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  • Documents Checklist - Free Solar

    Documents prepared by Polaron Solartech Corp.

    Polaron Proposal

    Cash Deals & Free Solar- Applicant-Declaration-Natural-Person

    Free Solar- FINAL Solar Equipment Leasing Installation and Management Agreement

    Free Solar- Free Solar Contract

    LDC Inquiry Authorization Letter

    Building Permit Authorization Letter

    LDC Application Form (If the LDC is one of following) Powerstream (Brampton Area - Form D) Toronto Hydro Hydro One Connection Form + EFT Form Bluewater power Erie Thames Power Essex Powerlines Kitchener Hydro Milton Hydro Waterloo North Hydro St Thomas Energy Niagara on the Lake Hydro Canadian Niagara Power

    Documents prepared by Customer

    Hydro Bill (LDC, Name and Account Number should be included)

    Copy of Photo ID

    Two photos of Meter (Distant and close one of meter)

    Deposit Cheque ( Prepayment Option Only)

  • 120 Adelaide Street West, Suite 1600

    Toronto, Ontario M5H 1T1

    T 416-967-7474

    F 416-967-1947

    www.ieso.ca

    microFIT PRESCRIBED FORM: Applicant Declaration (Natural Person) OPARP/f-mFIT3-005Ar3

    Name Signature

    Date January 1, 2015 Page 1 of 1

    If you are an Applicant under the microFIT Program and your Application is being prepared or submitted by a representative, agent or other party acting on your behalf, you must review the declarations set out below and include a signed copy of this Applicant Declaration with your Application.

    Where more than one Eligible Participant is listed as an Applicant, each Eligible Participant must submit a separate Applicant Declaration.

    I, , hereby declare that:

    1. I am the Applicant set out in the Application.

    2. I hereby authorize my representative,

    to submit my Application and to act on my behalf with respect to the microFIT Program. I may revoke this authorization at any

    time by providing written notice to the Independent Electricity System Operator (IESO).

    3. I have been provided with the username and password to access the My microFIT Home Page associated with my Application. I acknowledge and agree that I am responsible for retaining and protecting my username and password.

    4. I have received and reviewed a copy of the Website Terms of Use available on the My microFIT Home Page associated

    with my Application, and I agree to be bound by such Website Terms of Use.

    5. I have received, reviewed and understood Version 3.2 of the microFIT Rules and microFIT Contract.

    6. I have reviewed the contents of my Application and I declare that the information contained in or submitted with or as part

    of my Application, including, without limitation, the declarations provided therein, is true, complete and accurate in all respects.

    7. I am responsible for providing valid contact information for the purpose of correspondence related to the microFIT Program, monitoring emails from the IESO and regularly checking my My microFIT Home Page for updates and notices.

    8. I understand and acknowledge that my representative may receive all notices and communications pertaining to my participation in the microFIT Program, including, notices and communications relating to my Application and any microFIT Contract.

    9. I acknowledge and agree that, other than my agreement to amend or assign a microFIT Contract, the IESO may consult and discuss my Application and any microFIT Contract with my representative and may rely on the instructions, requests and decisions of such representative. I further acknowledge and agree that such acts of my representative shall be binding on me as to all matters pertaining to my Application and any microFIT Contract, other than and not including the power or authority to amend or assign my microFIT Contract.

    10. I acknowledge and agree that I remain liable to the IESO for all representations, warranties, obligations, covenants and liabilities under my Application and any microFIT Contract arising from my Application.

    11. I acknowledge the collection, use and disclosure/sharing of information as set out in Section 6.2 of the microFIT Rules, and I consent to such collection, use and disclosure/sharing of information as described in Section 6.2 of the microFIT Rules.

    All capitalized terms not herein defined shall have the meanings ascribed to them in the microFIT Rules, Version 3.2 Contract.

    I make these declarations in support of my Application under the microFIT Program and for no other or improper purpose.

    I have read and understood the declarations on the Applicant Declaration microFIT Prescribed Form.

  • 120 Adelaide Street West, Suite 1600

    Toronto, Ontario M5H 1T1

    T 416-967-7474

    F 416-967-1947

    www.ieso.ca

    microFIT PRESCRIBED FORM: Applicant Declaration (Natural Person) OPARP/f-mFIT3-005Ar3

    Name Signature

    Date January 1, 2015 Page 1 of 1

    If you are an Applicant under the microFIT Program and your Application is being prepared or submitted by a representative, agent or other party acting on your behalf, you must review the declarations set out below and include a signed copy of this Applicant Declaration with your Application.

    Where more than one Eligible Participant is listed as an Applicant, each Eligible Participant must submit a separate Applicant Declaration.

    I, , hereby declare that:

    1. I am the Applicant set out in the Application.

    2. I hereby authorize my representative,

    to submit my Application and to act on my behalf with respect to the microFIT Program. I may revoke this authorization at any

    time by providing written notice to the Independent Electricity System Operator (IESO).

    3. I have been provided with the username and password to access the My microFIT Home Page associated with my Application. I acknowledge and agree that I am responsible for retaining and protecting my username and password.

    4. I have received and reviewed a copy of the Website Terms of Use available on the My microFIT Home Page associated

    with my Application, and I agree to be bound by such Website Terms of Use.

    5. I have received, reviewed and understood Version 3.2 of the microFIT Rules and microFIT Contract.

    6. I have reviewed the contents of my Application and I declare that the information contained in or submitted with or as part

    of my Application, including, without limitation, the declarations provided therein, is true, complete and accurate in all respects.

    7. I am responsible for providing valid contact information for the purpose of correspondence related to the microFIT Program, monitoring emails from the IESO and regularly checking my My microFIT Home Page for updates and notices.

    8. I understand and acknowledge that my representative may receive all notices and communications pertaining to my participation in the microFIT Program, including, notices and communications relating to my Application and any microFIT Contract.

    9. I acknowledge and agree that, other than my agreement to amend or assign a microFIT Contract, the IESO may consult and discuss my Application and any microFIT Contract with my representative and may rely on the instructions, requests and decisions of such representative. I further acknowledge and agree that such acts of my representative shall be binding on me as to all matters pertaining to my Application and any microFIT Contract, other than and not including the power or authority to amend or assign my microFIT Contract.

    10. I acknowledge and agree that I remain liable to the IESO for all representations, warranties, obligations, covenants and liabilities under my Application and any microFIT Contract arising from my Application.

    11. I acknowledge the collection, use and disclosure/sharing of information as set out in Section 6.2 of the microFIT Rules, and I consent to such collection, use and disclosure/sharing of information as described in Section 6.2 of the microFIT Rules.

    All capitalized terms not herein defined shall have the meanings ascribed to them in the microFIT Rules, Version 3.2 Contract. I make these declarations in support of my Application under the microFIT Program and for no other or improper purpose. I have read and understood the declarations on the Applicant Declaration microFIT Prescribed Form.

  • EPC By: Customer ID:

    V. 2015.7

    Leasing Agreement Coversheet

    Polaron Solartech Corp. ("Polaron") is located at 155 Shields Ct, Markham, Ontario L3R 9T5. Polaron is the EPC and management company for this rooftop solar equipment leasing, installation and management agreement (this "Agreement"). This Agreement is made between all owners of the property stated below (collectively, "the Client") and LH Solar Inc., operating as Zeus Appollo Solar (referred to as "the Company"), located at 155 Shields Ct, Markham, Ontario L3R 9T5 and includes the attached Terms and Conditions. When there is more than one person named below, the same terms refer to all named persons and all obligations of the persons named below under this Agreement shall be joint and several. Polaron will be the representative of the Company in signing this Agreement and the Company and the Client may be referred to in this Agreement as "Party", or collectively as "Parties".

    Client Information:

    FIRST NAME OF CLIENT

    FIRST NAME OF CLIENTS SPOUSE

    LAST NAME OF CLIENT

    LAST NAME OF CLIENTS SPOUSE

    DOB: DD/MM/YY

    DOB: DD/MM/YY

    PROPERTY ADDRESS

    CITY/TOWN

    TELEPHONE NUMBER

    LDC INFO

    PROVINCE POSTAL CODE

    EMAIL

    LOCAL DISTRIBUTION COMPANY (LDC) ACCOUNT NAME (PRINT NAME AND MUST BE EXACTLY THE SAME SHOWS ON YOUR HYDRO BILL)

    SYSTEM DETAILS

    All installation and maintenance costs of the Solar Equipment will be covered by Company in accordance with the attached Terms and Conditions. The system size shall be confirmed at the time of the installation of the Solar Equipment.

