BLOOMBERG NEW ENERGY FINANCE SUMMIT

BLOOMBERG NEW ENERGY FINANCE SUMMIT NEW YORK 8 APRIL 2014 MICHAEL LIEBREICH CHAIRMAN OF THE ADVISORY BOARD TWITTER: @MLIEBREICH #BNEF2014 Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 1

NEW INVESTMENT IN CLEAN ENERGY 2004-2013 ($BN) 21% $318bn -10% $286bn -11% 17% 34% 0.6% $195bn $196bn $262bn $254bn 44% $167bn 46% $55bn 45% $80bn $116bn 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Note: Total values include estimates for undisclosed deals. Includes corporate and government R&D, and spending for digital energy and energy storage projects (not reported in quarterly statistics). Source: Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 2

NEW INVESTMENT IN CLEAN ENERGY 2004-2013 ($BN) 21% $318bn -10% $286bn -11% 17% 34% 0.6% $195bn $196bn $262bn $254bn 44% $167bn 46% $55bn 45% $80bn $116bn 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Note: Total values include estimates for undisclosed deals. Includes corporate and government R&D, and spending for digital energy and energy storage projects (not reported in quarterly statistics). Source: Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 3

NEW INVESTMENT IN CLEAN ENERGY 2004-2013 ($BN) Europe 110.8 123.2 95.1 North America & Caribbean 12.1 19.4 36.4 46.0 47.8 54.8 39.0 75.6 58.9 56.0 44.1 34.0 23.8 79.3 82.8 68.0 57.8 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 Asia & Oceania 78.1 49.3 61.9 39.0 17.6 22.2 28.9 103.1 108.9120.6 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 Central & South America Middle East & Africa 0.9 3.8 5.8 12.3 15.6 10.5 13.4 12.6 12.3 9.6 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 0.5 0.6 1.0 1.7 2.6 1.5 4.5 3.5 11.0 10.0 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 Source: Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 4

EUROPEAN POLICY SUPPORT SCHEMES UNDER REVIEW 2013 Comprehensive review under way Retroactive changes implemented (2010-13) Suspended Source: Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 5

CLEAN ENERGY NEW BUILD INSTALLATIONS 2001-13 (GW) 120 100 80 60 54.0 63.8 80.8 88.1 82.2 40 20 10.8 12.0 13.5 16.0 18.1 24.9 31.2 41.5 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Source: Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 6

THE CLEANTECH CRASH? Source: Tesla, Nest, OPower Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 7

Jan 13 Feb 13 Mar 13 Apr 13 May 13 Jun 13 Jul 13 Aug 13 Sep 13 Oct 13 Nov 13 Dec 13 Jan 14 Feb 14 Mar 14 NEX CLEAN ENERGY INDEX 2013 2014 YTD 190 180 170 160 150 140 130 120 NEX NEX S&P 500 S&P 500 Dow Jones Dow Jones MSCI World & Emerging MSCI World & Emerging 110 100 90 Note: Values as of 30 March 2014; indices rebased to 100 on 01 Jan 2013. Source: Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 8

PRICE COMPETITIVE CLEAN ENERGY: 2014 (LCOE) 37 $/MWh onshore wind 37 $/MWh geothermal 80 $/MWh solar Note: Levelised cost of electricity excludes impact of subsidies. Source: Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 9

DRIVERS OF REDUCED ASSET INVESTMENT 2011-2013 $251.5 bn -20% -4.7% $ 191.7bn Investment 2011 Price impact Volume impact Investment 2013 Note: based on a high level calculation of global figures for all renewable energy sectors. Impacts of regional and sector shifts are internalised here. Source: Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 10

CLEAN ENERGY NEW BUILD INSTALLATIONS 2001-2013 (GW) 120 100 80 60 54.0 63.8 80.8 88.1 82.2 40 20 10.8 12.0 13.5 16.0 18.1 24.9 31.2 41.5 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Source: Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 11

CLEAN ENERGY NEW BUILD INSTALLATIONS 2001-2013 (GW) 120 100 80 60 2013-2015 Installations forecast to grow 37% 54.0 63.8 80.8 88.1 82.2 112.4 102.9 40 20 10.8 12.0 13.5 16.0 18.1 24.9 31.2 41.5 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Source: Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 12

