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WELCOME TO CENTERPOINT ENERGY’S2018

COMPETITIVE RETAILER WORKSHOP

November 14, 2018

INTRODUCTIONS

SAFETY SHARE

Opening Remarks / CIS Conversion / System Updates

John Hudson – Director – Market Operations

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Congratulations!Candace Cox1st to RSVP

The Retail Market and ERCOT Updates

Rebecca Reed Zerwas – Regulatory Kathy Scott – Market Operations

Retail Electric Market Regulation

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Public Utility Commission of Texas

Electric Reliability Commission of Texas

Texas Legislature

Texas Legislative Oversight

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• Texas Legislature• Governs statewide electric operations• Deregulated the retail electric market with SB7 in 1999• Makes broad policy decisions on market issues, customer protections,

and general business practices • Oversight over both the PUCT and ERCOT• The Texas Legislature meets for 140 days every two years

▪ Next session begins on January 8, 2019

• Texas Legislature Public Utility Regulatory Act (“PURA”)• Statute that regulates “public utilities” in Texas• The PUCT was create in 1975 when the Legislature enacted PURA and

adopts rules based on authority granted to it under the statute• Chapter 39, “Restructuring of Electric Utility Industry,” governs

competitive entities

Pubic Utility Commission Regulations

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• Public Utility Commission of Texas (“PUCT”)• Mission: to protect customers, foster competition, and promote high quality

infrastructure• Led by three Commissioners appointed by the Governor; meets twice a month in

public Open Meetings• Adopts industry rules for TDSPs, REPs, Generators, and ERCOT based on

authority granted to it by the Legislature under PURA• Handles customer complaints, oversees competitive market, approved TDSP

rates, and provides direction to ERCOT

• Chapter 25, Electric Substantive Rules (Texas Administrative Code)• Subchapter D, Records, Reports, and Other Required Information• Subchapter E, Certification, Licensing and Registration• Subchapter F, Metering• Subchapter G, Submetering• Subchapter I, Transmission and Distribution• Subchapter O, Unbundling and Market Power• Subchapter R, Customer Protection Rules for Retail Electric Service• Subchapter S, Wholesale Markets

• Current PUCT Retail Hot Topics:

• Project No. 45730, Project to Evaluate the Power to Choose Website

• Docket No. 47472, Petition to Determine Requirements for Smart Meter Texas

• Project No. 47552, Issues Related to the Disaster Resulting from Hurricane Harvey

• Project No. 48075, Petition for Designation of Electric POLRs for 2019-2020

and Submission for LSP EFLs

• Project No. 48113, Project to Monitor Lubbock Power& Light’s Transition to ERCOT

• Project No. 48525, Rulemaking to Review 16 Tac 25.130 Relating to Advanced Metering

• Project No. 48551, Review of Summer 2018 ERCOT Market Performance

Public Utility Commission Activities

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• Electric Reliability Council of Texas (“ERCOT”)• Membership-based nonprofit corporation; governed by a Board of Directors• Subject to oversight by the PUCT and the Texas Legislature • Independent System Operator or “ISO” for the grid; manages the flow of

electricity to 25 million Texans • Registration agent for the retail market; administers switching and financial

settlement for over seven million customer premises• Stakeholder process recommends changes to ERCOT Market Rules and

Operating Guides that are voted on by the Board

• ERCOT Protocols and Market Guides• Protocols – implemented to comply with applicable rules, laws, and orders

▪ Retail Market Guide ▪ Commercial Operations Market Guide▪ Load Profiling Guide▪ Texas SET Guides and Swimlanes▪ Texas Market Test Plan Guide▪ Data Transport Guides

ERCOT Market Implementation

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Recap: How a Bill Becomes a Protocol

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Public Utility Commission:• Determines impact of bill• Staff proposes new regulations based on bill• Public comments on draft• Commission adopts Substantive Rules

ERCOT:• Stakeholder files protocol revision request• ERCOT Staff determines impact of revision• Subcommittee votes to recommend approval• Board of Directors approves Protocol

Texas Legislature:• Bill is drafted to amend PURA• Bill is filed by a Legislative sponsor• House and Senate hear and pass the bill• Governor signs bill into law

If the PUCT has legislative authority under PURA, it may amend its related rules at any time