    SYSTEM SIZE ESTIMATED ANNUAL KILOWATT HOURS OF DIRECT SUN EXPOSURE

    THERE ARE THREE PAYMENT OPTIONS AVAILABLE FOR THIS AGREEMENT. DETAILS FOR THE THREE OPTIONS ARE LISTED IN TERMS AND CONDITIONS.

    PAYMENT OPTIONS

    OPTION A: FREE SOLAR CLIENT INITIALS: [ ] [ ]

    Under this option, the Client will make no payments to the Company and (subject to the attached Terms and Conditions) the Client will receive a one-time rebate in the amount

    set out below (Box 1) (the "Rebate") and an option to select either: (A1) an annual equipment incentive paid yearly in the amount set out below for the entire term of this

    Agreement (Box 2); or (A2) a lump sum payment equipment incentive in the amount set out below (Box 3) paid once at Year 10 & again at Year 20 of the term of this Agreement.

    The Rebate is determined by the system size and the estimated annual kilowatt hours of direct sun exposure the Solar Equipment will receive. At the time of execution of this

    Agreement, the Company will provide the estimated Rebate amount (Box 1), which will be finalized upon final inspection and confirmed below (Box 4). The Client understands

    that the equipment incentives (Box 2 or Box 3, as applicable) are a fixed amount as set out below and the Rebate may be changed to any amount within the stated range to be

    determined upon final inspection.

    What you get: Rebate + $100 annual or $1,000 at Year 10 & Year 20 equipment incentive + entire solar panel system at the of the contract

    Box 1 Box 2 Box 3 Box 4

    $ $ $ $ Estimated Rebate (CAD) Annual Equipment Incentive (CAD) Lump Sum Equipment Incentive (Year 10 &20) Confirmed Rebate (CAD)

    By initialing above for Option A, both the client and Company agree to the terms listed above.

    LOCAL DISTRIBUTION COMPANY ACCOUNT NUMBER LOCAL DISTRIBUTION COMPANY

  • OPTION B: PREPAYMENT OPTION CLIENT INITIALS: [ ] [ ]

    Under this option, the Client will make a one-time prepayment to the Company in the amount set out below (Box 5) at the time of the execution of this Agreement. Subject to

    the attached Terms and Conditions, the Client will receive an equipment incentive paid yearly in the amount set out below (Box 6) for the entire term of this Agreement. The

    one-time prepayment amount is determined by the prepayment option the Client chooses prior to the execution of this Agreement. The equipment incentive is calculated

    based on the number of kilowatt hours of direct sun exposure the Solar Equipment will receive. At the time of execution of the Agreement, the Company will provide an

    estimated equipment incentive amount which will be finalized upon installation of the Solar Equipment and confirmed below (Box 7). The Client understands that the estimated

    equipment incentive amount may be changed to any amount within the stated range to be determined upon final inspection.

    Box 5 Box 6 Box 7

    $ $ $ Pre-Payment (CAD) Estimated Annual Equipment Incentive (CAD) Confirmed Annual Equipment Incentive (CAD)

    By initialing above for Option B, both the client and Company agree to the terms listed above.

    OPTION C: REVENUE SHARING OPTION CLIENT INITIALS: [ ] [ ]

    Under this option, the Client will make no payments to the Company and (subject to the attached Terms and Conditions) the Client will receive an annual equipment incentive

    at a fix percentage in the amount set out below (Box 8) of net revenue the Company received from LDC. The net revenue is determined by the annual sum of total paychecks

    received from LDC minus the LDC fees on delivery.

    Box 8:

    12% Percentage of revenue sharing (%)

    By initialing above for Option C, both the client and Company agree to the terms listed above.

    AGREEMENT

    By signing this agreement, the Client(s) agree to participate in one of the options selected above, which are offered by Polaron (collectively, the "Free Solar Program"). The

    Client(s) agree to participate in the microFIT program for the property stated above and listed in this Agreement. The Client(s) agree and understand that:

    a. This Agreement is entered for the purpose of participating in the Free Solar Program managed by Polaron for a solar rooftop installation in compliance with the

    microFIT program and the Client(s) hereby agree to participate in the Free Solar Program; b. This Agreement does not guarantee the eligibility of the participation in the Free Solar Program; c. Unless otherwise specifically stated, all amounts set out in this Agreement are estimates and are subject to change. The actual payments will be finalized and

    provided to the Client(s) upon final inspection of the property; d. All communication will be made to the contact information provided above; e. The Client(s) has the ability to switch between Options A, B and C set out above; and f. The Client(s) understands that they can cancel without notice within 10 days "cooling period" as per the Consumer Protection Act.

    THIS AGREEMENT HAS BEEN MADE ON THIS DAY OF _, 20

    IN THE CITY OF , ONTARIO.

    CLIENT Signature:

    (PRINT NAME)

    CLIENT Signature: (PRINT NAME)

    ENERGY CONSULTANT Signature:

    POLARON SOLARTECH CORP. AUTHORIZING SIGNATURE:

    Page 2 of2

  • TERMS AND CONDITIONS FOR ROOFTOP SOLAR EQUIPMENT

    LEASING, INSTALLATION AND MANAGEMENT AGREEMENT

    V. 2015.7

    THIS AGREEMENT INCLUDES CERTAIN STATUTORY PROVISIONS PURSUANT TO THE CONSUMER PROTECTION ACT, 2002. PLEASE SEE

    SCHEDULE III FOR A FULL DESCRIPTION.

    FOR VALUABLE CONSIDERATION, the receipt and sufficiency of which is hereby acknowledged by the Parties, the Parties agree as of the execution date of the Agreement (the "Effective Date") as follows:

    1. OBJECT: This Agreement is entered into for the purposes of leasing, installing, operating and maintaining in compliance with the Micro Feed-In Tariff program rules (available at http://microfit.powerauthority.on.ca) ("MFIT") a solar photovoltaic electricity generating system and all of its components, including,

    without limitations, solar panels, mounting substrates or supports, wiring and connections, power inverters, service equipment, electricity metering equipment and interconnections (collectively, the "Solar Equipment"). Subject to the terms

    and conditions hereof, Owner hereby agrees to (a) lease the Solar Equipment from Company and (b) retain the services of Company, during the Term, to, inter alia, obtain and manage the Micro FIT contract ("MFIT Contract") to be entered into

    by Owner and the Ontario Power Authority or its agents ("OPA") in respect of the Property and the connection agreement to be entered by Owner with the LDC (the "Connection Agreement") and supply and install the Solar Equipment on the

    rooftop of the house located on the Property (the "Rooftop").

    2. ACCESS RIGHTS: Owner hereby also grants to Company, during the Term, a non-exclusive right-of-way over the Property (including the Rooftop),

    to the extent required by Company for the purposes of accessing, installing,

    maintaining and inspecting the Solar Equipment (the "Access Rights"). Owner hereby consents to the installation of the Solar Equipment on the Rooftop by

    Company, its employees and contractors, including, without limitation the

    interconnections with the LDC. Company and its employees, agents or contractors shall have the right to access the Property at all times and without notice for a

    visual inspection of the Solar Equipment and Property without access to the roof,

    provided that: (a) if access to the roof is required for the installation, inspection or maintenance of the Solar Equipment, Company shall have the right to access the

    Rooftop between 7:00 am and 8:00 pm every day upon at least twelve (12) hours

    prior telephone notice; and (b) if access to the Property is required to conduct electrical work, Company shall have the right to access the Property upon at least

    twenty-four (24) hours prior telephone notice or written notice delivered in person

    or by email. Company shall have the right to access the Property on twenty-four

    (24) hours a day, seven (7) days a week for emergency purposes, as reasonably

    determined by Company at its sole discretion. Company shall make a good faith

    attempt to notify Owner in advance if that is reasonably practicable in the

    circumstances. Within twenty-four (24) hours after such an emergency access, Company shall provide Owner with an explanation of the nature of the emergency.

    All such emergency work shall be diligently conducted, as reasonable in the

    circumstances.