GLOBAL POWER GENERATION CAPACITY ADDITIONS 2010 2030 (GW) FOSSIL FUEL AND NUCLEAR RENEWABLES Forecast Nuclear Forecast 264 Marine 106 87 78 64 52 39 Oil Gas Coal 60 83 107 155 196 Solar Wind Biomass & waste Geotherm. 2010 2013 2015 2020 2025 2030 2010 2013 2015 2020 2025 2030 Source: Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 13

2014 BNEF SUMMIT THEME PHASE CHANGE: NEW MARKET STRUCTURES NEW BUSINESS MODELS Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 14

PHASE CHANGE Phase Change (n): A change in a feature of a physical system that results in a discrete transition of that system to another state. Source: Wikipedia Commons; The Free Dictionary Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 15

ENERGIEWENDE 1: CHANGES IN GENERATING MIX (TWH) 700 600 500 400 300 Q1 2014: Renewable energy provided 28% of German electricity Thermal Other renewables Biomass- & liquids PV 200 100 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Wind Hydro Source: Bloomberg New Energy Finance, BMWI Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 16

ENERGIEWENDE 2: INVESTMENT IN RENEWABLE POWER GENERATING CAPACITY ($ BN) Cumulative capex spent 2004 2014 $166 billion 33.2 29.4 21.1 22.4 Other 7 8.7 8.8 12.2 13.5 9.8 Wind Solar 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Note: Investment figures includes asset finance and small distributed capacity investment. Biofuels and other non-power generation sectors excluded. Source: Bloomberg New Energy Finance. Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 17

ENERGIEWENDE 3: CAPACITY VS. POWER CONSUMPTION GW 200 TWh 800 150 100 Renewables 600 400 50 0 Fossil and nuclear 2000 2002 2004 2006 2008 2010 2012 200 0 Source: Bloomberg New Energy Finance, BMWI Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 18

ENERGIEWENDE 3: CAPACITY VS. POWER CONSUMPTION GW 200 150 Gross power consumption 2000 2014 Power consumption + 3.5% Generating Capacity + 44.7% TWh 800 600 100 Renewables 400 50 0 Fossil and nuclear 2000 2002 2004 2006 2008 2010 2012 200 0 Source: Bloomberg New Energy Finance, BMWI Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 19

ENERGIEWENDE 4: IMPACT ON RETAIL PRICES US FIXED LINE VS. MOBILE PRICES ($/MIN) GERMAN FIT VS. RESIDENTIAL POWER PRICES (EUR/MWH) 0.6 0.6 0.5 0.4 Mobile 0.5 0.4 Feed-in tariff <10kW 0.3 0.3 0.2 0.1 Land line 0.2 0.1 Res. power price 0.0 1993 2000 2007 0 Q1 2007 Q1 2008 Q1 2009 Q1 2010 Q1 2011 Q1 2012 Q1 2013 Source: Bloomberg New Energy Finance, Bloomberg L.P., BSW Solar, Eurostat, Federal Communications Commission Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 20

ENERGIEWENDE 5: IMPACT ON WHOLESALE PRICES DARK SPREADS (EUR/MWH) SPARK SPREADS (EUR/MWH) 40 40 30 30 20 20 10 10 0 0-10 -10-20 -20-30 2009 2010 2011 2012 2013 2014-30 2009 2010 2011 2012 2013 2014 Source: Bloomberg New Energy Finance, Bloomberg L.P. Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 21

ENERGIEWENDE 6: GERMANY S FIVE QUESTIONS 1. How to reduce subsidy costs? 2. How to allocate cost between users? 3. How to remunerate the grid for new services? 4. How to ensure backup generating margin? 5. How to integrate with your neighbours? This is not a problem, it is a task. Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 22

ENERGIEWENDE 7: THE LADY S NOT FOR TURNING The most urgent problem for me is management and design of the Energiewende. Angela Merkel German Chancellor September 2013 Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 23

CHINA BENDING THE ARC 1: INVESTMENT NEW CLEAN ENERGY INVESTMENT ($ BN) WIND AND SOLAR CAPACITY ADD (GW) 56.5 63.8 61.3 Solar Wind 28.7 37.9 40.9 19.0 16.3 6.2 10.3 16.3 25.4 0.0 0.8 2.3 4.2 9.2 12.0 2005 2007 2009 2011 2013 2005 2007 2009 2011 2013 Source: Bloomberg New Energy Finance Note: Investment figures include all clean energy sectors (renewable power, biofuels, EST etc) and all new investment asset classes. Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 24

