1. BRITTA K. GROSS DIRECTOR, Advanced Vehicle Commercialization Policy Energy Solutions Conference 24 March, 2016

3. PHEV EREV BEV Plug-in Hybrid Electric Vehicle Battery Electric Vehicle Electric Vehicle with “Extended-Range” Plug-in Electric Vehicles (PEVs): Includes PHEVs, EREVs and BEVs Chevy Spark EV Chevrolet Volt Nissan Leaf Plug-in Prius Tesla S Ford Focus Ford C-MAX Energi Cadillac ELR Ford Fusion Energi Honda Accord Plug-in 10-20 EV miles 40-60 EV miles 80-200 EV miles

4. Why Target 40 Miles? 40 Miles Is the Key to Daily Driving The Importance of 40 miles of Daily Electric Driving Based on U.S. Department of Transportation 2003 Omnibus Household Survey 78% of customers commute 40 miles or less daily

5. EPA label: EV @ 106mpge (53 miles) + Gas @ 42mpg comb = total 420 mile range EPA label: Saves $5,500 in fuel costs over 5 years Electric Vehicle (with a Range-Extender) BATTERY > 50 miles Electric Drive Driving on Gasoline EXTENDED RANGE > 350 miles + miles > 400 Volt Total Range

6. DOE analyzed 8 PEV models The Volt provides electric miles (eVMT) similar to BEVs U.S. Department of Energy (DOE) “EV Project” Data Source: http://avt.inel.gov/pdf/prog_info/eVMTAnalysisResultsOct2014.pdfhttp://avt.inel.gov/pdf/prog_info/eVMTAnalysisResultsOct2014.pdf VMT = Vehicles Miles Traveled eVMT = Electric Vehicle Miles Traveled

7. More range  420 mile total range -- 53 EV miles (40% improvement) More fuel economy  41 MPG / 102 MPGe More performance  0 to 30 in 2.6 seconds (19%); 0 to 60 in 8.4 seconds (7%) $33,995 ($26,495 after federal incentives) Gen 2 Volt owners may expect… –Nearly 90% of trips will be all EV (in moderate climates, such as CA, TX and FL) –More than 1,100 miles between gasoline fill ups –To displace 25% more gasoline 2 nd Generation EREV: Chevrolet Volt (Fall 2015)

8. Industry-changing Battery Electric Vehicle More range  200 mile range (2.5x improvement) More availability  50-state availability $30,000 (net federal incentives) To be built in Michigan at Orion Assembly 2 nd Generation BEV: Chevrolet Bolt EV (Fall 2016)

9. 22 Million battery cells produced Fewer than 2 problems per million cells produced Chevrolet Volt Battery Cell Quality Industry-leading battery quality “Pharmaceutical-level quality” Total Miles Driven = 1 Billion miles EV Miles Driven = 700 Million miles Fuel Saved = 36 Million gallons +

10. J.D. Power APEAL winner for satisfied customers for three years Volt Customers Describe Their Car

11. Early 1st Gen PEV Rollout: 2010-2011 Plug-in Ready Communities Dedicated project leader State, city, county Clean Cities Orgs/AQMD DOT Utilities (municipal and regional) Regulators/public utility commissions Permitting and code officials Local employers Local universities Desired Enablers Government Fleet Purchases Building Codes to Include Home Charging Enablers Green/Renewable Charging Options Vehicle Purchase Incentives Low Off-Peak Charging Rates (e.g. to encourage nighttime charging) Game Plan Infrastructure/Incentives/Educational Outreach Charging Installation Incentives (Home, Work, Public) HOV Lane Access Free Charging Free Parking Required Stakeholders

12. Early 1st Gen PEV Rollout: 2010-2011 Education and Outreach Resources Chevrolet.com/volt ChevroletVoltage.com Chevrolet Volt Websites GoElectricDrive.com (collaborative industry website) PluginMichigan.org (State task force website) State Task Force GMstc.com (GM First Responder website) EVSafetyTraining.org (GM and NFPA partnership) First Responder Training with NFPA ProjectGetReady.org (EV-readiness guidelines) ProjectGetReady.org (EV-readiness guidelines) EV-Ready Cities! Electrician Training/EVITP NECAnet.org (Multi-day certification training)

13. Legislation and Incentives Infrastructure Industry Standards Analysis Education and Awareness Engaged Partners and Stakeholders have played critical roles in EV market growth U.S. PEV Partnering Landscape State Task Forces and “Conveners”

