1.  Power Costs, Inc. 2014. All rights reserved. Confidential and Proprietary to Power Costs, Inc. May not be distributed or reproduced without permission PCI Webinar on Energy Accounting System June 27, 2014

2.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com Webinar Agenda  Introduction o Overview on PCI GSMS Suite o Capabilities of PCI Energy Accounting System  Demo of PCI Energy Accounting System  Benefits of PCI Energy Accounting System  Q&A and Next Steps

3.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com Page 2 PCI Overview  PCI is an established vendor in portfolio optimization, energy accounting, transmission scheduling, bid management, bidding analytics, LMP forecasting, P&L evaluation, shadow settlement, post- analysis, and gas management  Deploy PCI GSMS Suite to Automate Bid-to-Bill Workflow for over 60 Market Participants in 9 ISO Markets (PJM, MISO, SPP, CAISO, ERCOT, NYISO, ISO-NE, IESO, and AESO)  PCI software is currently used to Manage around 50 % of the US capacity

4.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com Transactional Database, Workflow Management, Communication, Permissions, Auditing, Web Browser Interface, APIs Platform Markets: ALL Front Office AESO CAISO ERCOT IESO MISO ISONE NYISO PJM SPP ISO Communication, Bid/Offer Management, Bid Evaluation, Price Forecasting AESO CAISO ERCOT IESO MISO ISONE NYISO PJM SPP Trading Markets: ALL Deal Capture, E-Tag, Deal Analyst, ICE Interface, Gas Management, Contract Settlement, RT Pricing Asset Operations Markets: ALL Outage Management, Journal, Plant Interface, GADS, Energy (QF) Scheduling, Gas Pipeline Scheduling Post Analysis Markets: ALL Operational Performance Metrics Optimization Markets: ALL ST, LT, Risk P&L Analyzer Settlement Analyzer Position Analyzer Custom Analyzer Custom Analyzer Custom Analyzer Custom Analyzer Custom Analyzer Custom Analyzer PCI Data Warehouse Back Office ISO Shadow Settlement, Allocations, Pre-Settlements, Reporting, Energy Accounting PCI Generation Supply Management Suite PCI GenPortal PCI GenManager PCI GenTrader PCI Deal Management PCI Asset Operations PCI Post Analysis

5.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com Page 4 PCI GSMS Suite for Market Participants PCI GenManager  Bid Formulator  ISO Communication  Meter Management  Shadow Settlement  Pre-Settlement  Data Export Utility  LMP Manager  Bid Evaluator  Wind Module PCI BI & DW Tools  Data Warehouse  P&L Analyzer  Settlement Analyzer PCI GenPortal  PCI Deal Management & Etagging  PCI Outage Management  PCI Energy Accounting  PCI Gas Management PCI GenTrader  Unit Commitment  Production Costing

6.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com PCI Software Users PCI Suite is currently used to manage around 50% of the US Generation Capacity. MISO (80%), SPP (85%), PJM (40%), ERCOT (80%), CAISO (90%), NYISO (10%), ISO-NE (10%)

7.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com PCI Energy Accounting Solution The PCI Energy Accounting (EA) System is designed to:  Track, calculate and verify meter data  Validate actual energy flows and perform Real-Time check-outs with counterparties. Manage: Meter data for generators Meter data for loads Dynamic Schedules Scheduled flows in and out of the area Inadvertent Energy Losses Page 6

8.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com Meter Data Management PCI EA can support multiple meter data sources. PCI supports multiple data channels for meters so primary, backup, and alternate sources can be tracked and compared Meter attributes can be easily configured in the PCI system. Meter data can be imported or calculated such as area loads Page 7

9.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com Validate Interchange Schedules PCI Energy Accounting System can be used to review and checkout schedules with counterparties. You can use meter data and interchange schedules stored in PCI EA to calculate loads, net scheduled & actual interchanges. Page 8

