Clean Energy Canada Finance Guide 2013 - Clean Energy Pipeline

Clean Energy Canada Finance Guide 2013 SECOND EDITION

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Disclaimer No company, investor or advisor has paid for inclusion in the Clean Energy Canada Finance Guide 2013 league tables or directory. League tables are based on deals that were announced during the 2012 calendar year. The exception are the league tables ranking legal advisors, which are based on deals that have completed in 2012. This approach has been adopted as advisors are often not disclosed until after a transaction has been completed. It is not possible to buy an entry into this publication. As our online platform is updated in real time, league table rankings may differ from the time of this release and the data found in our online platform at a later date. The Clean Energy Pipeline league tables are based on deal information which has been collected by or provided to our team. Clean Energy Pipeline endeavours to guarantee the accuracy of the deal information used to compile the league tables. At the end of each quarter, organisations are invited to email us a quarterly deal summary in any format to ensure that all relevant deals are reflected in the Clean Energy Pipeline league tables. All submissions should be emailed to Thomas Sturge at [email protected]. Clean Energy Pipeline reserves the rights to decline inclusion of deals that it deems fall outside its definitions or methodology. While every care is taken in compiling the content, the publisher assumes no responsibility for effects arising from this publication. The opinions expressed in this guide are not necessarily those of the publishers, but of individual writers. The publishers do not accept responsibility for errors in advertisements or third-party offers.

Terms of Use The contents of this directory may not be used for the purposes of mass marketing. Clean Energy Pipeline, a division of VB/Research Ltd. takes no responsibility for the use of this directory by third parties after publication. All data is compiled from publicly available sources. Investors, project sponsors, corporates and banks listed in the directory have placed capital in or acquired a Canada-based clean energy company or project in the 2012 calendar year. Advisors listed have provided financial and/or legal advisory services to companies involved in Canadian clean energy project finance, venture capital and private equity or M&A transactions during the same period. Government agencies that provided grant funding during the same period are also included. This data has been extracted directly from Clean Energy Pipeline’s online platform containing venture capital and private equity, project finance, M&A, public market deals and directory databases.

Copyright © 2005 – 2013 VB/Research Ltd. All rights reserved. No parts of this publication may be reproduced, stored in a retrieval system or transmitted, in any form or by any means, without prior permission of the publishers. This includes hosting all or part of this publication online.

Clean Energy Canada Finance Guide 2013

www.cleanenergypipeline.com

Published by Clean Energy Pipeline A division of VB/Research Ltd. Wells Point 79 Wells Street London, W1T 3QN, UK Copyright © 2005-2013 VB/Research Ltd. All rights reserved. No parts of this publication may be reproduced, stored in a retrieval system or transmitted, in any form or by any means, without prior permission of the publishers, this includes hosting all or part of this publication online.

Contents Clean Energy Canada Finance Guide 2013 Managing Editor: Estelle Lloyd Research Director: Thomas Sturge Production Editor: Tom Naylor Business Development Managers: Chris White Nick Petrou Clean Energy Canada Finance Guide 2013 Published by: Clean Energy Pipeline A division of VB/Research Ltd. Wells Point 79 Wells Street London, W1T 3QN UK Copyright © 2005-2013 VB/Research Ltd.

Foreword....................................................................................................3 Douglas Lloyd Clean Energy Pipeline Provinces in Focus....................................................................................4 Craig Walter, Georges Arbache, Mary Hemmingsen & Nathalie Labelle KPMG

○○ Alberta ○○ British Columbia ○○ Ontario ○○ Québec Canada’s Capital Markets Welcome.................................................... 22 the Clean Technology World Toronto Stock Exchange & TSX Venture Exchange Going Green: Ontario’s Emergence as a Cleantech Leader............... 26 Robert Nolan Ontario Clean Technology Alliance League Tables........................................................................................ 35 Directory................................................................................................. 39

+44 (0) 207 251 8000 (EMEA) +1 202 386 6715 (Americas) www.cleanenergypipeline.com Subscription enquiries: [email protected] All rights reserved. No parts of this publication may be reproduced, in English or other languages, stored in a retrieval system or transmitted, in any form or by any means, without prior permission of the publishers. This includes hosting all or part of this publication online.

1

Words that matter:

Where ideas and innovation meet capital. Over $12 billion has been raised so far this year on Toronto Stock Exchange and TSX Venture Exchange to fund growth and opportunity in companies ranging from early stage to mature.

2 Current as of April 30, 2013. TMX, Toronto Stock Exchange, TSX, TSX Venture Exchange, and Exchange with Us are trademarks of TSX Inc.

Clean Energy Pipeline

Foreword

Foreword Clean Energy Pipeline

Douglas Lloyd Founder & CEO Clean Energy Pipeline

We launch the second edition of our Clean Energy Canada Finance Guide as the country’s renewable energy sector enters an exciting new phase. Unlike the previous three years, when the greatest opportunities for renewable investments were concentrated almost entirely in Ontario, many provinces are now seriously promoting renewable energy. In British Columbia, wind and hydro energy are now being considered seriously as a means to meet rapidly growing power demand due to population growth, industrial development and the construction of a series of energy intensive LNG terminals planned in the North of the province. The opportunity is similar in Alberta, where rapid population growth, the demands of the oil sands industry and the forced retirement of old coal-fired power plants is creating a compelling environment for renewable energy. There is also great potential in Eastern Canada. Quebec has little demand for additional energy capacity, but is heavily promoting wind energy to sustain its wind turbine industrial base. New renewables procurement is set to slow in Ontario, but there is still significant deal flow from projects awarded in previous tender rounds. These developments have not been lost on the investment community. In our annual global survey tracking investment and M&A activity, we asked participants to rank countries globally as to where they are most likely to make an acquisition or investment during the next 18 months. In 2013 Canada ranked joint fourth, with 20% of our global respondent base targeting Canada. This is a significant increase on 2012, when only 12% of survey participants claimed to be targeting Canada. I would like to thank our sponsors, KPMG, the Ontario Clean Technology Alliance (OCTA) and the Toronto Stock Exchange for their valuable contributions as well as my research and data team, who have worked so hard to put this guide together. KPMG’s Power & Utilities team provide an overview of where renewable energy investment opportunities may lie in Alberta, British Columbia, Quebec and Ontario. The Toronto Stock Exchange outlines its credentials as the preferred exchange for clean energy companies to IPO, while OCTA provides an overview of the programs and incentives available in Ontario for cleantech companies. We hope you enjoy reading this guide. As ever, we welcome any feedback.

Douglas Lloyd Founder & CEO Clean Energy Pipeline www.cleanenergypipeline.com

3

Market Analysis

KPMG

Craig Walter Partner KPMG LLP

Georges Arbache Vice President KPMG LLP

Mary Hemmingsen Partner KPMG LLP

Nathalie Labelle Partner KPMG LLP

The following analysis of four key Canadian provinces is extracted from the series of quarterly reports published by KPMG’s Power & Utilities team in association with Clean Energy Pipeline.

Province in focus

Alberta

Summary FIndings

1 2 3 4 4

With 1,117 MW of installed capacity, Alberta is Canada’s third largest wind energy market. However unlike Québec and Ontario, growth has been relatively subdued in recent years. Only 530 MW of wind capacity was brought online in Alberta between 2010 and 2012, less than in both Québec and Ontario. Unlike other Canadian provinces, low natural gas prices have a direct impact on the competitiveness of renewable energy in Alberta as the province operates a deregulated energy market, meaning all energy sources must compete openly with one another on price. Renewable energy projects financed in Alberta during the past 12 months have identified an additional revenue stream by selling Renewable Energy Certificates (RECs) to electricity generators in California. In the absence of a renewables framework, leveraging RECs will be critical in enabling developers to secure project financing for their renewable energy projects. Despite the lull in renewables installation in the past three years, the long-term future looks bright for renewable energy in Alberta. Electricity demand is expected to increase significantly during the next 20 years due to population growth and rapid growth of the oil sands industry. At the same time, a series of coal-fired power plants are due to be retired. Renewable energy can play a major role in meeting this supply gap. Renewable energy may also benefit from certain planned policy revisions. The government intends to draft a renewable energy framework this year for implementation in 2014. This is expected to include a clean energy standard. Plans have also been mooted to raise carbon emission reduction targets to 40% from the current level of 15%.

KPMG

Market Analysis

installed wind capacity in Alberta 1,200 1,000

Capacity (GW)

800 600 400 200

Annual Capacity

20 10 20 11 20 12

09

08

20

07

20

06

20

20

05 20

04

03

20

02

20

20

01 20

20

00

0

Cumulative Capacity

Source: CanWEA

Alberta’s clean energy picture Even without a wind energy target and an incentive framework, Alberta has managed to become Canada’s third-largest wind energy market with 1,117 MW of installed capacity. However, only 530 MW of wind capacity was brought online between 2010 and 2012, less than the 694 MW installed in Québec or the 875 MW installed in Ontario. This resulted in Alberta falling behind Québec in terms of installed wind capacity by the end of 2012. Wind installation has slowed in the past three years due to the rapid decline in natural gas prices. After hitting a peak of US$12.69/mmBtu in June 2008, natural gas prices fell to

a six-year low of US$1.95/mmBtu in April 2012. Today the price has recovered to US$4.04/mmBtu (May 2013) but is still below the average price since the beginning of 2007. Low natural gas prices directly impact the development of wind energy projects in Alberta as the province has a deregulated energy market, meaning that generation assets compete directly with one another in an open market. Alberta is the only Canadian province to operate a deregulated energy market. Alberta has also developed a solid base of non-wind renewables generation capacity, including 900 MW of hydro and 409 MW of biomass capacity. Despite its vast solar resources, the province has limited solar capacity of 3.2 MW.

Henry Hub Natural Gas Prices 15

US$/mmBtu

12 9 6

0

Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec Jan Feb Mar April May

3

2007

2008

2009

2010

2011

2012

2013

Source: US Energy Information Administration

5

Market Analysis

Importantly, both developers agreed to sell the Renewable Energy Certificates (RECs) the projects will generate to Californian utility Pacific Gas and Electric under a 20year purchase agreement. As Cory Basil, Vice President, Development at EDF EN Canada, explains, this extra revenue stream ensures that Alberta wind projects are financeable.

18 16 14 Capacity (GW)

Despite the lull in wind installation in the past three years, a small number of projects are securing finance and entering into commercial operation. In December 2012, Capital Power brought online its 150 MW Halkirk wind farm, which is Alberta’s largest project to date. Another recent notable development was EDF EN Canada and Enbridge’s acquisition of the 300 MW Blackspring Ridge wind farm in April 2013. This will be Alberta’s largest wind farm when it comes online in the summer of 2014.

Expected generation capacity requirements in alberta

12 10 8 6 4 2 0 20 11 20 13 20 15 20 17 20 19 20 21 20 23 20 25 20 27 20 29 20 31

Renewable Energy Certificates are aiding project financing

KPMG

“The number one market in the long term will be Alberta. It is and will remain cyclical due to the electricity pool price, which is so closely tied to natural gas prices. ” Hugo Bouchard Chief Investment Officer & General Manager, Eolectric

“The project we recently acquired (Blackspring Ridge) had found a buyer for the RECs in California. This helped improve the economics of the project over just selling into the Alberta power pool. It is very difficult, if not impossible, to finance wind farms in Alberta without having a contract to sell the RECs. Even with this it can be very difficult to secure long-term financing due to the risk of changing electricity pool prices.”

Existing coal generation

Existing gas generation

Existing effective hydro generation

Existing effective wind generation

Load outlook (winter peak) Source: AESO

Assumed coal generation retirements in alberta Power plant Sundance 1,2,3,4

Renewables has clear long-term potential Despite the recent lull in renewable energy deployment, multiple factors will drive installation over the long term. These include a need to build new generation capacity as a series of coal-fired power plants are retired, growing power demand from the province’s oil sands industry, the likely establishment of a renewable energy support framework, and lastly the need for Alberta to improve its environmental credentials. These drivers are covered in more detail below: Alberta needs new generation capacity: The Alberta Electric System Operator estimates that peak demand will grow to 17,281 MW by 2032. In 2012 peak demand was only 10,841 MW. This is due to increasing power demands from the province’s rapidly growing oil sands industry combined with population growth. The projected evolution of Alberta’s power demand and current power supply base is shown opposite.

