Engaging Members Improved DR experiences through technology Cooperative Technologies Conference & Expo August 15, 2018 The presentation will have three main components: It will provide a bit of background on Demand Response and the technologies that were deployed over the last 20 years and the results. It will also describe how we are leveraging today’s technology to improve the performance and experience of load management events. It will then include a summary of NCEMC’s existing programs and detail how the technology is used. It will also compare and contrast the new technology with what we used “back in the day”. The last part will be a preview of some of the projects we are currently working on and future pilots we would like to implement

Evolution of DR technology Historical Technology: One–way communication Binary options Historical Results: No feedback/confirmation Poor member experience Current Technology: Two–way communication Opt-out provisions Current Results: Confirmation of participation High satisfaction/participation

Wi-Fi Enabled Thermostats BYOT: Meet the members where they are Integration with multiple thermostats Additional options for co-ops Describe NCEMC’s search in 2014 for a water heater vendor and decision to finally go with ecobee. Describe value proposition of ecobee for both the utility and the consumer Describe working relationship with ecobee and the consumer experience – both good and bad

Smart Water Heaters - 2017-2018 Pilot Winter DR .90 kW/ Summer DR .45 kW Flexible and adaptable system High member satisfaction Results Cold Water Hot Wi-Fi or 4G Goals Test the effectiveness of a new control technology for shifting load Test the operational flexibility of system Gauge impact to consumers Pilot goals: Demand response and energy storage No/minimal impacts to consumers Pilot status: 150 control devices installed 8 cooperatives participating Summer and winter survey of consumers indicate good member satisfaction Coming soon: Phone app for consumers Technology integrated into new Vaughn “V-Grid” water heaters Participant demographics matter Legacy water heater control participants reluctant to participate Lessons Learned

Jim Musilek 919 875-3096 Jim.Musilek@ncemcs.com Questions? Jim Musilek 919 875-3096 Jim.Musilek@ncemcs.com