    3. TERM: This Agreement shall be effective as of the Effective Date until the expiry of the term of the MFIT Contract unless terminated earlier in

    accordance with the provisions of this Agreement. This Agreement shall not be automatically renewed at the expiration of the Term.

    4. EQUIPMENT LEASING FEES:

    OPTION A (FREE SOLAR): Subject to the terms and conditions hereof, commencing as of the Connection Date and thereafter whenever the funds become

    available until the end of the Term, Owner shall pay Company equipment leasing

    fees equal to 100% of the revenue received by Owner under the MFIT Contract. To that end, Owner hereby expressly permits and allows Company to withdraw all

    funds received from the LDC in the Generator Account during the Term and

    agrees that it shall not make any withdrawals from the Generator Account during the Term. For the purposes of this Agreement, "Connection Date" means the later

    of (i) the date the Solar Equipment is installed on the Rooftop, is physically connected to the local distribution company's electricity distribution system

    ("Distribution System"), is fully functional for the purposes hereof with suitable

    metering configurations appropriate for the calculation of the generation payments under the MFIT Contract and has received all requisite approvals of the Ontario

    Electrical Safety, Authority; and (ii) the date the OPA issues an Application

    Approval Notice to Owner in respect of the Solar Equipment. OPTION B (PREPAYMENT OPTION): Subject to the terms and conditions

    hereof, at the time of the execution of this Agreement by Owner, Owner shall pay

    Company a payment in the amount set out on the cover sheet of this Agreement (the "Pre-paid Fees"), $1,500 of which shall be payable to Company on the day

    that this Agreement is signed and the remaining amount of which shall be payable

    to Company on the date that the Solar Equipment is installed. In addition to the Pre-paid Fees, commencing as of the Connection Date (as defined above) and

    thereafter whenever the funds become available until the end of the Term, Owner

    shall pay to Company equipment leasing fees equal to 100% of the revenue received by Owner under the MFIT Contract. To that end, Owner hereby expressly permits and allows Company to withdraw all funds received from the

    LDC in the Generator Account during the Term and agrees that it shall not make any withdrawals from the Generator Account during the Term.

    OPTION C (REVENUE SHARING): Subject to the terms and conditions hereof, commencing as of the Connection Date and thereafter whenever the funds become

    available until the end of the Term, Owner shall pay Company equipment leasing fees equal to 100% of the revenue received by Owner under the MFIT Contract

    (the "Option C Revenue"). To that end, Owner hereby expressly permits and

    allows Company to withdraw 100% of all funds received from the LDC in the

    Generator Account during the Term and agrees that it shall not make any

    withdraws from the Generator Account during the Term.

    Owner confirms that it has chosen the option indicated on the cover sheet of this

    Agreement and noted below:

    OPTION: # INITIALS: [X ] [X ]

    5. EQUIPMENT INCENTIVES:

    OPTION A (FREE SOLAR): Subject to the terms and conditions of this Agreement, Company hereby agrees to pay Owner a one-time rebate in the amount

    set out on the cover sheet of this Agreement, ten percent (10%) of which shall be payable to Owner on the day that the Solar Equipment is installed and ninety percent (90%) of which shall be payable to Owner on the Connection Date.

    In addition to the rebate, the Owner is entitled to choose either one of the following equipment incentives:

    SUBOPTION A1: Company shall pay to Owner an additional incentive of an annual amount equal to One Hundred ($100) Dollars commencing on the second

    (2nd) occurrence of December 15th following the Connection Date and thereafter on each anniversary of such date during the Term (for certainty there will be nineteen (19) payments in total).

    OR

    SUBOPTION A2: Company shall pay to Owner two (2) additional lump sum incentives, each in an amount equal to One Thousand ($1,000) Dollars, payable on

    the tenth (10th) and twentieth (20th) occurrence of December 15th following the Connection Date. In the event that the ownership of the Property is transferred

    before the tenth (10th) occurrence of December 15th following the Connection Date and provided that the provisions of Section 16 of this Agreement are complied with, the first One Thousand ($1,000) Dollars incentive payment will be paid by Company to the newly assigned lawful owner of the property, as an assignment fee, on the date that the title of the Property is transferred to the new owner, but for

    certainty will not be paid again on the tenth (10th) occurrence of December 15th.

    On the twentieth (20th) occurrence of December 15th following the Connection Date, the then current lawful owner of the Property shall receive the second additional One Thousand ($1,000) Dollars incentive. In the event that the

    ownership of the Property is transferred again before the twentieth (20th)

    occurrence of December 15th following the Connection Date and provided that the provisions of Section 16 of this Agreement are again complied with, the second One Thousand ($1,000) Dollars incentive payment will be paid by Company to the secondly assigned lawful owner of the Property, as an assignment fee, on the date the title of the Property is transferred to the new owner, but for certainty will not

    be paid again on the twentieth (20th) occurrence of December 15th or in connection with any other transfer of the Property.

    OPTION B (PREPAYMENT OPTION): Subject to the terms and conditions of this Agreement, Company hereby agrees to pay Owner an equipment incentive in an annual amount equal to the amount set out on the cover sheet of this Agreement

    commencing on the first (1st) occurrence of December 15th following the Connection Date and thereafter on each anniversary of such date during the Term.

  • - 2 -

    OPTION C (REVENUE SHARING): Subject to the terms and conditions of this Agreement, Company hereby acknowledges that Owner is entitled to retain twelve (12%) per cent of the Option C Revenue as an equipment incentive commencing

    on the first (1st) occurrence of December 15th following the Connection Date and thereafter on each anniversary of such date during the Term. Company also acknowledges that Owner is entitled to the ownership of the equipment, as well as

    100% of the revenue, commencing on the twenty-first (21st) occurrence of the Connection Date.

    Owner acknowledges that it shall receive the equipment incentive in the amount

    set out on the cover sheet of this Agreement, if any, and noted below:

    OPTION:# INITIALS: [X ] [X ]

    6. REPRESENTATIONS AND WARRANTIES OF OWNER: Owner represents and warrants the following: (a) it has the right, power and authority to enter into and perform its obligations under this Agreement and has taken all

    requisite action to approve the execution, delivery and performance of this

    Agreement, and this Agreement constitutes a legal, valid and binding obligation of Owner; (b) it is the registered owner of the Property and the sole beneficial owner

    of the area upon which the Rooftop is situated and is entitled to grant the rights

    under this Agreement to Company; and (c) it does not have and has not previously

    applied for a MFIT Contract.

    7. REPRESENTATIONS AND WARRANTIES OF COMPANY: Company represents and warrants the following: (a) it has the right, power and authority to enter into and perform its obligations under this Agreement and has taken all requisite action to approve execution, delivery and performance of this

    Agreement, and this Agreement constitutes a legal, valid and binding obligation of

    Company; (b) the activities of Company as contemplated hereby are conducted, to its knowledge, in compliance with applicable laws; and (c) the installation of the

    Solar Equipment on the Rooftop shall be made diligently in compliance with

    applicable building code and electrical safety standards.

    8. RESPONSIBILITIES OF COMPANY: During the Term and subject to the terms and conditions hereof, Company shall provide the following

    goods and services necessary to design, install and operate the Solar Equipment: (a) Company will review the Property to confirm roof loading requirements and

    capabilities and will complete a resource analysis to determine estimated annual output and provide a final system layout and electrical design, including single-

    line diagrams, racking design, ballast requirements and electrical interconnections

    and final location; (b) Company will assist Owner in obtaining the MFIT Contract, the Connection Agreement and any required permits; (c) Company will comply

    with all permits and licenses required by applicable governmental authorities in

    connection with the delivery and installation of the Solar Equipment; (d) Company will procure, construct and install the Solar Equipment and will configure and test

    the Solar Equipment and facilitate its electrification and connection to the

    electrical grid; and (e) Company will manage the operation and maintenance of the Solar Equipment during the Term by conducting annual inspections of, and

    maintaining and cleaning as necessary, the Solar Equipment.

