JPS ENERGY STORAGE PROJECT RFP# E-3539 Questions

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1 JPS ENERGY STORAGE PROJECT RFP# E-3539 Questions 1. RFP Process Q1. We kindly ask for a time extension of 4 weeks in order to present our proposal for the RFP in reference. A1. The bid submissions deadline for the RFP has been extended from June 9 th, 2017 to June 27 th, Q2. Will pricing be shared with other bidders at the bid opening? If so, to what level of detail? A2. No. There will be a private opening of bids, as such ONLY JPS will have access to all bidders pricing. Q3. Have you set a time for the bid opening yet? A3. Yes. This is a private bid for which the bid opening will take place on the next working day after the due date at a time to be determined by the evaluating committee. Q4. Where will we be able to find the questions and answers that were submitted for this RFP? A4. Questions and answers will be sent to the prospective bidders as well as posted on the JPSCO website at 2. Participants Q1. Is it possible to participate in the bid process in the form of a Joint Venture (JV) or consortium? A1. Yes. All requested information must be provided for all parties. Q2. Are there any conditions or restrictions in constituting the JV? A2. JPS will only enter into contractual arrangements with one established legitimate company for single bid submission. Q3. Also, has this been sent to a list of pre-qualified vendors or is it okay if I share this with battery vendors? A3. JPS is regulated by the Office of Utilities Regulations (OUR) and consistent with their requirements, JPS has posted bid publicly on the JPSCo website ( hence it is available to all potential bidders. The RFP can therefore be shared.

2 Q4. Is it that JPS has the preference for Battery/Flywheel Hybrid rather than Battery only because battery only is a much simpler design and can fulfill all the requirements of the JPS specifications? There are many battery system suppliers but very few and experienced hybrid system suppliers. It is not very clear why the need for flywheel hybrid, can JPS elaborate on this? A4. JPSCo has identified Battery- Flywheel Hybrid as the preferred technology to provide the energy storage solution required by the JPSCo grid. The configuration allows for high cycling of the flywheels without degradation of the flywheel energy, while utilizing the longer charge/discharge capabilities of batteries where more energy is required. The hybrid configuration also facilitates extending the life of the batteries by maintaining battery state of charge and minimizing the number of battery cycles. JPSCo also recognizes battery only energy storage systems, which may be used to provide a robust solution and has therefore included battery only specification requirements in the RFP. This will allow experienced suppliers with industry tested battery systems to participate in the RFP. JPS will evaluate all solutions on their own merit and will select the solution deemed best for the JPSCo grid. Q5. We would be bidding for the standalone solution only, not the hybrid solution with flywheel. Is that acceptable for JPS? A5. Yes. Consistent with our response to question 4 above, JPSCo will be accepting and evaluating all bids, Hybrid Battery-Flywheel, High Speed Flywheel and Battery Only that conform to the RFP process and technical specifications as outlined in the RFP and will select the solution deemed best for the JPSCo grid. 3. Evaluation Criteria Q1. Regarding "5.0. Selection Process and Evaluation Criteria", can you please specify "Supplier-JPS engagement and interaction on Energy Storage modeling"? A1. JPSCo will not be using Item 6, Supplier-JPS engagement and interaction on Energy Storage modeling, as an evaluation criteria. In addition, JPSCo has withdrawn Section 5, Evaluation Criteria from the RFP. JPSCo will determine an evaluation criteria that JPSCo deems suitable for the RFP. Q2. We are very interested to get access to any historical data you have on JPSCo grid frequency val ues. The higher the time resolution of the data the better. What data can you provide and how would we get access to it? A2. JPSCo has already concluded its evaluation on system response to intermittent resources and has developed the specifications provided in the RFP. Bidders are encouraged to bid using spe cifications provided. At this time JPSCo will not be sharing grid data. Q3. Please advise on how we can get access to your grid and frequency data.