6

Retired capacity by 2022 1,344 MW

HR Milner

144 MW

Battle River 3,4

308 MW

Total

Power plant

1,796 MW

Retired capacity 2023-2032

Sundance 5,6

807 MW

Battle River 5

389 MW

Sheerness 1,2

780 MW

Keephills 1,2

780 MW

Total Source: AESO

2,756 MW

KPMG

In addition, existing generation capacity is forecast to decrease as a series of coal power plants are retired. Alberta’s draft Federal Reduction of Carbon Dioxide Emissions from Coal-Fired Generation of Electricity Regulations require coal generation plants to be retired before or once they reach 45 years of operations or at the end of their Power Purchase Agreement (PPA). According to the Alberta Electric System Operator, this will result in 1,796 MW of coal generation being brought offline by 2022 and a further 2,756 MW retired between 2023 and 2032. These projects are listed opposite. For the moment natural gas-fired plants are likely to plug any emerging power gap. However, any increase in gas prices should result in a wind renaissance in Alberta. “The number one market in the long term will be Alberta,” predicted Hugo Bouchard, Chief Investment Officer & General Manager of Eolectric. “It is and will remain cyclical due to the electricity pool price, which is so closely tied to natural gas prices. When the price of natural gas goes up the average pool price will also go up and plans to build new gas-fired facilities will slow down.” A renewables support framework is on the agenda: Alberta’s provincial government has committed to implement a renewable energy framework. Given the excellent wind resources throughout the province and its reliable solar resource in the south, a well-structured incentive program could create a compelling rationale to invest in Alberta. Alberta Energy, the province’s energy ministry, plans to engage in a consultancy process and craft a draft policy framework this year, with a view to implementation in 2014. No details on the structure have been revealed, although the government is rumoured to favour a clean energy standard, which limits and reduces greenhouse gas emissions in the electricity sector. Such a marketbased approach to promoting renewable energy would naturally fit in with Alberta’s deregulated energy market. Other mechanisms under consideration include enforcing a requirement for generators to produce a certain percentage of electricity from renewable sources, and an Ontario-style feed-in tariff (FIT). “All eyes will be on the provincial government to see what they are going to do,” commented Marlo Raynolds, Vice President, Market Development at BluEarth Renewables. “Renewable energy is currently not highest on the priority list for the government. But there is an outstanding commitment to produce a renewable energy framework and to implement a policy. No one is expecting an Ontario feed-in tariff type of system, but at the same time the right policy framework really could make a positive investment environment in Alberta for renewables. If the government starts to send out some positive signals then it could be a very active year in 2013 and probably even more so in 2014.”

Market Analysis

A carbon price increase is on the cards: Large carbon emitters are currently required to reduce the carbon intensity, defined as carbon emissions per unit of production, of their operations by 12% relative to a baseline of typical emissions performance for specific industries and facilities. If emitters cannot do this they are required to pay into a fund at a rate of $15 per tonne of carbon. The initiative is designed to support Alberta in meeting its targets to reduce greenhouse emissions by 12 million tonnes by 2025 and 37 million tonnes by 2050. In April 2013, the Environment Minister Diana McQueen announced the government is considering adopting a ‘40/40’ plan, that would increase the carbon intensity reduction target to 40% and increase the carbon price to $40 per tonne. Wind energy could benefit from an increase in the carbon price, as Hugo Bouchard explains: “There is already an incentive to reduce emissions. Companies that don’t reach a certain target of emissions have to pay a certain amount. The premier has set a bold target and hinted at an increased price per tonne of carbon. Wind projects could increase their income from these measures.” Renewables could help Alberta push through regulatory approvals for significant utility infrastructure projects: Promotion of renewable energy could act as a key factor in persuading government and regulatory officials to approve several multi-billion dollar utility infrastructure projects that will support increased production of bitumen from the province’s oil sands regions. Alberta is already responsible for one third of Canada’s greenhouse gas emissions and the province will need to manage the impact of greenhouse gases resulting from increased oil sands production. Alberta has vast renewables resources: With so much focus on Alberta’s extensive oil and gas resources, the province’s extensive renewable energy resources are often forgotten. According to a report by CanSIA in late 2012, Alberta’s solar resource is equivalent to or better than that of Ontario and Germany, where solar photovoltaics is a significant part of the energy mix. Alberta also has significant wind resources. According to CanWEA’s ‘WindVision for Alberta’ report, released in May 2013, the province has about 5,000 MW of easily accessible wind resources. With only 1,117 MW of capacity currently operational, there remains significant room for growth in the Alberta market. Grid upgrades should boost renewables: According to the Alberta Electric System Operator (AESO) connection queue, there are currently 21 wind projects totalling 2,750 MW that are awaiting grid connection. To meet this demand, AESO is planning to undertake a series of transmission extensions and upgrades that will enable a further approximately 3,000 MW to be connected to the grid. This will resolve a current bottleneck if successfully implemented.

7

Market Analysis

KPMG

Province in focus

British Columbia

SUMMARY Findings

1 2 3

Power demand in British Columbia is expected to grow significantly in the next 20 years. BC Hydro’s Draft Integrated Resource Plan predicts power demand could grow 50% to about 90,000 GWh by 2032. This growth will be underpinned by the potential development of up to five large-scale liquefied natural gas (LNG) terminals, population growth and increasing industrial development. Given current trends, British Columbia could face a power supply gap as early as 2017 unless new power capacity is procured. Clean energy is likely to play a major role in plugging this power supply gap due to British Columbia’s long term carbon reduction and electricity generation targets. For example, its Climate Action Plan requires clean energy to account for a minimum of 93% of total electricity generation in the province and for greenhouse gasses to be reduced by 33% from 2007 levels by 2020 and by 80% by 2050. Wind will likely be the favoured renewable energy technology in British Columbia. The province has excellent wind resources. Wind can also be deployed much quicker than competing renewable technologies such as hydro.

Explosive demand for power on the horizon Among Canada’s provinces, there is perhaps more excitement about the prospects for renewable energy development in British Columbia than anywhere else. According to BC Hydro’s Draft Integrated Resource Plan released in May 2012, energy demand could grow by 50% to approximately 90,000 GWh by 2032 through a combination of population growth in the Lower Mainland region of the province, increasing industrial development in the north, and the potential development of a number of large-scale liquefied natural gas terminals in the north and west of the province. Peak demand is also expected to increase by approximately 50% to 18,000 MW during the next 20 years.1

1

8

The following factors will underpin energy demand in the next 20 years in British Columbia: New LNG facilities: Plans have been formulated to develop up to five liquefied natural gas (LNG) facilities on the northwest coast of the province that will produce LNG for export to Japan. It is estimated that each terminal will require capacity in the region of 500 MW. A 0.9 million metric tonne per annum (mtpa) terminal under development by the BC LNG Export Co-operative is expected to come online in 2014 and a much larger 5 million mtpa facility being developed by a consortium of Apache Canada, Encana Corp and EOG Resources, will become operational a year later. Three much larger facilities could also be active by the end of this decade.

T hese projections do not take into account BC Hydro’s reductions in demand that could be achieved from its conservation and efficiency demand-side measures (DSM).

KPMG

Market Analysis

“The development of LNG terminals is very positive for the renewable energy industry,” explained Jean Trudel, Chief Investment Officer and SVP Communications at Innergex. “A portion of that power will have to be procured from new hydro or wind facilities. Some of this will come from combined-cycle gas plants, but I’m not sure how much can be provided by gas without really hurting the image that British Columbia is a green province. The target in BC is that 93% of all electricity should come from clean and green sources. There is a debate about whether gas fits this criteria or not.” Population growth: British Columbia is experiencing rapid population growth due to an increase in immigration. According to official statistics, the province’s population is expected to grow 25% to 5.7 million in the next 20 years, leading to a substantial rise in energy demand. Neighbouring province Alberta is also experiencing rapid population growth. The province’s population grew 0.8% in the second quarter of 2012 alone, making it Canada’s fastest growing province. The potential for energy to be exported to Alberta may also drive investment in renewable energy projects in British Columbia.

Expanding industrial base: LNG facilities aside, many other industries, most notably mining, oil and gas, are expected to grow rapidly in the next decade. Not only will this create additional energy requirements, but also new demand centres in northern British Columbia, where most of this industry is expected to be located. A simple review of the projected increase in power demand and the province’s current generation capacity indicates that British Columbia could face a power gap in 2017, according to BC Hydro’s Draft Integrated Resource Plan. This also assumes that the province’s energy efficiency and conservation plan, which aims to mitigate at least 66% of power demand increases through demand-side efficiency and conservation initiatives, proceeds according to plan. If the conservation program is less successful than envisaged, a power gap could emerge much earlier. BC Hydro’s draft Integrated Resource Plan estimates that a further 4,900 GWh needs to be installed during the next ten years and a further 12,500 GWh during the following ten years. These estimates assume that only two of the planned LNG terminals are installed. If more plants come online then these capacity requirements could be much higher.

ONTARIO

8.1 MILLION

ALBERTA

13.6 MILLION

BRITISH COLUMBIA

3.9 MILLION

4.7 MILLION

Population in Canada – tOP Four PROVINCES (2013)

QUÉBEC

2

Province

Population in 2013

Population in 20362

Alberta

3.9 million

4.6 million

British Columbia

4.7 million

5.8 million

Ontario

13.6 million

16.1 million

Québec

8.1 million

8.6 million

stimated population for 2036 based on E growth projections provided by Statistics Canada

Source: Statistics Canada

9

Market Analysis

KPMG

Forecasted energy supply deficiency in British Columbia 87.4 T

Annual energy supply

TW

h

2031

POTENTIAL ENERGY SUPPLY DEFICIENCY

h

24.4 TWh

W

h

TW

9

. 57 .1 56 T .8 56

3 TWh 73.

Load forecast before demandside management

2012

62.0 TW h

Load forecast after demandside management

Wh

Source: BC Hydro Draft Integrated Resource Plan

The table to the right outlines the energy demand based on four different scenarios. Scenario 1 envisages a mid-load forecast with two LNG terminals coming online. Scenario 2 envisages a mid-load forecast, three LNG terminals coming online and high energy demand from the mining industry. Scenario 3 envisages a high load forecast, three LNG terminals coming online and high energy demand from the mining industry. Scenario 4 envisages a high load forecast but only two LNG terminals coming online and normal demand from the mining industry.

10

20 20

20 30

67,196

71,650

Energy from new IPP clean energy procurement (GWh)

1,873

1,986

4,563

Capacity from new IPP clean energy procurement (MW)

90

93

222

68,313

75,558

86,168


3,785

9,884

14,889


257

710

975

74,275

82,583

96,291

Scenario 1 Scenario 2

Total annual energy demand (GWh)

Total annual energy demand (GWh) Scenario 3

BC Hydro could potentially develop the additional capacity itself without any involvement from the private sector. For example, BC Hydro is pursuing the development of the Site C hydroelectric project in northeast BC, which could add 5,100 GWh annually to the province’s supply base. Although this represents a significant chunk of the capacity shortfall, this project will not be operational before 2021. As a result, BC Hydro is considering programs to procure 2,000 GWh of renewable energy capacity from IPPs that have projects that come online in the 2016-2018 timeframe. If more than two LNG terminals are developed, then this procurement program could significantly exceed 2,000 GWh.

66,278

Total annual energy demand (GWh)


3,606


189

Total annual energy demand (GWh) Scenario 4

British Columbia has implemented a series of long term carbon reduction and electricity generation targets, which will ensure clean energy plays an important role in meeting this power requirement. Its Climate Action Plan requires clean energy to account for a minimum of 93% of total electricity generation in the province and for greenhouse gasses to be reduced by 33% from 2007 levels by 2020 and 80% by 2050. It should be noted that British Columbia’s definition of clean energy includes low carbon natural gas generation, not just renewables. Other targets include a requirement that all new electricity generation projects must have zero-net greenhouse emissions and that all communities must be carbon neutral by 2012.

20 18

Clean energy IPPs to play an essential role in addressing deficiency

72,240

16,914 25,362

1,162

1,654

74,221 82,403


1,873

8,874

10,830


90

531

700

Source: BC Hydro Draft Integrated Resource Plan

KPMG

Hydro and wind will benefit most Due to British Columbia’s natural resources and the varying costs of different renewable energy technologies, it is highly probable that only hydro, onshore wind, and to a lesser extent biomass, will benefit from any impending renewable energy procurement programs.

“Right now BC hydro is undertaking a procurement plan. If they want to do a lot of large scale hydro then that will reduce the share of wind. But the reality is that large hydro takes a long time to deploy compared with wind and the government is in a rush to build these LNG terminals.” Marc-Antoine Renaud Business and Development Manager, Enercon Canada

What is perhaps most interesting about upcoming renewable energy procurement programs is the potential dependence on onshore wind. British Columbia is currently home to two operational utility scale wind farms – the 102 MW Bear Mountain Wind Park and the 144 MW Dokie Wind Project, both of which were developed under previous procurement programs. Currently only 247.5 MW of wind capacity is installed in British Columbia, less than in Ontario (2,020 MW), Québec (1,136 MW) and Alberta (967 MW). Some argue that wind is preferable to hydro since it can be deployed more quickly. The more urgent the power requirement the more likely wind will feature heavily in subsequent clean energy power calls.

Market Analysis

“Right now BC Hydro is undertaking a procurement plan,” explained Marc-Antoine Renaud, Business and Development Manager at Enercon Canada. “If they want to do a lot of large scale hydro then that will reduce the share of wind. But the reality is that large hydro takes a long time to deploy compared with wind and the government is in a rush to build these LNG terminals. The government has specified that they will be powered by renewable energy, but they have not yet specified which renewable technology will be chosen. The deployment pace of hydro doesn’t really fit the pace that they need to go at.”

Short-term investment and acquisition opportunities Although the most obvious opportunity in British Columbia relates to new procurement driven by prospective capacity shortfalls, hydro, wind and biomass projects announced in procurement rounds executed in 2006 and 2008 will continue to seek financing in 2013. In addition, projects approved in previous procurement rounds whose developers have run out of capital during the lengthy environmental permitting and First Nations work are likely to be looking for acquirers. “Most developers start the bulk of their environmental work and stakeholder consultation once they have been awarded an Electricity Purchase Agreement (EPA), and this can take several years to complete,” explained Alastair King, CEO of Zero Emission Energy Developments. “Because it takes years for projects to become operational, many developers sell their stakes on to larger developers who have the resources to complete the projects, so in BC there are definitely potential M&A opportunities. As an example, the two wind projects that are fully operational are both owned by international firms that were not the original owners of the EPA.”

