Canadian Solar Financial and Operational Summary Q1 2022 slide image

Canadian Solar Financial and Operational Summary Q1 2022

Solar PV the most environmentally and economically attractive source of electricity, critical to any global decarbonization scenario Solar + 4h battery storage is increasingly competitive; meanwhile, the cost of carbon is set to increase 359 275 135 123 111 83 2009 Mean unsubsidized levelized cost of energy (LCOE) and levelized cost of storage (LCOS), $/MWh PV + 4 hour storage (FTM) $85-158/MWh 158 173 Gas peaker 167 Nuclear 108 Coal 85 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 *CCGT Combined Cycle Gas Turbine 60 CCGT* 38 Wind • 36 Solar Strong energy security, climate change and decarbonization commitments by major economies REPowerEU: to reduce reliance on imported gas; 420 GW of additional solar capacity by 2030, with high scenario potential for 1 TW; Germany to increase solar tenders to 20 GW by 2028 from current 5 GW. China: "1+N" policies to reach peak carbon by 2030, and carbon neutrality by 2060. Non-fossil fuel energy to account for 20% / 25% of primary energy consumption by 2025 / 2030 resp. Solar and wind total installation to reach 1,200 GW and non-fossil fuel sources to account for 80% of primary energy consumption by 2060, implying annual solar capacity additions of 80-100 GW. Energy storage commercialization during the 14th Five Year Plan (system costs to reduce 30%). U.S.: Build Back Better Climate Change provisions $555 billion, with potential solar ITC extension/direct pay, stand-alone storage ITC, PTC optionality etc. Corporations are also demanding more clean energy to decarbonize their operations Many firms committing to 100% renewable energy, contributing to lower energy costs and achieving corporate ESG goals. Key clean energy corporate off-takers: Amazon, Total, TSMC, Verizon, Meta, General Motors, Dow Chemical, Anglo American, General Mills and more. CanadianSolar Source: Lazard 2021 LCOE and LCOS Reports, public announcements. MAKE THE DIFFERENCE 14
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