From Analysis to Action: Demonstrating the Technologies Steven Specker President and CEO 2008 Summer Seminar August 5, 2008

2 © 2008 Electric Power Research Institute, Inc. All rights reserved. Demonstrations Needed PC with CCS IGCC with CCS Lower-cost O 2 production Integration of large-scale renewables Efficiency for end-use applications Integration of load-side resources into virtual power plant Plug-in hybrid electric vehicles Demonstration Projects DescriptionSize Estimated Cost We Energies: Pilot scale chilled ammonia 1.7 MW$15+ M AEP: Chilled ammonia with CO 2 sequestration. Initial project may be scaled up to 200 MW upon successful completion 20 MW$130 M Southern Company: Advanced amine with CO 2 sequestration 25 MW$150 M Scaled-up IGCC CCS demos (3) Up to 600 MW $450 M DOE/Air Products: ITM oxygen demo 150 tons/day$75 M Advanced design for compressed air energy storage (CAES) below and above ground 300 MW 10 H 15 MW 2 H $206 M $26 M

3 © 2008 Electric Power Research Institute, Inc. All rights reserved. Demonstrations Needed PC with CCS IGCC with CCS Lower-cost O 2 production Integration of large-scale renewables Efficiency for end-use applications Integration of load-side resources into virtual power plant Plug-in hybrid electric vehicles Demonstration Projects DescriptionSize Estimated Cost 6 hyper-efficient end-use technologies 45 sites$23 M Interoperable smart grid8 sites$90 M Demonstration of light duty plug in hybrid electric vehicles (GM and Ford) 40 vehicles$20 M

4 © 2008 Electric Power Research Institute, Inc. All rights reserved. $4.2M $6.1M $3.4M $32.5M $13.2M $3.2M $2.4M Board Leadership of Demonstrations Needed Funding Projected Funding – August 1, 2008 $ Millions $50M $22M $8M $5M $6M $5M $4M ’08 GoalPC/CCSIGCCITM O 2 CAESEESmart Grid

5 © 2008 Electric Power Research Institute, Inc. All rights reserved. Action Framework… Four Evolving Infrastructures Creating the Electricity Network of the Future