11

Market Analysis

KPMG

Province in focus

Ontario Summary findings

Continued delays in the award of nuclear development contracts could potentially lead to further procurement of gas and renewable to meet potential capacity shortfalls. Ontario currently has an energy surplus, but a series of planned nuclear refurbishments towards the end of this decade will reduce electricity supply significantly.

12

2.5 2.0 1.5 1.0 0.5

Annual Capacity Source: CanWEA

Cumulative Capacity

20 12

20 11

20 10

09 20

08

0 20

Ontario has been the most pro-active Canadian province in implementing renewable energy incentive programs. In 2009, it introduced a feed-in tariff initiative and a target to install 10.7 GW of non-hydro renewable energy capacity by 2018, a target it later brought forward to 2015. The plan has been highly successful in stimulating investment in renewable energy. As a result the province currently has the largest volume of installed non-hydro renewable energy capacity in Canada, with more than 2,000 MW of onshore wind currently operational and over 650 MW of solar PV installed. The provincial government asserts that it will meet its 2015 capacity target.

installed wind capacity in Ontario

07

Ontario –leading from the front

20

4

The bright spot on the horizon for renewables is the uncertainty over the province’s nuclear build-out program. The province’s Pickering nuclear plant is scheduled to be decommissioned in 2020. The government announced plans to build 2,000-3,500 MW of new nuclear capacity at the current Darlington site in 2008 but is yet to award development contracts. New contract awards have been delayed on multiple occasions in part due to concerns over the cost of new nuclear.

06

3

The pace of renewables deployment is expected to slow significantly after 2015. This is due to a deceleration in new procurement during the past two years as a result of delays in finalizing the province’s new feed-in tariffs, significant cuts to current feed-in tariff levels, uncertainty around the switch to a new competitive procurement mechanism for large scale projects as announced in June 2013, and the need to introduce new contracting procedures that comply with the WTO’s ruling on domestic content requirements.

20

2

Ontario is Canada’s largest renewable energy market by some margin. With over 2,000 MW of onshore wind and over 650 MW of solar PV currently operational, it has more installed renewable energy capacity than any other province. The province expects to achieve its target of installing 10.7 GW of non-hydro renewable capacity by 2015.

Capacity (GW)

1

KPMG

Market Analysis

New procurement set to slow Renewable energy project procurement is expected to slow in Ontario during the next three years for the following reasons: FIT 2.0 features heavy cuts: The most significant development was the unveiling of the new feed-in tariff rates in early 2012, which featured heavy cuts for new solar PV and onshore wind projects. The rate for small-scale rooftop solar was cut from $0.82 per kWh to $0.549 per kWh and the rate for utility scale solar PV was cut from $0.445 per kWh to $0.347 per kWh. Meanwhile, the rate for wind projects was reduced from $0.135 per kWh to $0.115 per kWh. The new feed-in tariff program also prioritizes projects that are majority owned by Aboriginal or local communities. “There are some small community projects that might get done under the new feed-in tariff but the utility-scale renewable energy program has pretty much followed its course,” said Paul Bradley, CFO of Northland Power. “I think the last five years have been quite the bonanza for renewable energy in Ontario. Going forward it will be much harder to develop new utility scale renewables projects. Also, the transmission lines and connection capabilities are pretty much maxed out apart from in certain niche areas.”

“I don’t think the WTO’s ruling will have a major impact in Ontario. We don’t see Ontario going full blown with wind procurement again in the next three to five years. They want to accomplish what they have set out to, but there may not be too much after that.” Jean-François Thibodeau Vice-President and Chief Financial Officer, Boralex

FIT to be replaced with competitive tenders: The Ontario government recently stated that it will halt its feed-in tariff for projects over 500 kW and replace it with a competitive procurement process. Details of the scope, timing and requirements for this process have not yet been outlined. There will undoubtedly be some uncertainty on future opportunities as investors await clarity on details of the procurement system. This announcement will not affect renewables deployment in the short term since the FIT program has effectively already been closed for large renewables for two years. WTO rules against domestic content requirements: In December 2012 the World Trade Organization (WTO) formally ruled that Ontario’s clean energy subsidy program breaks international trade rules due to its stringent domestic content requirement. The ruling states that Ontario breached obligations related to the General Agreement

on Tariffs and Trade (GATT) because it requires companies selling clean energy in the province to source a sizeable amount of their equipment and services from Ontario-based companies. In February 2013, Canada appealed this ruling on the basis that Ontario’s FIT is exempt from certain trade rules due to its relationship with government procurement. This appeal was rejected by the WTO in May 2013. Ontario Energy Minister Bob Chiarelli has since stated that it intends to comply with the ruling and that revised legislation will be implemented early next year. The effect of this ruling is likely to be minimal because new wind energy procurement has already slowed down in Ontario and projects that have already been awarded contracts will not be impacted. “I don’t think the WTO’s ruling will have a major impact in Ontario,” confirmed Jean-François Thibodeau, VicePresident and Chief Financial Officer at Boralex. “We don’t see Ontario going full blown with wind procurement again in the next three to five years. They want to accomplish what they have set out to, but there may not be too much after that. I don’t think there will be any contract terminations. Any changes will likely only effect new projects and they are slowing down anyway.”

13

Market Analysis

As energy sources, nuclear and renewables do not complement one another well. Renewables need to be paired with generation capacity that can be increased or reduced rapidly, such as natural gas or hydro. Nuclear power lacks this flexibility. As a result, more nuclear capacity limits the potential for new renewables. However, many industry observers expect that the current low price of gas may render nuclear uneconomic. This could make renewables a more cost effective alternative. “You have to ask yourself how realistic the Ontario government’s nuclear plan really is,” explained Bradley. “Some nuclear generation is probably a reality, but I really don’t see all of this happening. Some refurbishment may take place but building new nuclear capacity in an era of $3-5 gas does not make economic sense – leaving aside the environmental, safety and political challenges. When this reality sets in there will be new opportunities for gas and also potentially renewables. That is the bright spot in Ontario right now.”

Pickering A

Unit 2

(Out of service)

515 MW Unit 3

(Out of service)

515 MW Unit 4 515 MW Unit 5 516 MW

Pickering B

Plans are in place to refurbish four units at the Darlington nuclear plant and the remaining four units at the Bruce B facility. The government also intends to award contracts to develop two nuclear reactors totalling 2,000-3,500 MW at the Darlington site. The government initiated the first call for proposals in 2008. However, awarding the contracts has been delayed a number of times. An overview of Ontario’s nuclear power stations is shown opposite.

Unit 1 515 MW

Unit 6 516 MW Unit 7 516 MW Unit 8 516 MW Unit 1 881 MW

Darlington

The long-term potential for renewable energy after 2015 in Ontario will also heavily depend on the extent to which the province pursues its ambitious nuclear build-out and refurbishment program. Ontario generates around half of its electricity from nuclear power, a proportion the previous government’s energy plan committed to maintaining. With the planned closure of Ontario’s Pickering nuclear station in 2020, new nuclear facilities will have to be built for this generation capacity to be maintained.

Nuclear plants in Ontario

Unit 2 881 MW Unit 3 881 MW Unit 4 881 MW

Unit 1 750 MW

Bruce A

Long-term future for renewables depends on nuclear strategy

KPMG

Unit 2 750 MW Unit 3 750 MW Unit 4 750 MW

Bruce B

Unit 5 785 MW Unit 6 820 MW

The Pickering nuclear facility’s current operating license was recently given a two-month extension to August 31, 2013 by Canada’s nuclear regulator, the Canadian Nuclear Safety Commission. The extension was provided to give the regulator more time to assess the station’s application for a five-year license extension. The plant’s owner, Ontario Power Generation, wants to keep the plant running until 2020, at which point it will be decommissioned. Proponents of the extension say it is essential the plant is granted an extension as output will be curtailed at the Darlington facility when it starts refurbishment in 2016. Refurbishment of Darlington’s four units will commence in 2016. It is scheduled to be completed in 2024. The refurbishment will enable the units to continue operating for a further 25-30 years. In March 2012, Ontario Power Generation awarded a $600 million contract to SNC-Lavalin and Aecon to carry out the definition phase of the refurbishment project. With a total output of 3,524 MW, the Darlington facility provides around 20% of Ontario’s electricity generation needs. All four units of the Bruce A facility started operations in the late 1970s. Unit 2 was shuttered in 1995 after a steam generator suffered corrosion. Unit 1 was taken out of service in 1997 and Units 3 and 4 were closed in 1998 after Ontario Hydro decided to close the facilities and concentrate on other plants. Bruce Power took over operations at the site in 2001 and restarted Units 3 and 4 between 2003 and 2004. In 2005, the Ontario Power Authority signed an agreement to restart Units 1 and 2, to refurbish Unit 3 and to replace steam generators in Unit 4. In 2007, this agreement was expanded to include the full refurbishment of Unit 4.

Unit 7 785 MW

Units 1 and 2 restarted operations in September 2012 and October 2012 respectively.

Unit 8 785 MW

The four units at Bruce B began operations in the mid 1980s and continued to operate while Bruce A was being refurbished.

Total Capacity

13,823 MW

Source: Clean Energy Pipeline

14

KPMG

Market Analysis

A dynamic financing market Although the volume of newly procured renewable energy projects is expected to dry up during the next three years (apart from planned procurement of 1,000 MW of wind capacity), the sheer volume of capacity awarded under the previous tariff regimes means that a significant number of projects will continue to be financed in 2013 and 2014. The volume of contracted capacity of different renewables technologies is shown below: Capacity Operational under capacity development

Total

Wind

3,772 MW

2,019 MW

5,791 MW

Solar

1,350 MW

645 MW

1,995 MW

Bioenergy

312 MW

63 MW

375 MW

Total non-hydro

5,434 MW

2,727 MW

8,161 MW

725 MW

1,710 MW

2,435 MW

6,159 MW

4,437 MW

10,596 MW

Hydro Total

Source: Ontario Power Authority

“There is dealflow in Ontario related to the FIT program,” confirms Pierre Anctil, President & CEO of Fiera Axium. “A lot of projects awarded contracts under the previous version of the FIT program and are still under development. A lot of these projects are now coming to the market for financing. ” A selection of 100 MW-plus wind energy projects scheduled to come online in Ontario in the next 18 months are listed below: Project

Planned Capacity

Estimated Status Completion Date

Nigig Power Corp. Wind Farm

300 MW

2014 Q1 pre-notice to proceed (NTP) Henvey Inlet First Nation

Developer

South Kent Wind Farm

270 MW

2014 Q1 In Construction

Samsung C&T Corp. & Korea Electric Power

Niagara Region Wind Farm

230 MW

2014 Q1 pre-NTP

Niagara Region Wind Corporation

Armow Wind Farm

180 MW

2014 Q3 pre-NTP


Jericho Wind Farm

150 MW

2014 Q3 pre-NTP

NextEra Energy

Grand Renewable Wind Farm

150 MW

2014 Q4 pre-NTP


Haldimand Wind Farm

149 MW

2014 Q1 NTP secured


Summerhaven Wind Farm

124 MW


NextEra Energy

Port Dover and Nanticoke Wind Farm

105 MW


Capital Power GP Holdings Inc.

Goshen Wind farm

102 MW

2014 Q3 pre-NTP

NextEra Energy

Grand Bend Wind Farm

100 MW

2014 Q4 pre-NTP

Northland Power

Cedar Point Wind Farm

100 MW

2014 Q3 pre-NTP

Suncor Energy Products Inc.

Sol-Luce Kingston Wind Farm

100 MW

2014 Q1 pre-NTP


Source: Ontario Power Authority, Clean Energy Pipeline

15

Market Analysis

KPMG

Province in focus

Québec

Summary findings

1 2

Current financing requirements: Some 1,600 MW wind energy capacity procured in previous requests for proposals (RFPs) will be installed in the next two and a half years in Québec, a large proportion of which still needs to be financed. Future commitments: The recent 800 MW RFP demonstrates a commitment to wind beyond 2015. This will preserve Québec’s wind manufacturing base through to 2016 although the opportunity for IPPs is unclear. The recent RFP is consistent with a long-term commitment to wind in Québec. About 400 MW will need to be procured per year to maintain the province’s industrial base and its associated jobs.

Entering a busy period of construction and financing Québec is Canada’s second largest wind energy market after Ontario. In 2003, the government set a target of 4,000 MW installed capacity by 2015. To achieve this objective the government awarded contracts for approximately 3,300 MW of wind energy capacity across three wind energy procurement rounds in 2003, 2005 and 2009. A small proportion of these projects (approximately 200 MW) have since been terminated, meaning that just over 3,100 MW is likely to be online by the end of 2015. However, only 1,505 MW was installed as of May 20131. This leaves in the region of 1,600 MW to be installed during the next two and a half years, a large proportion of which still needs to be financed. The projects contracted in previous wind energy procurement programs are outlined on the next page. This figure only includes operational wind projects that were contracted through the province’s RFP process. A further 211 MW of wind capacity is operating, although these projects were not contracted through the RFP process.