3 A3. JPSCo has already concluded its evaluation on system response to intermittent resources and has developed the specifications provided in the RFP. Bidders are encouraged to bid using spe cifications provided. At this time JPSCo will not be sharing grid data Q4. The energy required from section 1.3 of Appendix 2 is 12.25MWhrs, while the energy required from the combination of sections 1.1 and 1.2 of Appendix 2 is 5.125MWhrs. Will the evaluation of these systems be made on a normalized $/MWhr equivalent? A4. No. Each system will be evaluated on its own merit and life cycle cost. Q5. In Section 5 there is a rating for Operation performance and functionality. Our systems have been designed to provide industry leading operational performance, functionality and flexibility for the owner and operator. Could you please provide further definition on how these parameters are measured such that we can highlight the benefits of our technology appropriately? A5. This is based on the parameters outlined in the technical specification. The ESS Supplier should provide all relevant information regarding the performance of their system. Q6. In the same table, there is a criterion for Standard Warranty & Performance Guarantee. What does JPS Co define as Standard in this category? A6. Standard here may be defined as the Warranty & Performance Guarantee that the bidder would normally offer with the energy storage product. The ESS Supplier may choose to offer more than one warranty and performance guarantee options The ESS Supplier is required to provide clear and detailed information of the Warranty and Performance Guarantee being offered. JPSCo has made a modification to Section 11, Performance Guarantees. Bidders are required to provide details of the standard warranty and performance guarantee as well as provide quotations for Warranty and Performance Guarantee for 15 years. Q7. In the same table, there is a criterion for Energy Storage modelling. Does JPS Co consider detailed data analysis and financial modelling as Enhanced Supplier Engagement? Q7. JPSCo has already concluded its evaluation on system response to intermittent resources and has developed the specifications provided in the RFP. Bidders are encouraged to bid using specifications provided. At this time JPSCo will not be sharing grid data. Potential bidders are required to only respond to JPS technical specification. JPSCo has removed Item 6, Section 5, from the Evaluation criteria of the RFP Q8. In the same table, there is a criterion for Life Cycle Cost. How is JPS Co comparing CAPEX costs vs. OPEX costs? Is it by using a 10% discount rate on future expenditures? If not, could you specify the discount rate used to compare future OPEX expenditures to CAPEX? A8. The discount rate is internal to JPSCo and will not be shared with bidders.

4 Q9. Do you have a power system model of your network in PSSE, DigSilent, or other format that you can provide? A9. JPSCo has already concluded its evaluation on system response to intermittent resources and has developed the specifications provided in the RFP. Bidders are encouraged to bid using spe cifications provided. At this time JPSCo will not be sharing grid data. Potential bidders are req uired to only respond to JPS technical specification. JPSCo has removed Item 6, Section 5, from the Evaluation criteria of the RFP Q10. We would like to use JPS Data to model the energy storage system how do we access that? A10. JPSCo has already concluded its evaluation on system response to intermittent resources and has developed the specifications provided in the RFP. Bidders are encouraged to bid using specifications provided. At this time JPSCo will not be sharing grid data. Potential bidders are required to only respond to JPS technical specification. The evaluation criteria in Section 5 has been withdrawn from the RFP Q11. Clause 5.0 SELECTION PROCESS AND EVALUATION CRITERIA in Item 6 discusses Supplier - JPS engagement and interaction on energy storage modeling. How can a new bidder meaningfully engage with JPS on modeling in the next 6 working days? We are very interested in seeing detailed JPS system data and engaging in such interaction, but the tight RFP schedule does not allow this. Suggest either extending the bid deadline to a reasonable date after system data has been provided or eliminating this Evaluation Criteria A12. JPSCo has already concluded its evaluation on system response to intermittent resources and has developed the specifications provided in the RFP. Bidders are encouraged to bid using specifications provided. At this time JPSCo will not be sharing grid data. Potential bidders are required to only respond to JPSCo technical specification. JPSCo has removed Item 6, Section 5, from the Evaluation criteria of the RFP. Q12. Clause 5.0 JPS data. The sizing and selection of energy storage technologies is very dependent on the expected application and duty cycles it is applied in. While the JPS system has been described in general terms, no specific system data has been made available yet. Please provide access to high resolution recent historical system data including system frequency and provide the JPS system frequency bias (X MW per 0.1Hz). One to two second resolution frequency data for a representative week in each season is a suggested starting point. A13. JPSCo has already concluded its evaluation on system response to intermittent resources and has developed the specifications provided in the RFP. Bidders are encouraged to bid using specifications provided. At this time JPSCo will not be sharing grid data. Potential bidders are

