1.  400 new jobs  300% >90% ROI Greener  40MW SSE Ireland Better Energy Supply 600,000 gas and electricity customers Sustainability Making energy better to combat climate change 500MW of Renewable Generation Ireland’s No.1 renewable electricity generator and supplier Public Lighting Leaders in the maintenance of 300,000 street lights in Ireland Health Safety and Our People Striving to be Ireland’s safest utility >900 employees 1 1000 employees, €1bn investment

2. Energy Action Fuel Poverty Conference 7 February 2012 “Trust is the glue of life.....It's the foundational principle that holds all relationships.” Stephen Covey David Manning Director of Corporate Affairs SSE Ireland

3. 3 1.ENERGY TRENDS 2.MANAGING ENERGY COSTS 3.ENERGY AFFORDABILITY

4. 1. ENERGY TRENDS 4

5. Residential Electricity Prices (€) (band DD all taxes included) Source: SEAI Electricity prices now at the EU average

6. Residential Gas Prices (€) (band D2 all taxes included) Source: SEAI Gas prices now at the EU average

7. Benefits of Competition 7 Competitive market delivering for consumers

8. Energy Security in Ireland – 2011 report 8 Source: Dr. Andrew Kelly, AP EnvEcon and Prof. Peter Clinch, UCD Oil price growth scenarios model Source: UK Transmission National Grid (Gas) UK end-user gas price forecast Ireland must reduce dependence on imported fossil fuels

9. Impact of Wind Affordability, Security, Decarbonisation 9 High Price Lower Price Low Wind High Wind Low Wind: 24 July 2009 High Wind: 31 July 2009 Affordability: Security: Decarbonisation: Per 1000MW wind installed : 263.5 ktoe avoided imports = €88.3m Per 1000MW wind installed: 1,633,645 tonnes CO 2 avoided Assumptions: Turbine: 3MW Capacity: 35% Speed: 8.5m/s 2008 data Wind energy reduces wholesale electricity prices

10. 2. MANAGING ENERGY COSTS BETTER 10

11. Managing the cost of energy better Empowering the customer: + Airtricity’s Smarter Energy Card +Installation of prepayment meters +Payment plans +Disconnections – Persistence of debt hopping – An Post/Department of Social Protection – Household Budget Scheme – Free Electricity Allowance 11 More support needed for prepayment meters

12. Smart Technology Getting the best from assets and energy: System operation Demand side management Consumer behaviour Better informed customer: CER trial saw 8.8% reduction in peak period SMART Meter Thin versus thick– must ensure effective solution that balances all risks. 12 SMART technology must effectively address risk

13. 3. ENERGY AFFORDABILITY 13

14. Reducing Energy Consumption 14 Source: Dimplex Improving energy affordability means reducing consumption

15. Airtricity’s approach Better Energy Airtricity Home Energy Services PAYS - Availability of cheap finance is the foundation to delivering building retrofit Community Fund - >€600,000 annually focused on community energy efficiency projects Fuel poor pilot Strategic partnerships and investments Northern Ireland smart homes project 15 Low cost finance foundation of PAYS system

16. Restoring Trust 1.Ensure competition continues to deliver lower energy prices 2.Improve energy affordability by reducing consumption 3.Provide greater support for prepayment meters 4.Deliver Smart Meters that effectively address risk 5.Access to low cost finance to deliver thermal efficiency investment, PAYS 16