Power Association of Northern California Annual Seminar April 19, 2010 Len Pettis Chief of Plant, Energy & Utilities

Cyber Secure Interoperability CSU System Standard Protocols eIQ

CSU Utility Spend $130M Total 85M GSF $90M Electricity $20M Natural Gas $15M Water $5M Sewer & Trash 938 Buildings 23 campuses $130 M annual utility budget Applied research results shared with partners

CSU Direct Access Goal – Lower utility expenses First Enrolled 1998 Enron 2001 5% discount - Net $40m APS 2001 – 2007 $60-80/MWh CNE 2008 - 2009 $80-100/MWh Shell – Current $45/MWh + Ancillary Charges Currently 3 Year Block $5M/Year Savings

Fixed Price Opportunity Risks Rewards Market Volatility Fixed Price Opportunity Provider Availability Flexibility DR - RPS Dual Billing Financial Savings Stranded Cost DSM Investments Perception of High Amount of Coal for APS

Questions?