1. SDG&E Transmission Improvements Jim Avery Chief Development Officer

2. 2 ENCINA POWER PLANT Old Town Penasquitos Miguel Escondido Talega MEXICO Mission SAN ONOFRE NUCLEAR POWER PLANT San Luis Rey Sycamore Canyon Glencliff Descanso Barrett Cameron Boulder Creek Santa Ysabel Creelman Los Coches Alpine Loveland Narrows Warners Borrego Poway Pomerado Esco Rincon Lilac Ash Valley Center RIVERSIDE CO. ORANGE CO. SAN DIEGO CO. Boulevard Crestwood SDG&E Existing & Proposed Transmission System Capistrano Trabuco Laguna Niguel Margarita Cristianitos Main Street IMPERIAL VALLEY Monserate Pala Palomar Energy Calpeak Peaker El Cajon Calpeak Peaker TO TIJUANA (CFE) Otay Lake Otay Border00 Lake Hodges Kumeyaay Wellhead Escondido MEF To North Gila Substation Arizona ECO Suncrest Substation Four 230 kV lines to SCE TO ROA (CFE) To El Centro (IID) Synchronous Condensers Suncrest Reactive Support Synchronous Condenser SX-PQ IV Flow Controller Ocotillo Bay Blvd.

3. Projects Approved in the 2012-13 Transmission Plan ProjectStatus Exp. In – Service Date Talega Synchronous Condenser Completing in-service testing2015 New 230 kV line from Sycamore to Penasquitos Substation SDG&E selected to build March 2014 CPCN deemed Complete July 2014 CPUC approval expected early 2016 2017 SONGS Switchyard Synchronous Condenser Major equipment and contractor selection underway Site development to begin in 2015, pending final approvals 2017 3

4. Projects Approved in the 2013-14 Transmission Plan ProjectStatus Exp. In – Service Date San Luis Rey Synchronous Condenser Site prep and major equipment procurement underway Site development to begin in 2015 2017 Imperial Valley Phase Shifter Equipment design underway Construction expected to begin in mid-2016 2017 Miguel Synchronous Condenser Design and major equipment procurement underway 2017 Suncrest Static Var Compensator CAISO awarded project to NEET West, LLC System impact studies underway 2017 4