The PUCT may direct ERCOT to implement changes

- or -ERCOT may request the PUCT weigh in on an issue

• ERCOT Board of Directors

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BoardOf

Directors

Technical Advisory

Committee (TAC)

Wholesale Market

Subcommittee (WMS)

Reliability Operations

Subcommittee (ROS)

Retail Market Subcommittee

(RMS)

Protocol Revision

Subcommittee (PRS)

Board is advised by Stakeholder Groups

TAC makes policy recommendations to Board

Subcommittees recommend changes to Market Rules and Operating Guides

For more information visit www.ercot.com/committees

ERCOT Board and Stakeholder Groups

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http://www.ercot.com/committees

Retail Market Subcommittee (RMS)

• RMS Scope• The RMS serves as a forum for issue resolution in regards to retail market matters

directly affecting ERCOT and ERCOT protocols. The RMS is also responsible for monitoring Public Utility Commission (PUCT) rulings as they apply to retail markets and retail market participants and ensuring that PUCT requirements are reflected in the Retail Market Guides, protocols and Texas Standard Electronic Transaction (Texas SET).

• http://ercot.com/committee/rms

• Working Groups and/or Taskforces Reporting to the RMS:• Texas Data Transport and MarkeTrak Systems Working Group (TDTMS) • Texas Standard Electronic Transaction Working Group (TX SET) • Profile Working Group (PWG) • Retail Market Training Taskforce (RMTTF)

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http://ercot.com/committee/rms

Texas Data Transport and MarkeTrak Systems (TDTMS)

• TDTMS Scope

• TDTMS evaluates the need for MarkeTrak system upgrades, monitors the ERCOT Retail Market Performance Measures reporting under PUCT Subst. Rule §25.88, and evaluates the Retail Market IT Services Service Level Agreement (SLA).

• The TDTMS Working Group assists in the testing and implementation of new data transport software, new MarkeTrak tool functionality enhancements or upgraded versions of the existing software.

• http://ercot.com/committee/tdtms

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http://ercot.com/committee/tdtms

Texas Data Transport and MarkeTrak Systems (TDTMS)

• Past Accomplishments and Future Project Highlights: • In 2016 TDTMS assisted ERCOT in developing market requirements for our

first Retail Market Test Environment (RMTE). The Market has realized improvements are needed, therefore, a list of enhancements to the RMTE is currently being planned.

• Championed NPRR778, Modifications to Date Change and Cancellation Evaluation Window by:▪ Conducted Workshops, Project Kick-Off Market Call and Technical Testing Coordination

Calls to ensure testing participants’ successful implemented NPRR778.• Assist ERCOT and the Market in developing business requirements and

testing criteria when needed for: ▪ MarkeTrak System Upgrades and/or Enhancements▪ NAESB Version Upgrades and/or Releases

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Texas Standard Electronic Transactions (TX SET)

• TX SET Scope• Maintains the Texas SET Implementation Guides and the Texas Market Test

Plan Guide• Analyzes the need for new or modifications to existing electronic

transactions• Recommends changes to retail market processes • Works with the ERCOT Flight Administrator to ensure that testing

processes and procedures are defined and administered

• http://ercot.com/committee/txset

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http://ercot.com/committee/txset

Texas Standard Electronic Transactions (TX SET)

• Past Accomplishments and Future Project Highlights • Annually reviews and recommends the Market Test Flight schedule to RMS. The 2019 Market

Test Flight Schedule was approved on October 16, 2019: Approved 2018 Test Flight Schedule

• For all TX SET Version Releases: ▪ TX SET Develops Scope, Business Requirements and Testing Criteria that is recommended to RMS for

approval. These recommendations can be in the form of: - Nodal Revision Requests (NPRRs) and/or, - Retail Market Guide Revision Requests (RMGRRs) and/or, - System Change Revision Requests (SCRs) and/or, - TX SET Change Controls: http://ercot.com/mktrules/issues/txsetcc

• TX SET is currently developing a list of potential Change Controls or Market Process Changes to enhance existing or create new functionality to improve the current TX SET Version 4.0. When, Do You Ask?▪ Tentative schedule for next TX SET Release:

▪ Draft Scope and Implementation Guide Changes, Develop Business and Testing Requirements 2019, ▪ Determine IT Development timeline and Market Testing/Scripts to be coordinated with a Test Flight 2020, ▪ Next Version Release anticipated late 2020 or early 2021. ▪ TXSET Timeline 19

http://ercot.com/content/wcm/key_documents_lists/27303/Approved_2018_Test_Flight_Schedule.doc

http://ercot.com/mktrules/issues/txsetcc

http://www.ercot.com/content/committees/board/tac/rms/txset/keydocs/2008/TXSET_Timeline.ppt

Profile Working Group (PWG)

• PWG Scope• PWG acts as a forum in which market participants may help facilitate

changes to the market rules pertaining to load profiling issues as reflected in the ERCOT Protocols and/or the Load Profiling Guide (LPG).

