Smart Energy for Texas Consumers

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Smart Energy for Texas Consumers Elizabeth Killinger Senior Vice President, Reliant Energy President, SimplySmart Solutions June 15, 2011

Smart Energy for Texas Consumers Insights, Choices, & Convenience Challenges with energy efficiency around electricity for a residential consumer: 1. Consumers do not know how much they use for different activities, or how much each costs 2. For many, efficiency equals sacrifice

Smart Energy for Texas Consumers Insights, Choices, & Convenience Platform for energy efficiency in Texas : An effective market design was established including all market participants before roll-out began and is refined as necessary so it is a current, relevant design A focus on delivering benefits to consumers In part because of Reliant s efforts to drive market requirements and deliver consumer benefits, we have a market that is positioned to deliver the smart and energy efficient home to consumers. 2

A Simple View of Consumer Engagement Evolution

Reliant Energy Consumer Engagement Evolution New information for consumers based on smart meter data Portal/ email Display Use/Spend Analysis Peer Compare Insights Mobile Devices Alerts Efficiency Tips Solar Pricing Plans Choice Choices Payment Plans Convenience makes it easier to be energy efficient Carbon Credits EV and Fleet Vehicles Appliances Convenience Switches/ Plugs Thermostat Partnership Offers Load Response / Economic Dispatch Choices lead to initial steps to increase efficiency Smart Energy enables a new customer experience that transforms the way customers use and value electricity

Smart Energy Customer Engagement Evolution Insights, Choices, & Convenience In Market Products & Services Accomplishments & Key Learnings HEMs & Thermostats Real time usage insights & HVAC remote control enabled via Zigbee Smart Energy protocols Insights Services Emails, Alerts, and Web Portals providing customers digestible information, analysis, and tips on their cost & usage Rate & Payment Plans Time of Use and Prepayment plans incenting customers to shift or lower usage and avoid upfront deposits More than 250K customers benefiting from at least one Smart Energy product or service 8 distinct Smart Energy products/ services (6 in market available to consumers, 2 in pilot). Products & services enabled by Smart Meter Texas portal. First electricity provider to host a booth at the Consumer Electronics Show (Jan-11, Las Vegas, NV) Competitive retail market drives innovation and customer focus Smart Energy Customer Engagement is an evolution Insights, Choices, & Convenience

SimplySmart Solutions To enable companies, municipalities and co-ops to simply and successfully bring the benefits of the smart grid to consumers, NRG created SimplySmart Solutions. SimplySmart can jumpstart other companies and markets so other consumers can acquire the insights, choices and convenience enabled by the smart grid Smart Energy & Energy Efficiency Services Call Center Services Best-in-class services firm providing a full suite of customer facing and back office services and solutions Maximize Efficiency Increase Profitability Improve Customer Experience Smart Meter data processing and project management Electricity management tools Demand response support Energy efficiency audits Revenue Management Services Dynamic pricing and product support Customer billing solutions Streamlined collection processes Bad debt analytics Bad debt reduction services Sourcing analysis and implementation Transformation of existing centers Customer experience design and implementation Call center operations, customer issue management and dispute resolution Sales Support Services Sales process transformation Sales support operations Company-to-prospect communications Conversion and closing rate improvement Operational Consulting, Program Management and Business Process Improvement Services 6

SimplySmart Smart Energy and Energy Efficiency Services Solutions Enable Customers to Manage and Control their Energy Usage Virtually Provide projected usage and estimated bill amount via email, web or mobile devices. Manage rewards programs for customers for off peak TOU Develop customized education programs for saving energy and money. Provide smart meter data intelligence to provide valuable feedback Improve customer satisfaction Your logo here Experience & Recognition Delivering unique smart energy products to over 250,000 customers Processing smart meter data for over 700,000 meters Providing smart meter project management and process improvement

SimplySmart s Smart Energy and Energy Efficiency Services Benefits for IOU/Utility/Coops Less CAPEX required to roll-out Smart Energy products and services Reduced time to market Flattened load curve and lower overall energy consumption Reduced operating costs, standard technology and certified interoperability Improves energy availability, reliability Improves regulatory compliance Increased efficiency reduces need for additional generation plants Value Proposition for the End Customer As Smart Meters are installed and enabled, the time needed to handle service orders, such as starting or stopping power, will be reduced Power outage notification In the event of a power outage in your area, Smart Meter will help us better manage power restoration Access energy usage information online You'll be able to better understand and monitor your own energy use Innovative rate options that meet your lifestyle You'll be able to better manage your energy usage and control your energy bill The system will help reduce electricity theft 8

Smart Energy for Texas Consumers Insights, Choices, & Convenience 1. Build a consumer value proposition for efficiency 2. Make it easy for consumers to measure and act 3. Use smart grid infrastructure and smart energy solutions to leverage policy initiatives

Appendix 10

Elizabeth Killinger As Senior Vice President of Retail Operations at Reliant Energy, Elizabeth is responsible for marketing execution, the call centers, contract management, market transaction processing, billing and collections. Elizabeth also serves as the executive sponsor for Reliant s Smart Energy program and DOE Smart Grid Investment Grant. In addition, Elizabeth serves as President of NRG SimplySmart Solutions which delivers smart energy services, revenue management services, call center services and sales support services to businesses across the nation. Elizabeth joined Reliant in May 2002 after spending two years in consulting roles across the wholesale and retail businesses leading several projects to prepare the business for retail market open for competitive electricity sales. Before joining Reliant Energy, Elizabeth spent 10 years in management and information technology consulting with Arthur Andersen Business Consulting working across the United States, in Norway and London and she spent 2 years providing operations support in an oilfield services company. Elizabeth serves as chairman of the school board for the Epiphany schools in Houston. She also serves on the Board of Directors for the March of Dimes Houston Chapter, the Center for Hearing and Speech and the North American Energy Standards Board (NAESB). Elizabeth is also a member of the Executive Women s Partnership of the Greater Houston Partnership and serves as a mentor for Newspring Center for Business Nurturing. She earned a bachelor s of business administration degree in management information systems from the University of Houston. 11