CHINA POWER GENERATION CAPACITY ADD BY TECHNOLOGY 2004-13, 2020 & 2030 GW 120 100 80 60 40 20 0-20 -40 2013 Renewable energy 68% of new capacity Historic Forecast 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2020 2030 Biomass & waste Solar Wind Hydro Nuclear Oil Gas Coal Note: 2020 & 2030 forecasts from BNEF Global Renewable Energy Outlook 2014. Source: Bloomberg New Energy Finance, China Electricity Council Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 25

CHINA DECLARES WAR ON POLLUTION We will resolutely declare war against pollution as we declared war against poverty Li Keqiang Premier of the People's Republic of China March 2014 Credit: Bloomberg Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 26

CHINA POWER GENERATION CAPACITY ADD BY TECHNOLOGY 2004-13, 2020 & 2030 GW 120 100 80 60 40 20 0-20 -40 Historic Forecast 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2020 2030 Biomass & waste Solar Wind Hydro Nuclear Oil Gas Coal Note: 2020 & 2030 forecasts from BNEF Global Renewable Energy Outlook 2014. Source: Bloomberg New Energy Finance, China Electricity Council Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 27

ANNUAL SHARE OF WIND POWER IN TOTAL US GENERATION 2004 2013 6.0% 5.0% 4.0% 3.0% 2.0% 1.0% 0.0% 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Jan-14 Source: Bloomberg New Energy Finance, EIA Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 28

LEVELISED COST OF ELECTRICITY PRODUCTION ($/MWH) 350 PV - c-si 300 250 200 PV - Thin Film 150 100 Onshore Wind 50 0 Q1 2010 Q1 2011 Q1 2012 Q1 2013 Coal CCGT Note: LCOE excludes impact of subsidies and other support schemes. Source: Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 29

US WIND PPA PRICES BY SIGNING DATE H1 2008 H2 2013 ($/MWH) 100 80 60 40 20 0 Jan 08 Jan 09 Jan 10 Jan 11 Jan 12 Jan 13 Jan 14 PJM MISO Mountain West NEPOOL NYISO SPP 250 MW Note: Does not include PPAs under 5MW. PPA price is calculated as the average offtake price over the period of project operation. For projects reporting to FERC, the PPA price is calculated as the average selling price over the operating history of the project. For projects not reporting to FERC, the PPA price represents the year1 selling price. Source: Bloomberg New Energy Finance, FERC Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 30

US SOLAR PPA PRICES BY SIGNING DATE H1 2008 H2 2013 ($/MWH) 250 200 150 100 50 0 Jan 08 Jan 09 Jan 10 Jan 11 Jan 12 Jan 13 Jan 14 AZ CA CO NM NV NY TX 250 MW Note: Does not include PPAs under 5MW. PPA price is calculated as the average offtake price over the period of project operation. For projects reporting to FERC, the PPA price is calculated as the average selling price over the operating history of the project. For projects not reporting to FERC, the PPA price represents the year1 selling price. Source: Bloomberg New Energy Finance, FERC Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 31

CUMULATIVE FUNDS CLOSED BY SELECTED THIRD- PARTY FINANCIERS JAN 2009-MAR 2014 ($M) 2,250 2,000 1,750 1,500 1,250 1,000 750 500 250 0 Jan 09 Jan 10 Jan 11 Jan 12 Jan 13 Jan 14 Solar City Sunrun SunPower Clean Power Finance SunEdison Vivint Sungevity Note: This represents fund size; actual capital invested is lower and non-public. This figure may not include all non-public deals. Does not include all third-party financiers. Each fund contains an unknown combination of equity, tax equity or debt (or an absence of tax equity or debt). *The $300m Clean Power Finance fund raised on 3 May 2012 does not contain tax equity Source: Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 32

SMALL SOLAR SYSTEM PRICES IN GERMANY AND CALIFORNIA TOTAL SYSTEM COST ($/W) CALIFORNIA PREMIUM TO GERMANY 10 8 6 Average California residential 127% 111% 103% 78% 4 2 Average sub- 10kW German 0 Q1 2007 Q1 2009 Q1 2011 Q1 2013 22% 29% 51% 2007 2008 2009 2010 2011 2012 2013 Source: Bloomberg New Energy Finance, BSW Solar, California Solar Initiative Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 33