1

16

KPMG

Market Analysis

RFP 1 (2003) Capacity (MW)

Status

Commencement date/ Expected commencement date

St-Ulric St-Léandre wind farm (phase 1)

128

Operational

Nov-09

Gros-Morne wind farm (phase 2)

111

Operational

Nov-12

Baie-des-Sables wind farm

110

Operational

Nov-06

Carleton wind farm

110

Operational

Nov-08

L'Anse-à-Valleau wind farm

101

Operational

Nov-07

Mont-Saint-Louis wind farm

101

Operational

Sep-11

Gros-Morne wind farm (phase 1)

101

Operational

Nov-11

Montagne-Sèche wind farm

59

Operational

Nov-11

St-Ulric St-Léandre wind farm (phase 2)

23

Planned

Undisclosed

Capacity (MW)

Status


Rivière-du-Moulin wind farm

350

Construction

Dec-15

Des Moulins wind farm

156

Construction

Dec-13

Massif-du Sud wind farm

150

Operational

Jan-13

Lac Alfred wind farm (phase 1)

150

Operational

Jan-13

Lac Alfred wind farm (phase 2)

150

Construction

Dec-13

Seigneurie de Beaupré wind farm (phase 3)

141

Construction

Dec-13

Le Plateau wind farm

139

Operational

Mar-12 Dec-13

Project

RFP 2 (2005) Project


131

Construction

Vents du Kempt wind farm

102

Construction

Dec-14

Montérégie wind farm

101

Operational

Dec-12

De l'Érable wind farm

100

Construction

Dec-13

80

Operational

Oct-12

Clermont wind farm

74

Planned

Dec-15


69

Planned

Dec-14

New Richmond wind farm

68

Operational

Mar-13

Témiscouata II wind farm

51

Planned

Dec-15

Capacity (MW)

Status


St-Robert-Bellarmin wind farm

RFP 3 (2009) Project La Côte-de-Beaupré wind farm

25

Planned

Dec-15

Viger-Denonville wind farm

25

Construction

Dec-13 Dec-14

La Mitis wind farm

25

Planned

Le Granit wind farm

25

Planned

Dec-14

Pierre-De Saurel wind farm

25

Planned

Dec-15

St-Philémon wind farm

24

Planned

Dec-14

Frampton wind farm

24

Planned

Dec-15

St-Cyprien wind farm

24

Planned

Dec-15

Val-Éo wind farm

24

Planned

Dec-15

St-Damase wind farm

24

Planned

Dec-14

Témiscouata wind farm

24

Planned

Dec-14

Le Plateau-2 wind farm

23

Planned

Dec-13

Source: Clean Energy Pipeline

17

Market Analysis

3.5 3.0 2.5 2.0 1.5 1.0

20

20

07

20

06

05

08

Cumulative Capacity

Source: CanWEA

On May 10, 2013, the Government of Québec announced long anticipated plans to procure an additional 800 MW of wind energy. The details of the procurement program, including timeframes, are yet to be clarified but the move is welcome news for the industry since it represents a commitment to wind power post-2015. Procurement will be divided into three blocks: 450 MW will be awarded through a RFP process to local communities and cooperatives in partnership with private developers. Within this, 300 MW will be awarded specifically to projects in the GaspésieÎles-de-la Madeleine and Lower St. Lawrence regions;

•

200 MW will be allocated to Hydro Québec Production, a division of Hydro Québec; and

•

150 MW will be allocated to the three Mi’gmaq First Nations of Québec, who have established a partnership with Canadian IPP Innergex.

The new procurement is encouraging and was widely expected. The new program is crucial in meeting the province’s 4,000 MW capacity targets. Attrition in previous RFP rounds means this target may not be reached until after 2015. The new procurement round is a positive development for Québec’s wind energy supply chain, although the opportunity for private developers is uncertain. “The new RFP does present opportunities but it has its limits,” explained Jean-François Thibodeau,

18

20

04

Annual Capacity

New wind procurement – a sign of good intentions

•

20

20

03

0

09 20 10 20 11 20 12 20 13 e 20 14 e 20 15 e

0.5

20

“The greatest opportunity for financing and commissioning between now and 2015 will be in Ontario and Québec due to the number of projects in the pipeline,” explained Cory Basil, Vice President, Development at EDF EN Canada. “We have recently commissioned just under 400 MW of wind in Québec and have about 600 MW to be brought online in the next two to three years alone.”

installed wind capacity in QuÉbec

Capacity (GW)

Annual installation is gathering pace. Four projects totalling 431 MW were brought online in 2012, representing a 66% increase by capacity on the three projects totalling 260 MW brought online in 2011. As of May 2013, three projects totalling 368 MW have already been installed. Assuming projects proceed on schedule, a total of 1,093 MW could be brought online in 2013.

KPMG

Vice-President and Chief Financial Officer at Boralex. “It is not a fully open RFP. Out of the 800 MW, 150 MW has been given to First Nations projects in collaboration with Innergex. 200 MW has been given to Hydro Québec, so 350 MW is already not available to us. Then 300 MW will be driven by local municipalities in Gaspésie. We don’t know the details yet of how this segment will be allocated and whether it will be a real open RFP. That only leaves 150 MW that we can definitely bid on. But there may be around 3,000 MW bid for this 150 MW of capacity.”

“From the government’s perspective, wind is an economic development program. Whether 800 MW will be enough to maintain all of the wind manufacturing jobs in Québec will depend on the timing. Post-2015, 400-500 MW of turbines will have to be deployed per year for the industry to maintain itself and expand its industrial base.” Hugo Bouchard Chief Investment Officer & General Manager, Eolectric

Some however argue that the new RFP is not structured in a way that encourages cost efficiencies. “The long term development of the industry requires that the production costs fall over time,” explained Renault Lortie, Partner at KPMG. “The best way to assure costs and consumer prices go down is to have the most competitive bidding process in an open RFP.”

KPMG

Wind has a healthy long-term future Nearly every wind energy executive interviewed for this report believes there is significant long-term growth potential for wind energy in Québec even after its 4,000 MW capacity target is achieved. The following factors will underpin future wind energy procurement: Maintaining the local wind industry: Preservation of Québec’s wind equipment manufacturing industry and associated jobs is by far the strongest driver to promote wind energy. According to the Government of Québec, more than 150 companies located in Québec currently manufacture equipment for or provide services to the province’s wind industry. The industry employs more than 2,000 individuals directly and many more indirectly. Job creation was at the heart of Québec’s wind energy strategy when it was established in 2003. Recent RFPs require that at least 30% of turbine costs and 60% of total project costs be related to expenses specifically in the Gaspésie and Matane regions of Québec. The government hoped that Québec’s supply chain would also develop export markets. However, local content requirements in Ontario and the dominance of large domestic turbine manufacturers in the US has resulted in limited success. As a result, Québec’s wind manufacturing and servicing industry depends almost entirely on local demand and new wind procurement programs. “From the government’s perspective, wind is an economic development program,” confirmed Hugo Bouchard, Chief Investment Officer & General Manager at Eolectric. “Whether 800 MW will be enough to maintain all of the wind manufacturing jobs in Québec will depend on the timing. Post-2015, 400-500 MW of turbines will have to be deployed per year for the industry to maintain itself and expand its industrial base.” “During her announcement of RFP IV in May 2013, Québec Premier Ms. Marois stated that the government had a

Market Analysis

long-term vision,” explained Helmut Herold, Managing Director, REpower Systems. “We understood that the government intends to further develop the wind industry in Québec and that there will be more RFPs to come, hence enabling the industry to, at the least, maintain jobs created in the province. In 2024, new turbines will be needed for repowering. As a well-established Québec manufacturer, REpower welcomes this long-term vision as it enables us to make further investments in a stable business environment. At the same time, it allows REpower to maintain the jobs existing in its supply chain and its direct workforce.” Supplementing natural gas during the winter: Québec electricity consumption in the winter is very high, since the majority of the province’s inhabitants use electricfired heaters. The level of peak demand is rising. In January 2013, freezing temperatures caused electricity consumption to hit a record high of 38,910 MW, 3% above the previous record set in January 2011. “Wind energy is perfect for Québec as we have a winter energy peak,” said Hugo Bouchard. “Québec uses almost all of its capacity during the winter peak. Most of the residential heating is electrical, which gives wind an interesting value. You get significantly higher production from wind farms during the winter months so it is a perfect match. Wind can therefore act as an alternative to natural gas standby facilities.” Complementing hydro: Québec has a large base of approximately 40,000 MW of installed hydro capacity (including the 5.4 GW Churchill Falls generating station situated in Newfoundland and Labrador), accounting for 91% of total electricity production. Much of this is sourced from dammed hydro projects, production from which can be easily altered. With this flexibility, the problems of wind intermittency are removed, since any dips in generation can be easily compensated with increased hydro output.

19

Market Analysis

However, projections are that the scale of the surplus should decrease in the next seven years. Hydro Québec estimates the surplus will hit a peak of 5.6 GWh in 2015 before falling to 2.2 GWh in 2018 and 0.1 GWh in 2020. The surplus totalled 4.4 GWh in 2012.

200 190 180 170 160 150

20 13 20 14 20 15 20 16 20 17 20 18 20 19 20 20

0 20 12

Québec has registered an energy surplus for many years and does not currently require new power capacity. Hydro Québec projects the province will generate a surplus of 25 GWh between 2012 and 2020. Other studies indicate the surplus will last until 2027. Some critics of the province’s wind energy strategy argue that running a surplus pushes up energy bills as it forces Hydro Québec to purchase electricity it does not need. The utility estimates the surplus will add approximately $1.5 billion to electricity bills in the next seven years, although some critics have estimated this figure is much higher. Indeed the Québec Association of Industrial Electricity Consumers estimates that the recently announced 800 MW wind energy procurement will increase electricity bills by 1% if Hydro Québec Distribution buys the power.

Projected electricity demand and supply in QuÉbec

GWh

Québec’s energy surplus conundrum

KPMG

Heritiage electricity supply base Non-heritage electricity supply Projected electricity demand Source: Hydro Québec

“Hydro Québec’s most recent numbers predict an annual average surplus of 1.2%, which is not that much,” explained Jean-Frédérick Legendre, Regional Director – Québec, CanWEA. “One major new industrial consumer could change things. The economy still hasn’t recovered from the crisis and an upturn in activity could raise demand. We shouldn’t stop developing wind because we currently have a surplus.”

Looking beyond wind Aside from wind there may be smaller opportunities for other renewable power technologies. As Martin Imbleau, Vice President, Operations and Major Projects at Gaz Métro explained, there may be significant long term potential for biomethane. “Biomethane, which is locally produced natural gas, has a lot of potential in Québec,” he said. “By 2017 all municipalities in Québec won’t be allowed to bury domestic waste. So they will have to put in a recycling program. The best way to deal with that waste is to put it into a digester to generate energy. There is a $700 million subsidy available to Québec municipalities to develop these types of projects. I think it is realistic that 2% of natural gas consumption could be displaced by biomethane by 2017.” In contrast, there is less potential for new hydro development. “The opportunity for new hydro development in Québec is relatively small as the low-hanging fruit has already been taken,” continued Imbleau. “Most of the best rivers have already been developed on.” In addition, Hydro Québec recently cancelled smaller run-of-river projects.

20

KPMG

Market Analysis

KPMG LLP www.kpmg.ca Craig Walter Partner +1-416-777-8342 [email protected]

Georges Arbache Vice President +1-416-777-8170 [email protected]

Mary Hemmingsen Partner +1-416-777-8896 [email protected]

Nathalie Labelle Partner +1-514-840-2143 [email protected]

About KPMG LLP in Canada KPMG LLP, an Audit, Tax and Advisory firm (kpmg.ca) and a Canadian limited liability partnership established under the laws of Ontario, is the Canadian member firm of KPMG International Cooperative (“KPMG International”). KPMG member firms around the world have 152,000 professionals, in 156 countries. KPMG’s network of member firms is the #1 Mergers & Acquisitions adviser in the world. In 2011, we completed 360 mid-market transactions. We consistently complete more middle market transactions valued under $1 billion than any other advisor in the world.*

KPMG’s Transaction Advisory - Global Power and Utilities Group KPMG has a dedicated Global Power and Utilities Group, focused on serving organizations involved in all aspects of the power & utilities industry, from generation and transmission through to distribution and retail. In Canada, we are a team of more than 50 transaction professionals committed to the power and utilities industry. We provide project development, project finance, due diligence, tax, mergers & acquisition, and strategic advice to developers, companies, investors, and stakeholders across the industry. Our Power and Utilities Group works with developers, owners, operators and investors at all stages of a project’s lifecycle. We help our clients maximize the value of their projects and their investments by focusing on key value drivers in power generation projects by finding innovative solutions to developing, structuring and financing these assets.

*Source: Thomson Reuters SDC; mid-market transactions (under $1 billion - USD) The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.