14. Largest existing auto-utility collaborative effort -- formed in 2007 Over 50 utility members and the Electric Power Research Institute (EPRI) Focus areas: Aligned Messaging and Policy Priorities, Customer Outreach and Infrastructure, Vehicle- to-Grid Technology, New Business Opportunities Sacramento Municipal UD San Diego Gas & Electric PacifiCorp Tri-State G&T Hydro-Québec Arkansas Electric Coop Dairyland Power CMS Hoosier Southern Company - Georgia Power EnWin NYPA Central Hudson PSEG ComEd CPS Energy BC Hydro Southern California Edison Hawaiian Electric Co. Great Plains Energy FirstEnergy Constellation Energy Northeast Utilities NY ISO PJM Seattle City Light Salt River Project Austin Energy Great River Energy DTE ConEd Hydro One Pepco Tennessee Valley Authority Portland General Electric Snohomish County PUD No. 1 Nebraska Public Power Dist. We Energies AEP Duke / Progress Energy Ameren Services Hetch Hetchy W&P Rochester G&E National Grid / LIPA Pacific Gas & Electric Golden Valley Electric Assn. Manitoba Hydro CenterPoint Energy Lincoln Electric Dominion United Illuminating Avista Corp. Madison G&E Arizona Public Service Oncor Duke / Progress Energy NV Energy TECO OUC FPL LA DWP LBW&L WPS UPPCO NStar PECO IP&L TEP OGE GM / EPRI / Utility Collaboration: Mississippi Power Alabama Power Gulf Power SWEPCO PSO Kentucky Power Appalachian Power I&M JEA

15. Pres. EEI Tom Kuhn with his Volt NV Energy Volt charging EPRI with Volt at Plug-in 2011 TECO Outreach Event 2011 Tampa, FL EEI with the Volt at the Congressional Ballgame at Nationals Stadium TVA’s Volt license tag PJM CEO Terry Boston - with his Volt Growing the PEV Market: Engaged Utility Industry Partners DTE’s Volt

16. The education, awareness, and promotion value of these efforts magnifies the incentive value. Examples of Meaningful Engagement – Central/Eastern U.S. DTE and Consumers Energy (MI): $2,500 home 240V rebate (5,000) Green Mountain Power: $3,000 employee EV rebate + $2,000 as 6mo EV ambassador PSE&G (NJ): Workplace Charging – 150 free 240V EVSE’s to businesses KCP&L (MO, KA): Install & Operation 1,000+ charging stations JEA - Jacksonville Energy Authority (FL): $1,000 vehicle rebate Alabama Power (AL): $1,000 rebate - $750 to PEV buyer; $250 to dealership FPL (FL): 2013 -- 100 outreach and events o 57 outreach - presentations, meetings with customers o 80 events (includes ride and drives, booths, electric vehicle display) Role of Utilities| Customer Engagement

17. Consumer Charging Behaviors Home Charging: ($1.70 per night for 40 miles of EV driving – U.S. avg) – 60-80% of all charging is done at the home – 50% of Volt buyers use a 120V outlet (L1) to charge overnight Workplace Charging: – 30-40% of all charging is done at work (if they offer workplace charging) – DOE data shows employees with access to workplace charging are 20X more likely to purchase an EV (both L1 and L2 charging can make sense) – Proving to be the most helpful promoter of PEVs through awareness and incentive Public Charging: – 3-4% of all charging is done in public – DC Fast-Charging as a Home-Charging Alternative for MDUs (apartments,…) – DC Fast-Charging as a solution for longer range driving (perception matters)

18. Maryland 10 Connecticut 2 Kentucky 12 Georgia 2 New York 53 Ohio 44 Michigan 325 Indiana 12 Illinois 4 Kansas 2 Arizona 2 Texas 3 California 24 501 GM WORKPLACE CHARGING STATIONS Including 25 Assembly Plants Also: Chevrolet and Cadillac dealers have installed approximately 5,900 charge stations at their locations for owner use – 17 of these dealerships use solar charging canopies. (19% Solar; 2 ADA friendly; 400 add’l private; 66% 240V and 33% 120V ) Tennessee 6

