The first solar park of the company, Zerre V solar park (hereinafter »Zerre V«), was constructed as a turnkey project and was connected to the German power grid in June 2010.

The projected return on investment is measured over 20 years. In this valuation, only the production of the 20-year lifespan under which the park has established contract is factored in. The park is expected to have a lifespan of 30-40 years, and the possibility to prolong the land lease contract from the current 20 years with a further 10 years exist. After the first 20 years of operating with a high fixed price of electricity, the company can thereby produce and sell electricity at market prices. This earning potential is not factored in, and the scrap value of the park is thereby 0 euro in the valuation of the asset.

NSEs second investment is a 49% investment in a solar park close to Alicante in Spain; 29% was assumed per July 1st, 2011 and a further 20% in June 2013. The remaining 51% was assumed per May 1st, 2019. The park is Established by the Danish company European Energy in 2008 and European Energy continues as co-owner of the park, responsible for day-to-day maintenance as well as administration. The cooperation with European Energy works impeccably and a stockholder agreement ensures that NSE is included in making all considerable decisions.

The Beniarbeig park was, as all solar parks established in Spain in 2008-2010, affected by government intervention in December 2010. A cap was established on the production which was allowed to be sold over a period of time. To Beniarbeig, the intervention had a limited effect on the rate of return for the project, and when NSE invested, the effects of the change was already known. Spain has per Jan. 1st 2013 introduced a general tax on energy, which has affected the value of this investment negatively.

On July 12th, 2013 a new law has been passed in Spain, regulating the maximal return an energy-producing array can obtain through subsidies from Feed-in-Tariffs.

The third solar park of the company is constructed by Italian Codam srl and was connected the Italian power grid in July 2011. In this valuation, only the 20-year production with which the park has contracted is factored in revenue calculations. The facility’s life expectancy is 30-40 years and NSE owns the land itself. After the first 20 years operation with a high fixed price of electricity, the company can thus produce and sell power at market prices. This possibility for revenue is not included in the valuation of the solar park, and the scrap value of the park is thereby 0.

In 2013, NSE invested in its fourth solar park, comprised of 9 solar facilities in Flandern with 8.2 MWp combined. The park was connected to the Belgian power grid during 2010 and 2011.

The facilities are rooftops, located in 6 different locations with 9 individual roof-renting agreements. In this project evaluation, only the 18 years the production holds the contract for, is factored into the return calculation. The facilities can after this period revert to the owner or be renegotiated.

The largest investment of the company is a solar facility of 13.2 MWp near Oxford, north of London. The facility was connected to the UK power grid during March 2015, in time to fall under the so-called ROC 1.4 connection agreement. The facility is constructed by the experienced entrepreneur Goldbeck, who Nordic Solar Energy collaborates with closely.

The facility is a freestanding ground mounted solar park, established on non-agrarian land under a 26-year lease agreement. In this calculation, only the contracted 26 years of production is factored in. The facility is expected to have a lifespan of 30-40 years, and a scrap value after this period is not considered in this conservative estimate.

The company’s sixth investment is a solar park between Marseilles and Nice of 2.8 MWp. The facility was connected to the French electricity grid in April 2013 with an agreement for power distribution company EDF to offtake the electricity. The solar park is established by the large French developer and entrepreneur Voltalia SA.

Montmayon is a single ground-mounted solar park, located in a mountainous region with a 20+5 year land lease agreement. In the valuation, the 25 years of production for which the Power Purchase Agreement secures is factored in, with sale of electricity at market price from the time the feed-in tariff expires in year 2032 and to year 2041. The scrap value is conservatively estimated at EUR 0 thereafter.

The company’s seventh investment is a solar park 42 km Southeast of Milan of 3.3 MWp. The facility is connected to the Italian electricity grid in June 2011 with an agreement for power distribution company ENEL to offtake the electricity. The solar park is established on a single roof on top of a logistics-hub owned by supermarket-chain Carrefour, and is developed by a leading company in the solar energy industry ET Solar

Chignolo Po is one single solar park, located in a commercial area with a 20 year roof lease agreement since 2011. In the valuation of the plant, the remaining 15 years of production for which the Power Purchase Agreement secures is factored in, with sale of electricity at market price + feed-in tariff, expiring in year 2030. Thereafter, scrap value is not factored in.

The eighth investment by the company is a solar facility in Vilares, just Northeast of Porto of 2.3 MWp. The park was connected to the Portuguese electricity grid in July 2016, with an agreement to offtake the electricity from the local distributor. The park is constructed by the Portuguese developer and O&M operator Martifer Solar, where the O&M-division was later purchased by the large French developer Voltalia SA, who continues the daily administration of operations.

Trofa is a single ground-mounted solar park located in a forest region, with a 20-year land lease agreement, where part of the surrounding land is owned by NSE as well. In the return calculation of the project, the 20 years of production for which the project has a Feed-in Tariff contract has been factored in, with no further sale of electricity at market price after 2036. Hereafter the scrap value has conservatively been estimated at EUR 0.