21

Thought leadership

Toronto Stock Exchange & TSX Venture Exchange

Canada’s Capital Markets Welcome the Clean Technology World

Clean technology companies in Canada and around the world have discovered the advantages of raising money on Toronto Stock Exchange (TSX) and TSX Venture Exchange (TSXV). The Exchanges accommodate clean technology companies of all sizes in an environment that attracts extensive research coverage and offers ready access to capital. A public listing on TSX or TSXV also exposes companies to domestic and international investors who rank the Exchanges among the world’s most stable public markets. In a report by the World Federation of Exchanges (WFE), the Exchanges were ranked 7th in the world in terms of total market capitalization in 2012, 3rd in the world for equity capital raised and 1st for new listings. Currently, TSX and TSXV are home to more clean technology companies than any other exchange, with 115 companies listed and a total market capitalization of approximately $20 billion. Last year, these companies raised $1.3 billion on the Exchanges and completed 82 financings. “We’re the global experts in supporting the growth of midcap companies,” says Michael Kousaie, Head of Business Development for the Exchange’s clean technology sector. Of the clean technology companies listed on TSX, almost onethird began as smaller companies on TSXV and graduated to the larger Exchange as they developed. With a listing on TSX or TSXV, a clean technology company not only gains access to equity capital, it also raises its profile within the investment community. “Over

22

140 analysts cover our clean technology companies,” says Kousaie. And research isn’t just reserved for the largest issuers. “Clean technology issuers with a market capitalization of $50 million to $150 million have an average of four analysts on their stock,” says Kousaie. In addition to Canadian companies, the Exchanges have attracted 20 international listings in the sector. In seeking a listing on TSX or TSXV, clean technology companies can rely on the support of a well-developed ecosystem of law firms, investment banks, venture capitalists and government agencies with experience in all aspects of structuring and completing deals for companies ranging from domestic startups to multinational businesses.


Thought leadership

Public equity hub for North America’s clean technology companies TSX and TSXV provide a supportive environment for clean technology companies from the US and overseas. Not only does TSXV accommodate startup companies, its issuers may also graduate to the senior exchange as they grow to meet the listing requirements for TSX. “Our Exchanges provide an excellent financing alternative for US companies,” says Kevan Cowan, President, TSX Markets and Group Head of Equities, TMX Group. “With 179 US listings, TSX and TSXV are the #1 foreign exchange for US companies.” Natcore Technology Inc. (TSXV:NXT), for example, based in Red Bank, NJ, was attracted to the greater visibility and liquidity that early-stage clean technology companies receive in Canada relative to the US over-the-counter market. Under President, CEO & Director Chuck Provini, Natcore chose to raise capital on TSXV because “it is very well regulated, resulting in an orderly marketplace and less risk and more stability for investors. Canadian markets [also] have a good reputation worldwide, an important consideration for young companies that have not yet earned investor trust.” Larger clean technology companies such as Brookfield Renewable Energy Partners LP (TSX:BEP.UN) also find an inviting environment on TSX that includes liquidity, extensive analyst coverage and a stable, well-regulated marketplace. Brookfield raised $250 million as one of 21 clean technology financings on TSX in 2012 and another $175 million in January 2013.

23

Thought leadership

Canada’s clean technology champion Clean technologies aim to provide more sustainable innovations that benefit a variety of sectors. Unfortunately, some of the most promising innovations never reach the marketplace because the researchers who develop them have little experience in commercializing their work. To address this challenge, the Canadian government created Sustainable Development Technology Canada (SDTC). Since 2001, SDTC has bridged the gap between research and commercialization by fast-tracking ground-breaking clean technologies through their development and demonstration stages. TSX and TSXV partner with SDTC to further support the sector. Events such as Investor Days, which profile emerging clean technology companies, and Capital Connections Days, which introduce clean technology


entrepreneurs to key capital markets advisors, are part of the Exchanges’ ongoing commitment to the entrepreneurial ecosystem. “We foster and encourage innovation and collaboration among private, academic and public sector partners,” says Vicky Sharpe, President & CEO, SDTC. With small and mid-sized companies accounting for 90% of its portfolio, SDTC has completed 21 funding rounds and allocated a total of $592 million to 245 projects. For every dollar invested by SDTC, other project partners have contributed $2.50, creating a total of almost $2.1 billion raised for clean technology financing. To finance their continued growth and to repay their initial backers, many clean technology companies eventually seek a listing on TSX or TSXV. Almost 20% of clean technology companies listed on TSX and TSXV have received SDTC funding.

Toronto Stock Exchange & TSX Venture Exchange Website: Contact: Position: Email: Telephone:

tmx.com Michael J. Kousaie Head of Business Development, Technology & Clean Technology [email protected] 416-947-6626

Toronto Stock Exchange (TSX) and TSX Venture Exchange (TSXV), owned and operated by TMX Group Limited, are dynamic marketplaces to access capital and liquidity that drives the growth of domestic and international companies. As world class equity markets with financings ranging from $200,000 to $1 billion, TSX and TSXV are the ideal destination for small- to mid-cap companies. As a leading global exchange, TSX provides senior, wellestablished companies with efficient access to public equity and liquidity for existing and new investors. Serving the public venture capital market, TSXV provides access to growth capital for early stage companies while offering investors a well-regulated market for making venture investments. With more clean technology companies than any other exchange, TSX and TSXV are the world’s leading destination for public listings in this sector. Canada has a unique ecosystem to support clean technology companies of all stages of development.

Consider these benefits:

•

ccess to capital – $1.3 billion of equity capital A was raised by TSX and TSXV clean technology companies in 2012 and $6 billion has been raised over the past five years

•

Analyst coverage – 4 out of 5 TSX-listed clean technology companies are covered by an analyst

•

Tailored & flexible listing criteria – Listing criteria considers evidence of adequate financing and operational expertise to carry the company forward with its intended development program

•

Growth potential – TSXV issuers can graduate to TSX, as they fulfill their growth strategy

For more information, please visit tmx.com/cleantech

All figures current as of May 31, 2013 unless otherwise indicated. The information provided is not an invitation to purchase securities listed on Toronto Stock Exchange or TSX Venture Exchange. TMX Group and its affiliated companies do not endorse or recommend any securities referenced in this document. This document is not intended to provide legal, accounting, tax, investment, financial or other advice and should not be relied upon for such advice. “TSX” is the trade-mark of TSX Inc. This information is provided for information purposes only. Neither TMX Group Limited nor any of its affiliated companies guarantees the completeness of the information contained in this document and we are not responsible for any errors or omissions in or your use of, or reliance on, the information. ©2013 TSX Inc.

24


Thought leadership

25

Thought leadership

Ontario Clean Tech Alliance

Going Green: Ontario’s Emergence as a Cleantech Leader Robert Nolan Lead for OCTA’s 2013 Program Ontario Clean Technology Alliance

Ontario is a North American leader in clean energy, on track to produce 10,700 MW of nonhydro renewable energy generation by 2015. Global markets for clean technology are at $1 trillion and projected to expand to $3 trillion by 2020. Ontario supports more than 3,000 environmental industry companies that employ approximately 65,000 people and generate over $8 billion annually in revenue. Ontario is a clean technology demonstration hub for the North American market.

In 2009, the Green Energy Act (GEA) helped spark significant growth in the production of clean and renewable energy in Ontario. Since then, Ontario’s clean energy initiatives have been successful, creating more than 31,000 jobs across the province and attracting more than $27 billion in privatesector investment. The 2011 Canadian Clean Technology Industry Report projected that the sector will employ 75,000 by 2015 and 126,000 by 2020, with the majority of growth taking place in Ontario.

“As part of the campaign to reduce tax burdens on businesses, Canada is the first G20 member to have made itself a tariff-free zone for manufacturers by eliminating tariffs on manufacturing inputs, machinery and equipment.” 26

Business Attractiveness Canada boasts the world’s most stable financial system, with Canadian banks ranked as the soundest globally by the World Economic Forum for the fifth consecutive year. In addition, the International Monetary Fund (IMF) and the Organisation for Economic Co-operation and Development (OECD) project that Canada will lead all G7 countries in economic growth in 2013. Producing nearly 40% of Canada’s GDP, Ontario is the engine of Canadian innovation. In 2013 the combined federal-provincial corporate income tax averages 26% – 13 points less than the US rate. As part of the campaign to reduce tax burdens on businesses, Canada is the first G20 member to have made itself a tariff-free zone for manufacturers by eliminating tariffs on manufacturing inputs, machinery and equipment. As the manufacturing centre of Canada, Ontario is well positioned to capitalize on these considerable business advantages.


Thought leadership

Top 10 Soundest Banking Systems Worldwide

1 2 3 4 5 6 7 8 9 10

Canada South Africa New Zealand Panama Australia Finland Hong Kong SAR Singapore Norway Barbados

Source: The Global Competitiveness Report 2012-2013, World Economic Forum

Colleges and Universities: In support of new job creation, many of Ontario’s 24 colleges and 22 universities have introduced new programs related to the clean energy economy, including:

•

Wind turbine technician training and green business management

•

Renewable energy technician training

•

Sustainable energy and building technology

•

Clean and renewable energy engineering technology

Top 10 reasons to invest in Ontario

1 2 3 4 5 6 7 8 9 10

Stable, highly talented and motivated workforce Access to the North American Market (NAFTA) Openness to diversity and multiculturalism Economic engine of Canada World-class research institutions Innovation leadership Low-risk business environment Superior infrastructure Business incentives Quality of life

Government Programs and Incentives: Ontario Business Research Institute Tax Credit (OBRITC): A refundable tax credit offered to corporations for scientific research and experimental development expenditures (SR&ED) incurred in Ontario under an eligible contract with an eligible research institute (ERI). Ontario Innovation Tax Credit: A refundable tax credit available to all eligible corporations that perform scientific research and experimental development (SR&ED) in Ontario. Ontario Power Authority Feed-in Tariff Program: This program guarantees specific prices for renewable electricity generation, by source. SDTC NextGen Biofuels Fund: A fund of $500 million created to support eligible companies establish first-ofa-kind commercial-scale facilities for next-generation renewable fuels and co-products. Disburses until March 2017. Ontario Innovation Demonstration Fund: Offers up to $4 million to help eligible companies commercialize innovative technologies. Ontario Power Authority Conservation Fund: This fund supports projects to develop or pilot innovative conservation programs, practices and technologies and pays 50% or more of qualifying expenses for accepted projects. Innovative Ontario clean technology businesses may also qualify for Scientific Research and Experimental Development (SR&ED) Investment Tax Credits (ITC).

27

Thought leadership


OCTA focuses on ALL Cleantech Sectors with emphasis on the following: Smart Grid Technologies

•

Global market potential for smart grid solution providers is expected to range from $15 to $31 billion annually by 2014

•

Global market potential for smart grid solution providers is expected to range from $15 billion to $31 billion annually by 2014

•

Between 2012-2015, GE Canada in partnership with the Ontario government expects to spend $40 million to develop and manufacture grid modernization technologies

•

Between 2012-2015, GE Canada in partnership with the Ontario government expects to spend $40 million to develop and manufacture grid modernization technologies

Water Technologies

Water Technologies

•

Ontario borders four of five Great Lakes in North America, has more than 250,000 other lakes, countless rivers and rich groundwater resources

•

Ontario borders four of five Great Lakes in North America, has more than 250,000 other lakes, countless rivers and rich groundwater resources

•

Ontario’s water industry companies employ approximately 22,000 people and sell technologies and services around the world

•

Ontario’s water industry companies employ approximately 22,000 people and sell technologies and services around the world

•

A global centre for water-related patent activity

•

A global centre for water-related patent activity

•

Ontario’s environmental strengths include water conservation as well as water and wastewater treatment technologies

•

Ontario’s environmental strengths include water conservation as well as water and wastewater treatment technologies

Wind Power

Wind Power

•

Ontario is the largest producer of wind energy in Canada

•

Ontario is the largest producer of wind energy in Canada

•

Ontario has over 2,043 MW of installed capacity

•

Ontario has more than 2,043 MW of installed capacity

•

Ontario is expected to install over 5,600 MW of new wind energy capacity by 2018

•

Ontario is expected to install more than 5,600 MW of new wind energy capacity by 2018

•

By 2018 Ontario will have attracted $16.4 billion in private investment

•

By 2018 Ontario will have attracted $16.4 billion in private investment

Solar Power

28

Smart Grid Technologies

Solar Power

•

Ontario is home to the 10 largest solar farms in Canada and is the leading generator of photovoltaic power in Canada

•

Ontario is home to the 10 largest solar farms in Canada and is the leading generator of photovoltaic power in Canada

•

Ontario wind and solar energy generated more electricity for the province than coal did in 2012

•

Ontario wind and solar energy generated more electricity for the province than coal did in 2012

•

By 2018, Ontario’s solar PV market is expected to drive $12.9 billion of total private investment and create more than 74,000 jobs

•

By 2018, Ontario’s solar PV market is expected to drive $12.9 billion of total private investment and create over 74,000 jobs


Thought leadership

Durham Region • Durham is the eastern gateway to the Greater Toronto Area and, with a population of 630,000, it is one of the largest and fastest growing regions in Ontario

• Major companies active in clean technology include

Ottawa • Home to more than 240 clean technology companies with 5,200 employees

• 40 scientific research labs and organizations including CanmetENERGY in Ottawa, National Research Council

• Companies include: Cyrium (cleantech solar), Plasco (green power)

• Highest percentage of university graduates in the country • 700 researchers involved in cleantech and clean energy

Ontario Power Generation (the provincial power generation company), Siemens Canada, Black & McDonald Power Generation; as well as small innovative local companies such as Intellimeter (smart metering); Real Tech (water technologies) and Global Emissions Systems (emission control technologies)