5 required to only respond to JPS technical specification. JPSCo has removed Item 6, Section 5, from the Evaluation criteria of the RFP Q13. Clause 5.0 Energy Storage Modelling; what kind of information do you want have through ESS modeling? (Ex. ESS design, stability analysis?) A13. JPSCo has already concluded its evaluation on system response to intermittent resources and has developed the specifications provided in the RFP. Bidders are encouraged to bid using specifications provided. At this time JPSCo will not be sharing grid data. Potential bidders are required to only respond to JPS technical specification. JPSCo has removed Item 6, Section 5, from the Evaluation criteria of the RFP 4. Scope of work Q1. Section 1.4 Scope of Work: Item 1: Are there any local special Building Code (enclosure) and Electrical Code certification requirements for the equipment supplied? Are there any local building codes which JPS will require equipment suppliers to provide specific guidance on? A1. All material used and equipment supplied and all workmanship, unless otherwise specified, shall conform to the latest editions of all relevant ANSI standards or where indicated to relevant IEC standards. Where equipment, components or materials are not covered by appropriate ANSI standards, relevant IEEE, NEMA, ASTM, AISC and AWS shall apply. If equipment or materials conforming to other recognized national standard is offered, the bidder shall provide a copy, in English, of the standard offered and shall itemize the pertinent areas where the standard differs from the requirements of the relevant ANSI standard. If this Specification conflicts in any way with any of the above standards or codes, this Specification shall have precedence and shall govern. The Contractor shall control the quality of all construction works, fabricated and manufactured items of plant and equipment; and services supplied to meet the requirements of these documents, including those prescribed by the following applicable Codes and Standards. Electrical, piping, painting, concrete, steel reinforcement and structural steel work quality standards for the Substation Works are included in these Technical Specifications. The codes and standards included in these Specifications set minimum standards, which must be equaled or exceeded by the Contractor. The Contractor may exceed the minimum standards if the higher standard result in a superior or more economical design for the successful and continuous operation of the plant and equipment required for this works. The foregoing referenced standards and their abbreviations are as follows:-

6 Abbreviations ACI AISC ANSI API ASCE ASME ASTM AWWA, BS CSA IEC, ISO NEMA NFPA Name American Concrete Institute American Institute of Steel Construction American National Standards, Inc. American Petroleum Institute American Society of Civil Engineers American Society of Mechanical Engineers American Society for Testing and Materials American Water Works Association British Standards Institute Canadian Standard Association International Electrotechnical Commission International Organisation of Standardization National Electrical Manufacturer's Association National Fire Protection Relevant Codes and Standards: The design, manufacture, construction and testing of all plant, equipment, building and civil works furnished under this Contract shall be in accordance with all applicable codes and standards. The latest edition, revision, or supplement of the standards in effect at the date of Notice to Commence shall be used. ACI 301, ACI 318, ACI 530, ACI 530.1, ACI 211.1, ANSI B31.1 ASTM C33 ASTM C42 ASTM C94 ASTM C150 ASTM C260 ASTM C494 ASTM C618 Specifications for Structural Concrete for Buildings Building Code Requirements for Structural Concrete Building Code Requirements for Masonry Structures Specifications for Masonry Structures Standard Practice for Selecting Proportions for Normal, Heavyweight and Mass Concrete Power Piping Code Standard Specification for Concrete Aggregates Standard Method of Obtaining and Testing Drilled Cores and Sawed Beams of Concrete Standard Specification for Ready-Mixed Concrete Standard Specification for Portland Cement Standard Specification for Air-Entraining Admixtures for Concrete Standard Specification for Chemical Admixtures for Concrete Standard Specification for Coal Fly Ash and Raw or Calcined Natural Pozzolan for Use in Portland Cement

7 Concrete AWS EEI, IEC IEEE IPCEA, ISA, MSHA, MSS, NACE NEC NFPA OSHA PFI, SSPC, UBC, UL, American Welding Society Edison Electrical Institute International Electrotechnical commission Institute of Electrical and Electronics Engineers, Inc. Insulated Power Cable Engineers' Association Instrument Society of America U.S. Department of Labor Manufacturers Standardization Society of the Valves and Fittings Industry National Association of Corrosion Engineers National Electric Code National Fire Protection Association specifically National Electric Code (NFPA ) and Life Safety Code (NFPA101). Occupational Safety and Health Administration State, City and Local Codes and Practices Pipe Fabricators Institute Steel Structures Painting Council Uniform Building Code Underwriters Laboratories Q2. Item 5: Provide requirements and specifications for all concrete slabs or foundations for containerized energy storage equipment to include Batteries, Flywheels, Power Conversion System. Is the Bidder required to provide any further details other than slab size, slab location, and slab loading? A2. Bidders are also required to detail slab reinforcement, additives in concrete mix and finish, steel float vs wood float.