The company’s largest investment in 2017 is a portfolio of roof-mounted solar facilities spread out across Flandern and Brussels of a total 24.225 MWp. They were connected to the Belgian power grid between December 2009 and as late as in May of 2017. The facilities each have contracts with both the roof owner and the local grid operator regarding the offtaking of electricity. The many facilities were gathered into one single portfolio over a longer period of time by the Belgian developer and O&M operator Orka, before NSE purchased the entire portfolio.

The portfolio consists of 24 roof-mounted solar facilities, ranging in sizes from 5,004 KWp and all the way down to 72 KWp pr. facility. The facilities are mounted on industrial roofs, in mainly northern and central Belgium, with roof rental agreements with each respective roof owner. Apart from the value derived from the sale of green certificates awarded from the production of electricity, a portion of the electricity is also sold directly to the building owner/leaseholder. The return calculation for the portfolio is based on the 6 to 14 years for which each facility holds a contract for production of electricity, without any sale of electricity to the grid after year 2031. After this, the scrap value is estimated at EUR 0.

The company’s first investment in Poland is a 10 MWp portfolio of ground-mounted solar parks in two clusters of 6×1 MWp (Mierki) and 4×1 MWp (Dobrcz). The parks are connected the Polish electricity grid during the spring of 2018 and were constructed while the company negotiated the purchase agreement and the final takeover where the portfolio was connected. The parks are constructed by the Polish EPC PBDI S.A., and the clusters each have secured a lease agreement with the land owners and the local distributors, Energa Operator S.A. og Enea Operator S.A. respectively, regarding the distribution of electricity.

The portfolio receives a tariff apart from the sale of electricity, based on the Polish auction system (CfD) for the production of green electricity. The valuation of the parks considers the 15-year period for which the portfolio has secured the CfD contract, and a sale of electricity at market price after year 2033. After the estimated portfolio lifetime of 30 years, the scrap value is considered at EUR 0.

The company’s largest investment in France is 24 MWp of Europe’s largest solar park, Cestas of a total 300 MWp. The facility was connected to the French electricity grid in December 2015 and provides electricity to appx. 110.000 households. The solar park is established by the large French developer and contractor Eiffage Construction.

Cestas is a remarkable single ground-mounted solar park, spreading over 250 hectors located near Bordeaux with a 30-year land lease agreement. In the valuation, the 30 years of production for which the Power Purchase Agreement secures is factored in, with sale of electricity at market price from the time the feed-in tariff expires in year 2035 and to year 2045. The scrap value is conservatively estimated at EUR 0 thereafter.

The company’s third investment in Italy is a 13,8 MWp portfolio rooftop and ground-mounted PV installations. The facility was connected to the Italian electricity grid in Spring 2018 and was after the build-up phase negotiated a purchase agreement with its shareholders. The solar park is established by developer and contractor REC SYSTEMS Germany GmbH.

The PV installations consist of 10,8 MWp rooftop and 3 MWp ground mounted, located around North and Central Italy with a 15-20 year land lease agreement. In the valuation, the 15-20 years of production for which the Power Purchase Agreement secures is factored in, with sale of electricity at market price in the whole period, from the time the feed-in tariff expires in the year 2032. The facility is expected to have a lifespan of 21 years, the scrap value is conservatively estimated at EUR 0 thereafter.

The company’s second investment in Poland is a 10 MWp portfolio of ground-mounted solar panels. The facility is expected to be connected to the Polish electricity grid in Spring 2019. The solar park will be established by Polish developer and contractor RTB Developer Sp. z.o.o.

The solar installations are located across Central and South of Gdansk with a 30-year land lease agreement. The portfolio receives a tariff apart from the sale of electricity, based on the Polish auction system (CfD) for the production of green electricity. The valuation of the parks considers the 15-year period for which the portfolio has secured the CfD contract and a sale of electricity at the market price after the year 2034. After the estimated portfolio lifetime of 30 years, the scrap value is considered at EUR 0.

The company’s first Danish investment is a 32 MWp portfolio of ground-mounted solarparks in two groups of respectively 7 MWp located in Nees and 25 MWp in Vollerup in West and South Jutland, Denmark. The facility was connected to the Danish electricity grid in December 2018, on an agreement with power distribution company Energi Danmark A/S. The plants are developed by Better Energy Management A/S.

Nees & Vollerup are two single solar parks, located in a commercial area with a 20 year roof lease agreement since 2018. In the valuation of the plant, the remaining 30 years of production for which the Power Purchase Agreement secures is factored in, with sale of electricity at market price + feed-in tariff, expiring in year 2038. Thereafter, scrap value is not factored in.

The company’s latest investment in Poland is a 5.9 MWp portfolio of 6 ground-based solar power plants. The plants were connected to the Polish electricity grid in autumn of 2018. The plants will be built by the German developer and contractor Greencells GmbH.

The facilities are located in the central and south of the city, Gdansk. The portfolio receives a tariff in addition to the sale of electricity, based on the Polish auction system (CfD) for the production of green energy.

The return on the plants includes production for a total of 30 years, 15 years for which the plants have a CfD contract and a further 15 years for the sale of electricity at market price. After the project’s estimated lifespan of 30 years, the scrap value is set at EUR 0.