©2013www.sandc.com Energy Storage Is Here David Chiesa – Director, C&I and Microgrids

2 Energy Storage Technologies 2-MW System – Ohio 1-MW System – West Virginia 2-MW System – Indiana 1-MW System – Minnesota 2 x 1-MW System – North Carolina 2-MW System – West Virginia 1-MW System – Catalina 1-MW System – Australia 1-MW System – Scotland 1-MW System – Canada 4-MW System – California 2-MW System – Alameda 1-MW System – New Mexico 4-MW System – Texas NaS Li-Ion Advanced Lead Acid NaNiCl 1-MW System – Missouri 2-MW System – California 1-MW System – Canada

3 Technologies

4 Applications 2-MW System – Ohio 1-MW System – West Virginia 2-MW System – Indiana 1-MW System – Minnesota 2 x 1-MW System – North Carolina 2-MW System – West Virginia 1-MW System – Catalina 1-MW System – Australia 1-MW System – Scotland 1-MW System – Canada 4-MW System – California 2-MW System – Alameda 1-MW System – New Mexico 4-MW System – Texas Islanding Renewables MicroGrid T&D Deferral 1-MW System – Missouri 2-MW System – California 1-MW System – Canada

5 Benefits – Santa Rita Jail Microgrid

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7 Benefits – Duke Rankin

8 Benefits – Catalina Island

9 PureWave® CES Li-Ion Battery Charge/ Discharge LED Indicators Charge=GreenDischarge=RedIdle=White S&C’s Frequency Regulation Demonstration

10 S&C Electric Co. Market Participation Summary Energy Exchanged (MWh) Est. Revenue ($) $xxx.xx xxx.xx Today $xxx.xx xxx.xx This Week $xxx.xx xxx.xx This Month $xxx.xx xxx.xx This Year Today’s Clearing Price ($/MWh) $XXX.XX System Overview PJM System Performance (REGD Signal) FinanceHistory Energy Storage PJM Frequency Regulation Response System

11 Fast Frequency Regulation Signal & S&C Response time kW Speed 2 secs 5 secs 10 sec Response ● Accuracy ● 5mn 10mn 30mn System Overview PJM System Performance (REGD Signal) FinanceHistory Energy Storage System Performance: Signal and Response Battery SOC

12 Clearing Price Criteria Clearing price = (capability + mileage*performance)*(performance score) Spot market clearing price in $/MWh base on 5-minute intervals Pricing Data – History Samples Pricing is done in $/MWh During 2014 Polar Vortex - Highest was $3,000/MWh Average price during the last 18 months: $44/MWh Price range since S&C entered the PJM market: $0 - $425/MWh Milestones & Performance

13 Questions? David Chiesa – Director, C&I and Micrgorids David Chiesa – Director, C&I and Micrgorids – Go learn more at: sandc.com/energystorage