8 Q3. Item 7: Provide cable specifications, schedule and detailed diagram for wiring between containers and medium voltage 415V/24kV step up transformer. Can JPS confirm that single line diagram and cable schedules are adequate; field routing and layout, and other specifications will be performed by a civil contractor. A3. All engineering designs must be done by bidders. Bidders must therefore propose cable routing, cable runs (length) and dimension of conduits in which cables will be drawn. Civil contractor will perform work according to Bidder design and specification provided. 5. Contract Q1. Section 7.0 General Conditions of Contract: Bidders are required to provide as applicable: Licensing Support Agreement. Can JPS specify the minimal acceptable elements of the Licensing Support Agreement? A1. Bidders must indicate any licensing requirements that JPSCo will incur in the ownership and operation of the Energy Storage system solution being proposed. Both one time and recurring costs must be highlighted if any is required. Q2. General Question: For multiple solution configurations, would JPS prefer to have a single configuration per submission or can we provide multiple options in our proposal without risking disqualification? A2. Bidder must provide submission according to RFP Technical Specification. Additional configurations may also be provided and will be reviewed at the discretion of JPSCo. Q3. What is the range of COD and delivery dates that JPS Co would like to consider for this RFP? A3. The COD is as stated in the RFP Section 1.3, Project Scope / Objectives. The date is June 30, Bidders may propose a COD with an earlier delivery date. COD after June 30, 2018 will not be accepted. Q4. In the Performance Guarantee section, is JPS Co looking for suppliers to define performance guarantees? A4. Bidder submission must include cost to guarantee performance of energy storage system as outlined in Section 3, Q&A 6 above for 15 years. Q5. Clause 7.7 Penalties Failure to submit the Deliverables to the Company within the timelines specified will result in the Contractor being liable to the company payments of sums equivalent to ten percent (10%) of the value of compensation payable by the Company in respect of such Deliverable. Please inform us the amount or percentage of penalty per day for liquidated damages.

9 A5. The contractor will be liable for payments of 0.3% per calendar day of contract value until final acceptance has occurred. In no event will the contractor be required to pay more than 10% of contract value. Q6. Bid Security (Bid Bond) Please confirm whether bid security shall be submitted or not. If so, Can you inform us condition such as rate, period and so on? A6. There is no bid security for this project. Q7. Appendix I. Company Profile - Dunn & Bradstreet reference number Please tell us the purpose of this reference number. Is this information for credit rating? If so, we were wondering if equivalent credit rating report is acceptable. A7. The Dunn and Bradstreet reference number is used to assess the credit rating of the perspective bidder. If the bidder does not have a Dunn and Bradstreet number an equivalent credit rating should be submitted. 6. Technical Requirements Flywheel Q1. Appendix II, Section Flywheel: a. Nominal supply voltage: a. Is it acceptable to JPS to provide an operating voltage of 3 ph Vac, as long as it is consistent with the safe operating conditions of the equipment? b. Aux. AC supply: Is it acceptable to JPS to provide an operating voltage of 3 ph + N, Vac, as long as it is consistent with the safe operating conditions of the equipment? c. Flywheel energy stored through operating speed range: In order to satisfy the requirement in Appendix II, Section 4.4, what is the minimum energy capacity required? Namely, how much energy should the flywheels store in order to respond to the majority of cycle requirements and spare the batteries from heavy-duty cycling? d. Estimated discharge/charge rated Nominal MW: In order to satisfy the requirement in Appendix II, Section 4.4, what is the minimum discharge/charge time required? Namely, how much time should the flywheels take to discharge/charge in order to respond to the majority of cycle requirements and spare the batteries from heavy-duty cycling? e. Ramp Rate: Is 6MW/second sufficient to meet the application requirements listed in Appendix II, Section 4? Should this ramp rate be higher, such as 30MW/second? A1. Nominal Supply Voltage a. Yes, 3 ph Vac nominal supply voltage will be accepted. b. No, JPSCo standard is 415 ± 5Vac as stated in the requirement. c. Please be guided by Sections and 1.2 for flywheel requirements. Section 4.4 is applicable to the overall operation of the system, which may comprise of both high &/or low speed flywheels.

