Wind Energy Update October 6, 2012

OG&E’s Commitment to Wind Energy (2007) Make Oklahoma a national leader in renewable energy Mission Accomplished! Quadrupled OG&E’s wind power capacity by 2012 Increased transmission capacity to enable OG&E and others to deliver wind-generated power from western Oklahoma to load centers Provided OG&E communities and customers choice of being up to 100% “green power” users Responsible development model: Executed first two MOA’s with Wildlife Department to offset wildlife habitat impacts.

OG&E’s Renewable Efforts….. 50 MW “Sooner” wind farm 120 MW “Centennial” wind farm 101 MW “OU Spirit” wind farm 130 MW “Taloga” wind farm 150 MW “Keenan” wind farm 227 MW “Crossroads” wind farm 60 MW “Blackwell” wind farm Note: Orange denotes OG&E owned wind projects. Total of 840 MW installed by EOY 2012! 10% of annual energy produced

4 Why Does OG&E want Wind? Helps to keep our electric prices low by offering: Fuel Hedge Emission Hedge Our Customers’ want WIND Contributed to diversification of rural income streams

OG&E Transmission Expansion: 345kV Projects 5 Woodward (OG&E) Hitchland Tuco Cleveland Hugo Anadarko (OG&E) Seminole (OG&E) Muskogee (OG&E) Sunnyside (OG&E) Windspeed OG&E Projects Non-OG&E Ownership Sooner (OG&E) (To Rose Hill) (To Kansas) OG&E earned right to build ~ $1.5 Billion in new 345kV EHV transmission 2012 Potential Build

Site Plan

Map of Crossroads (Over 40,000 acres) 7

Wind Turbine Overview

Power Curves for Two Different Turbines 9

Power Equation P= 1/2 p x A x V 3 10 Can’t change air density Can work with Area (blade length) Can work with Velocity (tower heights, blade design)

Turbine Characteristics Turbine 389 ft Overall height Football field 360 ft (Including end zones) Statue of Liberty 375 ft Nacelle mounting height 80 M (262 ft) Centennial Blade diameter 77 M (253 ft) OU Spirit Blade diameter 93 M (306 feet) Crossroad Wind diameter 101M (328 feet)

Turbine Characteristics with 80 meter towers 77 Meter Blades Height 389 feet 93 Meter Blades Height 415 feet Swept Area +46% 101 Meter Blades Height 428 feet Swept Area +72%

Current Technology – Crossroads Siemens SWT Rated 2.3 MW Cut-in wind speed 8.95 mph Rated wind speed mph Cut-out wind speed mph Tower height 80 m. Rotor diameter 101 m.

Next Gen Technology - Crossroads Siemens SWT Rated 3.0 MW Same specs as the , but with 50% fewer moving parts. No gearbox, uses a direct drive system. OG&E first to install this model in the U.S.

15 Wind is Energy, Not Capacity

16 Questions & Discussion