ReneSola : Letter to Shareholder

September 7, 2022

Fellow Shareholders,

Our Q2 results were below our guidance range due to delays in project sales in the U.S. Q2 revenue was $8.2 million, driven primarily by our IPP assets in China and NTP project sales in the U.S. Gross margin for the quarter was 45% and EBITDA was $2.4 million.

Looking forward, we are extremely optimistic about our growth opportunities as the solar industry is benefiting from strong tailwinds such as rising Power Purchase Agreement (PPA) prices and favorable regulatory conditions in our two largest markets, Europe, and the United States.

In Europe, Russia's conflict with Ukraine and record heat and drought continues to cause major energy supply disruptions. As a result, energy supply is failing to keep up with demand and is sending wholesale electricity prices to record highs across Europe. As an example, in June, Poland's average wholesale price of electricity increased over 300% to ~885 PLN/MWh ($198/MWh) from ~218 PLN/MWh ($55/MWh) in June 2020 before the Russia-Ukraine conflict began.

As a result, in Q2, we saw Poland solar PPA prices increase by 36% to €95.0 per MWh on high demand for renewable energy PPAs in a tight supply environment. In Q2, for Europe as a whole, Solar PPA prices increased by 19% from the previous quarter and 47% year-over-year. Even with these price increases, solar PPAs continue to remain attractive relative to the significantly higher wholesale electricity prices.

Left: European Solar PPA prices: Q2'20 - Q2'22

Right: Poland wholesale electricity prices in PLN/MWh: January, 2018 to June, 2022

Source: LevelTen Energy

In the U.S., solar PPA prices increased by over 8% from the previous quarter for all Independent System Operators (ISOs) as demand for solar PPAs continue to grow faster than supply. These higher PPA prices have driven up the revenue and margin opportunity of our pre-NTP and NTP project pipeline across Europe and North America.

Further, in the U.S., the solar industry welcomed the passage of the Inflation Reduction Act in mid- August, 2022. This law earmarks $369 billion for U.S. energy security and fighting climate change, which makes it the biggest investment in clean energy ever made in U.S. history. The law includes many tax incentives for solar and storage deployments (including independent storage facilities), investments in domestic solar manufacturing and other critical energy provisions. As an example, the law extended the 1.5 cents kWh Production Tax Credit for electricity produced with renewable energy and the 30% Investment Tax Credit for 10 years, which significantly improves the value and ROI on solar projects. For households, the incentives help make things like rooftop solar panels, electric vehicles and energy- efficient appliances more affordable, in a bid to more quickly transition the U.S. toward cleaner sources of energy. The Solar Energy Industries Association (SEIA) believes this law will create a stable policy environment for solar energy development and will set the foundation to drive the solar industry towards its goal of 30% of U.S. electricity generation by 2030 from 4% today.

To conclude, the future looks bright for solar energy. We believe we are well-positioned to capitalize on the accelerating solar adoption across Europe and North America. Given our deep expertise in developing and operating solar projects, our extensive network of industry partnerships throughout Europe, our well-capitalized balance sheet, and our unmatched track record in closing financing transactions and profitably monetizing projects, we are increasingly optimistic about our goal of becoming a leading global solar developer. While we are extremely optimistic about the long-term, we are also aware that the current energy crisis and inflation in Europe is causing significant instability in the region and increasing risks of a recession. We remain cautious and extremely focused over the near term as the situation in Europe evolves.

With that overview, we will now review the details of our first quarter operating and financial performance.

Q2 2022 Financial Highlights:

• Revenue increased 134% sequentially to $8.2 million from $3.5 million in Q1'22
• GAAP gross margin was 45.0%, higher than our guidance range primarily due to high-margin IPP sales in China
• GAAP EBITDA was $2.4 million compared to zero in Q1'22
• GAAP net loss was $0.2 million, lower than $1.7 million net loss in Q1'22
• Non-GAAPnet loss was $0.4 million, lower than $1.0 million Non-GAAP net loss in Q1'22

(in $ millions)	Q2'22	Q1'22	Q/Q Change
GAAP revenue	$8.2	$3.5	+134%
GAAP gross profit	$3.7	$1.1	+223%
GAAP operating income (loss)	$(0.2)	$(2.2)	-90%
Non-GAAP operating income (loss)	$0.8	$(1.4)	+161%
GAAP EBITDA	$2.4	$(0.0)	+4,984%
Adjusted EBITDA	$2.3	$0.6	+286%
GAAP net income (loss) attributed to ReneSola Power	$(0.2)	$(1.7)	-88%
Non-GAAP net income (loss) attributed to ReneSola Power	$(0.4)	$(1.0)	-65%

Revenue by segment:

Segment	Q2'22	% of Total
($ in thousands)	Revenue	Revenue
Project Development	$2,092	25%
IPP	$5,897	72%
Others	$217	3%
Total	$8,206	100%

"IPP" consists of sale of electricity in China and the U.S.

"Other" refers to operations and maintenance.

Revenue by region:

Region	Q2'22	% of Total
($ in thousands)	Revenue	Revenue
North America	$2,263	28%
Europe	$354	4%
China	$5,589	68%
Total	$8,206	100%

Mid-to-Late Stage Pipeline Growth Goal

In 2022, we expect to close the year at 3 GWs with a significant portion of the growth coming from Europe due to favorable policy support and increasing energy demand. We target growth of the Company's mid-to-late stage pipeline to 5 GWs by the end of 2024 with a significant portion of the growth coming from Europe.