10 d. Please be guided by Sections and 1.2 for flywheel requirements. Section 4.4 is applicable to the overall operation of the system, which may comprise of both high &/or low speed flywheels. e. Yes. A ramp Rate of 6 MW/s is deemed sufficient as a minimum requirement. However, the capability of the proposed system must be stated. Q2. Appendix II, Section 1.2 High Speed Flywheel: a. Nominal supply voltage: Is it acceptable to JPS to provide an operating voltage of 3 ph Vac, as long as it is consistent with the safe operating conditions of the equipment? b. Aux. AC supply: Is it acceptable to JPS to provide an operating voltage of 3 ph + N, Vac, as long as it is consistent with the safe operating conditions of the equipment? c. Ramp rate: Can JPS clarify the units used in this value (MW/s per MW % of system size)? Should the units be consistent with the other tables in this section (i.e. 40MW/second)? A2. Appendix II, Section 1.2 High Speed Flywheel: a. Yes, 3 ph Vac nominal supply voltage will be accepted. b. No, JPSCo standard is 415 ± 5Vac as stated in the requirement. c. Please interpret the ramp rate unit as 40 MW/s to be consistent with ramp rate specifications from Sections 1.1.1, & 1.3 Q3. What is the minimum energy capacity requirement in MWhr of the flywheel in section of Appendix 2? Is it also a 12-minute flywheel? Since cost is directly correlated to energy capacity (duration), will these costs be compared on a normalized $/kwh equivalent? A3. The minimum energy capacity is 36 MWs, a discharge time of 12 seconds at nominal rated power of 3MW Q4. What is the required performance for the flywheel in section of Appendix 2 at the end of 20 years? Is it also 60% of initial capacity? A4. The required performance of the flywheel at the end of 20 years must be free from cyclic degradation. Q5. What is the required performance for the flywheel in section 1.2 of Appendix 2 at the end of 20 years? Is it also 60% of initial capacity? A5. The required performance of the flywheel at the end of 20 years must be free from cyclic degradation. Q6. Appendix II. 1. Capability and design requirements; how were the power and energy sizing values of the flywheel/ battery hybrid, flywheel and battery options determined? Will these values be sufficient to address the issues on the JPS system or will all these configurations face very high duty cycles? A6. The size and configurations were determined through modelling and simulations. The system will be subjected to high duty cycle operations hence the requirement for the flywheel component.

11 7. Technical Requirements Battery Q1. Appendix II, Section Battery: a. Real Power Capability (Beginning of Life): How is this section consistent with the Overload kva rating? b. b. Nominal supply voltage: Is it acceptable to JPS to provide an operating voltage of 3 ph Vac, as long as it is consistent with the safe operating conditions of the equipment? c. Aux. AC supply: Is it acceptable to JPS to provide an operating voltage of 3 ph + N, Vac, as long as it is consistent with the safe operating conditions of the equipment? d. Overload kva ratings: How frequently does JPS expect these overload conditions to occur? A1. Appendix II, Section Battery: a. Real power capability at Beginning of Life speaks to minimum required battery performance at commissioning. The overload kva rating speaks to the capability of the system throughout the entire system life cycle. b. Yes, 3 ph Vac nominal supply voltage will be accepted. c. No, JPSCo standard is 415 ± 5Vac as stated in the requirement. d. The overload condition is intended to be used rarely and in the event of large loss of generation. Frequency of overload occurrence may range from occurrence per day. However Bidder must state capability of the proposed solution. Q2. Nominal supply voltage: a. Is it acceptable to JPS to provide an operating voltage of 3 ph Vac, as long as it is consistent with the safe operating conditions of the equipment? b. Aux. AC supply: Is it acceptable to JPS to provide an operating voltage of 3 ph + N, Vac, as long as it is consistent with the safe operating conditions of the equipment? A2. Nominal Supply Voltage a. Yes, 3 ph Vac nominal supply voltage will be accepted. b. No. JPSCo standard is 415 ± 5Vac as stated in the requirement. Q3. What is the required performance for the battery in section of Appendix 2 at the end of 20 years? Is it also 60% of initial capacity? A3. For the hybrid battery the expectation is that the flywheel will significantly reduce the cycling requirement and therefore reduce the degradation on the batteries over the 20 year life cycle. However the battery should be greater than 60% capacity at End of life. Q4. What are the specifications for Real Power Capability for Option 1 of section of Appendix 2?

