1. Energy Efficiency & Incentives Ryan Shaw National Account Manager Union Gas Limited 1 EnerSmart Programs

2. Agenda Union Gas Overview Incentive Programs Why they exist What they’re designed to do How they are structured Commonalities and themes Union Gas Incentive Programs Tips for participating Developing an Efficiency Plan Calculating ROI Popular technologies 2

3. Union Gas Limited Natural gas storage, transmission and distribution company Our distribution business serves 1.3 million residential, commercial and industrial customers in more than 400 communities across Ontario The Dawn Hub is the largest underground storage facility in Canada and one of the largest in North America Union Gas is a Spectra Energy company with assets of $5.6 billion and approximately 2,200 employees. CELEBRATING 100 YEARS Est.1911 3

4. Ontario Service Areas 4

5. Why Do Incentive Programs Exist? Systematically, it’s a great investment & hedging strategy for provinces, businesses, citizens... 5 Infrastructure Costs Externality Costs Environmental Benefits Effects on Peak Demand

6. Union Gas Programs - Benefits Since 1997 Union Gas Incentive Programs have : Reduced CO2 emissions by 8 million metric tons That’s equivalent to: Saving over $ 1.7 billion in energy costs Removing over 1.8million cars from Ontario’s roads Heating over 1.7million Ontario homes for one year “A typical household spends $1,000 a year on gas. Gas conservation programs cost an extra $10/yr, but have the potential to save households $100 or more.” 6

7. Incentive Programs 7 Empower you with the knowledge to make a decision Improve the ROI Reward early adopters and innovation Stimulate the demand for new energy efficient products Promote technological advancement Education, information, training & incentives

8. How Are They Structured? 8 Program Funding Mechanisms Program Geography/ Territory Program Characteristics / Traits

9. How Are They Structured? 9 Prescriptive Programs Shopping List Identified ROI Most Simplistic Involves Base Case Calculation or Modelling Most Complex Custom Programs

10. Union Gas Prescriptive Programs Union Gas’s Prescriptive Programs 10

11. Union Gas Custom Programs Union Gas’s Custom Programs 11

12. Tips for Participating Find the right people at the utility Be sure to understand all the resources available Expert energy advice Audits, Modeling and Feasibility Studies Education & Training Research Be sure to get involved early in the process Ask about program timelines Put incentive participation directly into tender’s & contracts Dedicated resources are an option Understand how to apply them to your business 12

13. Developing a Plan 13 Billing, Analysis, Metering Recommissioning Demand Control Ventilation Controls Information Gathering Performance Optimization Equipment Installation Monitor & Tracking 1. 2.2. 3.3. 4.4.

14. Understanding Efficiency 14 Energy Use Index (EUI) BTU’s of energy used per sqft Average office building is 93,000 BTU/sqft/yr How do your buildings stack up (CBECS) Is the data normalized and how is it changing? Energy Cost Index (ECI) All costs of energy divided by sqft What is the exposure to risk Calculate the ROI

15. Case Study What Do You Need to Know? 15 Maintenance Savings Energy Savings & Incentives Downsizing of Equipment Absenteeism /Productivity Gains Resale or Leasing Rates Occupancy Turnover Vacancy Rates Common Less Common

16. Popular Topics & Technologies 16 ASHRAE Ventilation Standard 62-2004 suggests 15 CFM/person EPA study showed average ventilation rates of 28.9 CFM/person 83% of buildings were over 20cfm/person Demand Control Ventilation CO2 Sensors Over Ventilation : Mike Schell, AirTest Technologies Inc.

17. Popular Topics & Technologies 17 Demand Control Ventilation / CO2 Sensors HRV’s & ERV’s Alternative Forms of Heat Recovery Insulation & Cool Roofs Building Automation & Controls Economizers Real time monitoring Sub-metering

18. Questions? 18 Questions? Ryan Shaw rshaw@uniongas.com

19. A Case Study on Absenteeism 19 Green Buildings and Sustainable Workplaces Going Mainstream Green is the New Black By Scott Brooker While lower operating expenses are easy to quantify, the real value comes in the softer-cost opportunities. The biggest bottom-line contributor can be mined from your workforce. Reductions in absenteeism, increases in productivity, and greater employee engagement can pay massive dividends. Here is a quick case study on absenteeism; Take a 50,000 square foot tenant, paying $50 per square foot in gross rent is paying $2,500,000 year in rent. Assuming one employee per 200 square feet, puts 250 employees working in this space 245 days a year. Assume the average employee is making $80,000, factor in your benefits (0.4) and overhead (0.3) each employee costs your organization $136,000 a year. In the United States the average number of sick days per employee is nine, which would cost your organization $1,248,979 per year. Reduce that average by just ONE DAY, only one, it would save your organization $138,775 per year, or the equivalent of $2.78 per square foot. You just reduced your rent by 5.5% each year, just by moving into a green building over a traditional “brown” building. This case study does not even take into account the additional productivity gains of occupying a green building, which a study out of Michigan State University, published in the American Journal of Public Health, estimated an organization could gain the equivalent of 38.98 hours of additional productivity out of each and every employee each and every year. The potential impact on the bottom-line is nothing short of astronomical, you have the potential of gaining nearly an extra week of work out of each and every employee EVERY YEAR at NO ADDITIONAL COST. (Courtesy of www.monstercommercial.com)