1. Introductory Stakeholder Workshops July 8, GMP Montpelier Service Center July 14, GMP Rutland Operations Headquarters

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4. Total of $21M to be invested: $6M (W) by 12/1/12 $4M (W) by 12/1/13 *$2M (T) by 12/1/13 $9M (O) by 12/31/17 CEED Fund created in CVPS/GMP merger docket * for customers who do not qualify for VT’s Weatherization program 4

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7.  VT State Efficiency programs ◦ $6M Weatherization Program (2012) ◦ $4M Weatherization Program (2013)  2013 Stakeholder Process ◦ $2M Thermal Efficiency  Home Performance with Energy Star (VEIC)  Business Existing Facilities (VEIC)  Condominium Efficiency (Shelter Analytics)  Cold-Climate Heat Pumps (VEIC) ◦ $1.2M Electric Efficiency  EverGreen Revolving Loan Fund (VEIC)  Greenhouse Biomass (VT Agency of Agriculture)  Direct Install Farm Efficiency (EnSave) ◦ Other  Evaluate State Screening Tool for Renewables (GEEG, Seddon) 7

8.  2014 Stakeholder Process ◦ $1.775M Electric Efficiency  Business Existing Facilities (VEIC)  EverGreen Revolving Loan Fund (VEIC) ◦ $282k Innovation (deferred to 2015)  Farm-Phosphorous runoff mitigation (NativeEnergy) ◦ Continuation of some 2013 programs 8

9.  2015 Stakeholder Process ◦ $3.09M Electric Efficiency  Business Existing Facilities (VEIC)  EverGreen Revolving Loan Fund (VEIC)  Ozone Laundry Retrofits (EnSave) ◦ $375k New Technologies  Farm-Phosphorous runoff mitigation (NativeEnergy)  EV Charging Stations in Downtowns (VEIC) 9

10.  Eligible Investments ◦ New and existing electric efficiency programs; ◦ Renewable and clean energy programs; ◦ Demand Resources; and ◦ New and emerging technologies ◦ Primary Target for 2016 remains commercial sector electrical efficiency and innovative investments, HOWEVER, CEED is nearing its overall NSB targets and new technology & innovative programs can play an expanded role 10

11.  Investments must achieve Net Societal Benefits (NSB) of at least 1.2 times the amount invested  “But/For” test - investment or project would not otherwise have been undertaken or fully funded absent the CEED Fund investment  Benefits/investments accrue to legacy CVPS customers in approximate proportion to customer class revenue  Appropriate investments identified through stakeholder process 11

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13.  GMP invites potential partners to propose their best ideas for achieving maximum customer benefits under the program  Stakeholder process is collaborative, but also competitive -- limited funds are available for efficiency investments  Stakeholders will present proposals for discussion at the August workshops  Francis Wyatt of Green Energy Economics Group - energy efficiency and planning tool expert will assist GMP in assuring stakeholder proposals are fairly evaluated  GMP will solicit input and recommendations from stakeholders on proposed investments  All participants will get feedback on their proposals from GMP (not other participants)  Proposal guide and worksheet available for participants  Deadlines for submitting proposals will be strictly observed 13

14.  Workshop aids are available on the GMP website to help stakeholders participate ◦ Workshop Slide Deck ◦ Participant Proposal Guide ◦ Proposal Questionnaire (attached to Proposal Guide) ◦ 2012 GMP Efficiency Fund Report  If stakeholders find valuable, GMP will conduct an NSB workshop to assist stakeholders in understanding and working with the state planning tool  Q&A to be posted on GMP website and updated as new questions come in http://www.greenmountainpower.com/innovative/ceed_fund/ 14

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17.  Investment criteria consistent with PSB CEED Fund requirements  Aggregate costs subtracted from aggregate benefits ◦ Costs include: CEED investment, participating customer investment, project delivery costs, performance monitoring, benefits measurement and reporting and any other administrative cost charged by any party relating to the investment. ◦ Benefits include: Energy and capacity savings, avoided infrastructure investments, reduced supply risk, savings as compared to other technologies, environmental benefits, economic development benefits and other customer benefits.  A variety of factors will inform which projects are selected including the amount of NSB, number of customers served, customer class, certainty and promptness of achieving benefits, etc. 17

18. Discussion, Questions & Comments 18