1. ECO SOLUTIONS CANADA CanSIA May 2016 Role and Perspective of the Electricity Distributor

2. Agenda Panasonic Background – Business evolution – Energy storage projects – impact on utilities Key Issues and Challenges

4. Panasonic is a global leader in Li-ion battery technology with proven track record for high capacity production, quality, performance consistency and focus on safety – Key business partner & supplier to Tesla Well positioned to realize significant business growth opportunities – Large scale production with Giga factory Distinct ability to provide project finance wrap which is key to long term power purchase agreements Why Energy Storage?

5. Large Commercial Energy Storage Solutions – BCIT OASIS MICROGRID PROJECT 250kW Solar PV Parking Canopies 500kWh Li-ion Storage & PCS EV Charging Station Panasonic Li-ion Battery Module 1.79kWh MW

6. Inside the BESS – BCIT OASIS MICROGRID PROJECT

7. Grid-tied’ islanded microgrid at the University of Ontario Institute of Technology (UOIT) campus in Oshawa, Ontario, Canada

8. Hybrid Inverter Li-ion Battery Backup Sub-panel Data Logger Illustration of Typical Set-up Residential Battery Energy Storage Solution

9. Residential BESS Monitoring

10. Residential BESS Reporting

11. Consumer behaviour changes impacting utilities – Greater awareness on electricity consumption due to rising costs and impact on competitive local economies – Consumers, (residential, industrial & commercial) of electricity taking action to reduce costs – New technologies will empower consumers and provide feasible options for going off grid – Utilities traditional revenue models will be impacted Key Issues & Challenges for Utilities

12. Commercialization model for large scale battery based energy storage. Many markets still in demo mode. Rapidly changing technology & costs need to come down further to drive mass adoption. How will utilities choose to utilize the technology and interact with customer? – Centralized control by utility – Interactive control with customer

13. Utilities - Areas for Improvement Time consuming and often frustrating dealing with multiple LDC complexities with unique connection agreements Varying connection costs Lead times for approval & implementation Technical requirements & administrative policies with multitude of Ontario LDC’s

14. Thank you.