> The State of Art of Inverter

Technology

Unleashing the PV-Market of the Future

AHK-Geschäftsreise im Rahmen der Exporinitiative für Erneuerbare Energien

SMA Solar Technology AG

> Rio de Janeiro, 09. September 2014
1. SMA | 2. Market | 3. Technology | 4. Service | 5. Flexibility | 6. Subsidies to Competitiveness

SMA is a true growth story – more than 60 % p.a. sales increase in last five years

> Founded in 1981 SMA sales and employee development

6.000 2.200
> Sales 2012 EUR 1.5 billion and 2.000
shares in exports of 56.3 % 5.000 1.800
1.600
> More than 5,0001) employees

Sales in million €
4.000
1.400

Employees
> More than 25 GW of inverter 1.200
3.000
output sold worldwide 1.000
800
2.000
> Represented in 21 countries* all 600
over the globe 1.000 400
1)
200
> Best efficiency worldwide (99 %)
0 0
2006 2007 2008 2009 2010 2011 2012 2013

Sales Employees 1)
SMA estimates

> SMA was again customers´ first choice in 2012

SMA Solar Technology AG (1) Plus temporary seasonal employees * plus SMA Railway Technology Brazil 2
1. SMA | 2. Market | 3. Technology | 4. Service | 5. Flexibility | 6. Subsidies to Competitiveness

SMA serves all market segments worldwide

All PV applications All performance ranges All module types

On-grid Residential Crystalline

< 2 kW modules

Residential
2 kW to 30 kW
Off-grid Thin film

Commercial
30 kW to 500 kW

Concentrator
Backup modules
Industrial
To > 1 MW

> Every market segment has different product requirements

SMA Solar Technology AG 3

1. SMA | 2. Market | 3. Technology | 4. Service | 5. Flexibility | 6. Subsidies to Competitiveness

Market

SMA Solar Technology AG 4

1. SMA | 2. Market | 3. Technology | 4. Service | 5. Flexibility | 6. Subsidies to Competitiveness

Germany lost his position of largest market in 2013

Markets Market size Market size Estimated market

2012 in GW1) 2013 in GW1) growth in 20141)

Germany 7,6 GW 3,3 GW

Italy 3,4 GW 1,3 GW
Northamerica 3,8 GW 4,6 GW
France 0,7 GW 0,8 GW
Japan 2,4 GW 4,9 GW
Rest of World 14,1 GW ≥ 19,1 GW

32 GW ≥ 34 GW

> The regional shift in demand to the growing markets USA and APAC is continuing

SMA Solar Technology AG (1) SMA estimations 5

SMA presence
Service: Sales must be close to decision makers; Service close to
projects

SMA UK
SMA Solar Technology AG
SMA Canada SMA Benelux SMA Central & Eastern Europe (Czech Rebublic)
SMA France SMA Italia
SMA America SMA America SMA Korea
SMA Portugal SMA Hellas SMA Beijing
Production SMA Ibérica
Service SMA Japan

SMA Middle East

SMA India
SMA Thailand

SMA South Africa

SMA South America
SMA Australia

Headquarter Subsidiary

Initial Focus: After Chile , Brasil has a second local office/service hub in South America :
SMA Railways , Itupeva ,Sao Paulo
SMA Solar Technology AG
 1. SMA | 2. Market | 3. Technology | 4. Service | 5. Flexibility | 6. Subsidies to Competitiveness

Each day, over 20 MW of SMA PV inverters are installed worldwide

35 MWp, Germany 9,8 MWp, Italy 44 MWp, Thailand

Why SMA?

> Reliability (Technology & Company)

> Bankability of SMA1
> Experience (more than 25 GW installed capacity)
> Trendsetting grid management capability
> Financial performance (maximum yield and reduced TCO2 with inverters of SMA)

> SMA minimizes your risk & maximizes your ROI³ and that since more than 30 years
1. > 400 Mio. € net liquidity (cash and cash equivalents), Status 30.9.2012
SMA Solar Technology AG 2. TCO = Total Cost of Ownership 7
3. ROI = Return on Invest
1. SMA | 2. Market | 3. Technology | 4. Service | 5. Flexibility | 6. Subsidies to Competitiveness

Technology

SMA Solar Technology AG 8

1. SMA | 2. Market | 3. Technology | 4. Service | 5. Flexibility | 6. Subsidies to Competitiveness

SMA has a defined roadmap to reduce the specific costs of inverters

Cost reduction and efficiency increase Research & development focus

120%
98% 99% 100%
> Optimization of assembly and testing
100% 93%
96%
processes
80% 95%
> Increase the speed of switching and
60% 93%
48% thus reduce the size of windings
40% 30% 90%
90% 27%
14%
> Highly integrated microelectronics
20%