    9. CONDITIONS AND EXCLUSIONS: The following conditions, exceptions and exclusions shall apply to Company's obligations under Section 8 above: (a) Company shall carry out an independent analysis and testing of the

    structural integrity of the Rooftop at its own costs; (b) Company's design for the

    Solar Equipment assumes that the AC interconnection will be done at 240v (AC) into the Property's existing electrical system at the existing meter; (c) this

    Agreement shall not include any provisions for utility system upgrades, such as

    LDC requirements beyond standard installation processes, or for revenue grade meter or costs of connection to the electrical grid; (d) Company shall not be

    responsible for the structural integrity or improvement of the Rooftop and/or the

    existing roof structure/surface; and (e) Company is not the manufacturer of the Solar Equipment and is not making any warranty or guarantee in respect of the

    condition or performance of the Solar Equipment but Company shall process any

    manufacturing related warranty claims by dealing with the manufacturer of the Solar Equipment during the Term. The equipment leasing fees indicated herein

    assume that the Rooftop can support the additional, non-uniform weight load of

    the Solar Equipment. Owner shall be responsible for preparing the Rooftop and other applicable portions of the Property required for the Solar Equipment, subject

    to further comments, recommendations and approvals by Company. Any

    additional structural work required shall be Owner's responsibility. In addition to any other rights afforded to Company under this Agreement, if the Solar

    Equipment is disconnected from the Distribution System for any reason, Company

    may terminate this Agreement by providing written notice thereof to Owner.

    10. RESPONSIBILITIES OF OWNER: During the Term, Owner shall: (a) not withdraw or transfer any amounts from the Generator Account, suspend or close the Generator Account or allow a lien or security interest to be registered

    against the Generator Account or the Solar Equipment; (b) not move, clean, paint, cover, walk on, touch, modify, disconnect, remove, wash, nor initiate, conduct nor

    allow or consent to any other activities whatsoever that may damage, impair or

    otherwise adversely affect the Solar Equipment, its installation, operation or maintenance or the Access Rights without the prior written consent of Company;

    (c) notify Company of any defect, damage or malfunction of the Solar Equipment

    that Owner becomes aware of, but Owner shall not have a duty to inspect the Solar Equipment; (d) not allow any third party to touch or access the Solar Equipment or to work on the roof within one (1) meter of the Solar Equipment of the Property without Company's prior written consent which consent may be based upon Company supervising such work at the reasonable cost of Owner; (e) notify

    Company in advance and ensure that Company is present on the Property, if required by Company, if: (i) Owner or any other third party requires or intends to

    access or traverse over the Property within one (1) meter of the Solar Equipment;

    or (ii) electrical or other work needs to be done on the main electrical entrance of the Property, its connection to the electricity distribution system or its electricity

    metering system; (f) not cover, paint, spray, wash nor cause or permit any other

    interference with the Solar Equipment's performance in any way whatsoever, including without limitation by limiting the exposure to sunlight available to the

    Solar Equipment in any manner whatsoever, as such access exists as of the

    Effective Date; (g) not construct or erect nor permit to be constructed or erected on the Property any buildings, improvements or other structures or things nor shall it

    expand or alter or permit to be expanded or altered the existing building, building

    systems, antennas, signage, improvements or any other structures or things whatsoever or grow or permit to be grown any trees or plants, that may impede, or

    adversely impact Company's operation of the Solar Equipment, or cause a decrease

    in the output or efficiency of the Solar Equipment or adversely impact its ability to generate electricity from the Solar Equipment including, without limitation,

    blocking or in any way reducing of sunlight for any solar panels; (h) not to grant

    any leases, licenses, covenants, restrictions, conditions, easements, rights of way, tenancies, rights of occupation or other rights or otherwise suffer or permit any

    person during the Term to use any portion of the Property for any use or purpose

    that could directly or indirectly interfere with or adversely impact the Solar Equipment or cause a decrease in the output or efficiency of the Solar Equipment

    or otherwise interfere with Company's use of the Solar Equipment; (i) not

    disconnect, suspend or interfere with the communication network established between the Solar Equipment and Company's communication center and permit

    Company to connect a monitoring system to Owner's router and make use of one

    related power outlet to permit Company to use Owner's Internet in connection with Company's monitoring of the Solar Equipment; and (j) prior to entering into any

    lease, sublease, mortgage, charge and any renewal of the foregoing, or any encumbrance, or other agreement granting rights to a third party for any part of the

    Property, give notice of this Agreement to the prospective lessee, mortgagee,

    charge, encumbrance, or third party, as applicable, and obtain from such party a covenant to abide by the terms and restrictions set out in this Agreement, in a form

    satisfactory to Company, acting reasonably.

    11. DISCONNECTION, REMOVAL OR REPLACEMENT OF THE SOLAR EQUIPMENT: (a) If Company, acting reasonably, requires that the Solar Equipment be temporarily disconnected from the Distribution System, repaired or removed from the Rooftop during the Term for any reason whatsoever, Company shall be responsible for all associated costs of repair, removal and reinstallation unless (i) Owner is in breach of this Agreement or (ii) such work is required because of damages caused to the Property through no fault of Company.

    (b) Company shall repair at its own cost, as the case may be, any material damages caused by Company to the Property during installation, disconnection,

    removal or replacement of the Solar Equipment. (c) If the repair, disconnection or

    removal of the Solar Equipment is required because of damages caused to the

    Property through no fault of Company, the costs of repair, removal and

    reinstallation of the Solar Equipment shall be borne by Owner. Owner shall also pay to Company an amount equal to the Daily Adjustment Amount (as defined

    below) for each day during which the Solar Equipment shall remain, disconnected from the Distribution System because of damages caused to the Property through

    no fault of Company. (d) If Owner requires the temporary disconnection or

    removes the Solar Equipment for any reason whatsoever, including because of work on the Property unrelated to the Solar Equipment, Owner shall (i) give

    Company fifteen (15) Business Days notice of its intent to disconnect or remove

    the Solar Equipment with reasonable explanation of the circumstances concerning such disconnection or removal; (ii) ensure that the Solar Equipment be

    disconnected, removed and replaced only by Company; (iii) pay all the costs of

    removal, reinstallation and damage to the Solar Equipment, including replacement costs thereof; and (iv) pay to Company, in addition to other amounts set forth in

    this Section 11, an amount equal to the Daily Adjustment Amount for each day

  • - 3 -

    during which the Solar Equipment is not connected to the Distribution System due to

    this temporary disconnection or removal and if temporary disconnection or

    removal is longer than five (5) Business Days Owner acknowledges and agrees

    that any incentives due to Owner under this Agreement shall abate for the period of

    disconnection. If the Solar Equipment is not reconnected to the Distribution

    System within sixty (60) days of its disconnection through no fault of Company pursuant to this paragraph (d) or paragraph (b) above, Company shall have the

    right to (i) terminate this Agreement without notice or (ii) subject to the MFIT

    Contract, require that the Solar Equipment be installed at an alternate location on the Property that provides the same sun exposure, the alternate location being

    subject to the mutual approval of Company and Owner, acting reasonably, and the

    parties shall enter into an amending agreement amending the terms of this Agreement to reflect the change in location of the Solar Equipment. Owner shall

    not unreasonably withhold, delay or condition such approval, and once such approval is secured, the obligations of the Parties shall remain as set forth in this

    Agreement. Owner shall be responsible for all associated cost of reinstallation on

    the alternate location. For the purposes hereof, "Business Day" means any day other than Saturday, Sunday and statutory holidays in the Province of Ontario. (e)

    While otherwise complying with subsection (d) above, Owner, at its sole cost,

    shall have the right to replace the roof of the Property one time during the Term and shall not be required to pay the amounts set out under subsections (d)(iii) and

    (iv) above, provided that Owner utilizes the services of roofing contractors

    prequalified by Company for such roof replacement and provided such roof

    replacement will be completed in accordance with industry standards and will be

    performed under 5 days or less.

    12. DAILY ADJUSTMENT AMOUNTS: Owner acknowledges and agrees that, during the Term, it shall, as the case may be: (a) for each day that, as a

    result of a material breach by Owner of Section 10(b), (d) (f) or (g) through no fault of Company, the metered electricity output of the Solar Equipment in

    kilowatt-hours (KWh) is equal to 50% or less of the daily average metered

    electricity output of the Solar Equipment in KWh for the most recent period from May to August in any calendar year during the term or if such period has not yet

    occurred the daily average metered electricity output in KWh of five other Solar

    Equipments of similar size owned by Company and located in Ontario ("Daily Average"), pay to Company the Daily Adjustment Amount; (b) for each day

    during which the Solar Equipment is not connected to the Distribution System due to

    temporary disconnection or removal pursuant to Section 11(c) or Section 11(d), pay to Company the Daily Adjustment Amount. "Daily Adjustment Amount" shall

    mean $0.384 multiplied by the total metered electricity output of the Solar

    Equipment in KWh for the preceding 365 days, or however long the Solar

    Equipment has been functional if less than 365 days, divided by 365 days, or as the

    case may be by such lower number of days during which the Solar Equipment has

    been functional, and multiplied by 1.5.