12 A4. See line one of specifications table, Section 1.1.2, 16.5 MW for 15 minutes, 26 MW for 30 seconds every 2 hours and 22 MW for 5 minutes every 2 hours Q5. What are the specifications for Real Power Capability for Option 1 of section 1.3 of Appendix 2 A5. See line one of specifications table, Section 1.3, 24.5 MW for 30 minutes and 30 MW for 10 seconds. Q6. Appendix II. 1.3 Battery Only Rating and Capability Real Power Capability (Beginning of Life) : Must be able to provide the following AC output capabilities at Beginning of Life rating 24.5MW for 30 minutes 30 MW for 10 seconds Could you explain 1 day duty cycle that defines the frequency of occurrence and the order of occurrence of the operating conditions? A6. The overload condition is intended to be used rarely and in the event of large loss of generation. Duty cycle may require a range from occurrence of this type of operation per day. However Bidder must state capability of proposed solution. Q7. Appendix II. 1.3 Battery Only Rating and Capability Design life Also, we need the EOL requirements under the above operating conditions. Please explain them. A7. The EOL requirements are as stated in line 2, Design life of the specifications, Section 1.3. Battery must be able to perform greater than 10,000 cycles with greater than 60% capacity at EOL over 20 years. Q8. Appendix II. 1.3 Battery Only Rating and Capability Overload kva rating Is PCS overload (150%, 200%) mandatory? A8. Overload rating of 150% and greater are not mandatory. However, Bidder must indicate capability of solution being proposed. If these options are available at an additional cost, Bidder must indicate. Q9. Appendix II. 1.3 Battery Only Rating and Capability Technical data: Duty Cycle Whether 90% means unidirectional efficiency? How do you measure efficiency? Is there a way to measure efficiency? A9. Equal or greater than 90% efficiency is required. This efficiency is determined by the actual energy delivered vs the energy required for charging. System losses for example due to battery heating and inverter losses will dictate that the operational efficiency will be less than 100%. Bidder must state efficiency of system being proposed. Q10. Appendix II. 1.3 Battery Only Rating and Capability Technical data: Power conversion efficiency charge or discharge Does duty cycle 80% mean bidirectional efficiency at rated output? A10. Duty cycle refers to the continuous availability of the system at rated nominal power output given that energy is stored in the system. The system should be able to provide the desired output 80% or greater of in service time without exceeding operational limits of the system. Bidders must state duty cycle of system being proposed.

13 8. Protection Q1. Appendix II, Section 5.4 Fault Current: The converter must be able to provide 2 pu fault current for at least 2 seconds, compared to the nameplate current capacity. Can JPS clarify the apparent conflict between this fault current requirement and the Overload kva Ratings in the tables in Appendix II, Section 1? According to the Overload kva Ratings, anything above 130% is optional. Can we answer these sections as per tabular format outlined in Appendix II, Section 1 in order to meet the requirements in both section 1 and section 5.4? A1. The Fault current rating of 2 pu is for 2 seconds. The overload rating of 130% is a short duration rating in the order of minutes. Bidder must respond to both sections separately. Q2. Appendix II, Section 6.3 AC Auxiliary Supply: The energy storage system is required to have its control power and HVAC power sourced from an isolated low voltage auxiliary connection, not from the primary inverter power connection. In order to utilize islanding mode, the auxiliary loads will need to have a direct (i.e. not isolated) connection to the output of the energy storage inverters. As per Appendix II, Section 6.10 if a solution can effectively island, and hence avoid the cost and risk of an isolated low voltage auxiliary connection, does effective islanding provide an alternative to Section 6.3? A2. Please detail islanding mode of your proposed system and JPSCo will determine its appropriateness. Q3. Appendix II, Section 6.6 AC Bus Failure: In the event of a dead bus, the Converters will be issued an automatic stop command, and shall remain in a stopped state until commanded to start. Does Appendix II, Section 6.10 allow for an alternative to Section 6.6? To utilize islanding mode during an AC bus failure, the energy storage converters will be isolated from the AC bus and then they must be activated in order to provide power to the auxiliary systems A3. Yes, Auxiliary power can be provided by the storage converters during Islanding mode, that is, the converters can be commanded to start as per Appendix II, section 6.6 to provide auxiliary power. Q4. Appendix II, Section 6.7 Grid Disconnection: If the circuit breakers leading from the storage system to the main bus are opened, the inverters will enter an inhibit mode and will wait for the circuit breakers to be reclosed before automatically restarting conversion. Does Appendix II, Section 6.10 allow for an alternative to Section 6.7? To utilize islanding mode after a grid disconnection event, the energy storage converters must be activated in order to provide power to the auxiliary systems. The main circuit breakers will coordinate with the energy storage inverters to ensure that the inverters are deactivated and inhibited before the breakers reclose. A4. Yes, Auxiliary power can be provided by the storage converters during Islanding mode, that is, the converters can be commanded to start as per Appendix II, section 6.6 to provide auxiliary power.