• The University of Ontario Institute of Technology (UOIT) is home to the Energy Research Centre, which has attracted more than $45 million in funding from provincial and federal governments

• UOIT also has a Clean Energy Research Laboratory that conducts research into hydrogen production, heat engines, solar energy and nanotechnology

RD&D

• Five universities and three colleges Website

• Durham College run Renewable Energy Technician and Power Engineering Technician programs Website

http://sectors.investottawa.ca/key-sectors/clean-technologies

http://www.durhambusiness.ca/do-business/energy.asp

Karen Pero

Contact

Email

[email protected]

Email

[email protected]

Telephone

+1 613-828-6274 x276

Telephone

+1 905-668-4113 x2611

Contact

Robert Nolan

29

Thought leadership


Halton Region

Hamilton

• Population of more than 500,000 people with one of

• More than 520,000 people – with access to a labour

Canada’s fastest growing labour force

• Excellent transportation and market access – connected to three major highways, three international airports within a 90-minute drive and one hour from the US Border

• Highly educated labour force – 70% of young

market of over 2 million

• The Port of Hamilton – largest on the Canadian Great Lakes

• Well-established supply chain of manufacturers and service providers

professionals hold a university or college degree

• Centre of the “Education Triangle” – 16 colleges and

• Mohawk College: state-of-the-art renewable energy laboratory

universities within one hour’s drive

• Strong clusters in water technologies, engineering, environmental controls, smart grid and waste management

• Home to the Government of Canada’s National Water Research Institute and the GridSmartCity initiative focused on advancing self-healing grids, conservation program implementation, the emergence of renewable energy and community energy planning

• Home to leading and innovative companies including: GE Water & Process Technologies, Anaergia, Ecodyne Ltd., EcoSynthetix, Emterra Group, AMEC, SNC Lavelin, and HATCH Website www.halton.ca/doing_business_in_halton/economic_ development/publications Contact

Stephanie Mazhari

Email

[email protected]

Telephone

+1 905-825-6000 x7229

30

• McMaster University: with more than 80 Research Centres – leads the NSERC Photovoltaic Innovation Network

• United Nations University: Institute for Water, Environment and Health (UNU-INWEH)

• Quality Water and Wastewater Demonstration and Training Centre Website www.investinhamilton.ca/keyindustries/clean-technology Contact

Jennifer Patterson

Email

[email protected]

Telephone

+1 905-546-2424 x4475


Thought leadership

Niagara

Waterloo

• Strategic location with multi-modal transport network

• Home to Canada’s first solar neighbourhood

• R&D: Class 100 print and fire lab-wavelength selective

• Centre for Advanced Photovoltaic Devices and

thin-film solar cell

• Partnerships: Niagara-Port Colborne Wind • Energy Manufacturing Cluster Initiative • Established supply chain in advanced manufacturing • New investments include: Enercon Canada, TSP Canada Towers Inc., REpower Systems SE and OSM Solar Corporation

Systems (CAPDS) promotes cutting edge research and technology development in all aspects of photovoltaic energy conversion at the University of Waterloo (www.capds.uwaterloo.ca)

• Diverse economy (IT, manufacturing, R&D and insurance) • Talented labour force supporting RIM (BlackBerry), Toyota, Canadian Solar, Photowatt, Arise Technologies

• Renewable energy research and programming at three post-secondary institutions

• Niagara College: Renewable Energies Technician Program • Highly skilled, well-educated workforce >200,000 • Home to wind and solar farms: 230MW wind farm under construction

• Diverse. Innovative. Entrepreneurial Website www.techtriangle.com/energy_and_environment Contact

Jason Kipfer

Website

Email

[email protected]

www.niagaracanada.com/Home/About-Us/Key-Initiatives/ Emerging-Clusters/Green-Energy-Initiatives

Telephone

+1 519-747-2541 x202

Contact

Valerie Kuhns

Email

[email protected]

Telephone

+1 905 685 4225 x3257

Southwestern Ontario Marketing Alliance (SOMA) • Strategic location in Ontario’s heartland of prosperity

Guelph

• Excellent wind and solar resources

• Growing economic area of more than 120,000 people

• Sponsors skills development in workforce

• Established manufacturing supply chain base

• Removes barriers to business and industrial growth

• Close to planned Ontario renewable energy projects

• Fanshawe College, St. Thomas Campus: Renewable Energies Technician Program

• Access to talent/R&D at local and area universities/colleges • Commitment to renewable energy through Community

• More than 200 green manufacturers and service providers within seven municipalities

Energy Initiative Website Website http://guelph.ca/business.cfm

www.somasite.com/index.php/keyindustry-sectors/greentechnology

Contact

Jim Mairs

Contact

Sean Dyke

Email

[email protected]

Email

[email protected]

Telephone

+1 519-837-5600 x2821

Telephone

+1 519-631-1680 x4104

31

Thought leadership

Windsor – Essex • Renewable energy hub: more than 14 companies employing more than 1000 people in 2012

• Busiest Canada/US border crossing • Solar PV potential of 1200-1400 kWh/kW, wind potential of 5-6 m/sec at 30 metres


Ontario Ministry of Economic Development, Trade and Employment (MEDTE) Website www.investinontario.com Contact

Elizabeth Knox

Email

[email protected]

Telephone

+1 416-325-6824

• Integrated local supply chain • New investments: Green Sun Rising, Great Lakes Energy, CS Wind, Schletter, Youil, HUCH, OYA Solar, Unconquered Sun

• Diversification of existing companies into renewable energy industry

• Home to largest wind farm in Canada Website

Department of Foreign Affairs and International Trade Canada (DFAIT) Website http://investincanada.gc.ca/eng/industry-sectors/ renewableenergy.aspx Contact

Joshua Hodgson

Email

[email protected]

Telephone

+1 416-973-5082

www.choosewindsoressex.com/industries/engineering_rd.cfm Contact

Rakesh Naidu

Email

[email protected]

Telephone

+1 519-255-9200 x2235

To learn more about how OCTA can help you establish your business in Ontario, Canada, please visit one of our partner contacts listed above or you can visit our website: www.ontariocleantechalliance.com

32

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League Tables Methodology League tables are based on deals that were announced during the 2012 calendar year. The only exception is the league table ranking legal advisors, which is based on deals that have completed in 2012. This approach has been adopted as advisors are often not disclosed until after a transaction has been completed. Qualifying transactions must be classified within at least one of the following sub-sectors: advanced materials & technologies; sustainable agriculture; biofuels; biomass; clean coal; energy efficiency; environmental services & remediation; geothermal; green transportation; hydro; hydrogen generation; marine; microgeneration; recycling & waste; solar; water & wastewater treatment; and wind. For more information visit: www.cleanenergypipeline.com. Ranking by number of deals: for investor league tables, this is defined as the number of individual companies invested in (not individual investments or transactions) during 2012. For advisor league tables, this is defined as the number of individual transactions that have been completed in which an advisor has been involved. Where more than one adviser or investor has been involved in the same number of transactions, the higher ranking is given to the adviser or investor associated with the highest aggregate deal value. Ranking by deal value: the deal value accredited to an investor is calculated for each transaction by dividing the total value of a transaction by the number of investors participating in the fundraising. Deals of an undisclosed size are assigned a deal value of zero, apart from M&A transactions involving operational onshore wind and solar PV assets. In such transactions, a deal value is estimated on the basis of installed capacity using Clean Energy Pipeline’s multiples. Deal value for legal and financial advisors is calculated using the same methodology. If more than one advisor represents one party in a deal, the deal value is divided equally between the advisors. For project sponsors, the total value of project finance secured is divided by the number of sponsors. As our online platform is updated in real time, league table rankings may differ from the time of this release and the data found in our online platform at a later date. The Clean Energy Pipeline league tables are based on deal information which has been collected by or provided to our team. Clean Energy Pipeline endeavours to guarantee the accuracy of the deal information used to compile the league tables. At the end of each quarter, organisations are invited to email us a quarterly deal summary in any format to ensure that all relevant deals are reflected in the Clean Energy Pipeline league tables. All submissions should be emailed to Thomas Sturge at [email protected]. Clean Energy Pipeline reserves the rights to decline inclusion of deals that it deems fall outside its definitions or methodology.

Copyright © 2005 – 2013 VB/Research Ltd. All rights reserved. No parts of this publication may be reproduced, stored in a retrieval system or transmitted, in any form or by any means, without prior permission of the publishers. This includes hosting all or part of this publication online.

35

League tables


League Tables Clean Energy: Canada

The following league tables rank the most active investors, banks, project sponsors and law firms in the Canadian clean energy sector in 2012. Rankings are based on deals involving Canada-based investee companies, M&A targets or projects tracked by Clean Energy Pipeline’s deal data team. Our methodology is described on the previous page.

Top 10 Project Finance Debt Providers by Deal Value Rank Debt Provider

Number of Deals

Total Deal Value ($ million) 958

1

Bank of Tokyo-Mitsubishi UFJ

6

2

Sun Life Assurance Company of Canada

11

770

3

Manulife Financial Corp.

10

699

4

Deutsche Bank AG

2

327

5

Mizuho Corporate Bank Ltd.

5

294

6

Sumitomo Mitsui Banking Corp.

5

268

7

Union Bank

3

247

8

Japan Bank for International Cooperation

4

201

9

RBC Capital Markets Inc.

1

173

10

Bank of Nova Scotia

3

166

Top 10 Project Finance Debt Providers by Numbers of Deals Rank Debt Provider

Number of Deals

Total Deal Value ($ million)

1

Sun Life Assurance Company of Canada

11

770

2

Manulife Financial Corp.

10

699

3

Bank of Tokyo-Mitsubishi UFJ

6

958

4

Mizuho Corporate Bank Ltd.

5

294

5

Sumitomo Mitsui Banking Corp.

5

268

6

Japan Bank for International Cooperation

4

201

7

Union Bank

3

247

8

Bank of Nova Scotia

3

166

9

Deutsche Bank AG

2

327

10

Great-West Life Assurance Company

2

118

36


League tables

Top 5 Investors in Companies and Projects By Deal Value Rank Investor

Number of Deals


1

Brookfield Asset Management Inc.

1

488

2

Enbridge Income Fund Holdings Inc.

1

347

3

Fiera Axium Infrastructure Inc.

3

283

4

Emera Inc.

2

165

5

Caisse de dépôt et placement du Québec

2

73

Top 5 Investors in Companies and Projects By Numbers of Deals Rank Investor 1

Number of Deals


3

283 165

Fiera Axium Infrastructure Inc.

2

Emera Inc.

2

3

Caisse de dépôt et placement du Québec

2

73

4

Fibria Celulose SA

2

40

5

Difference Capital Funding Inc.

2

5

Number of Deals


3

2,535

Top 5 M&A and VC/PE Legal Advisors By Deal Value Rank Legal Advisor 1

Torys LLP

2

McCarthy Tétrault LLP

7

2,095

3

Fogler Rubinoff LLP

2

1,490

4

Jones Day

1

1,310

5

Borden Ladner Gervais LLP

1

1,268

Number of Deals


Top 5 M&A and VC/PE Legal Advisors By Numbers of Deals Rank Legal Advisor 1


7

2,095

2

Osler Hoskin & Harcourt LLP

7

1,317

3

Heenan Blaikie

7

69

4

Stikeman Elliott LLP

4

950

5

Bennett Jones LLP

4

190

Number of Deals


Top 5 Project Finance Legal Advisors by number of deals Rank Legal Advisor 1


16

2,916

2

Torys LLP

4

1,857

3

Heenan Blaikie

3

N/D

4

Osler Hoskin & Harcourt LLP

2

N/D

5

Chadbourne & Parke LLP

1

990

37

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38

Join Us On Our Mission • Visit www.acore.org


Directory

Directory

This directory lists every investor, acquirer, project sponsor, law firm and financial advisor that has executed or advised on a venture capital , private equity, project finance or M&A transaction in the Canadian clean energy sector in the 2012 calendar year. The directory is based on transactions tracked by Clean Energy Pipeline’s deal data team. Subscribers to Clean Energy Pipeline can view news, data and other information on the companies, investors and advisors listed below on our website www.cleanenergypipeline.com. Non-subscribers should contact Sonja van Linden, at [email protected], for more information on how to access the service.