10.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com PCI Energy Accounting Supports Custom Calculations PCI supports custom calculations using Beanshell code Calculations can be manually initiated, scheduled, or event driven when specific data is updated There is no limit on the number of calculations or with the complexity of equations Custom Beanshell code can be stored in PCI GenBase and easily migrated to future releases Page 9

11.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com Support Full Data Auditing PCI EA fully supports data auditing. All meter data revisions are tracked by date (when data was created or modified), user who modified data, and user who approved data. Page 10

12.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com Reporting Capability Provide Standard hourly, daily, monthly reports Create customized reports Create customized datasets for export to other systems. Provide a comprehensive API to import and export data Provide a report wizard to enable quick ad-hoc data reporting Provide an optional reporting multi- dimensional data warehouse to store large volume of EA Data and speed up data reporting Page 11

13.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com Benefits of Deploying PCI Energy Accounting Solution Page 12  Provide a powerful solution to validate meter data and interchange schedules  Use PCI service-oriented architecture  Provide configurable reports  Support data exchanges with other systems using CSV, XML, or Web Services  Provide optional reporting data warehouse and support commercial Business-Intelligence Tools (SSRS, Qlikview, Cognos, etc)  Fully deployed in production mode  Can be deployed on in-house or PCI hosted servers Potential Benefits for Implementing PCI Energy Accounting = 2-5 M$/year

14.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com PCI Energy Accounting Solution  PCI Energy Accounting system can be deployed as an “out-of-the box” solution with specific customizations to meet business needs  For most projects, 90 % of the deployment is out of the box and 10 % requires custom modifications Page 13

15.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com PCI Reporting Data Warehouse (Optional Module)  PCI provides an optional Reporting Data Warehouse to Store Large Volume of EA Data and speed up data reporting: –Multi-Dimensional Data Model using Star – Snowflake Schema –Provide ETL code to move data from relational database to data warehouse –Optimized for Long-Term Storage –Support metadata to store Data Quality –Data Stored in GMT –Support commercial Business- Intelligence Tools (SSRS, Qlikview, Cognos, etc) Page 14

16.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com Key Benefits for PCI Energy Accounting System  Provide a highly configurable system to validate meter data and interchange schedules  Make meter validation process much faster, easier, and intuitive  Provide the capability to easily configure and update equations to perform calculations  Can be used to review and modify meter data in various granularities (Hourly, 5-mn)  Support multiple non-time-overlapping meter configurations  Identify hidden problems with some meter data sources  Monitor troublesome meters and determine maintenance requirements  Provide tree-like representation to show calculations interdependencies, which allows for easy verification and corrections  Provide good tools to easily build custom reports Potential Benefits for Implementing PCI Energy Accounting = 2-5 M$/year

17.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com Page 16 Next Steps?  Arrange WebEx or on-site demo of PCI Energy Accounting for your team  Provide Budgetary Quote  Attend EUCI Conference on: –Maximizing Profits for your Assets in ERCOT Market, October 2014, San Antonio, TX –Using Settlement Results to Provide Feedback on Effectiveness of Bidding Strategies in PJM, November 2014, Baltimore, MD

18.  Power Costs, Inc. Confidential and Proprietary 2014 www.PowerCosts.com Page 17 For More Information  Bid-To-Bill Automation –Forecast LMPs –Automate XML Communications –Create Unit & Demand Bids –Evaluate Bidding Strategies –Perform Shadow Settlement  Deal Management –Capture Bilateral Deals –Perform Deal Settlement –Submit NERC Tags  Operations & Trading –Optimal unit commitment and economic dispatch –Fuel & Emissions Forecasting  Transmission Scheduling –Energy Accounting –ETag Schedules –OASIS Reservations  BI & Data Warehouse –P&L Analyzer –Settlement Analyzer PCI GENERATION SUPPLY MANAGEMENT SYSTEM™ Khai Le (919) 730-9899 kle@powercosts.com Stuart Wright (303) 917-3565 swright@powercosts.com Andres Barbaro (405) 694-3438 abarbaro@powercosts.com Lei Tian (405) 694-3300 ltian@powercosts.com