US AGE OF GAS UPDATE 1: VOLUME SHALE GAS PRODUCTION BY FIELD (BCFD) 40 35 30 25 20 15 10 5 0 Jan 00 Jan 02 Jan 04 Jan 06 Jan 08 Jan 10 Jan 12 Jan 14 Marcellus Eagle Ford Rest of US 'shale' Haynesville Fayetteville Barnett Woodford Bakken Antrim Source: Bloomberg New Energy Finance, EIA Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 34

AGE OF GAS UPDATE 2: PRICE HENRY HUB NATURAL GAS MONTHLY SPOT PRICE ($/MMBTU) 14 12 10 8 6 April 18 2012 ($1.87) Today ($4.49) 6 February 2014 ($7.91) 4 2 0 Jan 2002 Jan 2004 Jan 2006 Jan 2008 Jan 2010 Jan 2012 Jan 2014 Note: Prices are nominal. Source: Bloomberg L.P., Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 35

MAJOR GLOBAL SHALE FIELDS Canada Norway UK Poland Mexico USA Algeria Libya China Brazil Australia 200 trillion cubic feet Argentina South Africa Note: Technically recoverable shale gas resources shown Source: EIA Assessment of World Shale Gas Resources, April 2011 Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 36

ECONOMICS OF SHALE GAS FRACKING LIKELY PRICE RANGE ($/MMBTU) NO. OF SHALE GAS WELLS FRACKED UK 1 China 200 US 105,000 0 2 4 6 8 10 12 14 0 50,000 100,000 150,000 Source: Bloomberg New Energy Finance, Wall Street Journal Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 37

2013: THE YEAR OF TESLA Picture credits: Tesla Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 38

LITHIUM-ION BATTERY EXPERIENCE CURVE ($/KWH) 10,000 EV LI-ION BATTERYPACK PRICES HAVE FALLEN 43% SINCE 2010 1,000 1995 2010 H1 2013 H1 2014 2020 100 2000 2005 2030 10 100 1,000 10,000 100,000 1,000,000 10,000,000 Consumer LiB experience curve Historic consumer LiB prices BNEF EV LiB cost forecast Historic EV battery pack prices Cumulative prod. capacity (MWh) Note: Battery pack prices in 2010 dollars. Source: Battery University, MIIT, IIT, Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 39

LITHIUM-ION BATTERY EXPERIENCE CURVE ($/KWH) 10,000 EV LI-ION BATTERYPACK PRICES HAVE FALLEN 43% SINCE 2010 1,000 1995 2010 H1 2013 H1 2014 2020 100 Cost-competitiveness (by total cost of ownership) 2000 2005 Tesla's Gigafactory 2030 10 100 1,000 10,000 100,000 1,000,000 10,000,000 Consumer LiB experience curve Historic consumer LiB prices BNEF EV LiB cost forecast Historic EV battery pack prices Cumulative prod. capacity (MWh) Note: Battery pack prices in 2010 dollars. Source: Battery University, MIIT, IIT, Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 40

GLOBAL ANNUAL EV SALES 2011 & 2013 8,000,000 85,000,000 (4% CAGR) EVs 715,000 1,650,000 Hybrids (52% CAGR) 52,000 206,000 (99% CAGR) Total 2011 2013 Note: Numbers are rounded. Source: Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 41

US CRUDE OIL (M BARRELS / DAY) PRODUCTION IMPORTS 16 14 12 10 8 6 4 2 0 + 44% since 2004 2004 2006 2008 2010 2012 2014 16 14 12 10 8 6 4 2 0-56% since 2004 2004 2006 2008 2010 2012 2014 Source: EIA; Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 42

US CAR USE AND FUEL EFFICIENCY FUEL EFFICIENCY (MILES/GALLON) ANNUAL VEHICLE-DISTANCE TRAVELLED (1,000 MILES PER PERSON) 22.0 21.5 21.0 20.5 20.0 19.5 19.0 +9.7% since 2004 18.5 2004 2006 2008 2010 2012 9.4 9.2 9.0 8.8 8.6 8.4 8.2-8.9% since 2004 8.0 2004 2006 2008 2010 2012 Note: Mpg figures are sales weighted average. Total vehicle miles grew at 2.7% CAGR between 1971 and 2007 Source: US DOT, University of Michigan Transportation Research Institute, Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 43

DRIVERS OF REDUCED US OIL IMPORTS, 2004-2013 (AS % OF DOMESTIC CONSUMPTION) Imports 2004 58% Population growth +7% Miles / person -9% Gallons / mile -9% Domestic production -10% Imports 2013-35% Note: percentages do not add due to rounding errors Source: EIA, UMTRI, Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 44