123 2260761 Ontario Inc. Newmarket, ON, Canada Investment focus: PIPE

A

b

Alstom Power SA Paris, France www.alstom.com Investment focus: M&A - Acquirer

Bank of Nova Scotia Toronto, ON, Canada www.scotiabank.com Investment focus: Debt project finance

Alterra Power Corp. Vancouver, BC, Canada www.alterrapower.ca Investment focus: M&A - Acquirer

Bank of Tokyo-Mitsubishi UFJ Tokyo, Japan www.bk.mufg.jp Investment focus: Debt project finance

Ameresco Inc. Framingham, MA, USA www.ameresco.com Investment focus: M&A - Acquirer

BC Bioenergy Network Vancouver, BC, Canada www.bcbioenergy.com Investment focus: Grant & Government Funding, Project sponsor

AMP Solar Group Inc. Port Credit, ON, Canada www.ampsolargroup.com Investment focus: Project sponsor The Aquila Group Toronto, ON, Canada ww.theaquilagroup.com Investment focus: M&A - Acquirer, PE - Buyout

BDC Venture Capital Montreal, QC, Canada www.bdc.ca Investment focus: VC - Early Growth (Series A to C) Bennett Jones LLP Calgary, AB, Canada www.bennettjones.com Advisory focus: Legal Advisory - M&A

39

Directory

40


Black Coral Capital New York, NY, USA www.blackcoralcapital.com Investment focus: VC - Early Growth (Series A to C) BluForest Quito, Ecuador www.bluforest.com Investment focus: M&A - Acquirer BMO Capital Markets Corp. New York, NY, USA www.bmocm.com Investment focus: PIPE Advisory focus: Financial Advisory M&A Boralex Inc. Kingsey Falls, QC, Canada www.boralex.com Investment focus: M&A - Acquirer Braemar Energy Ventures New York, NY, USA www.braemarenergy.com Investment focus: VC - Early Growth (Series A to C) BrightRoof Solar LP Toronto, ON, Canada www.brightroof.ca Investment focus: Equity project finance, M&A - Acquirer, PE - Buyout British Columbia Investment Management Corp. Victoria, BC, Canada www.bcimc.com Investment focus: M&A - Acquirer, PE - Buyout Brookfield Asset Management Inc. Toronto, ON, Canada www.brookfield.com Investment focus: M&A - Acquirer, PE - Buyout Brookfield Renewable Energy Partners LP Toronto, ON, Canada www.brookfieldrenewable.com Investment focus: Equity project finance, M&A - Acquirer Business Development Bank of Canada Montreal, QC, Canada www.bdc.ca Investment focus: VC - Early Growth (Series A to C)

Directory

c Caisse de dépôt et placement du Québec Montreal, QC, Canada www.lacaisse.com Investment focus: PIPE, VC - Early Growth (Series A to C) Calyx Bio-Venture Inc. Vancouver, BC, Canada www.calyxbio.com Investment focus: M&A - Acquirer Canaccord Genuity Corp. Toronto, ON, Canada www.canaccordgenuity.com Advisory focus: Financial Advisory - M&A, Venture capital and private equity

China National Offshore Oil Corp. Beijing, China www.cnoocltd.com.cn Investment focus: M&A - Acquirer Chrysalix Energy Venture Capital Victoria, BC, Canada www.chrysalix.com Investment focus: VC - Early Growth (Series A to C) CIBC World Markets Inc. Toronto, ON, Canada www.cibcwm.com Advisory focus: Financial Advisory M&A CIT Bank Salt Lake City, UT, USA www.cit.com Investment focus: Debt project finance

Canada Life Assurance Company Toronto, ON, Canada www.canadalife.com Investment focus: Debt project finance

City of Barrie Barrie, ON, Canada barrie.ca Investment focus: Public financing

Canada Lithium Corp. Toronto, ON, Canada www.canadalithium.com Investment focus: Project sponsor

Climate Change and Emissions Management Corp. Sherwood Park, AB, Canada www.ccemc.ca Investment focus: Public financing

Canadian Solar Inc. Kitchener, ON, Canada www.csisolar.com Investment focus: M&A - Acquirer, Project sponsor

Coghill Capital Management LLC Chicago, IL, USA www.coghillcapital.com Investment focus: PIPE

Capital Power Corp. Edmonton, AB, Canada www.capitalpower.com Investment focus: Project sponsor

Columbia Shuswap Regional District Calgary, AB, Canada www.csrd.bc.ca Investment focus: Public financing

CarbonFree Technology Corp. Scottsdale, AZ, USA www.carbonfreetechnology.com Investment focus: Project sponsor

Concord Pacific Group Inc. Vancouver, BC, Canada www.concordpacific.com Investment focus: M&A - Acquirer

Cassels Brock & Blackwell LLP Toronto, ON, Canada www.casselsbrock.com Advisory focus: Legal Advisory - M&A

Connor, Clark & Lunn Infrastructure Ltd. Toronto, ON, Canada www.cclgroup.com/cclinfrastructure Investment focus: Equity project finance

Caterpillar Financial Services Corp. Nashville, TN, USA www.finance.cat.com Investment focus: Debt project finance

Cooper Industries plc Houston, TX, USA www.cooperindustries.com Investment focus: M&A - Acquirer

China Development Bank Beijing, China www.cdb.com.cn Investment focus: Debt project finance 41

Directory

The Ontario Sustainable Energy Association (OSEA) is a respected advocate, facilitator and business catalyst bringing the public, commercial and community sustainable energy sector and their supporters together to address emerging trends. We do this by providing access to credible partners, networking opportunities, independent research and stakeholder engagement, timely communication of trusted information, tools and techniques and through policy and regulatory reform. OSEA is a nonpartisan, member-based non-proﬁt dedicated to inspiring and enabling the people of Ontario to improve the environment, economy and their health by conserving and producing clean, renewable energy in their homes, businesses and communities.

42

Ontario Sustainable Energy Association


Corpfinance International Ltd. Toronto, ON, Canada www.corpfinance.ca Investment focus: Debt project finance

d DayStar Technologies Inc. Santa Clara, CA, USA www.daystartechinc.com Investment focus: M&A - Acquirer Deutsche Bank AG Frankfurt, Germany www.db.com Investment focus: Debt project finance Advisory focus: Financial advisory Project finance, Venture capital and private equity Difference Capital Funding Inc. Toronto, ON, Canada www.differencecapital.com Investment focus: PIPE Doughty Hanson Technology Ventures London, UK www.doughtyhanson.com Investment focus: PIPE Duff & Phelps Ltd. New York, NY, USA www.duffandphelps.com Advisory focus: Financial Advisory M&A

Directory

e Earth Heat Resources Ltd. Adelaide, Australia www.earthheat.com.au Investment focus: M&A - Acquirer EDF Energies Nouvelles Paris, France www.edf-energies-nouvelles.com Investment focus: Project sponsor Elemental Energy Vancouver, BC, Canada www.elementalenergy.ca Investment focus: M&A - Acquirer Emera Inc. Halifax, NS, Canada www.emera.com Investment focus: M&A - Acquirer, PIPE Enbridge Inc. Calgary, AB, Canada www.enbridge.com Investment focus: M&A - Acquirer, PIPE Enbridge Income Fund Holdings Inc. Calgary, AB, Canada www.enbridgeincomefund.com Investment focus: M&A - Acquirer, PE - Buyout Enel Green Power Spa Rome, Italy www.enelgreenpower.com Investment focus: Project sponsor Enerfin SA Madrid, Spain www.enerfin.es Investment focus: Project sponsor EnerTech Capital Conshohocken, PA, USA www.enertechcapital.com Investment focus: PE - Development Capital ERA Carbon Offsets Ltd. Vancouver, BC, Canada www.eraecosystems.com Investment focus: M&A - Acquirer Ervington Investments Ltd. Russia Investment focus: PIPE

Eturab Trade Corp. USA Investment focus: PIPE Export Development Canada Ottawa, ON, Canada www.edc.ca Investment focus: PE - Development Capital, VC - Early Growth (Series A to C)

f Fasken Martineau DuMoulin LLP Toronto, ON, Canada www.fasken.com Advisory focus: Legal Advisory Venture capital and private equity Fibria Celulose SA São Paulo, Brazil www.fibria.com.br Investment focus: Minority / Partnership Fiera Axium Infrastructure Inc. Toronto, ON, Canada www.fieraaxium.com Investment focus: Equity project finance, M&A - Acquirer, PE - Buyout Firelight Infrastructure Partners Toronto, ON, Canada www.firelightlp.com Investment focus: Equity project finance Fogler Rubinoff LLP Toronto, ON, Canada www.foglerrubinoff.com Advisory focus: Legal Advisory - M&A Forest Carbon Group AG Darmstadt, Germany www.forestcarbongroup.com Investment focus: PIPE FourWinds Capital Management London, UK www.fourwindscm.com Investment focus: VC - Early Growth (Series A to C) Fovere Capital Management Inc. Toronto, ON, Canada www.fovere.ca Investment focus: Equity project finance

43

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www.canwea.ca/join

Saint-Robert-Bellarmin 80 MW Wind Farm Saint-Robert-Bellarmin and the MRC du Granit, Quebec

Wolfe Island 198 MW Wind Farm Kingston, Ontario

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CanWEA is the voice of Canada’s wind energy industry, actively promoting the responsible and sustainable growth of wind energy on behalf of its members. For more information please visit www.canwea.ca.


G GDF SUEZ SA Paris, France www.gdfsuez.com Investment focus: Project sponsor Global Treasure Capital Ltd. Singapore, Singapore Investment focus: PIPE GMP Securities Inc. Toronto, ON, Canada www.gmponline.com Advisory focus: Financial Advisory - M&A, Venture capital and private equity Great-West Life Assurance Company Winnipeg, MB, Canada www.greatwestlife.com Investment focus: Debt project finance Green Energy Solution Industries Inc. Houston, TX, Canada www.gestechnologies.com Investment focus: Project sponsor Growing Power Hairy Hill LP Calgary, AB, Canada www.growingpower.com Investment focus: Project sponsor GrowthWorks Capital Ltd. Vancouver, BC, Canada www.growthworks.ca Investment focus: Seed Financing, VC - Early Growth (Series A to C)

h Heenan Blaikie LLP Montreal, QC, Canada www.heenanblaikie.com Advisory focus: Legal Advisory Venture capital and private equity Hydro Ottawa Holding Inc. Ottawa, ON, Canada www.hydroottawa.com Investment focus: M&A - Acquirer

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i Industrial Alliance Insurance and Financial Services Inc. Quebec City, QC, Canada www.inalco.com Investment focus: Debt project finance Infrastructure Development Co. Ltd. Dhaka, Bangladesh www.idcol.org Investment focus: M&A - Acquirer Innergex Renewable Energy Inc. Longueil, QC, Canada www.innergex.com Investment focus: M&A - Acquirer, Project sponsor Innovative Clean Energy Fund BC, Canada www.env.gov.bc.ca/cas/mitigation/ ice_fund.html Investment focus: Equity project finance International Power plc London, UK www.ipplc.com Investment focus: Project sponsor International Renewable Energy Facilitation Company (InREFco) USA www.inrefco.com Investment focus: Debt project finance Invenergy LLC Chicago, IL, USA www.invenergyllc.com Investment focus: Project sponsor Investissement Quebec Montreal, QC, Canada www.investquebec.com Investment focus: PIPE

j Jace Ltd. USA Investment focus: PIPE Japan Bank for International Cooperation Osaka, Japan www.jbic.go.jp Investment focus: Debt project finance JCM Capital Toronto, ON, Canada www.jcmcapital.ca Investment focus: Equity project finance Jones Day Waltham, MA, USA www.jonesday.com Advisory focus: Legal Advisory - M&A Just Energy Group Inc. Toronto, ON, Canada www.justenergygroup.com Investment focus: M&A - Acquirer

k K&L Gates LLP Palo Alto, CA, USA www.klgates.com Advisory focus: Legal Advisory - M&A Kanaka Bar Indian Band Lytton, BC, Canada Investment focus: Public financing Kayne Anderson Capital Advisors LP Los Angeles, CA, USA www.kaynecapital.com Investment focus: VC - Early Growth (Series A to C) KfW Bankengruppe Frankfurt, Germany www.kfw.de Investment focus: Debt project finance Kodiak Venture Partners Waltham, MA, USA www.kodiakvp.com Investment focus: VC - Early Growth (Series A to C)

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GREEN HEAT Renewable energy is more than wind and solar

There are three ways for renewable energies to help save money and save our planet:

1

green power is electricity from wind turbines or solar PV, to avoid coal, oil or nuclear

2

green fuel is transportation fuel from cellulosic ethanol or biodiesel, to avoid gasoline

3

green heat is space heating, water heating and space cooling from solar thermal, geothermal heat pumps or biomass thermal, to provide space conditioning for buildings.

The Green Heat Partnership was created more than a decade ago, to promote the potential for Green Heat in Canada. In 2010, residential energy consumption was 1,361 PJ, of which 82% was consumed for space heating (851 PJ), water heating (238 PJ) and space cooling (27 PJ) ... leaving 245 PJ for appliances, lights and other electric plug load. Of the 68.4 Mt of GHG emitted from all dwelling units in Canada, 81% (55.7 Mt) was from thermal applications which could switch to Green Heat technologies. In the commercial-institutional-industrial sector, 59% of the 1,057 PJ of secondary energy consumed in 2010 was for space heating, water heating and space cooling; the potential reduction in GHG emissions from use of Green Heat options in the CII sector was also 59%.

Bottom line: Canada could displace the release of up to 80 Mt of GHG each year if governments were to introduce a GreenTherms Standard that requires new construction and retrofits to incorporate a minimum level of Green Heat to provide low-grade dispatchable thermal energy. The choice of Green Heat technology would be left to the end user, to allow the wide range of market-ready options to compete and to avoid public subsidies.

amounts of GHG, while creating more local employment than any other option available today.

Even at minimal level, a GreenTherms Standard would save millions of kWh-equivalent and avoid the release of significant

For more information, go to http://GreenHeat.org

A

The canadian association for renewable energies created the Green Heat Partnership to include players from the renewable energy thermal sector, so the market can showcase its expertise and efficiency. There is no need for government subsidy if regulations set the goal.