0% 85%
> Reduction of housing size and
1990 1995 2000 2005 2010 2015 packages
Price per Watt (based on 100%)
Maximum inverter efficiency

> SMA strives to reduce by half the specific costs of a solar inverter by 2015

SMA Solar Technology AG 9

1. SMA | 2. Market | 3. Technology | 4. Service | 5. Flexibility | 6. Subsidies to Competitiveness

Complete product range for customized system design

SUNNY BOY/SUNNY MINI CENTRAL/SUNNY TRIPOWER Max. AC
Power (kW)

1 2 3 4 5 6 7 9 11 17 20
* reactive-power compatible inverter

With 240 1200 2000HF, 2500HF, 3000HF 3300, 3800 4600A 5000A 6000A 7000HV-11*
Transformator

UL-listed
240US 2000, 2500, 3000US 3000, 4000,
5000, 6000, 6000,7000, 9000,10000,
3000HFUS 4000US 5000TLUS
7000, 8000US 8000TLUS 11000TLUS

1300TL 1600TL 2100TL

2500TLST 3000TLST 6000,7000, 9000,10000,
8000TL 11000TLRP*
Without
transformator
3000TL 3600TL 4000TL 5000TL

10000TL,12000TL, 15000, 15000, 20000TLEE

15000TL,17000TL* 20000TLEE PROJECT
5000TL 6000TL 7000TL 8000TL 9000TL

> Due to the wide product range SMA string inverters fit to all applications

SMA Solar Technology AG 10

1. SMA | 2. Market | 3. Technology | 4. Service | 5. Flexibility | 6. Subsidies to Competitiveness

SUNNY CENTRAL CP XT: Cutting edge technology for intelligent and flexible solutions

SUNNY CENTRAL 500CP XT, 630CP XT, 720CP XT, 760CP XT,
800CP XT, 850CP XT and 900CP XT

> Highest performance by an efficiency of 98.6 % and minimal

energy consumption

> Flexibility in system planning:

> 1,000 V DCmax
> Compliance with Medium Voltage Directive (BDEW)

> Reduction of system costs:

> Outdoor enclosure for direct installation, also under
extreme climatic conditions
> String monitoring integrated in inverters
(reduced cabling)

> Simple handling and transport with a weight of only 1,900 kg

> Performance classes: 500 kW, 630 kW, 720 kW, 760 kW,
800 kW, 850 kW and 900 kW

> Reduction of the overall system costs with highest yield security and operating safety

SMA Solar Technology AG 11

1. SMA | 2. Market | 3. Technology | 4. Service | 5. Flexibility | 6. Subsidies to Competitiveness

Flexibility

SMA Solar Technology AG 12

1. SMA | 2. Market | 3. Technology | 4. Service | 5. Flexibility | 6. Subsidies to Competitiveness

Production capacity

> Capacity of more than 11.5 GW

> Production of inverters for the global market at facilities in Canada, Germany and USA

> Flexible production output according to market growth

SMA Solar Technology AG 13
1. SMA | 2. Market | 3. Technology | 4. Service | 5. Flexibility | 6. Subsidies to Competitiveness

SMA FLEXIBLE STORAGE SYSTEM:

Perfect storage solution for new and existing PV plants

Advantages at a glance:

• Increase of self consumption quota from 30 to 65%*

• Possibility to use solar electricity around-the-clock
• 60% less volume of purchased electricity from utility*
• Complete use of annual generated PV energy, even at reduction of the fed-
in active power to 70% or less of the generator nominal power
• Retrofit in nearly every existing PV plant
• Maximal flexibility of storage performance, battery type and capacity
• Futureproof technology by Smart Grid compatibility

> Opportunity of 100% independent energy supply with SMA products

* All figures base upon an annual PV generation of 5,000 kWh, equal energy consumption and a natural
SMA Solar Technology AG self consumption of 30% 14
1. SMA | 2. Market | 3. Technology | 4. Service | 5. Flexibility | 6. Subsidies to Competitiveness

SMA INTEGRATED STORAGE SYSTEM:

smart storage solution for new PV plants

Advantages at a glance:

• Increase of self consumption quota from 30 to 55% *

• Possibility to use solar electricity around-the-clock
• 50% savings with regards to the energy consumption from the grid *
• Annual produced PV energy can be nearly used completely, even a
reduction of the fed-in active power to 70% of the generator nominal power
• Low installation costs due to fast and easy wall installation – comparable
to a standard PV inverter
• Cutting edge efficiency with regards to energy transformation as well as
energy storage
• Futureproof technology by Smart Grid compatibility