• PWG develops and maintains the LPG; reviews requested changes to load profiles, load profiling methodologies, and the implementation of the load profiling process; reviews and makes recommendations for changes to the Profile Decision Tree; helps define weather zones and load profile types; and coordinates with ERCOT in developing load profiles for particular customer segments.

• http://ercot.com/committee/pwg

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http://ercot.com/committee/pwg

Profile Working Group (PWG)

• Past Accomplishments and Future Highlights • Draft and Recommends to RMS load profile improvements through:

▪ Nodal Revision Requests (NPRRs) and/or▪ Load Profiling Guide Revision Requests (LPGRRs)

• Review and assist ERCOT to ensure the compliance of the Annual Validation and Weather Responsiveness reports.

• Drafted, recommended and received RMS’ approval of NPRR881 and LPGRR065, Annual Validation Process Revisions: ▪ Business Load Profile (BUS) ESI IDs default profile will move from BUSMED to BUSLO,

this change should be effective January 1, 2019 ▪ Business Load Profile (BUS) ESIs will be reviewed annually and updated as applicable▪ Residential Load Profile (RES) ESI IDs reviewed every 3 years and updated as

applicable, next Residential RES AV scheduled 2021! 21

Retail Market Training Taskforce (RMTTF)

• RMTTF Scope

• RMTTF is responsible for coordinating the development and maintenance of Retail Market training materials for ERCOT Market Participants.

• http://ercot.com/committee/rmttf

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http://ercot.com/committee/rmttf

Retail Market Training Taskforce (RMTTF)

• Accomplishments and Future Highlights• Developed and Maintains the Market’s training material for content and

accuracy: ▪ 12 MarkeTrak Online Training Modules available on ERCOT’s Learning Management

System (LMS): http://www.ercot.com/services/training/▪ Retail 101 Training available online at ERCOT’s Learning Management System (LMS) and

through Instructor Led Training Classes. ▪ TX SET Training currently only available through Instructor Led Training Classes

• 2019 Instructor Led Training Schedule▪ Retail 101* and TX SET** Instructor Led Training

▪ February 19, 2019* (Tuesday) and February 20, 2019** (Wednesday) at Georgetown’s Library Georgetown, TX

▪ May 1, 2019* (Wednesday) and May 2, 2019** (Thursday) at Oncor’s Office Dallas, TX ▪ Sept. 25, 2019* (Wednesday) and Sept. 26, 2019** (Thursday) at CNP’s Office Houston, TX

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http://www.ercot.com/services/training/

Knowledge Can Be Priceless!

The Definition of Knowledge

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According to Webster’s Dictionary: “The fact or condition of knowing something with familiarity gained through experience”

Steps to Gain Knowledge Through Experience:

• All ERCOT Market Meetings are open to the Public and Market Participation is strongly encouraged by all.

• All ERCOT Market Meetings are available both in person and via WebEx or Web Conference for those who prefer to call into the meeting(s).

• The 2018 and 2019 ERCOT Market Meeting calendar has been posted and available at: http://ercot.com/calendar

• On a daily bases there are recommendations being approved at the Subcommittee/Committee and ERCOT Board that are binding that may impact your organization SO GET INVOLVED!

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http://ercot.com/calendar

Questions?

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27

BREAKBREAK

CenterPoint Energy Street Light Luminaire Replacement

Santos Calderon - Streetlight

LED Street Light Conversion Program

CenterPoint Energy LED Street Light Replacement

The purpose of this presentation is to provide a brief description ofCenterPoint Energy’s LED Street Light Conversion Program

• Introduce LED street lighting technology

• Provide information on the conversion projects

• Explain the future financial impact of an LED conversion

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Approximately 450K street lights in system

Types of Street Lighting • Overhead Cobra Street Lights• Underground Cobra Street Lights• Decorative Street Lights• LED Street lights

Portal – Billing, Inventory system and Maintenance System

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31

HPS58%

LED40%

Metal Halide1%

Mercury Vapor1%

Amount

HPS LED Metal Halide Mercury Vapor


32

33Why the interest in LEDs?

