California Deploys Largest State-Owned Solar Electric Rooftop.

Business Editors/Energy Writers

SACRAMENTO, Calif.--(BUSINESS WIRE)--Aug. 27, 2002

California Franchise Tax Board Headquarters Deploys Clean,

Reliable, and Cost-Effective Solar Electric Generation

with 470kW System

The California Department of General Services (DGS) and the Franchise Tax Board (FTB) today unveiled the largest state-owned solar electric rooftop installation in California at the FTB's headquarters in Sacramento.

The 470 kW solar system -- generating enough electricity during the day to power the equivalent of more than 400 homes -- will supply the Franchise Tax Board with nearly half of its energy needs, reducing expensive electricity purchases from the grid during peak demand periods. The system, which covers 50,000 square-feet of roof area, was designed, manufactured, and installed by PowerLight Corporation of Berkeley, California.

"By deploying clean, renewable energy systems at state buildings, this Administration is preserving natural resources and contributing to the state's energy solution," said Aileen Adams, Secretary of the State and Consumer Services Agency (SCSA). "This installation demonstrates that solar-generated electricity is reliable, affordable, and ready to meet mainstream energy needs."

The new solar electric system at the Franchise Tax Board headquarters will reduce the facility's consumption of grid-generated electricity during the day -- when electricity is in greatest demand and most expensive. By not relying on typical generation methods, this solar-powered installation is anticipated to reduce emissions of nitrogen oxides by more than 9,000 pounds and carbon dioxide by more than 11,000 tons during its 25-year lifespan. These emissions reductions are equivalent to planting approximately 800,000 trees, removing 4,000 cars from the roadways, or not driving 50 million miles.

"The DGS is committed to reducing energy use and costs at state facilities. Onsite solar electric generation is a major component in helping us meet that goal," added DGS Interim Director Clothilde Hewlett. "This project comes on the heels of our East End Complex project in Sacramento, which features some 5,000 solar panels to help off-set the electrical demand there."

The SCSA and the DGS have promoted sustainable building and environmental awareness through the implementation of Governor Gray Davis' sustainable building Executive Order (D-16-00), management of the state's energy conservation efforts, and support of renewable energy, recycled content, and pollution control programs. The DGS builds and maintains many of the state's largest buildings, as well as the state's automobile fleet.

"California's objective is to make renewable generation an even larger part of our long-term energy picture," noted Gerald H. Goldberg, executive officer, California Franchise Tax Board. "As an agency committed to community improvement, we're proud that the FTB can provide responsible leadership for other governmental, commercial, and residential energy users throughout the State."

"Federal, state and local agencies are implementing energy efficient technologies to improve building performance and protect our environment," said PowerLight President Daniel Shugar. "Solar photovoltaics and other renewables are a reliable, cost effective way for this country to meet its energy needs while minimizing harmful emissions."

"It's rewarding to be working with the State of California on a project that saves taxpayers' money and is environmentally friendly. We applaud the DGS and FTB for demonstrating true civic leadership by installing solar electric generation in Sacramento," concluded Shugar.

The Sacramento Municipal Utility District (SMUD) and State of California shared in the funding of this solar electric system, which was installed in record time of less than six weeks. SMUD helps fund solar projects to promote renewable energy resources, and to provide a diverse energy mix to its customers who want a cleaner environment.

"Projects like this one benefit far more people than just those who work in this building," said SMUD Director Susan Patterson. "The more solar electric systems we are able to install, the less expensive they become and as a community, the less dependent we will be on conventional energy sources."

In addition to this photovoltaic system, the FTB and the DGS are planning to commission an expansion of the existing solar array, as well as to install an additional photovoltaic system on a nearby Franchise Tax Board facility currently under construction in Sacramento.

About the State and Consumer Services Agency

The State and Consumer Services Agency (www.scsa.ca.gov) is composed of 12 departments and 15,000 employees, with an annual operating budget of $1.1 billion. It is one of the most diversified agencies in state government, with activities ranging from tax collection to civil rights enforcement, from consumer protection to urban redevelopment.

About the California Department of General Services

The role of the Department of General Services (www.dgs.ca.gov) is to ensure quality, cost-conscious, and timely assistance and support to state and other public agencies so they can efficiently deliver necessary and essential services to California citizens. With the leadership of the Governor, and in cooperation with the Legislature, we seek to provide creative business solutions and serve our customers in a responsive and flexible manner. Our mission is dedicated to serve the customer.

About California Franchise Tax Board

The purpose of the Franchise Tax Board (http://www.ftb.ca.gov) is to collect the proper amount of tax revenue, and operate other programs entrusted to us, at the least cost; serve the public by continually improving the quality of our products and services; and perform in a manner warranting the highest degree of public confidence in our integrity, efficiency and fairness. Each year, FTB collects more than $33 billion in tax revenues from individuals, banks, and corporations -- 62% of California's entire General Fund. Over 14 million personal income tax returns are received and processed by FTB each year.

About Sacramento Municipal Utility District

SMUD (www.smud.org) is the customer-owned supplier of electricity to Sacramento County's residential and commercial customers. SMUD has been a national leader in solar installations for more than a decade. SMUD continues to lead the way in the development and commercialization of grid-connected PV applications.

About PowerLight

PowerLight (www.powerlight.com) is the leading manufacturer of commercial-scale solar electric products and services. Founded in 1991, PowerLight's systems solutions deliver reliable, affordable clean power for commercial and government customers worldwide. Inc Magazine has ranked the PowerLight Corporation among the top 500 fastest growing privately held companies in 2000 and 2001. Today, PowerLight has worldwide offices and a full line of commercial solar electric products.