WIND ENERGY ONSHORE AND OFFSHORE CAPABILITY WIND ENERGY ONSHORE AND OFFSHORE CAPABILITY EXECUTIVE SUMMARY Whether investing in an existing wind probability of occurrence and their support, construction and operations farm or developing a completely new potential impact on the project will be monitoring, and providing technical one, owners, operators, investors, detected. The goal is to firstly ensure consultancy tailored to the client’s insurance companies and developers that the technical feasibility of the project needs. have to understand and mitigate all the is such that the investment is sound, This applies for both onshore and risks before deciding to proceed with a and secondly to ensure the quality. This offshore wind farms with no geographic project. Project risks which might affect is accomplished by way of a thorough restriction. the project’s profitability in the short, review of all the assets and / or the data medium and long term usually originate available to reveal the potential areas of during the initial stages of development. concern for the investor. Independent technical advisors such as In addition to the due diligence during SGS can evaluate the technical feasibility the development and operation phases, of the project through a technical due SGS supports the customers during the diligence during which the risks entire life cycle of the project with tender LIST OF ACRONYMS BOP BALANCE OF PLANT CC COMPETENCE CENTRE CDM CONSTRUCTION DESIGN AND MANAGEMENT EPC ENGINEERING, PROCUREMENT AND CONSTRUCTION ESIA ENVIRONMENTAL AND SOCIAL IMPACT ASSESSMENT FIDIC INTERNATIONAL FEDERATION OF CONSULTING ENGINEERS ISO INTERNATIONAL ORGANISATION FOR STANDARDISATION QHSSE QUALITY HEALTH SAFETY SECURITY AND ENVIRONMENT RESO RENEWABLE ENERGY SUPPORT OFFICE TDD TECHNICAL DUE DILIGENCE CONTENTS EXECUTIVE SUMMARY LIST OF ACRONYMS 1 SGS GROUP 4 1.1 COMPANY PROFILE 4 1.2 QUALITY SYSTEM 5 1.3 FIDIC CONDITIONS 5 1.4 ENVIRONMENT AND SUSTAINABILITY POLICIES 5 1.5 WIND ENERGY SERVICES 6 2 ONSHORE WIND ENERGY 7 2.1 TECHNICAL CONSULTANCY 7 2.2 FEASIBILITY STUDIES 7 2.3 SITE AND WIND RESOURCE ASSESSMENT 8 2.4 ENVIRONMENTAL AND SOCIAL IMPACT AND PERMITTING 9 2.5 ELECTRICAL DESIGN AND GRID INTERCONNECTION 10 2.6 RISK MANAGEMENT 10 2.7 PROJECT EXECUTION 11 2.8 OPERATIONS MONITORING 12 3 OFFSHORE WIND ENERGY 13 3.1 TECHNICAL CONSULTANCY 13 3.2 FEASIBILITY STUDIES 13 3.3 SITE & WIND RESOURCE ASSESSMENT 14 3.4 ENVIRONMENT AND SOCIAL IMPACT, AND PERMITTING 14 3.5 ELECTRICAL DESIGN AND GRID INTERCONNECTION 14 3.6 RISK MANAGEMENT 15 3.7 QHSE 15 3.8 APPLIED CONSTRUCTION, DESIGN AND MANAGEMENT regulations 16 3.9 PROJECT CERTIFICATION 19 4 THE TEAM 20 4.1 KEY renewable ENERGY TEAM MEMBERS 20 ANNEX A SELECTED Renewable ENERGY PROJECTS 22 3 1 SGS GROUP 1.1 COMPANY PROFILE The company, with headquarters in SGS is involved in the following Geneva, was founded in 1878. This long business lines SGS is the world’s leading inspection, history has assisted SGS to establish a Industrial Services verification, testing and certification reputation for independence, integrity, Oil, Gas and Chemicals company. SGS is recognised as the global professionalism and experience. The Governments and Institutions benchmark for quality and integrity. With policy of SGS is not to engage in any Minerals more than 70,000 employees, SGS manufacturing, trading and financial Environment operates a network of over 1,350 offices activities which might compromise its Automotive and laboratories around the world. independence and neutrality. Systems & Services Certification Market capitalisation of US$10 billion Agriculture (SWX: SGSN). Consumer Testing Life Science Revenue 2011: CHF 4.8 billion. GENEVA AMERICAS EUROPE, AFRICA & ASIA PACIFIC 311 OFFICES & LABORATORIES MIDDLE EAST 337 OFFICES & LABORATORIES 14,350 EMPLOYEES 25,410 EMPLOYEES 702 OFFICES & LABORATORIES 30,240 EMPLOYEES SGS HAS SIGNIFICANT EXPERIENCE WITH DELIVERING EXPERTISE TO BANKS (SUCH AS WORLD BANK, EBRD, ING, BNP, CITIGROUP, WEST LB, BBVA, INVESTCREDIT, EIB, JBIC, ETC.). 4 1.2 QUALITY SYSTEM 1.3 FIDIC CONDITIONS 1.4 ENVIRONMENT AND SUSTAINABILITY POLICIES Being the world’s leading inspection, SGS, with its worldwide network, verification, testing and certification has extensive practical experience with At SGS we believe it is vital to embrace Company, SGS is recognised as the FIDIC Conditions of Contract, based sustainability as a positive challenge; a the global benchmark for quality and on various international projects. SGS source of continuous enquiry, innovation integrity. The SGS Group has a highly trained experts contribute to the and improvement. We contribute to compliance programme, based on successful execution of engineering environmental sustainability in many its Code of Integrity