The U.S Department of Energy estimates that widespread adoption of LED lighting by 2025 will:

•Reduce electricity demands from lighting by 62 percent. •Eliminate 258 million metric tons of carbon emissions. •Reduce the amount of materials being put into landfills. •Avoid the building of 133 new power plants. •Save the US over $280 billion.

What is LED?Light-Emitting Diode: a semiconductor device that emits visible light when an electric current passes through it

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Typical Lighting-class LED Package

The LED Package provides:• Protection for the LED chip from the outside environment• Conductive path to carry generated heat away from the LED

chipReliability• Lens & encapsulant systems should not discolor under

UV and exposure to high amounts of luminous flux

LED chip

Substrate

Lens, RI ~1.4

Wire Bond

Phosphor

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HID Lamp vs. LED TechnologyTechnological Differences:

– Directionality of generated light• Omni-directional (HID)

• Directional (LED)

– Means of evacuating generated heat• Convection (HID)

• Conduction (LED)

– Light Source• Single (HID)

• Multiple (LED)

HID lamps:

Ref

lect

or(light)(heat)

LEDs:

90°-140° viewing angle(light)

(heat)

(light)

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HID Light Pattern vs. LED Light Pattern - 150W HPS

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HID Light Pattern vs. LED Light Pattern - 150W HPS

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HID Light Pattern vs. LED Light Pattern39

HID Light Pattern vs. LED Light Pattern40

Traditional Street Lights vs. LED Luminaires41

Traditional Street Lights vs. LED Luminaires

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Traditional Street Lights vs. LED Luminaires

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LED: Advantages and Disadvantages

CenterPoint Energy has been conducting pilot testing of the technology for the previous six years

ADVANTAGES• Energy efficient: 80% of the electricity used by an LED is converted to light, compared to just 10% for

incandescent bulbs.

• Long and predictable life: LEDs last up to 100,000 hours or more; substantially longer than High Pressure Sodium and Metal Halide lamps

• Excellent CRI (color rendering index): LEDs can produce a high quality of white light that allows the eye to detect colors more effectively.

• Environmentally friendly: LEDs emit very little infrared radiation and contain no mercury.

• Directional lighting: LEDs focus light in a particular direction, making them useful for spotlight and other applications.

• Quick turn on and off: LEDs come on with full brightness instantly. Unlike mercury vapor, metal halide and sodium vapor lamps (commonly used in street lighting), LEDs do not have a problem restarting immediately (hot ignition) following a brief power failure or inadvertent turn off.

LED luminaires may provide up to approximately 60% kWh energy savings for the end-use customer

DISADVANTAGES• Cost: LEDs are currently more expensive than other conventional HID sources.

• Heat: LEDs are very heat sensitive. Correct dissipation of heat is necessary to light output and lifespan of the fixture.

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Equivalent LED Luminaires45

LED Luminaire Percent of CNP Lamps Alternative For

45 Watt ~75%• 100W MV*• 100W HPS*• 70W HPS• 100W MH*

95 Watt ~10%• 175W MV• 150W HPS• 175W MH

115 Watt ~14% • 250W HPS• 250W MH

180 Watt ~< 1% • 400W MV• 400W MH

* MV = Mercury Vapor, HPS = High Pressure Sodium, MH = Metal Halide

CNP Approved LED Street Lights 46

45W - 4,800 lumen LED LuminairePhilips RoadFocusAvailable in:Voltage : 120VColor: Grey, Black95W - 7,900 lumen LED LuminaireEOI SL3cAvailable in:Voltage : 120V, 480VColor: Grey, Black

115W - 10,850 lumen LED LuminairePhilips RoadFocusAvailable in:Voltage : 120V, 480VColor: Grey, Black

**All approved fixtures are required to have a minimum 10 year warranty

CNP Approved LED Street Lights (continued)47

180W - 15,100 lumen LED Luminaire13,720 lumensAvailable in:Voltage : 120V, 480VColor: Grey, Black


