Date: 18th December, 2012 Ref: RES-3-2012 To, Mr.

Varun Mahesh Hoskote, Bangalore, India Subject: Budget Offer for 2kWp roof top solar power generating system Dear Mr. Varun Mahesh, With reference to your inquiry and our subsequent visit to your premises, we are sending you our proposal for installing a roof top solar power plant on your premises in Hoskote, Bangalore for your kind perusal. This quotation is valid for three months from today. Quotation for 2kWp roof top solar power generating system: Sl No 1 Power Pack Rating Unit Price (INR) 2,80,000 15,400 15,000 1,854 Quantity 1 set 1 set 1 set 1 set Total Amount (INR) 2,80,000 15,400 15,000 1,854 3,12,254 2,18,577

Supply: 2kWp roof top solar power generating system 2 VAT @ 5.5% on supply prices 3 Service: Installation and commissioning 4 Service tax @ 12.36% on I&C Total cost of the project (before subsidy) Net cost of the project (after subsidy)

We will initiate work from our side the moment we get the Purchase Order from your end. Please issue payments through cheque to "Free Energy Pvt. Ltd." payable in Bangalore. Please let us know if you have any questions. We assure you that your order will be given our prompt and careful attention. Yours Sincerely, For Free Energy Pvt Ltd

Karthik Vaidyanathan CEO karthik@myfreeenergy.in Ph: +91-9654413931

Registered Office: D-137, Okhla Industrial Area, Phase 1, New Delhi - 110019 Corporate Office: No: 73, West of Chord Road II Phase, II Stage, 14th A Main, Mahalakshmipuram, Bangalore - 560086 www.myfreeenergy.in

Power load profile & system sizing

The above offer is based on the details and usage pattern of appliances provided by you as below in Table 1:

Table 1: Details and usage pattern of appliances installed at customer location Typical Wattage of appliance 200 100 500 200 700 100 36 5 2410 Average Usage hours per day 24 3 1 0.5 1 4 8 8 Units/kWh consumed per day 4.8 0.9 0.5 0.1 0.7 1.2 1.44 0.24 9.88 Units/kWh consumed per month 144 27 15 3 21 36 43.2 7.2 296.4

Sl No 1 2 3 4 5 6 7 8

Appliance Refrigerator 210 lts Television Washing Machine Mixer Water Pump Fan CFL CFL Total

Nos 1 3 1 1 1 3 5 6

Surge Wattage 1000 200 1000 500 3000 120 36 5

Based on the above details and usage pattern, Free Energy has estimated the system size as shown below in Table 2:

Table 2: Free Energy estimate based on details and usage pattern Sl No 1 2 3 4 5 6 7 Planned capacity and estimated area Monthly usage of electricity based on bill Planned average daily generation of electricity Average peak sun hours per day in Hoskote Planned capacity of solar power system No of panels required, 230W each Area required to install panels - approx Approximate weight of each panel Details 300 10 5 2 9 20 20 Units kWh kWh hours kW nos sq m kgs

Registered Office: D-137, Okhla Industrial Area, Phase 1, New Delhi - 110019 Corporate Office: No: 73, West of Chord Road II Phase, II Stage, 14th A Main, Mahalakshmipuram, Bangalore - 560086 www.myfreeenergy.in

Bill of materials:
1. 2. 3. 4. 5. 6. 7. Solar Modules: 9 x 230Wp (Make: HHV Solar) Inverter: 2kWp sine wave hybrid inverter (Make: Sukam) Battery banks: 4 x 150Ah tubular batteries (Make: Exide) Module mounting structures Junction boxes Module cabling Safety components