    13. OWNERSHIP OF THE SOLAR EQUIPMENT: Owner

    acknowledges and agrees that, during the Term: (a) notwithstanding that the Solar

    Equipment is physically affixed to the Property, it is deemed not to be a fixture of

    the Property and Owner has no ownership interest in the Solar Equipment; (b) Owner has no right in or to and shall not hold itself out as having the right to and shall not sell, lease, assign, mortgage, pledge or otherwise alienate or encumber

    the Solar Equipment; and (c) title to the Solar Equipment and all improvements

    placed on the Property by Company shall be held and owned by Company. Further Owner acknowledges and agrees that Company may at its sole discretion allow a security interest be placed over the Solar Equipment and/or pledge its rights to

    the Generator Account without Owner's consent.

    14. PRIOR ENCUMBRANCES: If, as at the Effective Date, the Property is subject to any lease, sublease, mortgage, charge, encumbrance, or other

    agreement granting rights to a third party for any part of the Property, then,

    concurrently with the delivery of this Agreement, Owner shall obtain from such

    party a covenant to abide by the terms and restrictions set out in this Agreement, in a

    form satisfactory to Company, acting reasonably.

    15. TRANSFER OF OWNERSHIP OF THE SOLAR EQUIPMENT: Upon expiration of the Term, provided Owner is not in breach of this Agreement, the ownership of the Solar Equipment shall be deemed to transfer to Owner, free and clear from any lien or monetary encumbrance, in exchange for purchase price consideration in the amount of One Dollar ($1.00) payable at the time of the transfer. Company shall take such actions as may be required to evidence the

    transfer to Owner of fee title ownership of the Solar Equipment and all improvements placed by Company on the Property. Owner shall have the right to

    purchase the Solar Equipment at any time during the Term, and to terminate this

    Agreement, upon payment of the "Early Purchase Price" as hereinafter set out, plus reasonable costs (including legal costs) of Company in connection therewith.

    To exercise its right to purchase the Solar Equipment, Owner shall provide 30 days

    written notice to Company of Owner's election to purchase the Solar Equipment on

    the date set out in such notice (the "Early Transfer Date"). On the Early Transfer

    Date Company shall deliver to Owner a general conveyance of the Solar

    Equipment and an acknowledgement of the termination of this Agreement and

    Owner shall pay to Company its reasonable costs and the Early Purchase Price

    calculated as follows: For Option A (Free Solar) use the following formula: ($3.8 * W * P) * (1 + HST); For Option B (Investment Option) use the following

    formula: ($3.5*W Pre-paid Fees)*P*(1+ HST); For Option C (Revenue Sharing) use the following formula: ($3.5*W *P)*(1+ HST), where W is the

    aggregate nameplate capacity of the Solar Equipment in watts (DC), P is the percentage from the table below and HST is the Harmonized Sales Tax in effect on the date hereof.

    Year 1 Year 2 Year 3 Year 4 Year 5

    100% 96% 92% 88% 84%

    Year 6 Year 7 Year 8 Year 9 Year 10

    79% 75% 71% 66% 61% Year 11 Year 12 Year 13 Year 14 Year 15

    56% 51% 46% 41% 36%

    Year 16 Year 17 Year 18 Year 19 Year 20 30% 24% 18% 12% 6%

    For example, the Early Purchase Price for a 10 kW system in fifth (5th) year of the Term under Option A (Free Solar) and assuming HST is 13% would be ($3.8 *

    10,000 * 84%) x. 1.13 = $36,069.60) and the Early Purchase Price for Option B (Prepayment Option) under the same scenario would be reduced by the amount of

    Pre-paid Fees in accordance with the Option B (Prepayment Option) formula.

    16. GRANT OF SECURITY INTEREST AND TRANSFER OF OWNERSHIP OF THE PROPERTY: Owner hereby grants Company a first

    ranking security interest in the Solar Equipment and the Generator Account as collateral security for the amounts owing by Owner under this Agreement. Company shall be entitled to register its security interests against Owner under the Personal Property Security Act and Owner hereby consents to such registrations.

    Company shall also be entitled to register a notice of this Agreement on Owner's

    title to the Property and Owner hereby consents to such registration. Unless prohibited by law, Owner waives any rights to receive a copy of such registrations

    and appoints Company as Owner's lawful attorney for doing and agrees to execute

    any further documentation Company reasonably requires to give effect to said registrations. Additionally, Owner shall, if the Property is transferred, assigned or

    otherwise disposed of during the Term of this Agreement: (a) give Company

    written notice no later than five (5) business days following the acceptance by Owner of an offer to purchase the Property identifying the transferee and the

    proposed date of transfer, or receipt by Owner of any notice by any creditor or

    competent authority to seize or otherwise sell the Property; (b) obtain an acknowledgement of this Agreement by the transferee in the form of the

    acknowledgement agreement attached hereto as Schedule II; (c) do all things

    necessary to enable such transferee to succeed to Owner's interest in this Agreement, including facilitating the transferee's signature on all such directions

    and assignments of the MFIT Contract, the Connection Agreement and the

    Generator Account; and (d) provide the transferee with a copy of this Agreement upon legal transfer of the ownership of the Property.

    17. INSURANCE: Company shall, during the Term, maintain, at its expense, standard insurance coverage with respect to general commercial liability covering Company and its employees, representatives, agents or contractors for

    bodily injury or death of any person or damage to the Property, with a minimum coverage of $2,000,000. Owner shall maintain insurance on the Property sufficient to insure the Property, including insurance against any physical loss or

    damage to the Solar Equipment and will obtain and maintain public liability and

    third party property insurance. If available at a reasonable cost through the Owner's insurer or the Company insurer (and for certainty such reasonable amount

    shall be less than Forty ($40) annually), the Owner shall obtain an endorsement naming the Company as an additional insured which shall insure the full replacement value of the Solar Equipment (which at minimum shall cover the

    Early Purchase Price as set out in Section 15 hereof, acknowledging that the Early Purchase Price shall vary annually). Provided that Owner is able to obtain an endorsement specifically insuring the Solar Equipment as set out in this Section,

    Company agrees to reimburse Owner for increased insurance premiums of up to Forty ($40) Dollars annually provided Company receives from Owner proof of such insurance policy and evidence of increased insurance premiums. Any

    applicable insurance reimbursement shall be paid to Owner once annually at the time of payment of equipment incentives in accordance with Section 5 above, provided that satisfactory evidence of insurance is provided by Owner to Company

    before December 1st of each applicable year.

  • - 4 -

    18. INDEMNIFICATION: Company and Owner (each, in such case, an "Indemnifying Party") shall indemnify, defend and hold harmless the other Party

    (each, in such case, an "Indemnified Party") from and against any and all

    damages, losses, liabilities, third party claims, suits, expenses and costs, including

    reasonable legal fees, including, but not limited to, those arising, directly or

    indirectly, out of property damages and personal and bodily injury to the extent caused by the Indemnifying Party's (a) material breach of any obligation,

    representation or warranty contained herein; and/or (b) gross negligence or willful

    misconduct. Unless the loss or damage has been caused by Company or any of its representatives, Owner shall be liable for any loss or damage to the Solar

    Equipment from any cause whatsoever, whether or not insured.

    19. LIMITATION OF LIABILITY: In the event of a breach of any provision of this Agreement for which an express remedy or measure or damages

    are provided for, the rights of the non-defaulting party and the liability of the

    defaulting party shall be limited as set forth in this Agreement, as the sole and exclusive, full, agreed-upon, liquidated damages, and all other damages or

    remedies are hereby waived. If no remedy or measure of damages is expressly

    provided, or if such remedy is not exclusive, the non-defaulting party shall have the right to exercise all rights and remedies available to it at law or in equity,

    provided, however, that the liability of the defaulting party shall be limited to

    direct, actual damages only and all other damages and remedies are hereby

    waived. Except as otherwise provided for in this Agreement, in no event shall

    either party be liable to the other party for consequential, incidental, punitive or

    exemplary damages, lost profits or business interruption damages, by statute, in tort, contract or otherwise. In addition, to the extent permitted by applicable law,

    in no event shall Company be liable for any damages in excess of the proceeds

    received by Company under its $2,000,000 general liability insurance in respect of any damages. In no event shall Company be liable for any claim by Owner for any

    loss or limitation of warranty on the roof of the Property or any part thereof

    resulting directly or indirectly from the fastening or attachment of the Solar Equipment or any related equipment to the roof except as a result of Company's

    negligence.

