Pomona, CA May 24 25, 2016

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Pomona, CA May 24 25, 2016 Transformer Technology Seminar Modular approach on economic condition assessment for power transformer; data management, Fleet screening and risk ranking Siemens AG 2014 All rights reserved. siemens.com/answers

Content Current situation and tasks Modular approach Level 1: Basic Level 2: Advanced Level 3: HV testing Data handling and data management Outcome Page 2

Current situation Page 3

Current situation Moisture Oxygen Temperature Oil / Cellulose - Insulation Chemical decomposition Acids, Peroxides, add. water, oxygen Accelerated Aging Mechanical Degradation Dielectric Degradation Lightning- and Switching Impulses Insulation Failure Short Circuits The ageing of oil and cellulose are strongly related

Current situation Unplanned failure of a large GSU Forced outage, i.e. NPP loosing ~$1.5 million per 24h Replacement with a spare unit if available: downtime minimum 2 weeks Risk of personal injury, environmental damage Image-, company value-, stockmarket quotation- depreciation Page 5

Current situation Market Condition Average age of transformers >30 years Lead time of new transformers >1 year Increasing utilization Demand for modernization Demand for relocation Page 6

Current situation Economic demands Why? Identify condition of installed transformer fleet Prioritize based on Risk ranking of transformer fleet Maintenance recommendations Reduction of unplanned outages Intelligent spending of limited financial resources Avoidance of damaging company s image Support strategic procurement of new units Page 7

The Three Level Approach Level 3: Level 2: Level 1: On-Line and Off-Line condition assessment Page 8

The Three Level Approach Off-line advanced, HV - Testing ( Level 2, Level 3) On-line essential (Level 1) winding resistance ratio & vector group Insulation resistance Impedance / Uk Po / Io at 230 / 380 V C tan delta windings C tan delta bushings FRA Measurement FDS/PDC - Measurement oil-parameter Furane, DP - temperature profile - noise - vibration - PD - measurement -... DGA Mobile HV - Testing: - applied overvoltage - induced overvoltage - PD - measurement - DC - tests - loss measurements - Oil ageing Paper ageing Insulation condition Faults Page 9

Level 1: Essential Level 1: Basic All modules in the diagnosis Level 1 essential are to be applied on energized transformers. The most powerful toolbox for this application is the diagnosis of the insulating liquid. Standard oil tests, dissolved gas analysis and furanic components analysis are well developed and reliable to detect ageing and severe faults. Moisture measurement applied during the sample taking will provide reliable detection of the moisture content inside the transformer insulation. Additional stand alone modules are available to be applied when the oil tests and/or the operating personnel gave indication for deficiencies or changes. Page 10

Level 1: Essential Content of Level 1 (essential): DGA Furanic components Moisture (by capacitive sensor) Visual Inspection: Leaks, Corrosion, Oil levels, Bushings, cooling, surge arrester counter... Optional: corrosive sulphur,... Additional stand alone modules: PD (UHF-, acoustic sensors) Noise measurement Vibration measurement Thermograph scans Page 11

Level 1: Essential Parameter of the Level 1 Module: Page 12

Level 1: Essential Level 1 (essential): Operational Data Operation and maintenance (O & M) history provide an indication of overall transformer condition. O & M history factors that may apply are: Sustained overloading Unusual operating temperatures indicated by gauges and continuous monitoring Abnormal temperatures indicated by infrared scanning Nearby lightning strikes or through faults Abnormally high external temperatures detected Problems with auxiliary systems (fans, radiators, cooling water piping, pumps, motors, controls, nitrogen replenishment system, and indicating and protection devices) Increase in corrective maintenance or difficulty in acquiring spare parts Page 13

Level 2: Advanced Level 2: Advanced The advanced modules are applied on de-energized and disconnected transformers. Most measurements repeat the measurements as shown in the manufacturers test report and by comparing the results any differences will be highlighted. Modern methods such as Frequency Response Analysis (FRA) are part of a Level 2 assessment and provide information about the insulation (dielectric) condition as well as the mechanical condition (displacements) of the active part of a transformer. All modules of Level 1 apply. Page 14

Level 2: Advanced Content of Level 2 Diagnostics: Transformer Turns Ratio Winding resistance Power factor (windings and bushings) Insulation resistance No load current and losses at low voltage Partial Discharges FRA Additional stand alone modules: All modules of Level 1 apply Page 15

Level 2: Advanced Typical measurements for Level 2 Diagnostics: Ratio, Winding Resistance, Impedance, No-Load, Insulation Resistance Page 16

Level 2: Advanced Advanced measurements for Level 2 diagnostics: FRA Magnitude 0-10 -20-30 -40-50 -60-70 1U1V 1V 1W 1W 1U High Voltage Tap10 1 10 100 1000 10000 100000 1000000 10000000 Frequency Page 17

Level 2: Advanced Advanced measurements for Level 2 diagnostics: PD - Measurement Page 18

Level 2: Advanced C-tan-delta Advanced measurements for Level 2 diagnostics: C-tan-delta Measurement 7,0 6,0 tan δ [ ] 5,0 4,0 3,0 2,0 1,0 0,0 1976 1992 1997 2001 2006 2011 0,7 0,6 tan δ [ ] 0,5 0,4 0,3 2011 0,2 0,1 0,0 0 50 100 150 200 250 300 Prüffrequenz [Hz] 350 400 Page 19

Level 3: Mobile HV testing Level 3: Mobile HV testing High Voltage Testing on-site is usually required following on-site repairs, factory repairs, refurbishment, or relocation and also performed based on the results from the level 1 and level 2 assessments. The SITRAM DIAG mobile test fields provides solutions for all kind of HV testing and loss (no load and/or short circuit losses) measurement. Special test cycles or long duration tests are also possible. Level 3 assessment can be combined with all modules out of level 1 and level 2. Page 20 Pressurized cabinet with retractable roof for onsite repairs

Level 3: Mobile HV testing Measurements available with the mobile test field: No load current and losses Load losses and impedance Applied voltage test (76kV) Induced voltage test PD-measurement DC tests Page 21

Level 3: mobile HV testing Measurements available with the mobile test field: Application of mobile test field Page 22

Levels 1-2 -3 Page 23

Levels 1-2 -3 Page 24

Processing, assessing and managing data TLM Condition Assessment Manager Built on the experience of transformer experts for design, testing and maintenance Standardizing assessment approaches and providing families for comparison Considering historical data, events and maintenance actions Ensured findings and recommendations starting from basic level 1 up to high end level 3 evaluations Providing measures to select and rank single transformers from a complete fleet. Page 25

Processing, assessing and managing data Input data can be imported directly from the measurement instrument, manually or by an import functionality from an external data base. Page 26

Processing, assessing and managing data Input of measured data and static data Setting thresholds and assumptions for precession and repeatability Building physical groups Consolidation for final grade and significance Checking for correlation between groups and parameters, spec. models Findings, route cause and recommendations Page 27

Outcome Page 28

Outcome -Transformer Fleet Management System - Transformers ranking based on score to facilitate targeted maintenance and budget management -Strategic planning of spares -Fleet Reliability

Disclaimer This document contains forward-looking statements and information that is, statements related to future, not past, events. These statements may be identified either orally or in writing by words as expects, anticipates, intends, plans, believes, seeks, estimates, will or words of similar meaning. Such statements are based on our current expectations and certain assumptions, and are, therefore, subject to certain risks and uncertainties. A variety of factors, many of which are beyond Siemens control, affect its operations, performance, business strategy and results and could cause the actual results, performance or achievements of Siemens worldwide to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements. For us, particular uncertainties arise, among others, from changes in general economic and business conditions, changes in currency exchange rates and interest rates, introduction of competing products or technologies by other companies, lack of acceptance of new products or services by customers targeted by Siemens worldwide, changes in business strategy and various other factors. More detailed information about certain of these factors is contained in Siemens filings with the SEC, which are available on the Siemens website, www.siemens.com and on the SEC s website, www.sec.gov. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the relevant forward-looking statement as anticipated, believed, estimated, expected, intended, planned or projected. Siemens does not intend or assume any obligation to update or revise these forward-looking statements in light of developments which differ from those anticipated. Trademarks mentioned in this document are the property of Siemens AG, it's affiliates or their respective owners. Siemens AG 2014 All rights reserved.

Service is not everything Juan Acosta Manager Transformer Lifecycle Management USA Siemens EM CS TR Wendell, NC Mobile: (919) 376 6572 juan_c.acosta@siemens.com Thank you very much for your attention! Your reliable Service Partner. Ihr verlässlicher Servicepartner. Siemens AG 2014 All rights reserved.