Renewable Energy : The Opportunity and The Challenge

presented by Jim Barry,Chief Executive, NTR plc

Marine Energy and Smart Grid Workshop10 May, 2010

Climate Change

Resource Depletion

“The Perfect Storm”

Security of Energy Supply

A Changing World

NTR’s Strategy Meets Global Challenges

The macro factors of climate change, resource sustainability and security of energy supply underpin the structural growth opportunities for the NTR Group.

NTR's strategic response is to build and run green energy and resource-sustaining businesses.

Climate Change

Security of Supply

Resource Sustainability

Securing A Greener Future

Transition From Our Heritage

Toll roads in Ireland

Infrastructure in Ireland

International Expansion

Green energy & resource

management

1980 - 1998 1999 - 2002 2003 - 2005 2006 →

Applying experience from our heritage to today’s global challenges

Core Businesses In Four Sectors

Our Locations

Strong Pipeline Across MidWest

Strong relationships with key co-ops, utilities, landowners, and community partners

Focused on growing a national pipeline

Business Model and Growth Strategy

Develop, own and manage economically attractive portfolio within targeted region

Maintain local relationships to develop partnerships - close co-operation with landowners, communities and co-op utilities

Experienced staff implement a disciplined development process to identify promising high-return projects

Selective on projects and suppliers Aggressive but achievable growth in pipeline year over year

Solar Technology Landscape

> 10 kW > 100 kW > 10 MW > 50 MW > 50 MW > 50 MW

SunCatcher™ - the world’s most efficient solar technology

Three Businesses

• Developing solar

projects across Europe and Middle East

• PPA / Projects• EPC Contracts• HQ in London, UK

• Manufacturer of utility scale SunCatcher™ CSP• International

projects• Equipment / suppliers• Warranty insurance• HQ in Phoenix, AZ

• Developing solar projects throughout North America• PPA / Projects• EPC Contracts• HQ in Houston, Texas

InternationalManufacturingNorth America

Overview of FacilitiesXx

Business Overview

Merged business well capitalised

Exploit efficiencies potential from new assets – six ethanol plants (480MG - all

commissioned), eight grain elevators, national marketing and distribution

Downstream access to underserved markets through investment in blending assets

Access to corn upstream through selective investment in co-op storage

Commodity hedging expertise / sound trading policies

Vertically integrated approach secures access to supply and customers

Co-op grain storage

Ethanolproduction

3rd party marketing

Local blending points

Risk management

The Greenstar Group

• Integrated waste management and recycling

• 19 facilities

• Integrated recycling and outsourced waste Management

• 15 recycling facilities

Ireland North America

Tons Processed

Column1

NorthAmerica

1.6m tons

Ireland900k tons

UK300k tons

• Integrated collection and recycling

• 12 recycling facilities

UK

Greenstar Group Strategic Overview

Operational Efficiency invest in Singlestream MRFs,

best-in-class operations practices.

Securing Margin hedging, variable contracts to

match commodity swings.

Upgrading for Value Creation higher grade plastics, glass

beads.

Pursuing Energy From Waste

Singlestream - optical and magnetic sorting of recyclables on-site improves efficiency by 30%

Upgraded recycled materials, such as food grade plastic pellets used by carton manufacturers, derive more value

Initial Observations

No silver bullet, no standard template

Complexity to response with unknown or uncertain consequences of interactions

Cost economics are dynamic – needs to be reflected in evaluating renewables

Increasing geo-political tension/competition

Coal and CCS has to be addressed

Can’t ignore water

The Promise For Marine and Smart Grid

SCALE of requirement

Not a zero sum game – multiple winners

Drivers on the Demand and Supply side will bring fundamental change to grid design and operation

Comparative advantage (or disadvantage) will push some countries/regions towards marine

In Policy Makers interest to stimulate and encourage innovation and subsequent commercialisation

Early movers will be rewarded

The Challenge

Scale of the technology development challenge – valley of death

Inherent resistance to change and risk by exiting industry incumbents

Capital (or lack thereof)

Complexity of aligning support mechanisms: planning, market mechanisms, regulation and targets for statutory bodies

Beware regulatory and policy inconsistency and/or vacuum

Beware of irrational exuberance

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