1. Energy Star Heat Pump Water Heating Program May 25, 2011 Dennis Rominger Program Manager 425-456-2396

2. 2 Puget Sound Energy’s Service Territory  Washington state’s oldest and largest energy utility  6,000-square-mile service area stretching across 11 counties  Puget Sound Energy serves more than 1 million electric customers and nearly 750,000 natural gas customers. All Electric All Gas Electric and Gas

3. 3 Heat Pump Water Heater Program Details Heat Pump Water Heater - $250 Rebate Incentive – 2,000 kWh/Year Savings Must install an Energy Star Certified Heat Pump Water Heater Heat Pump Water Heater must be installed outside conditioned living space such as a garage, attic, or crawl space HPWHs cost about $2,500 installed and last about 15-years. Federal Energy Tax Credit – up to $300 that meet Energy Star criteria of 2.0 EF or better. 2010 PSE Program Goals = 500 2010 PSE Actual Rebates = 100 2011 PSE Program Goals = 400 2011 YTD Rebates = 63

4. 4 Heat Pump Water Heaters  Compared to resistance electric storage water heaters  2 times + efficiency  Slower recovery  Makes noise  Will cool and dehumidify the air around unit  Needs 700 to 1000 cu. Ft. of free air around unit  Ideally installed in locations that remain 40 degrees minimum year-round the majority of the year  Setting Configurations  Energy Saver/e-heat  Hybrid  Normal Electric resistance  Vacation Mode  Federal Standard in 2015 (tanks > 55 gallons)

5. 5 Heat Pump Water Heater Installation Tips  Sizing differences  Electrical  Plumbing  Additional Plumbing  Choose the Correct Size  Noise Mitigation  Tight Straps  Foam  Garage and other locations

6. 6 Special Program Marketing  Contractor/Dealer Outreach  Webinar Training  Distributor Outreach  Retail Signage  Heat Pump Water Heater Bill inserts  Co-branded Marketing Campaigns  Other Radio Advertising  Community Outreach  Call Center Education  Free Co-branded Flyers for Contractors  www.PSE.com/foryourhome www.PSE.com/foryourhome

7. Dennis Rominger 425-456-2396 dennis.rominger@pse.com