CORRECTING and REPLACING Nevada Legislature Passes Bill to Restore Net Metering for Rooftop Solar

Merging of key solar industry legislation creates a unified path
forward for consumer protection and fair value net metering rates

RENO, Nev.–(BUSINESS WIRE)–#AB405–Within the first paragraph, first sentence the type of Bill referenced
should read: Nevada Assembly Bill 405 (instead of Nevada Senate Bill
405).

The corrected release reads:

NEVADA LEGISLATURE PASSES BILL TO RESTORE NET METERING FOR ROOFTOP
SOLAR

Merging of key solar industry legislation creates a unified path
forward for consumer protection and fair value net metering rates

Sunworks,
Inc. (NASDAQ: SUNW), a leading provider of solar power solutions for
agriculture, commercial, industrial (ACI), and residential markets,
praised the approval of Nevada Assembly Bill 405 (AB405), which is
expected to revive the state’s solar market.

The new AB405 includes a “Solar Bill of Rights” provision, which
reinstates net metering with a new system that uses a tiered approach
for calculating the export rate of electricity based on the overall
penetration of rooftop solar installations throughout the state. The
bill restores net metering rates starting at 95% of the full retail rate
for excess electricity produced by consumers.

The inclusion of a net metering solution is considered a victory for
rooftop solar businesses which have experienced economic uncertainty for
the past two years due to a combination of policy changes and reductions
in net metering rates by the Public Utilities Commission. The changes,
which took effect in 2016, virtually ended net metering programs in
Nevada and resulted in heavy job losses for those in the solar industry.
With the passage of the modified AB405, rooftop owners will return to
the existing rate classes of all other consumers, thereby protecting
them from discriminatory rates, charges, and fees.

AB405 protects consumers from inaccurate public utility rates, minimum
warranty requirements, and other contractual disclosure terms. The bill
is intended to enhance consumers’ understanding of variables in
investment options and to make comparisons between products clearer.

Nevada Governor Brian Sandoval has 10 days to sign the bill. Once
signed, the net metering compensation changes would take effect
immediately, and the consumer protection measures would take effect this
fall.

Sunworks noted that it is already in compliance with all the
legislation’s terms for consumer protection and transparency in Nevada.
In addition, Sunworks is currently restructuring its proposal process to
reflect the modified net metering structure.

Sunworks Regional Vice President of Sales, Casey Coffman, said, “We are
pleased with the passage of the revised bill. We believe the bill
provides greater transparency for consumers and businesses and will
enhance Nevada’s solar industry through a sensible rate structure and
will lead to accelerated growth in solar-related jobs.”

Travis Miller, Director of The Great Basin Solar Coalition, is part of
an alliance of stakeholders from Northern Nevada which represents the
state’s solar industry. Mr. Miller said, “Consumers will now be
effectively grandfathered into the rate structure they originally
enrolled in for the life of their system. In conjunction with ensuring
appropriate consumer disclosures, this bill creates the stability
required for Nevadans to make educated investments in clean energy
solutions.”

About Sunworks

Founded in 1983, Sunworks, Inc. is a premier provider of solar power
solutions. We are committed to quality business practices that exceed
industry standards and uphold our ideals of ethics and safety.

Today, Sunworks continues to grow its presence, expanding nationally
with regional and local offices. We strive to consistently deliver high
quality, performance oriented solutions for customers in a wide range of
industries including agriculture, commercial and industrial; federal;
public works; utility; and residential. Our dedication to excellence is
reflected in our 25-year warranty, a benchmark that we standby to
support our customers above and beyond their expectations.

Sunworks’ diverse, seasoned workforce includes distinguished veterans
who are devoted to providing the very best customer experience. All of
our employees uphold our company’s guiding principles each day.

About The Great Basin Solar Coalition

The Great Basin Solar Coalition (GBSC) is the voice for promoting clean,
renewable energy in Northern Nevada. We believe in a viable future for
solar power and the benefits derived from it for our local communities.
Through education and awareness, GBSC works to protect the rights of
Nevada ratepayers, achieving fair and equitable net metering
arrangements backed by real transparency. We’re leading the way for
Nevadans, encouraging the use of clean energy generation while helping
to stimulate economic growth. GBSC is an advocate for solar power on
every front, from local to federal government. We stand united in
fighting for solar rights, positioning Nevada for a clean energy future.

Safe Harbor Statement

Matters discussed in this press release contain forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. When used in this press release, the words
“anticipate,” “believe,” “estimate,” “may,” “intend,” “expect” and
similar expressions identify such forward-looking statements. Actual
results, performance or achievements could differ materially from those
contemplated, expressed or implied by the forward-looking statements
contained herein. These forward-looking statements are based largely on
the expectations of the Company and are subject to a number of risks and
uncertainties. These risks include, but are not limited to, risks and
uncertainties associated with: the impact of economic, competitive and
other factors affecting the Company and its operations, markets,
products, and prospects for sales, failure to commercialize our
technology, failure of technology to perform as expected, failure to
earn profit or revenue, higher costs than expected, persistent operating
losses, ownership dilution, inability to repay debt, failure of acquired
businesses to perform as expected, the impact on the national and local
economies resulting from terrorist actions, and U.S. actions
subsequently; and other factors detailed in reports filed by the Company.

Contacts

Sunworks, Inc.
Rita Edwards, 916-409-6900
Director of
Marketing
[email protected]
or
Travis
Miller, 775-722-0893
Project Manager
Board Member, The
Great Basin Solar Coalition
[email protected]
or
Casey
Coffman, 775-473-2931
Regional Vice President
[email protected]