tariff per IMiti for a glen technology. To be authorized to participate in tie bidding process, companies rrust I list obtain a 'declaration of SAW' from ICE Wet confirms that the project meets certain minimum requrements established in the regulation Dependng on whether the investor chooses either a BOO (butt operate own) or SOT (tuld operate transfer) regime, the plant's production capacty carrot surpass 20 MW (for BOO ',meets) a 50 MW (kw SOT projects) In its offer to ICE, the prospective participant insist establsh the tariff * which it wit sell power. Once the company has been selected by ICE to supply power, they wit negotate a PPA to formalize the terms of the agreemart 222 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-0058187 CONFIDENTIAL SDNY_GM_00204371 EFTA01366659