1. Commercial Energy Efficiency Program GAPPA May 27, 2014

2. Agenda  Georgia Power Update  Energy Efficiency Programs  Commercial Program Results  University Participation  2014 Commercial Program  Contact Information

3. Georgia Power Update  2.4 Million Customers  17,585 MW of Generation Capacity CapacityEnergy Coal 50% 35% Nuclear 11% 23% Nat. Gas 33% 39% Hydro 6% 3%  Closing 15 Coal Plans…Opening 2 Nuclear Units

4. Renewables  Biomass  Solar: 800 MW by 2016  Wind: 250 MW by 1/1/2016  Energy Efficiency Programs

5. Georgia Power Energy Efficiency Programs  Commercial Energy Efficiency Program  Existing Home Energy Improvement Program  Earthcents New Home Program  Energy Star Appliance Rebates  Refrigerator Recycling  Lighting Markdown Program  Low-income Weatherization

6. Commercial EE Program Results  4 th Year of Commercial Program  395 GWh’s reduced –= 30,000 homes –= GA Southern & UGA combined –@ $0.10/kWh = $39.5 million  2013 Integrated Resource Plan

7. University Participation » 2011-2013 2014 YTD TOTAL »  Incentives$682,000 $136,000 $818,000  GWH Reduction 26 3.6 29.6  Universities = 6.5% of Program Total  2013--33% Decrease in kWh Reduction!!!

8. 2014 Commercial EE Program  Lighting  Heating & Cooling  Water Heating & Water  Reflective Roofing  Food Service & Grocery  NEW - Small Commercial  NEW - Custom Savings

9. 2014 Program Updates: Lighting  Lighting Incentive Cap*: $0.20/watt reduced capped at $25,000 per building per year –Interior and canopy fixture upgrades and lamp/ballast retrofits  Outdoor pole-mounted lighting*: $0.20/watt reduced capped at $10,000 per building per year –Retrofit and metered systems only –Incentive payments must go directly to customer

10. 2014 Program Updates: Lighting  Screw-in lamps/Exit Kits −Replace incandescent/halogen −Other lamps and fixtures are $/watt reduced with cap −Must be approved by DLC, Energy Star, or LDL −Capped @ 50% of equipment cost and $25,000 per bldg. per year  New construction or major renovation lighting power density requirement : 10% below ASHRAE 90.1-2007 (from 30%) −$0.20/watt reduced capped at $25,000 per bldg. per year  Daylight sensors: $25/sensor (new and existing buildings)

11. Sample Project: University Library Lighting Retrofit Existing Lighting System:Proposed Lighting System:Economics: 900 4-lamp T12 fixtures 148 system watts 133,200 total watts 900 2-lamp T8 retrofit kits with 28- watt lamps 49 system watts 44,100 total watts Estimated project cost: $75,000  Georgia Power rebate: $17,820  Approximate annual energy savings: 445,000 kWh/year  Payback: under 2 years with rebate

12. 2014 Program Updates: Heating & Cooling  HVAC Variable Frequency Drives (VFDs): $50/horsepower  Air-cooled AC units, air-to-air unitary heat pumps, and water-source heat pump –AC unit: Tier 1 - $20/ton Tier 2 - $30/ton –Heat pump: Tier 1 - $40/ton Tier 2 - $60/ton –Water-source heat pump: $50/ton  Other high-efficiency HVAC equipment : Custom Savings

13. NEW Custom Savings: Overview  Incentive *: $0.08 / kWh reduced capped at $25,000 per building per year –Site-specific measures not included in lighting or other equipment rebates ($/unit) –New equipment installation only –Examples: Energy management systems, chillers, motors, demand control ventilation –Not available for changes in behavior or O&M strategies  Pre-approval required : Application and engineering analysis must be submitted in advance of purchase/install –Technical staff will conduct a review of documentation to verify energy calculations *up to 50% of project cost

14. Custom Savings – Application  Custom Savings application must include: 1.Baseline Energy Consumption 2.Proposed Energy Consumption 3.Proposed Costs  Baseline and proposed system descriptions and documentations – Written proposal from Service Provider – Energy Models or Calculation Sheets (Trace, eQuest, etc) – If a spreadsheet is used, send an “active” copy with formulas – Include equipment, labor, and material costs as applicable 14

15. 2014 Updates: Project Cap Review *Unless eligible for a $/unit incentive (LED screw-in lamps, CFLs, etc.) **Up to 50% of project cost No cap on occupancy sensors, heating and cooling, or other $/unit eligible equipment Project TypeIncentive Rate* Cap per building per year** High-Efficiency Lighting$0.20/watt reduced$25,000 LED/CFL Lamps & Exit$/unit$25,000 NEW Custom Savings $0.08/kWh reduced$25,000 NEW Outdoor Pole- Mounted Lighting $0.20/watt reduced$10,000 Reflective Roofing$0.05/sq. ft.$10,000

17. Program Contacts  Your Key Account Manager  www.georgiapower.com/commercialsavings www.georgiapower.com/commercialsavings  GPC Commercial Energy Efficiency Contacts –Steve Morton:404.218.8975 ssmorton@southernco.comssmorton@southernco.com –Tommy Thurmond:706.540.1438 rthurmon@southernco.comrthurmon@southernco.com –Lily Chiang:678.520.3811 lchiang@southernco.comlchiang@southernco.com

18. Photo Sources  CFL: http://www.thewheatln2.com/2011/02/03/bye-bye-incandescent-bye-bye-cfl-buy-led/http://www.thewheatln2.com/2011/02/03/bye-bye-incandescent-bye-bye-cfl-buy-led/  LED Exit Sign: http://news.thomasnet.com/fullstory/White-LED-Exit-Sign-Bulbs-can-replace-incandescents-508835http://news.thomasnet.com/fullstory/White-LED-Exit-Sign-Bulbs-can-replace-incandescents-508835  Occupancy Sensor: http://www.smarthomeusa.com/ShopByManufacturer/Leviton/Item/ODC0S-I1W/http://www.smarthomeusa.com/ShopByManufacturer/Leviton/Item/ODC0S-I1W/  HVAC Unit: http://www.solarac.com/http://www.solarac.com/  Duct Sealing: http://www.designairohio.com/IAQ/air-ducts.htmlhttp://www.designairohio.com/IAQ/air-ducts.html  Reflective Roof: http://www.vehiclenightvision.com/2011/06/thermal-image.htmlhttp://www.vehiclenightvision.com/2011/06/thermal-image.html  Water Heater: http://www.benfranklinplumbingbirmingham.com/conventional-water-heaters.htmlhttp://www.benfranklinplumbingbirmingham.com/conventional-water-heaters.html  Kitchen Equipment: http://www.pricemykitchen.com/category/commercial-appliances/http://www.pricemykitchen.com/category/commercial-appliances/