CNP Approved Decorative LED Street Lights48

45W & 115W, Roadstar LED Luminaire45W - 4,600 lumens115W - 9,480 lumensAvailable in:Voltage : 45W - 120V, 115W - 120V, 480VColor: Grey, Black

180W, Roadstar LED Luminaire13,720 lumensAvailable in:Voltage : 120V, 480VColor: Grey, Mouse Grey, Black


CNP Approved Decorative LED Street Lights (continued)

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45W, Midtown LED Luminaire5,264 lumensAvailable in:Voltage : 120VColor: Black3000K CCT

115W, 10850 lumen Midtown LED Luminaire11,700 lumensAvailable in:Voltage : 120VColor: Black4000K CCT


CNP Approved Decorative LED Street Lights (continued)

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45W, Granville & Granville with Cage LED Luminaires4,990 lumensAvailable in:Voltage : 120VColor: Black3000K CCT

95W, Granville LED Luminaire7,679 lumensAvailable in:Voltage : 120VColor: Black4000K CCT


51Additional LED Street Light Conversions

• City of El Lago

• City of Manvel

• City of South Houston

• Beach City

• City of Galveston

• City of Pasadena

• Jacinto City

• City of Galena Park

• City of Freeport

• City of Nassau Bay

• City of Pattison

• City of Clear Lake Shores

• City of Sealy

• City of Jersey Village

• Bayou Vista

• Bacliff M.U.D.

• San Leon M.U.D.

• Harris County M.U.D. #180

• Mission Bend South

• Mostyn Manor

• Teal Run

• Barrow Ranch

• Millers Landing

• Lake Forest of Kelliwood

• Kings Lake Forest

• Maple Trace

• Villages on Grant

• Hide-A-Way on the Gulf

• Barkers Crossing

• Lakes of Golfcrest

• Laurel Oaks

• Regency Forest

• Woods Edge

• Westlake Forest

• Cloverleaf

• Yorktown Colony

• Ponderosa Forest

• Aliana

• Deerbrook Estates

• City of Sugarland

• City of Baytown

LED Conversion Program52

• The LED conversion program includes

• Removal of existing HID luminaire and Photoelectric Relay (PER)

• Installation of equivalent LED luminaire

• Installation of “hardened” Photoelectric Relay (PER)

Notes:

• LED luminaire costs have decreased significantly over time and are expected to continue to decline

• Increased life of the LED luminaire, coupled with the “hardened” PER is expected to reduce street light outages

LED Conversion Program53

Municipalities will be required to enter into an installation agreement. Some of the terms & conditions included are:

• Deployment Schedule

The deployment schedule will be based on the number of lights and current workload

• All new street light installations, including the 6% allotment, will be LED technology

• Agreement to the recently accepted LED tariff rates, and the potential of increased LED tariff rates in the future

• HPS will be installed if requested

Financial Impact54

• LED fixtures average 1 ½ to 3 times the cost of standard HPS fixtures

• Additional capital labor required to replace existing lights

• Undepreciated HPS fixtures remain in the streetlight asset base

• Energy consumption will decrease by as much as 50% (Retail Provider)

• Monthly fixture charge paid to CNP will likely increase substantially

• CNP plans to recover LED costs through DCRF annual filing

• In rate case, project costs will move from DCRF to rate base

KWH Comparison 55

100 WATT - MERCURY VAPOR

45 WATT - LED

Inventory: KWH Hours: Total KWHs Per Month:

Total KWHs Per Year:

6 41 246 2,952

Total Number of Lights if

Converted:

KWH Hours: Total KWHs Per Month:


6 17 102 1,224

Unconverted KWHs Converted KWHs You Save2,952 1,224 1,728

ANNUAL TOTAL KWH SAVINGS

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6 58 348 4,176


Converted:



6 32 192 2,304

Unconverted KWHs Converted KWHs You Save4,176 2,304 1,872

95 WATT - LED

150 WATT- HIGH PRESSURE SODIUM


KWH Comparison

57



1 106 106 1,272


Converted:



1 38 38 456

Unconverted KWHs Converted KWHs You Save1,272 456 816

115 WATT - LED

250 WATT - HIGH PRESSURE SODIUM


KWH Comparison

58

Questions?