and Professional construction contracts worldwide in ways through our range of services. Conduct, to ensure that the highest accordance with the FIDIC regulations. Our own business activities also impact standards of integrity are applied to all SGS staff has handled successful contracts on the environment, so one of our its activities worldwide in accordance under FIDIC conditions including for priorities is to continuously improve our with international best practice. Rymanów Wind Farm in Poland preparing own environmental performance. Our and verifying the contracts according to environmental policy encourages us to the yellow book. minimise our impact on the environment and the communities where we work and live. It also requires our suppliers and business partners to make similar efforts. The ISO 14001: 2004 Environmental Management Systems (EMS) certification enables our clients to demonstrate their commitment to the environment. The standard provides guidance on how to manage the environmental aspects of your business activities more effectively, while taking into consideration environmental protection, pollution prevention and socio - economic needs. 5 1.5 WIND ENERGY SERVICES For the particular needs of a project SGS SGS experts have the combined is able to dedicate wind experts from its experience and detailed understanding SGS has significant practical experience Renewable Energy Support Office (RESO) of every aspect of the energy sector, related to delivering services for power based in Hamburg which employs globally with particular focus on renewable and wind energy projects. These services 120 experts. energy, including wind. to lender and sponsors comprise feasibility SGS supports its clients at a local level SGS offers solutions throughout the studies, technical advice, technical and with its global affiliates being able to wind value chain to answer the critical environmental due diligence and project mobilise rapidly additional experts in questions. monitoring to mention but a few. different locations, should the need arise. n In - Service Inspection n Oil Analysis n Design Verification n HSE Management n Failure Analysis n Gear Box Inspection n Owner‘s Representative n Site Assessment n End of Warranty n Blade Inspection & NDT n Tender Support n CDM Service and Inspection n Coating Inspection n Technical Consultancy Support n Verification of n HSE Management Performance n CDM Service and n Vibration Measurement Support n Functional & Safety Test VI. IN - SERVICE 0. CONCEPTUAL n Design Verification n Commissioning Survey PHASE n Owner‘s Representative n Final Acceptance Inspection n Tender Support n HSE Management n Technical Consultancy n CDM Service and Support n HSE Management I. DESIGN n Site Assessment V. COMMISSIONING BASIS & SITE ASSESSMENT n CDM Service and Support n Construction Supervision n Design Verification n n Loading / Unloading IV. Transportation II. SITE SPECIFIC Wind Turbine Blade Testing Supervision & Installation DESIGN OF WIND n Vendor Assessment / n QA / QC Management TURBINE & Technical Audit Foundation & Inspection n Owner‘s Representative n Marine Warranty Survey n CE - Marking n HSE Management n Technical Consultancy III. Manufacturing n Project Based QHSE Management n HSE Management n Project Execution n Risk Management n CDM Service and Support n CDM Service and Support n Manufacturing Inspection n Wind Turbine Blade Testing n NDT n QA / QC Management & Inspection n Risk Management n Project Based QHSE Management n CDM Service and Support 6 2 ONSHORE WIND ENERGY 2.1 TECHNICAL CONSULTANCY CASE STUDY | LENDER‘S ENGINEER As a market leader in inspection, The works started with a due verification and testing, SGS has diligence in February 2012 and will a wide deep knowledge in several continue with the construction and areas applicable to wind energy and a operations monitoring of the wind multi - disciplinary labour force located farms until the end of warranty which worldwide allowing SGS to tailor, and is expected to be in 2015. deliver efficiently all required services Services provided to meet client’s requirements from the development to the operation phases Lender‘s Engineer of a wind project. Technical Due Diligence Project Monitoring SGS provides technical consultancy with A development bank awarded SGS Operations Monitoring its world class advisors and engineers in the contract to assume the Lender’s different areas of expertise on the technical Engineer role for the construction of and commercial parts of the projects. two wind farms in Romania. 2.2 FEASIBILITY STUDIES CASE STUDY | FEASABILITY STUDY & SITE ASSESSMENT To support the development of a Mechanism. To this end, the Port wind farm project, feasibility studies wants SGS as consultant to conduct are