Mark Studenic Energy Production Superintendent ENERGY PRODUCTION (OPERATIONS)

2 Operations – Maintenance Interaction  Operations: Determines “what” and “when” for corrective maintenance Leads daily production meetings Initiates repair requests Performs minor maintenance  Maintenance: Determines “who” and “how” Plans, schedules and executes maintenance work  Preventive/predictive maintenance  Most corrective maintenance  Outage management

3 Operations - Staffing  Four rotating shift teams Job TitleNumber/TeamTotal Energy Production Supervisor I14 Energy Production Supervisor II28 Unit Operator624 Equipment Operator832 Control Technician14 Maintenance Mechanic14 Trainer1 Coordinator1 Total1978

4 Operator Training & Development  Simulator sessions  Structured classroom training  On the job training  Written tests (monthly) Enhance system knowledge Coaching process  Operating procedure reviews (monthly)  Other Business plan (annual) New installations

5 Disciplined Approach Equipment Check Sheets  Daily  Weekly  Monthly  Quarterly  Annual  Start-up/Shut down  Outage Performance Measures  Commercial Availability  Dispatch Accuracy  Communications  Heat Rate  NOx Reduction Performance  Environmental Performance  Safety Performance  Knowledge Tests

6 Performance Optimization Tools  PI (Process Information) Trends Scorecards  Operating procedures  Alarms/Annunciators  Personnel development processes

8 Operations - Challenges  Aging workforce – loss of knowledge  Aging plant – increased system failures (cables, piping, etc.)  Training – new hires, new processes, new technology  Environmental performance optimization  Raising standards for excellence Disciplined approach (check sheets) Scorecards  Cycling units (units 1-4)

9 Material Handling (Coal Yard)  Highlights: Burn approximately 2.72 million tonne/year (3 million tons/year) All coal received by train Rapid discharge rail car unloader Coal cost $/tonne ($/ton) Sulphur Kg/Million Kcal (lbs/MMBtu) Units 1-4$31 - $41 ($35 - $45) 6.3 – 10.8 ( ) Unit 5 $36 - $45 ($40 - $50) 2.9 – 6.3 ( )

10 Rail Car Unloader  One of a kind in AEP System; 1995  Completely automated  Unloads train at 3,356 tonnes per hour (3,700 tons per hour)  Train moves continuously at 0.48 Km/hour (0.3 MPH)  Equipped with top mount traveling rail car shaker

11 Ash Utilization  Flyash- No commercial use  Unit 5 Bottom Ash No commercial use Used internally for dam construction and fill material  Units 1-4 Boiler Slag 79% is processed and sold for roof shingles and sand blasting agent 19% is sold to local townships for roadway ice control 2% is stored on site as waste product  Cenospheres

12 Chemical Lab  Highlights Oxygenated feedwater treatment- unit 5 Reverse Osmosis System- unit 5 Circulating water copper corrosion inhibitor- unit 5 Cycle water sample conditioning system Caustic feedwater treatment- units 1-4 On-line cycle water instrumentation

13 Questions?