SMART METERINGSOLUTIONS TO SHAPE OUR

ENERGY FUTURE

SMART METERINGSOLUTIONS TO SHAPE OUR

ENERGY FUTURE

Empowering the Customer ExperienceMarketing Executives Conference

Cranwell ResortLenox, MassachusettsSeptember 17, 2007

Empowering the Customer ExperienceMarketing Executives Conference

Cranwell ResortLenox, MassachusettsSeptember 17, 2007

Presented by

Thomas Philbin, President

NXEGEN LLC

An EnergySolve Company

PROPRIETARY & CONFIDENTIAL - Page 2

INTRODUCTION AND OVERVIEWINTRODUCTION AND OVERVIEW

Demand Response Management (DSM) History

DSM Enabling Technologies Real Time Smart Meter Example

Present vs. Future Capabilities Conclusions

Demand Response Management (DSM) History

DSM Enabling Technologies Real Time Smart Meter Example

Present vs. Future Capabilities Conclusions

PROPRIETARY & CONFIDENTIAL - Page 3

DSM HistoryDSM History

Goal of Utility: Shape Customer Demand to Utility System Needs

Characteristic:No Customer Control – Prescribed Actions Specifiedby the Utility

Goal of Utility: Shape Customer Demand to Utility System Needs

Characteristic:No Customer Control – Prescribed Actions Specifiedby the Utility

PROPRIETARY & CONFIDENTIAL - Page 4

DSM Enabling TechnologiesPresent into the Future

DSM Enabling TechnologiesPresent into the Future

Direct Load Control Interruptible Load Curtailed Load Time of Use (TOU) Pricing Real Time Pricing Critical Peak Pricing Demand Bidding/Buyback

Direct Load Control Interruptible Load Curtailed Load Time of Use (TOU) Pricing Real Time Pricing Critical Peak Pricing Demand Bidding/Buyback

PROPRIETARY & CONFIDENTIAL - Page 5

DSM Enabling TechnologiesDSM Enabling Technologies

For successful adoption by the utility and regulators, these technologies must combine:

-Ease of use-Automatic and customer- initiated enablement and override-Customer access to their real time energy data.

For successful adoption by the utility and regulators, these technologies must combine:

-Ease of use-Automatic and customer- initiated enablement and override-Customer access to their real time energy data.

PROPRIETARY & CONFIDENTIAL - Page 6

Real Time Smart Meter ExampleReal Time Smart Meter Example

The NXEGEN System

Present Capabilities

The NXEGEN System

Present Capabilities

PROPRIETARY & CONFIDENTIAL - Page 7

Three (3) primary components:Three (3) primary components:

NXEGEN’S TECHNOLOGY NXEGEN’S TECHNOLOGY

Wireless Two-Way Communications and Control Network– Revenue-Grade metering technology for

electric, gas, and water – Wireless communications network to

centralize data acquisition and energy management

Wireless Two-Way Communications and Control Network– Revenue-Grade metering technology for

electric, gas, and water – Wireless communications network to

centralize data acquisition and energy management

Customer End Device Infrastructure

–Provides the ability to monitor energy loads

–Non-Intrusive Management of end device energy use with real-time data

State-of-the-Art Network Operations Center (NOC)

–Central data repository

–Secure customer access to data via Internet 24/7

PROPRIETARY & CONFIDENTIAL - Page 8

Wireless Two-Way Communications and Control Network

Wireless Two-Way Communications and Control Network

Technology components:Technology components:

– Patented wireless communications system– FCC Licensed – Private Network – Secure data transmission to RF Network Hubs– RF to Internet Links for extended distance travel

– 2-way communication capability– Receiving energy use & other diagnostic data– Transmitting real-time control commands and acknowledgements– Demand Response management– Dynamic routing technology-constantly updates multiple routes to

Network Hubs

– Patented wireless communications system– FCC Licensed – Private Network – Secure data transmission to RF Network Hubs– RF to Internet Links for extended distance travel

– 2-way communication capability– Receiving energy use & other diagnostic data– Transmitting real-time control commands and acknowledgements– Demand Response management– Dynamic routing technology-constantly updates multiple routes to

Network Hubs

PROPRIETARY & CONFIDENTIAL - Page 9

Customer End Device ControlCustomer End Device Control

Lighting

(On/Off or Dimming) Vending Generation

Dispatch HVAC

Lighting

(On/Off or Dimming) Vending Generation

Dispatch HVAC

PROPRIETARY & CONFIDENTIAL - Page 10

Network Operations Center Software Network Operations Center Software

Customer access to data analysis and reporting through Nxegen RTIS- Real Time Information System

Customer consumption Customer peak demand M&V of conservation

projects and performance contracts

Portfolio Aggregation Load profile Coincidental Demand Utility rate tariff analysis Utility bill validation

Customer access to data analysis and reporting through Nxegen RTIS- Real Time Information System

Customer consumption Customer peak demand M&V of conservation

projects and performance contracts

Portfolio Aggregation Load profile Coincidental Demand Utility rate tariff analysis Utility bill validation

PROPRIETARY & CONFIDENTIAL - Page 11

Real-Time Demonstration of System

Real-Time Demonstration of System

PROPRIETARY & CONFIDENTIAL - Page 12

Network Operations Center Software-Recent additions under testing

Network Operations Center Software-Recent additions under testing

Carbon Footprint Data Carbon Savings Real Time Pricing Time of Use Alarming Energy Budget Reporting and Control

Carbon Footprint Data Carbon Savings Real Time Pricing Time of Use Alarming Energy Budget Reporting and Control

PROPRIETARY & CONFIDENTIAL - Page 13

Network Operations Center Software-Applications under development

Network Operations Center Software-Applications under development

Zigbee Protocol Integration Gas/Water Metering Distributed Generation Balancing Sub-Meter Billing Security – Occupancy recording in

conjunction with lighting Artificial Intelligence – Exception

Reporting

Zigbee Protocol Integration Gas/Water Metering Distributed Generation Balancing Sub-Meter Billing Security – Occupancy recording in

conjunction with lighting Artificial Intelligence – Exception

Reporting

PROPRIETARY & CONFIDENTIAL - Page 14

ConclusionsConclusions Smart Meters will be used with the traditional

DSM enabling technologies , thereby –– Increasing effectiveness

– Reducing cost

Smart Meters will offer utilities and their customers new opportunities to save energy and demand in order to shave system peaks and reduce customer bills

Nxegen has a patented system that covers any control of end uses from a central facility using smart meters

Smart Meters will be used with the traditional DSM enabling technologies , thereby –– Increasing effectiveness

– Reducing cost

Smart Meters will offer utilities and their customers new opportunities to save energy and demand in order to shave system peaks and reduce customer bills

Nxegen has a patented system that covers any control of end uses from a central facility using smart meters

PROPRIETARY & CONFIDENTIAL - Page 15