> Comprehensive solution for intelligent energy management

* All figures base upon an annual PV generation of 5,000 kWh, equal energy consumption and a natural
SMA Solar Technology AG self consumption of 30% 15
1. SMA | 2. Market | 3. Technology | 4. Service | 5. Flexibility | 6. Subsidies to Competitiveness

Fuel Saver: PV beats Diesel-based Energy Generation Systems

Solar diesel hybrid solutions

SUNNY CENTRAL ＞ Today, industrial consumers in remote

areas are predominantly supplied
with power from diesel engines
＞ Due to intelligent system technology,
PV can be seamlessly integrated into
diesel grids
PV -MODULE CONTROL UNIT
SUNNY BOY
＞ A solar diesel hybrid system produces
DIESEL AGGREGATE
energy at lower costs and more
efficiently than simple combustion
engines

> Enables to be more independent from price volatility of fossil fuels

SMA Solar Technology AG 16

3 SMA‘s Hybrid System Solution

Industrial loads in remote areas are typically supplied

by conventional Genset systems

Industrial Load
e.g. Mining facility, cement
factory, metal works

Genset System
The main component in
Powerhouse
the electricity supply
Includes main busbars,
system
genset controllers, etc.
SMA Solar Technology AG
3 SMA‘s Hybrid System Solution

Adding Photovoltaics is the first step towards a

future-proof system...

Industrial Load
e.g. Mining facility, cement
factory, metal works

PV Modules/BOS1
All module technologies
PV inverter supported
The heart of SMA‘s
solution for hybrid
systems

Genset System
The main component in
Powerhouse
the electricity supply
Includes main busbars,
system
genset controllers, etc.
SMA Solar Technology AG
SMA equipment 1. Balance of System (e.g. cabling, module racks, etc)
3 SMA‘s Hybrid System Solution

... but a smart communication between Genset and PV is

mandatory to leverage the full hybrid potential

Industrial Load
e.g. Mining facility, cement
factory, metal works

PV Modules/BOS1
All module technologies Data Acquisition Module
PV inverter supported Measures the actual load
The heart of SMA‘s both active and reactive
solution for hybrid
Interface Module
systems
Acts as a data concentrator
PV Main Controller Module
and data logging device for
Monitors genset status and
Sunny Tripower inverters
computes maximum allowed
PV power

Genset System
The main component in
Powerhouse
the electricity supply
Includes main busbars,
system
genset controllers, etc.
SMA Solar Technology AG
SMA equipment 1. Balance of System (e.g. cabling, module racks, etc)
3 SMA‘s Hybrid System Solution

Integration of storage will be the next step in order to increase

the PV penetration

Industrial Load
e.g. Mining facility, cement
factory, metal works

PV Modules/BOS1
All module technologies Data Acquisition Module
PV inverter supported Measures the actual load
The heart of SMA‘s both active and reactive
solution for hybrid
Interface Module
systems
Acts as a data concentrator
PV Main Controller Module
and data logging device for
Monitors genset status and
Sunny Tripower inverters
computes maximum allowed
PV power

Battery Inverter Genset System

(optional2, for increased The main component in
Powerhouse
PV penetration) the electricity supply
Includes main busbars,
system
genset controllers, etc.
SMA equipment 1. Balance of System (e.g. cabling, module racks, etc) 2. Available by end of 2013
1. Renewable Energies | 2. Company Story | 3. Technology | 4. Markets | 5. Outlook

SMA is well positioned

> 30 gigawatts installed SMA

inverter power worldwide

> In 21 markets worldwide

> Round about 1000 professionals in

research and development

SMA Solar Technology AG 21

1. Renewable Energies | 2. Company Story | 3. Technology | 4. Markets | 5. Outlook

Well-positioned in

21 markets
worldwide
Germany Czech Republic Japan Thailand
Australia France Korea United Arab Emirates
Benelux Greece Poland U.S.
Canada Great Britain Portugal
Chile India South Africa
China Italy Spain

SMA Solar Technology AG 22

1. SMA | 2. Market | 3. Technology | 4. Service | 5. Flexibility | 6. Subsidies to Competitiveness

SMA is the most reliable and experienced partner for you

Complete Product Portfolio

Clear Technology Leader Ship SMA, your partner

Global Presence with Sales and

Service

One-of-a-kind Flexibility

SMA Solar Technology AG 23

 Thank you for your attention!

Frank Neumann

Sales New Markets

Latin America & Caribbean

SMA Solar Technology AG

Frank.Neumann@SMA.de

Tel: ++ 49-561-9522-4025

SMA Solar Technology AG