    20. DISCLAIMER: Company makes no representations or warranties whatsoever other than those expressly contained herein, and in particular makes no representations or warranties (a) during the Term as to the tax implications of

    receiving payments pursuant to this Agreement or the effect the installation of the

    Solar Equipment may have on the esthetic or economic value of the Property, and (b) after the Term as to the value of the Solar Equipment, its performance and its

    profitability, or the possibility or cost of modifying the Solar Equipment in any

    particular way, including to provide electricity to the Property directly rather than

    to the electricity distribution system. Upon expiry of the Term or in accordance

    with Section 15 with respect to an Early Transfer Date, the Solar Equipment will be transferred to Owner on an "as is" and "where is" basis, without any warranties

    whatsoever, and Company hereby expressly disclaims any and all warranties

    concerning the Solar Equipment, whether express, implied or statutory, including, without limitation, any warranty of quality, merchantability, fitness for a particular

    purpose, or non-infringement, or any warranty that may arise from course of

    dealing, course of performance, or usage of trade. Notwithstanding the foregoing, upon a transfer of Solar Equipment in accordance with this Agreement, Company

    shall assign to Owner any manufacturer's warranties that may still be in effect in

    respect of the Solar Equipment. Owner has had an opportunity to consult with appropriate professional advisers in connection with this Agreement, including any

    matters mentioned in this Section 20.

    21. TERMINATION AND OTHER REMEDIES: (a) Force Majeure. No Party will be deemed to be in default of this Agreement to the extent that the performance of its obligations or attempts to cure any breach are delayed or prevented by reason of any act of God, war, fire, theft, vandalism, natural disaster,

    acts of terrorism, accident, act of government, any action by any governmental

    authority which prevents or prohibits the Parties from carrying out their respective obligations under this Agreement provided such cause was beyond the reasonable

    control of such Party and any other cause beyond the reasonable control of such

    Party ("Force Majeure"), if the Party affected gives prompt notice of any such event to the other Party. The Parties shall use reasonable efforts to eliminate or

    minimize the effect of such events upon performance of their respective duties

    under this Agreement. In the event of such a Force Majeure event, the time for performance or cure will be extended for the period equal to the duration of such

    Force Majeure event but not in excess of twelve (12) months. Following the

    thirteenth (13) anniversary of the Connection Date, either party may terminate this Agreement without liability upon notice to the other party if a situation of Force

    Majeure continues for a period in excess of 12 months. (b) Termination by

    Company or Adjustments to Generation Payments. Company may terminate this Agreement: (i) upon ten (10) business days notice, at Company's sole

    discretion, if (A) the MFIT program rules or other applicable laws, regulations or

    rules applicable to the solar equipment or the business of Company are amended

    or enacted by authorities of a competent jurisdiction such that it is no longer

    possible or commercially reasonable for Company to proceed with the installation,

    operation and/or maintenance of Solar Equipment on the Property; or (B)

    notwithstanding the contractual provisions provided in the MFIT Contract entered

    into in respect of the Property, the price for electricity payable pursuant to such MFIT Contract is unexpectedly and unilaterally reduced during the Term by the

    OPA without the parties' consent; (ii) without notice, at Company's sole discretion,

    if Owner is in breach of any representation or warranty set forth herein or fails to perform any material obligation set forth herein and such breach or failure is not

    cured within twenty (20) days after notice from Company, provided, however, that

    the cure period shall be extended according to Section 21(a) if Owner is prevented from taking curative action solely by Force Majeure and if Owner had begun

    curative action and was proceeding diligently, using commercially reasonable efforts, to complete such curative action; and (iii) prior to the installation of the

    Solar Equipment, upon notice, if, in the sole discretion of Company, Owner does

    not receive a MFIT Contract, the Solar Equipment cannot be connected to the local distribution system or the arrangements hereunder are otherwise not commercially

    viable for Company. (c) Removal. In the event of a termination pursuant to

    Section 21(b), if the installation of the Solar Equipment was not completed by Company at the time of such termination, Company shall remove the Solar

    Equipment from the Rooftop and repair, as the case may be, any material damages

    caused by Company to the Rooftop at its own costs. (d) Liquidated Damages. In the event of a termination pursuant to Section 11(d) or Section 21(b)(ii) above,

    Owner shall pay to Company, as liquidated damages, an amount equal to the Daily

    Adjustment Amount multiplied by the number of days remaining to the Term. In the event of a termination of this Agreement prior to the Connection Date the

    following provisions shall apply: (i) subject to any rights Owner may have in

    accordance with Schedule III hereto, if this Agreement is terminated due to default of Owner after the ten (10) days cancellation period and prior to the OPA

    approval, Owner shall pay to Company, as liquidated damages, Two Thousand

    ($2,000) Dollars; and (ii) if this Agreement is terminated due to default of Owner anytime during the period after the OPA approval and prior to the delivery of Solar

    Equipment, Owner shall pay to Company as liquidated damages, Five Thousand

    ($5,000) Dollars; and (iii) if this Agreement is terminated due to default of Owner after the delivery of Solar Equipment, Owner shall be required to purchase the

    Solar Equipment at the Early Purchase Price for Year 1 and any Pre-paid Fees

    shall be credited in favour of Owner.

    22. DAMAGE TO BUILDING: If the Property suffers substantial damage so that the Solar Equipment is no longer operable by reason of such

    damage, loss of power or lack of access or so that the electricity generated by the

    Solar Equipment cannot be delivered to the designated connection point then all equipment leasing fees and any applicable Solar Equipment incentives shall abate

    until the Property is restored. If the Property cannot be restored or electricity

    cannot be delivered to the designated connection point within one hundred and twenty (120) days after the date the damage occurred then at the option of

    Company this Agreement may be deemed to be terminated as of the date such

    damage occurred.

    23. EXPROPRIATION: If the whole or any part of the Property is taken by expropriation during the Term, then (a) if the expropriation does not prevent or

    materially affect the use and operation of the Solar Equipment as determined by

    Company, acting reasonably, this Agreement shall continue in effect as to that portion of the Property as remains unaffected; or (b) if the expropriation prevents

    or materially impairs the operation of the Solar Equipment as determined by

    Company, acting reasonably, Company will have the right to terminate this Agreement effective the date of the expropriation and the parties shall be entitled

    to share in the expropriation award on the basis of the value of their respective

    interests and rights.

    24. GENERAL: (a) Set-Off. Company shall be entitled at any time, without notice, to deduct, set-off, consolidate and to apply any amounts due by

    Owner to Company hereunder (including any Daily Adjustment Amounts) against

    any amounts owed by Company to Owner hereunder, whether or not due and payable and whether or not Company has made demand therefor. (b) Assignment.

    Company may, in its sole discretion, assign in whole or in part its rights or benefits

    under this Agreement. Owner may only assign all of its right, title and interest in this Agreement to a purchaser of the fee simple in the Property at the time thereof

    and otherwise in accordance with the terms hereof. This Agreement shall be

    binding upon and shall ensure to the benefit of the successors and permitted assigns of the Parties hereof. (c) Notice. Any notice, payment or other communication

    required or permitted under this Agreement shall be in writing, shall be delivered

    personally, including delivery by courier, or by certified mail, return receipt requested, postage prepaid, or by facsimile, or by electronic mail and shall be

    deemed given and received upon actual delivery or, if mailed by certified mail,

    three (3) days after deposit in the mail, or upon transmission by facsimile with

  • - 5 -

    confirmed answerback or upon transmission by email upon confirmed delivery to

    the intended recipient, addressed as follows: (i) if to Owner, at the municipal address of the Property, or the following email: and

    (ii) if to Company, at the address provided above, to the attention of President.