The following table details our mid-to-late stage project pipeline by location:

Project Location	Mid-to-late stage (MW)
U.S.	653
Poland	705
Spain	304
U.K.	235
France	117
Hungary	102
Italy	92
Germany	40
China	156
Total	2,404

In addition to the solar PV project portfolio, we also have a storage pipeline of over 2 GWh in the U.S. and Europe at different development stages.

Detailed Review of Pipeline by Region

United States

Our mid-to-late stage U.S. projects pipeline now totals 653 MW, up from last quarter. Of our total 653 MW pipeline, 146 MW are community solar projects in Minnesota, Maine, and New York. Additionally, we have projects under development in Alabama, California, Illinois, and Pennsylvania. Meanwhile, we operate 24 MW of utility projects in North Carolina.

U.S.A.	Capacity (MW)	Project Type	Status	Expected	Business
NTP/Sale	Model
Minnesota	6	Community	Under Development	2022	NTP Sale
New York	130	Community + Utility	Under Development	2022	NTP Sale
Florida	100	Utility	Under Development	2022/2023	NTP Sale
Maine	10	DG & Community	Under Development	2022	NTP Sale
Pennsylvania	70	Utility + Storage	Under Development	2022	NTP Sale
Illinois	50	Utility + Storage	Under Development	2023/2024	NTP Sale
Virginia	7	Community	Under Development	2023/2024	NTP Sale
California	280	Utility + Storage	Under Development	2024/2025	NTP Sale
Total	653

Poland

In Poland, we have ~705 MW of ground-mounted projects in our mid-to-late stage pipeline.

Poland	Project	Capacity	Project Type	Status	Expected	Business
(MW)	RTB/Sale	Model
Auction 2020 and 2021	Solar farms	75	Ground-mounted	Under	2022 + 2023	RTB Sale +
Construction	COD	EPC
Current Pipeline	Including smaller	~545	Ground-mounted	Under	2023/2024	RTB Sale
scale projects	Development	RTB
Close to RTB		58	Ground mounted	Under	2022 RTB	RTB Sale +
	Development	EPC
Close to RTB		27	Ground mounted	Under	2022/2023	IPP
	Development	RTB
Total		~705

Spain

We have a mid-to-late stage pipeline of 304 MW of ground-mounted projects located in various regions across Spain.

Spain	Capacity	Project Type	Status	Expected	Business
(MW)	RTB/Sale	Model
Castillo (three projects)	24	Ground-mounted	Under Development	2022/2023	RTB Sale
Project Portfolio	280	Ground-mounted	Under Development	2023/2024	RTB Sale
Total	304

U.K.

In the U.K., we have a mid-to-late stage pipeline of 235 MW of ground-mounted projects under development.

U.K.	Capacity	Project Type	Status	Expected	Business
(MW)	RTB/Sale	Model
Novergy Portfolio	185	Solar only Ground-mounted	Under Development	2022/2023	RTB Sale
Others	50	Solar-plus-storageGround-mounted	Under Development	2023/2024	RTB Sale
Total	235

Germany

In Germany, we have 40 MW of ground-mounted projects in our mid-to-late stage pipeline under development.

Germany	Capacity	Project Type	Status	Expected	Business
(MW)	RTB/Sale	Model
Project - Kentzlin	12	Ground-mounted	Under Development	2022	RTB Sale
Project Portfolios	28	Ground-mounted	Under Development	2023	RTB Sale
Total	40

France

In France, we have a project pipeline of 117 MW, all of which are ground-mounted projects.

France	Capacity	Project Type	Status	Expected	Business Model
(MW)	RTB/Sale
Project Portfolios	99	Ground mounted	Under Development	2022/2023	RTB Sale
Project Portfolios	18	Ground mounted	Under Development	2022	Development Services
Total	117

Hungary

In Hungary, we invest in small-scale DG projects. Our late-stage pipeline has a total capacity of 102 MW.

Hungary	Capacity	Project Type	Status	Expected	Business
(MW)	RTB/Sale	Model
Portfolio with FIT	54	Ground- mounted	Ready-to-Build/ Under	2022/2023	IPP
development
Portfolio for Corporate PPAs	48	Ground- mounted	Under Development	2022/2023	Build-
Transfer
Total	102

Italy

In Italy, we partnered with two local developers and started to build our pipeline in this important market.

Italy	Capacity	Project Type	Status	Expected	Business
(MW)	RTB/Sale	Model
Opal 1 - Lancia	7	Ground- mounted	Under Development	2023/2024	RTB Sale
OpalB - CIRO	8	Ground- mounted	Under Development	2023/2024	RTB Sale
Project Portfolio	72	Ground- mounted	Under Development	2023/2024	RTB Sale
Caggegi	5	Ground- mounted	Under Development	2023/2024	RTB Sale
Total	92

Solid Operating Asset Portfolio with Attractive Long-term Growth Plan

We currently own 186 MW of operating projects, of which we operate ~162 MW of rooftop projects in China, and ~24 MW in the U.S. In Q2 2022, we connected about 3 MW of newly developed projects in Zhejiang, Jiangsu, Fujian, and Guangdong provinces in China. In the first half, our ability to add new IPP projects in China was significantly impacted by the Covid lockdowns that remains ongoing. The China rooftop solar projects are concentrated in attractive eastern provinces with Commercial and Industrial (C&I) off-takers.

Operating Assets	Capacity (MW)
China DG	162
- Zhejiang	45
- Henan	46
- Anhui	31
- Hebei	17
- Jiangsu	14
- Shandong	3
- Fujian	6
- Liaoning	0.2
- Guangdong	0.2
United States	24
Total	186

Our new asset development pipeline in China is now estimated to be 156 MW, more than doubled from our prior estimate of 74 MW.