Delivering Energy as a Service

May 8, 2014

Adrian Tuck, CEO, TendrilKelly Griffin, Information Solutions Strategyand Marketing Executive, Duke Energy

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What We’re CoveringINTRODUCTION

• The World is Changing

• We’ve Seen this Before

• The New Duke Energy

• Consumer-Centric ESPs

• Interactive Discussion

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Tectonic Shifts in the Energy IndustryTHE WORLD IS CHANGING

TECHDISRUPTION

REGULATORYHURDLES

ENLIGHTENEDCUSTOMERS

ENERGYSERVICE

PROVIDER

・Syndicates forming – Google/Nest

・Non-traditional electricity providers

・Growth in solar

・Demand-side programs・Growth in DERs

・The iPad generation

・Increased value in bundled services

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The Airline IndustryWE’VE SEEN THIS BEFORE

TheNewDukeEnergy

Becoming Customer Focused

The old Duke Energy delivered electricity to meters or rate payers with a focus on cost to serve.

The new Duke Energy empowers customers to take control of their energy use by providing them information and services and earning a seat around their table as their trusted energy advisor.

Duke Energy tries to make it as easy as possible to set up an account and we go above and beyond…

We are uniquely positioned to deliver recognizable value by helping our customers “Connect the Dots” between what they see and what they pay

Our strategic focus is to Lead with Information to our customers in order to Empower the Connected Home

The My Home Energy Report is our flagship information product which had considerable success in 2013…from profit & reports delivered to a marriage saved

The My Home Energy Report (MyHER):

1. Informs customers about their energy use in a way that is quick and easy to understand

2. Compares customer energy use with like households in similar type homes

3. Motivates customers to change behavior and reduce their energy use with timely tips and offersReports distributed since 2013: 13 MILLION

EBIT delivered to the company: $10.8mm kWh saved: 1/4 GWh or power to run 21,357 homes for a year

Sales generated for other programs: 14,010

Family discussions generated: COUNTLESS

Marriages Saved: 1

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Becoming a trusted energy advisor starts with providing value

Bringing even more value to Duke Energy customers

MyHER Interactive

MyHER Interactive Mobile

• Flexible, cost-effective platform that combines EE & DR and next-selling into an internet-accessed HVAC management system

• Engages customers to easily monitor, understand and change consumption through smart thermostat

• Differentiated by including “personal home energy use” data and targeted energy saving tips

• Filed to include water heaters, home appliances and devices

• Ability to cross sell the portfolio and drive future growth

HōM™ Energy Manager

Retailers Vendors

Value Added Bundlers

Companies are already successfully bringing these solutions to consumers

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Energy First

THE TENDRIL APPROACH

TIME

VA

LUE

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• Multi-channel engagement

• Educate consumers on the sources and uses of Energy

• Bring personalized offers to consumers complete with individual ROI calculations and provide guided suggestions for investment in additional goods and services

• Give consumers the convenience they desire through smart-phone, desktop and Internet apps, control, orchestrate devices in the background to meet comfort, economic and environmental outcomes, and put the customer in control of their living environment

ENGAGE CUSTOMERS

PERSONALIZEENERGY

CONVENIENCE,COMFORT &CONTROL

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Meeting Utilities Where They Are Today

CREATING A PATH FOR TOMORROW

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• Multi-channel engagement

• Educate consumers on the sources and uses of Energy

• Bring personalized offers to consumers complete with individual ROI calculations and provide guided suggestions for investment in additional goods and services

• Give consumers the convenience they desire through smart-phone, desktop and Internet apps, control, orchestrate devices in the background to meet comfort, economic and environmental outcomes, and put the customer in control of their living environment

ENGAGE CUSTOMERS

PERSONALIZEENERGY

CONVENIENCE,COMFORT &CONTROL

TODAY’S PROGRAMS

EE, DR,New Tariffs,etc.

COMPETITIVE ENERGY RETAIL MODEL

Boiler Maintenance,Surge Protectors,

Home Energy Audits, etc.

FUTURE ENERGY OPPORTUNITIES

Solar, Storage, EV, etc.

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The Attributes of a Consumer-Centric Energy Service Provider

Integrated approach to customer experience

One size doesn’t fit all

Don’t outsource

Think beyond compliance

BEST PRACTICES

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Let’s Have a Discussion

Q&A

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Thank You