19. DOE’s Workplace Charging Challenge Partners  Goal is tenfold increase in partnering companies in 5 years! Employees of companies with workplace charging are 6x more likely to purchase an EV, than companies with no workplace charging (DOE) Currently 255 Partners Source: DOE’s Energy Efficiency and Renewable Energy (EERE); eere.energy.gov

20. Public Charging: Why a Retailer Might Just be Interested Source: http://www.chargepoint.com/files/casestudies/73-001053-01-2-CS-Retail-Retail-01.pdf “RetailCo’s” 9-month study of a California location with EV charging: 1,134 unique charging sessions took place Average customer in-store dwell time increased from 22 to 72 minutes (327% increase) Cost of electricity = $430 Gross revenue increased approximately $56,000 (average spend at RetailCo is $1 per minute) Nationwide rollout of EV charging now underway EV charging at a national retailer’s store increased in-store dwell time from 22 to 72 minutes (327%)

21. DC Fast-Charge Infrastructure Strategy (state-by-state) -Build consumer confidence in ability to drive an EV “anywhere” -Show state leadership -Strategic, methodical, cost-effective placement of DC stations

22. What is Required of Utilities and Utility Regulators A growing PEV market benefits everyone Individual benefits: fuel savings, quiet and exciting ride & handling Society benefits: energy security, environment (local air, climate), and grid reliability Utility benefits: a smart load that drives new revenue to keep rates low Utilities need to be active participants in growing the PEV market This is a “learning” transition and requires hands-on experience to shape next steps The PEV market will not escape “niche” unless utilities (and regulators) get involved Active role in home, workplace and DC fast-charging PEVs are already very smart and will do most charging at home – utilities will want to ensure good load balancing across the service territory (off-peak EV rates, smart charging) Workplace charging is key to growing PEV awareness and corporate relationships are key to utilities - a utility will want to ensure healthy corporate engagement A basic network of DC fast-chargers will grow BEV adoption among fence-sitters Active role in PEV outreach and education Utilities are trusted 3 rd parties and operate at a local level – key for building awareness Longer term – pilot projects Utilities need to probe the role of PEVs in ancillary services, V2H, V2G, and battery secondary use to address growing issues in renewables, intermittency, storage, outage

23. How does a state benefit economically from EVs *Economic studies commissioned by Securing America’s Future Energy (SAFE) and the Electrification Coalition, and prepared under the direction of Keybridge’s Robert F. Wescott, Ph.D., former economic advisor to President Clinton; uses the REMI, Inc. economic model. Washington* value of EV sales tax exemption: State GDP increases $ 25mil over 5 years ($68mil through 2030) EV drivers save $29mil in fuel costs over five years ($145mil through 2030) 1.Electricity is cheaper than gasoline PEV owners spend less on fuel costs and thus can spend more on other locally/state-produced goods and services 2.Federal tax credits PEV purchasers qualify for the federal $7,500 EV income tax credit, which increases cash inflows to the state’s households Georgia* value of EV tax credit: State GDP increases $ 107mil over 5 years ($252mil through 2030) EV drivers save $95mil in fuel costs over 5 years ($453mil through 2030) Oregon* value of proposed EV rebate : State GDP increases $ 38mil over 5 years ($83mil through 2030) EV drivers save $32mil in fuel costs over five years ($153mil through 2030) Ohio** value of EV sales: For every $1 spent on gasoline, only 16.4 cents remains in Ohio’s economy If 5% of Ohio’s vehicles were PEVs, EV drivers would save $600mil/yr, freeing up spending for other locally/state-produced goods and services **Economic analysis performed by AECOM, with Quercus California*** value of EV sales: Net benefit of a PEV is approximately $5,000 over the life of the vehicle ***CalETC’s Transportation Electrification Assessment (October 23, 2014)