RENEWABLES.CA

r gies canadian association for renewable energies

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we c.a.r.e. Ottawa, CA | http://renewables.ca

March 17-18 2014 Hilton Toronto March 17-18 2014 Hilton Toronto

“

The forum is an excellent place to gain insight into the future of Canada's renewable energy industry. I'm looking forward to an open discussion amongmany of the industry's key players.

Michael Petersen, Director of Development, Acciona Essential updates on application processing and timelines for the microFIT and Small FIT projects The latest developments in Ontario's new competitive procurement process for large-scale projects - timing, scope, pricing etc. Insight on new project siting requirements and the involvement of municipalities and aboriginal communities in planning for large-scale energy projects Understanding how the domestic content provisions of the FIT Program will be brought into compliance with the recent World Trade Organization's ruling Views from municipal leaders and aboriginal groups on how they would like to be involved in renewable energy projects across the province Finance in Ontario- how is interest from large pension funds changing the market dynamics of Ontario? Plus, dedicated streams on solar and wind energy and interactive sessions on the new procurement program for municipal hydroelectric projects and bioenergy under Small FIT www.ofit2014.com

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Directory


Kruger Energy Inc. Montreal, QC, Canada www.krugerenergy.com Investment focus: Project sponsor

Macquarie Bank Ltd. Sydney, Australia www.macquarie.com.au Advisory focus: Financial Advisory Venture capital and private equity

L LaBarge Weinstein LLP Ottawa, ON, Canada www.lwlaw.com Advisory focus: Legal Advisory Venture capital and private equity

LKQ Corporation Inc. Chicago, IL, USA www.lkqcorp.com Investment focus: M&A - Acquirer

MEGTEC Systems Inc. De Pere, WI, USA http://www.megtec.com/ Investment focus: M&A - Acquirer

Macquarie Capital Sydney, Australia www.macquarie.com.au Investment focus: PIPE

Laurentian Bank of Canada Montreal, QC, Canada www.laurentianbank.ca Investment focus: Debt project finance Lignol Energy Corp. Burnaby, BC, Canada www.lignol.ca Investment focus: Project sponsor

McInnes Cooper Charlottetown, PE, Canada www.mcinnescooper.com Advisory focus: Legal Advisory - M&A

M

Mitsubishi Corp. Tokyo, Japan www.mitsubishicorp.com Investment focus: M&A - Acquirer

Manulife Financial Corp. Toronto, ON, Canada www.manulife.com Investment focus: Debt project finance, Equity project finance

Mitsui & Co Ltd. Tokyo, Japan www.mitsui.com Investment focus: Equity project finance

MaRS Cleantech Fund LP Toronto, ON, Canada www.marsvf.com Investment focus: VC - Early Growth (Series A to C)

Mizuho Corporate Bank Ltd. Tokyo, Japan www.mizuhocbk.co.jp Investment focus: Debt project finance

McCarthy Tétrault LLP Vancouver, BC, Canada www.mccarthy.ca Advisory focus: Legal advisory Project finance, M&A, Venture capital and private equity

Molycorp Inc. Greenwood Village, CO, USA www.molycorp.com Investment focus: M&A - Acquirer

#REFFWEST 6th annual

Register by August 2, 2013

& SAVE $200

West September 16-17, 2013 Four Seasons Hotel, San Francisco, USA

2013 Highlights: ✓ Network with the decision-makers: Spend time with over 400 renewable energy movers and shakers ✓ Get advice from industry leaders: Over 40 thought-leaders will address REFF-West this year ✓ Secure capital for your projects: Structure deals and manage risk effectively, to make sure your projects can move forward www.reffwest.com

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+1 212 901 3828

[email protected]

Directory

October 2013

July 2013 GeoPower Africa 2013

Jul 16 - Jul 17

Developing the Next Hot Geothermal Market

The Hyatt Regency, Dar es Salaam, United Republic of Tanzania

Asia Bio Markets

Oct 21 - Oct 23

Unlocking Bio-based Opportunities in Asia Puteri Pacific Hotel, Johor Bahru, Malaysia

TIREC 2013

Oct 22 - Oct 23

Accelerating clean energy development

September 2013

Wyndham Kalamis, Istanbul, Turkey

Solar Power Indaba

Sep 2 - Sep 5

South Africa’s Flagship Solar Congress Cape Town, South Africa

World Bio Markets USA

29 Oct - 30Oct

Connecting Renewable Fuels, Chemicals and Aviation Leaders with Partners and Purchasers San Francisco, United States

Optimising Wind Power O&M: Europe

Sep 3 - Sep 4

Manage costs, reduce downtime, maximise profit Manchester, United Kingdom

Chilean International Sep 10 - Sep 11 Renewable Energy Congress

Chile's Premier C-Level Renewable Energy Event Santiago, Chile

Solar Power Chile

Sep 10 - Sep 11

Chile's Premier C-Level Solar Energy Event Santiago, Chile

Wind Power Chile

Sep 10 - Sep 11

Chile's Premier C-Level Wind Energy Event

December 2013 Solar Brasil Conference and Exhibition

Dec 3 - Dec 4

Establishing a competitive solar industry Sao Paulo, Brazil

GeoPower Global Congress

Dec 3 - Dec 4

Global Opportunities for the Geothermal Industry The Hilton, Amsterdam, Netherlands

Wind Developer Congress

Dec 3 - Dec 4

Europe’s meeting place for board-level developers, operators and utilities Berlin, Germany

Santiago, Chile

World Bio Markets Brazil

Sep 17 - Sep 18

Preparing for the next wave of innovation as Brazil's bioeconomy transforms São Paulo, Brazil

Optimizing Wind Power O&M: USA

Sep 24 - Sep 25

Maximize efficiency, protect profitability. Chicago, United States

Wind Power Romania

Beat the market challenges

Jan 21 - Jan 22

JW Marriott, Bucharest, Romania

Solar Power Generation USA Jan 28 - Jan 29

Dedicated to US Solar Power San Diego, CA, United States

February 2014

November 2013 Biomass Power & Pellets Brazil

Nov 7 - Nov 8

The Start of the Brazilian Bioenergy Revolution Renaissance Hotel, Sao Paulo, Brazil

GeoPower Latin America

Nov 13 - Nov 14

Gigawatt growth opportunities in Latin America and the Caribbean Santiago, Chile

January 2014

World Biomass Power Markets 2014

Feb 3 - Feb 5

The World's Premier Biomass Power Event Amsterdam , Netherlands

May 2014 MIREC 2014

May 28 - May 29

Mexico’s Leading Renewable Energy Event Mexico City, Mexico

Contact us: +44 (0)20 7099 0600, [email protected]

www.greenpowerconferences.com

Directory

Morgan Stanley New York, NY, USA www.morganstanley.com Advisory focus: Financial Advisory M&A

N National Bank Financial Inc. Montreal, QC, Canada www.nbf.ca Advisory focus: Financial advisory Project finance, Venture capital and private equity, PIPE NextEra Energy Resources LLC Juno Beach, FL, USA www.nexteraenergyresources.com Investment focus: Project sponsor Nord LB Hanover, Germany www.nordlb.de Investment focus: Debt project finance Northland Power Inc. Toronto, ON, Canada www.northlandpower.ca Investment focus: Project sponsor

O Osaka Gas Co. Ltd. Osaka, Japan www.osakagas.co.jp Investment focus: M&A - Acquirer Oxford Advisors LLC New York, NY, USA www.oxfordadvisors.com Advisory focus: Financial Advisory Venture capital and private equity

P Parsons Corp. Pasadena, CA, USA www.parsons.com Investment focus: M&A - Acquirer Pattern Energy Group LP San Fransisco, CA, USA www.patternenergy.com Investment focus: M&A - Acquirer

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PI Financial Corp. Vancouver, BC, Canada www.pifinancialcorp.com Advisory focus: Financial Advisory Venture capital and private equity PowerStream Inc. Vaughan, ON, Canada www.powerstream.ca Investment focus: Project sponsor Presidio Venture Partners LLC Los Altos, CA, USA www.presidiovp.com Investment focus: VC - Early Growth (Series A to C) Prudential Capital Group Chicago, IL, USA www.prudential.com/pcg Investment focus: Debt project finance

R Rabobank Group Amsterdam, Netherlands www.rabobank.com Investment focus: Debt project finance RBC Capital Markets Inc. Toronto, ON, Canada www.rbccm.com Advisory focus: Financial Advisory M&A Investment focus: Debt project finance Recurrent Energy Inc. San Fransisco, CA, USA www.recurrentenergy.com Investment focus: Project sponsor RES Group Broomfield, CO, USA www.res-group.com Investment focus: Project sponsor Rockport Capital Partners Boston, MA, USA www.rockportcap.com Investment focus: VC - Early Growth (Series A to C) The Roda Group Berkeley, CA, USA www.rodagroup.com Investment focus: VC - Early Growth (Series A to C)

S Salamon Group Inc. Las Vegas, NV, USA www.salamongroup.com Investment focus: M&A - Acquirer Samsung Heavy Industries Co. Ltd Seoul, South Korea www.shi.samsung.co.kr Investment focus: Project sponsor Schneider Power Inc. Toronto, ON, Canada www.schneiderpower.com Investment focus: M&A - Acquirer, Project sponsor Scotiabank Global Banking and Markets Toronto, ON, Canada www.gbm.scotiabank.com Investment focus: Debt project finance Sea Breeze Power Corp. Vancouver, BC, Canada www.seabreezepower.com Investment focus: Project sponsor Siemens Canada Ltd. Burlington, ON, Canada www.siemens.ca Investment focus: M&A - Acquirer Solarize Energy LP Brantford, ON, Canada www.solarpowergeneration.ca Investment focus: Project sponsor Sovereign Bank Reading, PA, USA www.sovereignbank.com Investment focus: Debt project finance Sprott Power Corp. Toronto, ON, Canada www.sprottpower.com Investment focus: M&A - Acquirer Starwood Energy Group Global LLC Greenwich, CT, USA www.starwoodenergygroup.com Investment focus: Equity project finance Stikeman Elliott LLP Montreal, QC, Canada www.stikeman.com Advisory focus: Legal advisory Project finance, M&A

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Directory

Stonebridge Financial Corp. Toronto, ON, Canada www.stonebridge.ca Investment focus: Debt project finance


T

Stonepeak Infrastructure Partners New York, NY, USA www.stonepeakpartners.com Investment focus: Equity project finance, M&A - Acquirer, PE - Buyout

TD Securities Inc. Toronto, ON, Canada www.tdsecurities.com Advisory focus: Financial Advisory - M&A, Venture capital and private equity Investment focus: Debt project finance

Sumitomo Mitsui Banking Corp. Tokyo, Japan www.smbc.co.jp Investment focus: Debt project finance

tenKsolar Inc. Bloomington, IL, USA www.tenksolar.com Investment focus: M&A - Acquirer

Sun Life Assurance Company of Canada Toronto, ON, Canada www.sunlife.ca Advisory focus: Financial advisory Project finance Investment focus: Debt project finance

Torys LLP Toronto, ON, Canada www.torys.com Advisory focus: Legal advisory Project finance

SunEdison LLC Beltsville, MD, USA www.sunedison.com Investment focus: Project sponsor Sustainable Development Technology Canada (SDTC) Ottawa, ON, Canada www.sdtc.ca Investment focus: Public financing SustainCo Canada www.sustainco.ca Investment focus: M&A - Acquirer, PE - Buyout

TransCanada Corp. Calgary, AB, Canada www.transcanada.com Investment focus: Project sponsor Turquoise Associates London, UK www.turquoiseassociates.com Advisory focus: Financial Advisory Venture capital and private equity

U Union Bank San Fransisco, CA, USA www.unionbank.com Investment focus: Debt project finance

V Vale SA Rio de Janeiro, Brazil www.vale.com Investment focus: Project sponsor The Valecon Group Markham, ON, Canada Investment focus: Project sponsor Van Osch Farms Ltd. Crediton, ON, Canada Investment focus: Equity project finance

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VantagePoint Venture Partners San Bruno, CA, USA www.vpvp.com Investment focus: VC - Early Growth (Series A to C) Volta Avocats Paris, France www.volta-avocats.fr Advisory focus: Legal Advisory - M&A

W W2 Energy Inc. Toronto, ON, Canada www.w2energy.com Investment focus: M&A - Acquirer Walker Industries Holdings Ltd. Niagara Falls, ON, Canada www.walkerind.com Investment focus: M&A - Acquirer Watts Water Technologies Inc. Andover, MA, USA www.wattswater.com Investment focus: M&A - Acquirer Wells Fargo Advisors LLC St. Louis, MO, USA www.wellsfargoadvisors.com Advisory focus: Financial Advisory Venture capital and private equity Wildeboer Dellelce LLP Toronto, ON, Canada www.wildlaw.ca Advisory focus: Legal Advisory - M&A Wolverton Securities Ltd. Vancouver, BC, Canada www.wolverton.ca Advisory focus: Financial Advisory - Venture capital and private equity Investment focus: PIPE

Y Yaletown Venture Partners Inc. Vancouver, BC, Canada www.yaletown.com Investment focus: VC - Early Growth (Series A to C)

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2013

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Clean Energy Canada Finance Guide 2013

www.cleanenergypipeline.com

Published by Clean Energy Pipeline A division of VB/Research Ltd. Wells Point 79 Wells Street London, W1T 3QN, UK Copyright © 2005-2013 VB/Research Ltd..

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