DRIVERS OF REDUCED US OIL IMPORTS, 2004-2013 (AS % OF DOMESTIC CONSUMPTION) Imports 2004 58% Population growth +7% Miles / person -9% Gallons / mile -9% Domestic production -10% Imports 2013-35% Increased production reduced imports by 10% of consumption Note: percentages do not add due to rounding errors Source: EIA, UMTRI, Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 50

DRIVERS OF REDUCED US OIL IMPORTS, 2004-2013 (AS % OF DOMESTIC CONSUMPTION) Imports 2004 58% Population growth +7% Miles / person -9% Gallons / mile -9% Miles driven & improved gas mileage reduced imports by 18% of consumption Domestic production -10% Imports 2013-35% Increased production reduced imports by 10% of consumption Note: percentages do not add due to rounding errors Source: EIA, UMTRI, Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 51

GLOBAL POWER GENERATION CAPACITY ADDITIONS 2010 2030 (GW) FOSSIL FUEL AND NUCLEAR RENEWABLES Forecast Nuclear Forecast 264 Marine 106 87 78 64 52 39 Oil Gas Coal 60 83 107 155 196 Solar Wind Biomass & waste Geotherm. 2010 2013 2015 2020 2025 2030 2010 2013 2015 2020 2025 2030 Source: Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 52

GERMAN HOURLY GENERATION PROFILE, (GW) Thousands JULY 2012 JULY 2033 100 100 80 60 40 20 0-20 -40 80 60 40 20 0-20 -40 Source: Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 53

PHASE CHANGE Phase Change (n): A change in a feature of a physical system that results in a discrete transition of that system to another state. Source: Wikipedia Commons; The Free Dictionary Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 54

PHASE CHANGE NEWSPAPER REVENUE ($M) Total US newspaper ad revenue ($m) 60,000 50,000 40,000 1982 Invention of the internet 1992 Invention of the browser 2006 Founding of Twitter 1997 Invention of the smartphone 30,000 20,000 10,000 24 years 0 1950 1957 1964 1971 1978 1985 1992 1999 2006 Source: Bloomberg L.P. Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 55

US AGE OF GAS UPDATE 1: VOLUME SHALE GAS PRODUCTION BY FIELD (BCFD) 40 35 30 25 20 15 10 5 0 Jan 00 Jan 02 Jan 04 Jan 06 Jan 08 Jan 10 Jan 12 Jan 14 Marcellus Eagle Ford Rest of US 'shale' Haynesville Fayetteville Barnett Woodford Bakken Antrim Source: EIA, Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 56

US AGE OF GAS UPDATE 1: VOLUME SHALE GAS PRODUCTION BY FIELD (BCFD) 40 35 30 25 20 15 10 5 0 Jan 00 Jan 02 Jan 04 Jan 06 Jan 08 Jan 10 Jan 12 Jan 14 Rest of US 'shale' Haynesville Fayetteville Barnett Woodford Bakken Antrim Source: EIA, Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 57

US TOTAL ENERGY CONSUMPTION, 2007 2040 (QUADRILLION BTU) 101.7 5.6 8.5 22.7 23.7 40.6 96.6 7.2 7.9 100.7 103.3 8.4 9.3 106.3 10.3 8.2 8.2 8.5 18.9 18.6 19.0 18.7 25.8 27.7 30.0 32.3 36.0 36.9 35.6 35.4 Other Renewable energy Nuclear Coal Natural gas Liquid fuels 2007 2014 2020 2030 2040 Source: EIA, Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 58

US TOTAL ENERGY CONSUMPTION, 2007 2040 (%) 5.5% 7.4% 8.3% 9.0% 9.7% 8.3% 8.2% 8.1% 7.9% 8.0% 22.3% 19.5% 18.4% 18.4% 17.6% 23.3% 26.7% 27.5% 29.1% 30.4% Other Renewable energy Nuclear Coal Natural gas Liquid fuels 39.9% 35.5% 36.3% 35.1% 34.8% 2007 2014 2020 2030 2040 Source: EIA, Bloomberg New Energy Finance Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 59

2014 BNEF SUMMIT THEME PHASE CHANGE: NEW MARKET STRUCTURES NEW BUSINESS MODELS Michael Liebreich BNEFSummit 2014 Twitter: @Mliebreich #BNEF2014 60