14 9. Controls Q1. Appendix II. 4.1 Frequency Support what are the specific parameters of the droop curve that JPS expects to use? A1. Parameters of the droop curve that JPSCo expects to use are (not limited to) compensation gain and dead-band limiter. Please note this is not a complete list of parameters, and it is advisable that details of the capabilities of your solution are furnished Q2. Appendix II. 4.2 Voltage Support which takes priority, frequency support or voltage support? A2. Frequency support takes priority over support voltage. However, the ESS system must be capable of providing frequency and voltage support simultaneously. Q3. Appendix II. 4.3 Renewable Smoothing Renewable facility variability will inherently impact system frequency. What is the expect priority for the ESS system with respect to frequency support versus renewable smoothing. Will renewable smoothing be a separate, distinct operating mode? What are the target parameters for smoothing and is the ESS the energy capacity requested sufficient? A3. Frequency support takes priority over renewable smoothing. Renewable smoothing will be a separate distinct operating mode. The mind-set behind this particular requirement is to acquire an ESS system that provides flexibility in relation to the modes of operation. For clarification, the priority list in relation to control functions is as follows: 1. Frequency Support 2. Voltage Support 3. Non-proportional load sharing among separate storage units 4. Renewable Smoothing Basic target parameters for smoothing are similarly the compensation gain and dead-band limiter (not a complete list), and based on technical analyses the quoted ESS energy capacity is sufficient at this stage. Q4. Appendix II, Section 4 Energy Storage Controls Functionality: The control functions must be able to operate simultaneously, with a prioritization hierarchy provided by JPS. Can JPS provide any further details on the intended control scheme at this time? Additional details may give the Bidder an opportunity to provide a more economic cost scheme A4. Bidder must provide details on the capabilities of your solution. JPSCo cannot provide any further details on intended control scheme at this time.

15 10. Containers/Enclosures Q1. Appendix II, Section 8.2 Finish: All enclosures and equipment exposed to the environment must be made from stainless steel. Is it acceptable to have equipment that is intended to remain outdoors (e.g. assembly and maintenance stands) made from non-stainless steel and then coated in order to prevent corrosion while keeping costs economical? A1. Bidder must provide costing for stainless steel option as stated in requirement. Alternative proposal for non stainless steel with equal or better level of corrosion protection can be provided. Q2. What salt spray test will the enclosures be subject to? What corrosion standards must the containers meet? Stainless steel is a costly solution to avoid corrosion; there are equally effective and more affordable anti-corrosion options. Would JPS Co be willing to consider stainless steel alternatives if they adhere to required tests and standards? A2. Yes. JPS will be willing to accept stainless steel alternative provided that they conform to the following specifications. The containers/enclosures shall have "special paint finishes" suitable for use in close proximity to the sea and industrial plants. These paint finishes shall be capable of withstanding the ASTM B hrs/ 5% salt spray test without significant loss of adhesion or under film corrosion. Manufacturer shall specify paint finishes and provide certified test results that the relevant standards have been met. This information shall be submitted with the bid. Bidder must provide costing for stainless steel option as stated in requirement. Alternative proposal for non stainless steel with equal or better level of corrosion protection can be provided.

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