24. Current Key EV (vehicle) Incentives by State 13 States (plus WDC) offer vehicle incentives: rebates, state income tax credits or sales/excise tax exemptions Rebate: CA – $2,500 BEV; $1,500 PHEV CT - $3,000 (>18kWh); $1,500 (>7kWh); $750 (<7kWh) ($800k fund) IL – $4,000 BEV/EREV (currently suspended) MA – $2,500 BEV/EREV; $1,500 PHEV ($3.72Mil fund) NJ - $xxx BEV only PA – $2,000 BEV/EREV (>10kWh); $1,000 (<10kWh) (250 limit) RI - $2,500 BEV/EREV (>18kWh); $1,500 (<$18kWh) ($200k fund) TN - $2,500 BEV; $1,500 PHEV ($682.5k fund) TX – $2,500 BEV/EREV (>4kWh) (2,000 limit) Other Notes: CA – San Joaquin rebate of $3,000 BEV; $2,000 EREV FL – JEA rebate of $1,000 BEV/EREV (>15kWh) VT – Drive Electric VT – was $500; Phase 2 planned State Income Tax Credit: CO – $6,000 BEV/EREV GA - $5,000 BEV LA – $1,500 BEV/EREV SC – $2,000 PHEV only? (>9mi) UT – $1,500 BEV/EREV (>10kWh); $1,000 PHEV Sales Tax Exemption: DC – $2,400 value (Volt) MD – $2,300 value (Volt) WA - $2,000 value (BEV/EREV) – Volt not likely to qualify based on most recent language (efforts ongoing to rework language in a new bill) HOV = AZ, CA, FL, GA, HA, MD, NV, NJ, NY, NC, TN, UT, VA WDC MA Green is BEV/EREV (Volt/ELR) Blue is BEV only ZEV States = CA, OR, NY, NJ, VT, ME, MA, CT, RI, MD Add’l Section 177 States = WA, DE, PA, GA, NC, NM Expiration Dates: PA – 12/31/2015 UT – 12/31/2016 SC – 2017 MD – 6/30/2017 WA – July 1, 2019 CO – 2021 CA – annual review MA – no sunset LA – no sunset DC – no sunset IL – suspended 3/2015 TX – expired 6/26/2015 GA – ended 7/1/2015 RI – til funds expire CT 2/29/2016 RI NJ

25. What will it take to Grow the PEV Market? Drive Consumer Demand! ‒Keep a Laser-like Focus on the Vehicles Build Awareness ‒National Awareness Campaign ‒Ride and Drives  Butts-in-Seats Install Charging Infrastructure at a faster pace (incl. role for utilities) ‒Workplace Charging ‒Public DC (SAE Combo) Governments ‒Grow and maintain incentives near term to drive private investment ‒Stay steady until we reach a meaningful tipping point

26. THANK YOU

27. Plug-in electric vehicles are supported by leading environmental organizations Environmental Support for PEVs: Natural Resources Defense Council NRDC (Max Baumhefner, 5 Aug 2013) – “Numerous peer-reviewed articles have reached the same conclusion — from cradle to grave, electric cars are the cleanest vehicles on the road today.” “Before NRDC began advocating for vehicle electrification, we did our own homework, publishing a two-volume report in partnership with the Electric Power Research Institute. The work took almost two years and concluded that a long-term shift to the use of electricity as a transportation fuel provides substantial reductions in carbon pollution and air quality benefits.” “Even with today’s technology, on a lifecycle basis, the electric car is still the cleanest option available. Higher emissions from manufacturing are more than offset by the substantial benefits of driving on electricity. We examined six peer- reviewed academic studies and found that in every case, electric vehicles win by a substantial margin, with estimates ranging from 28 to 53 percent lower cradle-to-grave emissions than conventional vehicles today.” Source: Full report at http://switchboard.nrdc.org/blogs/mbaumhefner/academic_consensus_electric_ca.html http://switchboard.nrdc.org/blogs/mbaumhefner/academic_consensus_electric_ca.html

28. Plug-in electric vehicles are supported by leading environmental organizations Environmental Support for PEVs: Union of Concerned Scientists Source: Full article at http://www.ucsusa.org/news/press_release/electric-cars-are-getting-cleaner-0436.html Regional estimates for global warming emissions for the 26 electricity grid regions across the US (UCS’ 2012 State of Charge analysis)UCS’ 2012 State of Charge analysis UCS (September 16, 2014) – “…the average EV continues to achieve lower global warming emissions than the average new conventional gasoline vehicle no matter where a U.S. driver lives, and is the best choice for reducing global warming emissions for the majority of American drivers.” “Sixty percent of Americans live in regions [incl. NY, FL, TX, CA,…] where EVs... beat any hybrid on the market when it comes to reducing emissions”. “If we want to reduce transportation pollution and oil use, a big part of the answer is to be like Bob Dylan and go electric.” The combination of vehicle efficiency improvements and more recent power electricity emissions data directly translate to lower global warming emissions from driving an EV. In New York State, EVs achieve the best EV performance at 112 mpg equivalent In California, EVs achieve the equivalent of 95 mpg”