CenterPoint Energy - Energy Efficiency Programs

David Dzierski – Energy Efficiency

23 Energy Efficiency Programs$36,000,000 Annual Budget

Commercial Residential Hard-to-Reach

Measure Eligibility

• Produces measureable peak demand and / or energy

savings

• Peak demand period is defined as June 1 through

September 30, Monday – Friday 1PM to 7PM

• Exceeds minimum energy efficiency standards (code)

• Payments made to program sponsor, not resident

Commercial Programs

• Commercial Standard Offer• Retro-Commissioning• Healthcare Energy Efficiency Program HEEP• Smart Pools• Data Center Energy Efficiency• SCORE• Load management

Residential Programs

• Smart Pool Pump• High Efficiency Homes• Multi-Family High Efficiency New Construction• A/C Distributor• Advanced Lighting• Residential Standard Offer• REP - Coolsaver A/C Tuneup• REP - Efficiency Connection• Residential Demand Response

Hard To Reach Programs

• Agencies in Action• Hard-to-Reach• Multi-Family Water and Space Heating

2018 REP Program

• 2018 Budget approx. $.• A/C Tune-up

• Efficiency Connection LED’s

• 2019 Budget approx. $.• A/C Tune-up

• Efficiency Connection LED’s

• Smart Thermostats

REP Program

• REP CoolSaver A/C Tune-Up Program• Offers a free A/C tune-up ($140 - $160 value) marketed by

participating REP’s for residential and commercial customers.

• Efficiency Connection • Provides the opportunity for customers to purchase LED bulbs at a reduced

price utilizing an internet marketplace.

Participating REP’s in 2018

• Coolsaver – ? REP’s• ? A/C Companies

• Efficiency Connection – ? REP’s

REP MTP – 2017 EOY Results

• Coolsaver – Residential• x,000 Tune Ups, $xxx,xxx

▪ Hurricane Harvey▪ Cool Spring

• Coolsaver – Commercial• xx Tune Ups, $xx,xxx

• Efficiency Connection LED• Xx,xxx LED Bulbs, $xxx,xxx

REP Residential Demand Response

• Available to 3rd party participants who enroll customers with wi-fi enabled thermostats• REP’s• Cable TV companies• Aggregators• Alarm companies• Other

Residential Demand Response 2018 Results

• 5 Sponsors• 1 REP• 1 Thermostat manufacturer• 3 Aggregators

• 15,143 ESID’s enrolled• 2, 3-hr test events on very hot days• 19.48 MW reduced load• Payment = $38/kW• Total payout = $838,260

www.techniart.com

What's next?

• Smart Thermostats• Rely very little on consumer behavior to work properly.• Learning, or adaptive control, describes the algorithms that enable smart

thermostats to optimize HVAC functionality based on certain conditions.• Do not “learn” your behavior. Smart thermostats learn building heat

loss/gain.• Coupon Code Program

Program Information

• Web site: www.centerpointefficiency.com

• Contact: Cheryl Bowman 713-207-5631David Dzierski 713-207-3341

Awards

• Awards for Participation in CenterPoint Energy’s Retail Electric Provider Program.

Questions

76

RAFFLE DRAWING

Moody Gardens – Aquarium and Animals

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RAFFLE DRAWING

79

LUNCH

Hurricane Maria Response – Puerto Rico

Kathryn Carmichael

Overview

• 155 mph at landfall• Southeast to Northwest track

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Where were we?

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Not your typical Mutual Assistance Trip: Same but Different

• Many things were similar to that of other mutual assistance trips, but there were some unique challenges.• Logistics• Travel• Terrain• Safety• Driving

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Logistics

84

Logistics

85

Travel

86

Terrain

• Mountains

87

Terrain

• Ravines

88

Terrain

• Caverns/Holes

89

Safety: How we prepared

• Communications• Hurricane Maria Response Book• Emergency Information Cards• Onboarding (working with IMT Safety Team)

90

Safety

• Vegetation

91

Safety

• Animals and Insects

92

Driving

• Narrow Roads

93

Driving

• Steep Roads

94

Driving

95

Traffic Signal Not Functioning

CenterPoint Energy’s Power Alert ServiceStephenie Howard Director of Customer Service Performance Management & Strategy

Meet the Modern, Empowered Consumer

Connected

VisualInteractive

Flexible

Dynamic

ConsultativeReal-time

Personalized

Value My Time Value My Money

Value My PreferencesValue Me

98

Outage Communication Overview

99

• ≈1 million consumers enrolled for alerts via email/phone/text

• > 15 million messages sent• Up to 95% call deflection rate• Survey results

▪ 92% ease of registration/use▪ 93% timely restoration alert▪ 92% satisfaction

Our “Killer App” - Power Alert Service

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Power Alert Service – Functionality Overview