1. Solar Modules a. Nine numbers of polycrystalline solar modules of 230Wp shall be installed. b. Tilt: 13 degrees to the south to attain the maximum possible yield for this location as per the latitude (13 deg North) and longitude (77 deg East). c. Module efficiency: 13.8% d. Approximate weight of each panel: 20kgs e. Dimensions of each panel (LxWxH) in mm: 1639 x 982 x 36 We will be using panels manufactured by HHV Solar. Appendix 1 contains the specifications of the panels to be used. Vendor Warranty: 90% of rated efficiency for 10 years, 80% of rated efficiency for 25 years Please refer to Table 3 below for detailed radiation data. Table 3: Monthly averaged radiation incident on an equator-pointed tilted surface in kWh/m2/day
Lat 12.9 Lon 77.7 SSE HRZ K Diffuse Direct Tilt 0 Tilt 13 Tilt 28 Tilt 90 OPT OPT ANG Jan 5.36 0.62 1.4 6.69 5.32 5.92 6.38 4.56 6.5 39 Feb 6.06 0.64 1.51 7.12 6 6.45 6.69 3.98 6.69 30 Mar 6.56 0.64 1.72 7.08 6.48 6.66 6.57 2.89 6.67 16 Apr 6.38 0.6 2.04 6.15 6.28 6.18 5.78 1.78 6.28 0 May 6.03 0.56 2.14 5.56 5.91 5.96 5.76 2.33 5.97 9 Jun 4.84 0.46 2.29 3.69 4.73 4.79 4.67 2.22 4.79 11 Jul 4.5 0.42 2.31 3.15 4.4 4.44 4.3 2.03 4.44 9 Aug 4.47 0.42 2.34 3.01 4.39 4.36 4.16 1.76 4.39 3 Sep 5.03 0.49 2.2 4.07 4.96 4.99 4.82 2.07 5 8 Oct 4.63 0.48 2 4 4.58 4.77 4.8 2.7 4.82 22 Nov 4.5 0.51 1.73 4.57 4.46 4.83 5.07 3.41 5.1 34 Dec 4.74 0.57 1.49 5.62 4.7 5.24 5.67 4.18 5.79 40 Annual Avg 5.25 0.53 1.93 5.05 5.18 5.38 5.38 2.82 5.53 18.3

Source: NASA Radiation data

Registered Office: D-137, Okhla Industrial Area, Phase 1, New Delhi - 110019 Corporate Office: No: 73, West of Chord Road II Phase, II Stage, 14th A Main, Mahalakshmipuram, Bangalore - 560086 www.myfreeenergy.in

The generic data for solar power system efficiency and losses is as per Table 4 shown below

Table 4: Solar system efficiency and losses Module mismatch loss Loss due to dust on the modules Temperature loss Cable losses Inverter (PCU) loss Annual drop in panel efficiency 1.5% 5.0% 10.0% 3.0% 6.0% 0.5%

2. Inverter One number of 2kWp inverter of output 230V shall be installed. This inverter is to be placed in a shaded area and must be weather-proof. We will be using 2kW Sukam Solar Hybrid inverter. Appendix 2 contains the inverter specifications. Vendor warranty: 1 year 3. Battery bank 4 batteries of 150Ah each will used in the project. The batteries will have to be places in a shaded weather proof area. We will be using Exide Inva IT-500 batteries. Appendix 3 contains the battery specifications. Vendor warranty: 4 years 4. Module Mounting structures Solar modules shall be mounted on structures erected using galvanized steel and concrete in an aesthetically pleasing manner. The design of the structure will be as per industry standards. This will adhere to safety and superior quality standards. 5. Junction Boxes TBD 6. Module Cabling High-quality DC and AC cables, cable ducts and connectors shall be used. 7. Safety Components Earthing and lightning arrestors shall be erected appropriately.

Registered Office: D-137, Okhla Industrial Area, Phase 1, New Delhi - 110019 Corporate Office: No: 73, West of Chord Road II Phase, II Stage, 14th A Main, Mahalakshmipuram, Bangalore - 560086 www.myfreeenergy.in

Terms and conditions

1 2 3 Prices System Installation Excise duty Prices quoted are for destination inclusive of freight System installation is in Free Energys scope of work Under present rules, solar PV system is exempted from Excise duty. However, rate prevalent at the time of dispatch will be applicable extra, at actual 1. Delivery will be effected in 8 weeks from date of receipt of MNRE sanction letter 2. Installation & commissioning shall be within 2-3 weeks 1. 20% advance payment along with purchase order (submit project for MNRE subsidy approval) 2. 60% payment against proforma invoice before dispatch 3. 10% against materials arrival on site 4. 10% post installation & commissioning 5. 30% - MNRE subsidy directly credited to customer a/c 1 year workmanship warranty from Free Energy Performance warranty from manufacturers as applicable This offer is valid for 3 months from the date of hereof Force Majeure conditions apply for this offer and resultant order

Delivery

Payment terms

7 8 9

Warranty Validity Force Majeure

Registered Office: D-137, Okhla Industrial Area, Phase 1, New Delhi - 110019 Corporate Office: No: 73, West of Chord Road II Phase, II Stage, 14th A Main, Mahalakshmipuram, Bangalore - 560086 www.myfreeenergy.in