CenterPoint Energy Gas Distribution Operations AMR Deployment Review October Presented by Kenny Roach AMR Project Manager

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1 CenterPoint Energy Gas Distribution Operations AMR Deployment Review October 2013 Presented by Kenny Roach AMR Project Manager

2 Company Overview CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution, competitive natural gas sales and services, interstate pipelines, and field services operations. The company serves more than 5 million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma and Texas. With over 3 million of these being Gas Distribution Customers. Assets total more than $22 billion. With more than 8,800 employees, CenterPoint Energy and its predecessor companies have been in business for more than 135 years.

3 Company Operating Areas Five Business Segments Electric Transmission & Distribution Natural Gas Distribution Interstate Pipelines Field Services Competitive Natural Gas Sales & Services

4 Technology Choice Itron s ChoiceConnect TM Solution Uses technology based compatible with legacy Itron technology currently in use. ERT technology has been in use at CNP since the 1970 s and has proven to be a capable solution for meter reading Provides a range of data gathering options Walk by with a Handheld unit such as the Itron FC200 & FC300 Mobile with a vehicle mounted collection unit MC3 Fixed network with a pole based collection solution This technology supports our current infrastructure, an effective transition to 100G ERT s and establishesa foundation for future opportunity.

5 Deployment Methodology Organization Operations & Technology CenterPoint Energy Itron Installation Vendor Project Management Mobile Data Systems Contractor Relations Equipment Vendor Installation Integrator Responsible for 2 nd level QA Selected & Managed by Itron Responsible for field operations Responsible for 1 st level QA Use of the CNP Enterprise Mobile Data system provides a real time view of installation activities for the project team, installation vendor, CNP operations and Call Center Technology tools include: Ventyx Mobile Data Software Panasonic U1 Rugged Handheld Itron Bluetooth Belt Clip Radio CenterPoint s chosen deployment methodology supports a single point of accountability from equipment manufacture through the turn over to the company for production.

6 Current Deployment Statistics & Metrics Houston / Texas Coast AMR Project Start date -January 2011, Duration 36 months Project size - Approximately 1.3 million meters As of 9/2013 approximately 1.2 million ERTs installed Currently 30 installers averaging 50 installs per day South Texas AMR Project Start date - November 2011, Duration 12 months Project size - Approximately 140,000 meters As of 12/2012 Completed 140,000 ERTs installed Oklahoma AMR Project Start date -January 2013, Duration 12 months Project size - Approximately 106,000 meters As of 9/2013 approximately 70,000 ERTs installed Currently 10 installers averaging 50 installs per day CenterPoint Energy Confidential and Proprietary

7 Current Deployment Statistics & Metrics South Louisiana AMR Project Start date April 2013, Duration 24 months Project size - Approximately 120,000 meters As of 9/2013 Completed 50,000 ERTs installed Currently 6 installers averaging 50 installs per day Minnesota AMR Project Start date April 2013, Duration 36 months Project size - Approximately 90,000 meters As of 9/2013 approximately 25,000 ERTs installed Currently 3 installers averaging 50 installs per day CenterPoint Energy Confidential and Proprietary

8 Pending Starts of Approved AMR Deployments Arkansas AMR Project Start date January 2014, Duration 24 months Project size - Approximately 445,000 meters North Louisiana AMR Project Start date January 2014, Duration 12 months Project size - Approximately 136,000 meters Southeast / North Texas AMR Project Start date January 2014, Duration 24 months Project size - Approximately 200,000 meters Mississippi AMR Project Start date January 2015, Duration 12 months Project size - Approximately 125,000 meters CenterPoint Energy Confidential and Proprietary

9 Benefits Reading Accuracy Increasing the collected meter read accuracy Customer Privacy Eliminate the need to enter the customers property monthly to read the meter Safety Reduce the injury potential caused by twisted ankles, falls, poison ivy, dog bites. Meter Reading Staff Increase the daily meters read per meter reader from a maximum of 400 per to 15,000 Black Box Forensics Availability of up to 40 days of usage to support investigation of fires and explosions

10 Challenges Re-routing and cycle moves as a result of moving from a walking to mobile meter reading methodology Meeting atmospheric corrosion monitoring requirements High than expected RTU (Return to Utility) orders because of noncompatible meters and meter access issues High install contractor turnover that resulting in additional onboarding for system access and issues arising from newly trained employee s installation errors

11 Looking Forward Energy Conservation opportunities through the use of customer in home devices that are capable of reading the 100G ERT Review and test the application of Itron fixed network

12 Thank you