Phone Email TextAutomated Planned and Un-Planned Outage Notifications w/ Estimated Restoration TimeCrew Assessment NotificationsEstimated Restoration Time Update NotificationsEstimated Restoration Time Expiration NotificationsPre-Event/Storm Blast MessagesBlast Messages – All Active OutagesBlast Messages – All CustomersBlast Messages – By Service CenterRolling Circuit Messaging (ERCOT Load Shedding Event)Proactive Reliability Reporting

101

Power Alert Service – One-to-One Communications

102

Power Alert Service Power Problem

NotificationPower Alert Service Status Notification

Power Alert ServiceRestoration Notification

CenterPoint Energy is aware of a power issue near 123 Main St. Estimated repair time is 1:45 P.M. -actual time may vary. To opt-out, replySTOP.

CenterPoint Energy crews are assessing repairs near 123 Main St. Additional details will be available shortly. To opt-out, reply STOP.

We have repaired the power issue near 123 Main St. We determined the cause was due to vegetation. If you’re still without power, check your breakers, then call 713-207-2222. To opt-out, reply STOP

Power Alert Service – One-to-Many Communications

103

Blast Messaging will communicate pre-event and active outage information to users

Portions of the CenterPoint Energy service territory are currently under a flood advisory. CenterPoint Energy is preparing for this weather event and encourages our customers to also prepare for severe weather this afternoon.Be assured that our crews will work to restore any power outages resulting from this weather as quickly as possible.

Due to the recent severe weather, many power outage repairs are taking longer than we originally estimated. Be assured that our crews are working to restore power as quickly as possible. We will notify you after the power issue affecting your address is resolved.

We apologize for any inconvenience and thank you for your patience.

Power Alert ServicePre Event Blast

Message

Power Alert Service Active Event Blast

Message

Key Performance Indicators

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▪ Call Deflection‒ Blue Sky

‒ Storm Days

‒ Planned Outage Reminder Call Deflection

▪ Customer Satisfaction and Perception ▪ System Performance and Reliability▪ Estimated Restoration Time

‒ Default ETR Performance

‒ ETR Adjustments

What Do Customers Think?

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[email protected]

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107

RAFFLE DRAWING

Revenue Protection with AMI Analytics

Chris Tomme - Revenue Protection SupervisorShea Martin – IT Business Analyst

Revenue Protection with AMI Analytics

Electricity Theft in the U.S.

YOU

CenterPoint Energy: An Electric and Natural Gas Utility

CENTERPOINT ENERGY : PAGE110

Electric Transmission & Distribution:• Electric utility operations with ~2.4 million

metered customers across ~5,000 square miles in and around Houston, Texas

• 19th largest U.S. investor-owned electric utility by customer base (1)

• 86,828,902 MWh delivered• 2.3% residential customer growth • 34% improved electric reliability on

intelligent grid circuitsNatural Gas Distribution:• Regulated gas distribution jurisdictions in

six states with ~3.4 million customers• 6th largest U.S. gas distribution company by

customer base (1)

• Delivered 411 Bcf of natural gasEnergy Services:• Non-regulated competitive natural gas

supply and related energy services serving ~33,000 commercial and industrial customers across 33 states

• Delivered 777 BCF of natural gas(1) As of Dec. 31, 2015 per EEI and AGA

Combined Company Overview – Vectren Merger

• Vectren has become a CenterPoint Energy company

• Combined company will be called CenterPoint Energy, headquartered in Houston

• Scott M. Prochazka to serve as CEO

• Regulated operations in 8 states

• Unregulated operations in almost 40 states

• Nearly 14,000 employees

• Expected to execute a unified business strategy focused on the safe and reliable delivery of electricity, natural gas and related services to customers

• Combined company’s natural gas utilities operations and Indiana electric operation to be headquartered in Evansville, Ind.