    (d) Appointment. Owner hereby appoints Company its sole agent with full power and authority to obtain an MFIT Contract with the OPA and a Connection

    Agreement with the local distribution company and to manage the MFIT Contract and connection agreement and any additional agreements or modifications related

    thereto for and on behalf of Owner. This appointment shall survive, and shall not terminate upon, death, incapacity, insolvency or bankruptcy of Owner, and it

    extends to bind the heirs, executors, administrators, successors and assigns of

    Owner. Owner hereby waives any and all defences that may be available to contest, negate or disaffirm the actions of Company taken in good faith as agent of

    Owner as described herein. (e) Direction. Owner acknowledges that it will enter

    into the Connection Agreement with the local distribution company ("LDC") that it will settle with pursuant to the terms of the MFIT Contract in respect of

    electricity delivered to designated connection point by the Solar Equipment.

    Owner shall direct the LDC to deposit all amounts payable to it under the MFIT Contract to an account (the "Generator Account") in the name of Owner by

    executing an delivering to LDC the form of direction set out in Schedule I (the

    "Direction"). Owner acknowledges that the Generator Account shall be a joint account of Owner and Company. If for any reason the LDC pays any revenue that

    should be paid to the Generator Account directly to Owner, Owner shall receive

    such funds in trust and shall deposit such funds to the Generator Account within two (2) Business Days of receipt thereof. Owner shall immediately notify

    Company of such payment and shall instruct the LDC to pay all amounts owing

    pursuant to the MFIT Contract exclusively to the Generator Account. (f) Company Remedies. If Owner rescinds the Direction, breaches its obligations set

    out in Section 10 or amends or rescinds or terminates the MFIT Contract or the

    Connection Agreement without the prior written approval of Company, or fails to obtain from any subsequent purchaser of the Property a replacement Direction

    prior to selling the Property, any such action or failure shall be a default under the

    Agreement which entitles Company to exercise any and all remedies available to it, including, without limitation, (i) commencing an action for recovery of all

    damages suffered by Company as a result of the default, including recovery of all

    revenues Company would have received in relation to the MFIT Contract for the balance of the entire 20 year term with interest accruing at 15%; (ii) seeking an

    injunction or order for specific performance; (iii) enforcing payment by Owner, as

    liquidated damages and not as a penalty, of a sum equal to the Daily Adjustment Amount plus accrued interest of 15% for the balance of the Term, which

    represents a reasonable estimate of the losses Company may reasonably be

    anticipated to suffer as a result of such default; (iv) immediately entering onto the Property for the purposes of removing the Solar Equipment; (v) setting off against

    any amount due or to become due to Owner under the Agreement all liquidated

    damages payable hereunder and any other amounts due from Owner to Company; and (vi) pursuing any other remedy available under the Agreement or now or

    hereafter existing at law or in equity or otherwise. (g) Lien Upon Default by

    Owner. Owner acknowledges that upon the occurrence of any default by it, Company will be granted an immediate lien over all of the assets of Owner to

    secure payment to Company of any damages or any other amount owing to it by

    Owner. Owner consents to the registration by Company of a financing statement or any other instrument against Owner in favour of Company in respect of any

    such lien. (h) Severability. Should any clause, obligation or undertaking set out

    in this Agreement, or the enforceability thereof against any person whomsoever or event whatsoever, be to any extent ruled null or unenforceable by a court of

    competent jurisdiction, the rest of this Agreement or the enforceability of its

    clauses, obligations or undertakings by or against persons or events other than those that were ruled null and unenforceable shall in no way be affected by this

    nullity or unenforceability, and each clause, obligation or undertaking in this Agreement shall remain separate, valid and enforceable to the fullest extent

    permitted by law. (i) Waiver. No waiver of any breach (whether actual or

    anticipated) of any of the terms, conditions, representations or warranties

    contained herein shall take effect or be binding unless the waiver is expressed in

    writing and any waiver so given shall extend only to the particular breach so

    waived and shall not limit or affect any rights with respect to any other or future

    breach. (j) Confidentiality. Owner hereby acknowledges the confidential nature of the information contained herein and, as the case may be, of such other

    information disclosed by Company to Owner and identified as being confidential

    and that such information relates to Company's competitive environment, and undertakes during the Term and for two years thereafter to refrain from disclosing

    said information or any information, details, specifications or matters relating to

    the Solar Equipment or Company's business model to third parties, except to mortgage creditor, potential buyers, banks, professional real estate appraisers,

    auditors and accountants or other consultants having a reasonable need to know the said information. Owner acknowledges that disclosure of any confidential

    information regarding Company or the Solar Equipment in contravention of this

    Section may cause significant harm to Company and that remedies at law may be inadequate to protect against a breach of this Section. Accordingly, Owner agrees

    that Company shall be entitled, in addition to any other relief available to it, to the

    granting of injunctive relief without proof of actual damages or the requirement to establish the inadequacy of any of the other remedies available to it. Owner

    covenants not to assert any defence in proceedings regarding the granting of an

    injunction or specific performance based on the availability to Company of any other remedy. The provisions of this paragraph (j) shall survive the termination of

    this Agreement. (k) Governing Law. This Agreement shall be governed by and

    construed in accordance with the laws of the Province of Ontario, without regard to the province's conflict of law provisions, and each of the parties hereto

    irrevocably agrees to submit to the exclusive jurisdiction of the courts of such

    province for and in connection with any proceedings relating to this Agreement. (l) Schedules and Entire Agreement. This Agreement together with the schedules

    attached to it contains the entire understanding between the parties relative to the

    subject matter hereof, and supersedes all prior and collateral communications, understandings and agreements. No modification to any provision hereof shall be

    binding unless in writing and signed by authorized representatives of both parties.

    If any provision of this Agreement shall be or become unenforceable, the provision shall be severed and the remainder of this Agreement shall remain in full force and

    effect. (m) Execution. This Agreement may be executed by the parties in

    separate counterparts, in facsimile or email form, each of which, when so executed and delivered, shall be deemed to constitute an original, but all of which together

    shall constitute one and the same agreement. The delivery by facsimile or email of

    signed copies of this Agreement shall constitute and be deemed to be delivery of

    the original signatures of the parties. (n) Owner Information. Owner hereby

    authorizes Company to collect and transmit it to the OPA, the city building and

    planning department and the local electricity distribution company all information required pursuant to the MFIT Contract, including without limitation, the name of

    Owner, the address of the Property, the account number for the supply of

    electricity to the Property with the local electricity distribution company, property drawings, and Owner's contact information (the "Owner Information"). Owner

    also hereby authorizes the use of Owner Information: (i) by Company and anyone

    acting on behalf of Company, (A) for permitting purposes as well as the right to drawings and disclosed information from the city building and planning

    department (B) for the administration and execution of its agreement with Owner

    and of the MFIT agreement Owner may enter into with the OPA in respect of the Property and the Connection Agreement and related account to be entered into

    with the distribution company, (C) as may be reasonably required for the

    installation, maintenance and operation of the Solar Equipment, including to make connection arrangements with the local electricity distributor, and (D) in any

    manner reasonably incidental to the purposes in clauses (A), (B) and (C) above;

    and (ii) by the OPA in accordance with its privacy policy, available at http://www.powerauthority.on.ca/Page.asp?PagelD=325.

  • - 2 -

    SCHEDULE I

    DIRECTION

    TO: [ ] ("Local Distribution Company") Copy to: [ LH SOLAR INC. ] ("Company")

    RE: MICRO-FIT CONTRACT REFERENCE NO.: OPA CONTACT # [ ] (the "MFIT Contract")

    Whereas Owner has appointed Company its agent to obtain and manage the MFIT Contract and Connection Agreement related to

    it, supplying and installing the solar equipment, including solar panels, mounting substrates or supports, wiring and connections,

    power inverters, service equipment, electricity metering equipment and interconnections, and has authorized Company to provide

    owner information to the addressees in connection with the MFIT Contract;

    The owner hereby directs all generation payments due and payable to the Company under the MFIT Contract be delivered to the following address:

    Name: LH SOLAR INC.

    Company Address: 155 Shields court, Markham, ON L3R 9T5

    Account Number: 106-620-8 Tranist: 03172 Financial Institution: 003

    Bank Information: Royal Bank of Canada, Steeles & Silver Star Branch,

    4751 Steeles Ave E., Toronto, ON, M1V 4S5

    or otherwise as Company may direct in writing.

