Demand Response in Ontario Past Present and Future July 17, 2014

Confidential Rodan is a provider of smart grid and energy management solutions for power producers, consumers and distributors throughout North America Our full suite of services includes: EnerShift Demand Response Metering & Smart Grid Services Energy engineers (Energy Audits) and measurement and verification Conservation and Demand Management Implementation Services EnerVu Energy Monitoring Power Reliability Power Systems Engineering & Construction Introduction to Rodan Energy

Confidential Rodan is the only Ontario based DR3 aggregator licensed by the OPA with our Head Office and Operations Centre located in Mississauga, Ontario We have over 30 years experience on the ground around the province. First DR Aggregator in Ontario with the York DR program Worked as an advisor to the OPA in development of new DR programs Largest DR 3 aggregator with over 50% of provincial load – over 170MW Introduction to Rodan Energy

Confidential Short term cost effective reduction in Electrical Demand based on a signal from the System Operator What is Demand Response? Typical Forecast Reduced Demand Source IESO June 2014

Confidential How do you Participate? Water Treatment Curtail or postpone pumping Generator use Cold Storage Turn off coolers Plastics Curtail Regrinding General Sub Processes, Battery Charging etc General Curtailment Strategies -Air Handler – Cycle on/off -VFD’s – reduce speed by 10% to achieve 27% reduction in power -Elevators – can one or more be turned off for 4 hrs - Chillers – pre cool -Lighting -Roof top AC Units – can they be controlled outside of BAS to respond to DR activations

Confidential Interruptible Rate York DR DR 1 and DR 2 DR3 Peak Saver ICI ( Global Adjustment Avoidance) Demand Response Past and Present

Confidential LTEP – 10 % or approx 2400 MW by 2025 Transition to the IESO Transitional Pilot Program Jan Capacity Markets 2016 and beyond Demand Response -Future

Confidential William Grove, Business Development, Demand Response RODAN ENERGY SOLUTIONS INC. 165 Matheson Blvd. East, Suite 6 Mississauga, ON L4Z 3K2 (905) x Q&AThank you! Enabling tomorrow’s Smart Grid today