RELIABILITY AS A SERVICE FOR BUSINESS. by MidEnterprises, LLC

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1 RELIABILITY AS A SERVICE FOR BUSINESS by MidEnterprises, LLC

2 THE OPPORTUNITY Less than 30% of commercial facilities have a reliable back-up power supply Only10-15% of those having existing installations can power entire facility load (3-4.5% overall) Effective May 2015, emergency generators can no longer participate in any demand response programs (U.S. Court of Appeals - DC Circuit reversed certain provisions of NESHAP and RICE MACT provisions) Extreme Weather is causing more frequent and prolonged power outages US grid is aging and needs modernization Enable customers to procure power using index based products In some utility regions, transmission costs are rising faster than seen in the last years.

3 Power Outages are Becoming More Frequent

4 Weather is a Major Factor In the case for Houston, Miami, and other cities recently impacted by hurricanes Harvey and Irma, which together may end up costing between $150 billion and $200 billion in damage and lost productivity, according to estimates from Moody s Analytics. Experts generally agree cities recovery from both storms should be relatively swift. Eighty percent of the economy will be back in six months, 90% in a year, 100% three years from now, Mark Zandi, Moody s chief economist, says of Houston

5 Extreme Weather is Causing Major Power Outages When super storm Sandy finally dissipated over the Great Lakes, it left 8.5 million people without power in twenty-one states -- the highest outage total for any U.S. extreme weather event in history. Sandy was the second-costliest hurricane ever to hit America causing $65 billion in damage.

6 Commercial Offer Provide reliable back-up power to mitigate risk in case of utility power interruptions Provide customer ability to lower overall energy spend Turnkey installation including factory start-up Engines are EPA Certified capable and permitted to operate for extended hours to lower overall energy spend Multiple Funding Options Maintenance Plans and Extended Warranty Options

7 Target Customers Manufacturing Facilities Office buildings Financial Centers Data Centers Pharmaceuticals Food Processing Refrigerated Storage Emergency Control Centers (911) Medical Military Entertainment Venues Safety and Security

8 Commercial Office/Real Estate Situation: Today more than ever, business owners rely on infrastructure to stay on-line outside of the traditional 9am-5pm timeframe because of data or continuous needs to run their operations Landlords and property managers looking to attract this growing group of tenants requiring high levels of reliability must provide backup power into their building's core and shell offering or provisions for tenant buildout. RaaS provides a complete solution while removing the financial and operating burden on building owners.

9 Commercial Office/Real Estate Basic requirements: Building codes often require back-up power for emergency life safety systems. Critical Power is defined differently according to business type or tenant interest; some tenants have dedicated server rooms or call centers, electronic trading operations or even emergency response services. Aside from meeting basic business needs, having dedicated back-up power systems promotes business continuity while adding significant value to a building that can be recouped through higher monthly assessments or rates.

10 Commercial Office/Real Estate

11 Key Determining Factors for Back-up Power What equipment or loads need to be powered? Think mission critical Entire facility or selected loads/circuits? Fuel type (check codes) How long will generator need to run during a power outage? Where will generator be located? Noise requirements Property setbacks What are transfer requirements? Automatic transfer switch Transfer time

12 What s the Cost of Data Interruption? 93 percent of the companies who lost access to data for ten days filed for bankruptcy within a year ( Average cost per hour of downtime exceeds $200,000/hr Key Drivers for Business Continuity: Cost of downtime Regulatory or compliance Risk of interruption Loss of Critical data

13 How Does Back-up Power Increase Value of Properties? Determining Value: Expected Income - expenses/cap rate Net Operating Income (NOI) = Scheduled Income Op. Expenses Op. Expenses include: Taxes, Utilities, Management, Maintenance, Insurance RaaS can increase NOI by: increase lease rates or property income lowering utility and insurance expenses in most cases

14 Strategies for Leveraging Generators to Reduce Energy Spend

15 Great Eastern Energy GEE leading supplier of natural gas, electricity and renewable energy in the Northeast. Founded in 1996, we remain one of the longest standing energy service companies in the region. Our full-service energy solutions help businesses thrive by managing their energy usage and costs while increasing their overall bottom-line. Our mission is to provide transparent solutions and build trusting, longterm relationships by empowering our customers with the knowledge necessary to make better energy decisions. We are at the forefront of environmental sustainability and it is our goal to consistently promote positive energy behaviors to reduce consumption and carbon footprints. January 10, 2018

16 1/1/2018 3/1/2018 5/1/2018 7/1/2018 9/1/ /1/2018 1/1/2019 3/1/2019 5/1/2019 7/1/2019 9/1/ /1/2019 1/1/2020 3/1/2020 5/1/2020 7/1/2020 9/1/ /1/2020 1/1/2021 3/1/2021 5/1/2021 7/1/2021 9/1/ /1/2021 1/1/2022 3/1/2022 5/1/2022 7/1/2022 9/1/ /1/2022 1/1/2023 3/1/2023 5/1/2023 7/1/2023 9/1/ /1/2023 1/1/2024 3/1/2024 5/1/2024 7/1/2024 9/1/ /1/2024 WHOLESALE PRICE/KWH NJ Forward Wholesale Power Prices $ NJ Forward Power Prices $ $ $ $ $ $- MONTH / YEAR January 10, 2018

17 Historical Henry Hub Gas Prices Monthly settles January 10, 2018

18 2017 NJ Day Ahead prices PSEG Day Ahead Market Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec DA Wholesale January 10, 2018

19 GEE Managed Block & Index Power Pools Offers the best 3 rd Party supply benefits to a customer with a generator or anyone considering on-site generation. Versus other variations of Fixed price products, Block & Index products offer the most flexibility and creative options for customers of all kinds. Benefits: No Bandwidth restrictions. Ability to hedge % of load at any time during a contract term with efficient access to wholesale pricing without retail mark up premiums. Fixed prices contain load shaping costs and supplier risk premiums. Day Ahead pricing strategy/advantage January 10, 2018

20 GEE Managed B&I Power Pool Benefits Pass through of Capacity & Transmission costs which is critical to generator owners by capturing the peak demand reductions. Pooling with multiple customers builds hedging options resulting from various load shapes melding together to form better load shapes throughout the year. Ideal for any commercial customer under 10,000 annual MWhs because they don t often have access to block and index product offers from multiple suppliers. Wholesale power trades in no less than 1 MW block increments. If an account is not over 10,000 MWhs, they may only be able to buy one block for the duration of a contract term. Half and quarter MW blocks are available but generally less economical. January 10, 2018

21 NEXT STEPS Marketing Support: Customize Reliability One Pager (right) with YOUR contact information Request Prospecting Tool Kit from Sam Adjangba at (732) Ext Learn More: Recorded webinar or slides are available upon request or visit Action: Technical specialists are available to join on sales calls once you register opportunity with Sam.

22 Questions and Discussion