    Owner hereby agrees that this direction may not be withdrawn without the prior written consent of Company.

    Dated the day of , .

    X X_

    Signature of Client 1 Signature of Clie nt 2

    Name (printed): Name (printed):

    Address:

    Generator Account No.:

  • SCHEDULE II

    FORM OF AGREEMENT TO BE BOUND

    THIS AGREEMENT dated as of , (the "Effective Date") is made by and between:

    (the "Vendor") and (the "New Owner") and [LH Solar Inc.]

    ("Company"), a corporation duly incorporated under the laws of Canada having its head office at [ADDRESS].

    RECITALS: A. By an equipment leasing, installation and management agreement dated , (the "Original

    Agreement"), Company leased to Vendor certain solar equipment as described in the Original Agreement located on

    the Vendor's property (the "Property"), for and during a term of twenty (20) years and six (6) months commencing on the Effective Date (the "Term"), for the purposes of installing, operating and maintaining a solar photovoltaic

    electricity generating system and all of its components as further described in the Original Agreement.

    B. The Original Agreement contains a covenant on the part of the Vendor stating that when the Property is transferred, assigned or otherwise disposed of during the Term, the Vendor must obtain, upon legal transfer of ownership of the

    Property, an acknowledgement of the Original Agreement by the New Owner in the form of this agreement. C. All capitalized terms and expressions used in this agreement and not otherwise defined have the same meaning as they

    have in the Original Agreement.

    In consideration of the mutual promises and obligations set forth in this agreement, the sum of $2,00 and for other good and valuable consideration, the receipt of which is hereby acknowledged, the parties agree to be subject to the following terms and

    conditions:

    1. ACKNOWLEDGEMENT AND AGREEMENT: The New Owner hereby acknowledges and agrees to be bound by, as of and from the Effective Date, and for the unexpired residue of the Term, the Original Agreement and all

    benefits and advantages to be derived from it to have and to hold the Original Agreement, subject to the observance and performance of the covenants and conditions of Owner contained in the Original Agreement.

    2. VENDOR'S COVENANTS: The Vendor covenants and agrees with the New Owner that: (a) despite any act of the Vendor, the Original Agreement is good, valid and subsisting and the covenants and conditions in the Original

    Agreement have been duly observed and performed by the Vendor and Company up to the Effective Date; (b) the

    Vendor has good right, full power and absolute authority to assign the Property and the Original Agreement as

    provided in this agreement; and (c) contemporaneously with the assignment of the Property and the Original Agreement, the Vendor is assigning to the New Owner all of the Vendor's right, title and interest in and to MFIT

    Contract No. between the Vendor and the Ontario Power Authority. 3. NEW OWNER'S COVENANTS: The New Owner covenants with the Vendor, and undertakes in favour of

    Company, that it will, at all times during the balance of the Term of the Original Agreement observe and perform the terms, covenants and conditions contained in the Original Agreement to be observed and performed by Owner,

    including, without limitation, the provisions of the Original Agreement relating to the permitted use of the Property.

    The New Owner acknowledges receipt of a copy of the executed Original Agreement and is familiar with the terms,

    covenants and conditions contained in it.

    4. CONFIRMATION: The parties in all other respects confirm that the Original Agreement is in full force and effect, unchanged and unmodified except in accordance with this agreement. For the purposes of Section 24(c) of the Original

    Agreement, the New Owner's email address and fax and phone numbers are as follows: email: phone number:

    5. GENERAL: a. This agreement shall be binding on the Vendor and the New Owner, and each of their heirs, executors,

    administrators and permitted successors and assigns, respectively.

    b. This agreement shall be governed by and construed in accordance with the laws of the Province of Ontario, without regard to the province's conflict of law provisions, and each of the parties hereto irrevocably agrees to submit to the exclusive jurisdiction of the courts of such province for and in connection with any

    proceedings relating to this agreement.

    c. This agreement may be executed by the parties in separate counterparts, in facsimile or email form, each of which, when so executed and delivered, shall be deemed to constitute an original, but all of which together shall constitute one and the same agreement. The delivery by facsimile or email of signed copies of this

    agreement shall constitute and be deemed to be delivery of the original signatures of the parties.

    The parties hereto have executed this agreement on the date indicated above.

    Client Signature (Print Name)

    Client Signature (Print Name)

  • - 2 -

    SCHEDULE III

    YOUR RIGHTS UNDER THE CONSUMER PROTECTION ACT, 2002

    You may cancel this Agreement at any time during the period that ends ten (10) days after the day you receive a written copy of

    the Agreement. You do not need to give the supplier a reason for cancelling during this 10-day period. If the supplier does not

    make delivery within 30 days after the delivery date specified in this Agreement or if the supplier does not begin performance of

    his, her or its obligations within 30 days after the commencement date specified in this Agreement, you may cancel this

    Agreement at any time before delivery or commencement of performance. You lose the right to cancel if, after the 30-day period

    has expired, you agree to accept delivery or authorize commencement of performance. If the delivery date or commencement

    date is not specified in this Agreement and the supplier does not deliver or commence performance within 30 days after the date

    this Agreement is entered into, you may cancel this Agreement at any time before delivery or commencement of performance.

    You lose the right to cancel if, after the 30-day period has expired, you agree to accept delivery or authorize commencement of

    performance. In addition, there are other grounds that allow you to cancel this Agreement. You may also have other rights,

    duties and remedies at law. For more information, you may contact the Ministry of Consumer and Business Services.

    To cancel this Agreement, you must give notice of cancellation to the supplier, at the address set out in the Agreement, by any

    means that allows you to prove the date on which you gave notice. If no address is set out in the Agreement, use any address of

    the supplier that is on record with the Government of Ontario or the Government of Canada or is known by you.

    If you cancel this Agreement, the supplier has fifteen (15) days to refund any payment you have made and return to you ail goods

    delivered under a trade-in arrangement (or refund an amount equal to the trade-in allowance). However, if you cancel this

    Agreement after having solicited the goods or services from the supplier and having requested that delivery be made or

    performance be commenced within ten (10) days after the date this Agreement is entered into, the supplier is entitled to

    reasonable compensation for the goods and services that you received before the earlier of the 11th day after the date this

    Agreement was entered into and the date on which you gave notice of cancellation to the supplier, except goods that can be

    repossessed by or returned to the supplier. O. Reg. 17/05, s. 35 (2).

    If the supplier requests in writing repossession of any goods that came into your possession under the Agreement, you must return the goods to the supplier's address, or allow one of the following persons to repossess the goods at your address: (i) The

    supplier. (ii) A person designated in writing by the supplier.

    If you cancel this Agreement, you must take reasonable care of any goods that came into your possession under the Agreement

    until one of the following happens: (i) The supplier repossesses the goods. (ii) The supplier has been given a reasonable

    opportunity to repossess the goods and twenty-one (21) days have passed since the Agreement was cancelled. (iii) You return the

    goods. (iv) The supplier directs you in writing to destroy the goods and you do so in accordance with the supplier's instructions.

    O. Reg. 17/05, s. 35 (3).

  • LDC Inquiry Authorization Letter

    Customer Name

    Address

    Date

    LDC

    Address

    To whom it may concern,

    I, , hereby authorize Polaron Solartch Corp. to act on my

    behalf in all manners relating to LDC pre-fit capacity inquiry, LDC connection

    application and municipal building permit application. Any and all acts carried out

    by Polaron Solartech on my behalf shall have the same effect as acts of our own.

    This authorization is valid until further written notice.

    Sincerely,

    Customer Name

    155 Shields Ct, Markham, Ontario L3R 9T5 647-557-1207 www.polaronsolar.com

  • Letter of Authorization

    To whom it may concern: Date:

    Property Address:

    I am the owner, as defined in the current Building Regulation Bylaw, of the above referenced property and hereby authorize:

    Representative/Contact: Please print

    Tel. No.: Cell No.: Fax No.:

    E-mail:

    Please check where applicable.

    To represent me in an application for:

    Building Permit Application

    Demolition Permit Application

    Tree Permit Application

    Land Use Application

    Subtrade Permit

    Ditch Crossing

    Owner's Information

    Name: Please print

    Address:

    Tel. No.:

    E-mail:

    Date:

    Cell No.:

    Signature:

    Fax No.: