The Competitive Market in Texas and Reliant e-sense

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1 The Competitive Market in Texas and Reliant e-sense

2 Electric Market After Deregulation Generation Power Purchase Power Delivery Electricity Sales, Customer Service and Billing Reliant and Walmart Strategy Meeting 1

3 Reliant e-sense Smart Energy Solutions More than 700,000 customers benefiting from at least one of our many e-sense Smart Energy products or services More than 90% of Reliant customers have Advanced Meters! Over 40 competitive retailers sell electricity in Houston alone!

4 e-sense Product Progression Today Engage/Educate consumers through information and convenience Weekly Web Portal Gadget Energy Monitor Insight Mobile/Txt Alerts Enable new product choices to empower consumers Payment Plans (Post Pay/PrePay) Solar EV and Fleet Vehicles Provides platform for new services Appliances Automation Thermostats/ Controllers Partnership Offers Pricing Plans (TOU, Lifestyle, Cash Back Nights & Weekends)

5 Solutions Customer Insights Weekly Summary Online Web Portal Reliant e-sense Gadget At-a-glance overview of electricity usage each week Current week compared to previous week Estimated bill for the month Energy savings tips Projected Bill Amount In-depth view of historical usage via web /SMS Alerts High usage Bill target Neighborhood Energy Compare (peer comparison) Snap-shot overview of electricity usage Per Day Per Week Per Year Mini-Portal Concept (not Google PowerMeter) Links to Web Portals

6 Solutions Customer Insights Neighborhood Energy Compare Reliant SMS Alerts Reliant Mobile App Displays how your home compares to your average neighbor and your energy efficient neighbor Based on home profile data similar homes in your geographic area Receive Bill Due notifications SMS Text on Demand Usage Cost Mobile Snap-Shot overview of electricity usage Per Day Per Week Per Year Mini-Portal Concept Links to Web Portal

7 Solutions Customer Insights Usage Disaggregation Display to customers a breakout of their energy usage by major appliance load via algorithmic analysis. Provides next level of detail over total home consumption Displays a high level estimate of major appliance load utilizing regional averages along with additional variables.

8 Solutions Customer Choice Reliant e-sense Keep Your Cash Nights & Weekends Reliant e-sense Degrees of Difference Reliant Pre-Payment Plans Time of Use Derivative One single price All Day Keep You Cash discount for all kwhs used on Nights and Weekends 8:00pm 8:00am Weekdays + All Weekend Voluntary Peak Time Rebate program Day ahead notification Earn account credit for usage reduced compared to benchmark Receive after the event confirming account credit Enables enrollment without deposit No bills to pay SMS, , web, and outbound dialer notification of balance, disconnect warnings, and payment confirmations

9 Solutions Customer Convenience Home Energy Monitor Smart Appliances Real-time view of current electricity usage Communicates with advanced meter every 7 seconds Alerts/notifications Graphing ability No Internet Connection Required Currently in Pilot Program Load Control Signaling Refrigerator, Washer/Dryer, Water Heater, Range, Microwave

10 Solutions Customer Convenience Reliant e-sense Ideal Temp Program Reliant e-sense Learn n Conserve Plan with Nest Receive up to 4 thermostats, installation, and first 3 months of Ideal Temp service for free Subscription-based service EcoFactor cloud-based software optimizes settings for specific home & provides remote access Also provides demand response capability 24 month, fixed-rate commodity plan Customer receives one Nest Learning Thermostat Nest Learning Thermostat learns customers behavior, automatically programs itself, and delivers energy savings by optimizing HVAC energy usage

11 Thank You! Scott Burns, Director of Product Management

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