CenterPoint EnergyNatural Gas DistributionElectric Transmission & Distribution and Natural Gas DistributionVectrenNatural Gas DistributionGas & ElectricReg. Generation

Revenue Protection Strategy

• To identify investigate, and collect lost revenues resulting from the theft of services and irregular meter conditions

• The function of a Revenue Protection unit is to prevent cases of this nature from occurring and its goal is to minimize revenue loss by prompt detection, resolution and billing while maintaining a safe electrical metering system for the public and CNP employees

• Key Elements of the Program• Detection & Analysis• Investigation & Field Notification• Revenue Recovery & Resolution• Prosecution• Deterrence


Revenue Protection StaffCENTERPOINT ENERGY : PAGE113

• We have 4 Strategically located offices throughout the Houston area that houses our investigators and billing reps:

• Cypress• Greenspoint• South Houston – This office is where we store all of our evidence• Sugarland

• Our Revenue Protection Staff is made up of the following:• 2 Supervisors• 17 Investigators• 7 Billing Reps• 3 Evidence Reps – They process all of the required PUCT documentation• 2 Analysts – Primarily focused on AMI Diversion and Tampering• 2 Admins

PUCT Evidence Requirements

Public Utility Commission of Texas

• 25.126. Meter Tampering• (a) Meter tampering, bypass, or diversion shall be defined as tampering

with an electric utility company’s meter or equipment, bypassing the same, or other instances of diversion.

• (b)The burden of proof of meter tampering, bypass, or diversion is on the electric utility. The electric utility must provide photographic evidence, the affected meter and other metering equipment that supports its conclusion that the meter was tampered with. In addition, a sworn affidavit from an employee or other representative of the TDU attesting to the veracity of the information must be provided.


End-to-End Diversion Business Process

• Diversion• Meter Tamper/Bypass• Other activity at meter level presenting as potential diversion


Variations of Tampering

Inner Cover TamperingCENTERPOINT ENERGY : PAGE117

Jagged Edge on slot.

Jumpers from WeatherheadCENTERPOINT ENERGY : PAGE118

Jumpers in BaseCENTERPOINT ENERGY : PAGE119

Jumpers In BaseCENTERPOINT ENERGY : PAGE120

Jumpers on LegsCENTERPOINT ENERGY : PAGE121

Data PlateCENTERPOINT ENERGY : PAGE122

“Meter Data Plate” sometimes found

switched.

Revenue Protection Protocol for

Diversions Found

Good Photos vs Bad PhotosCENTERPOINT ENERGY : PAGE125

Analytics

Current Analytics

Tamper

Load Side Voltage

Disconnect Tamper

No Reads Automation

Disconnect w/no

Reconnect

Disconnect w/Hanging

PONS

Electric Usage Report

Tampering Techniques

• Since AMS trends have changed, our customers have researched the functionality of the AMS meter and changed their approach for tampering.

• They soon realized if they pull the AMS meter we’ll show up to investigate the premise. Since we no longer have meter readers this makes it fairly easier for theft.


Refining AMI Analytics

• We’re currently using a Machine Learning Tool to bring in a higher level of pattern recognition • It allows us to prioritize truck rolls based on the largest revenue return

and/or highest success rate• Identify algorithms missed in current analytics reports to improve

effectiveness of existing reports• Meter Inspection Program

• Implementing 10 Year Meter Inspection Program to inspect 2.2 Million meters

• This is a way for CNP to keep the system in sync with regards to billing and catch tampering and diversion not recognized by our analytics like bypassing


Partnership with Law EnforcementCENTERPOINT ENERGY : PAGE130

Trust

Respect

State felony when value of service stolen is $1,500-$20,000

Texas Penal CodeSection 31.04

Theft of service if a person

intentionally or knowingly diverts

the other's services to his own benefit or to the benefit of

another not entitled to them

Grow House ExteriorCENTERPOINT ENERGY : PAGE132

Grow House Lights

Underground Bypass feeding into house

Grow House InteriorCENTERPOINT ENERGY : PAGE133

Bypass feeding into house from

outside Grow House Timers

Plant, Plant, BypassCENTERPOINT ENERGY : PAGE134

Plants in All Stages of Growth CENTERPOINT ENERGY : PAGE135

Questions/ConcernsCENTERPOINT ENERGY : PAGE136

Chris Tomme – 281.561.3239

[email protected]

Shea Martin – 281.979.8421

[email protected]

mailto:[email protected]

mailto:[email protected]

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RAFFLE DRAWING

138

BREAK

Technology of the Future

Courtney Truman - Power Delivery Solutions

Technology of the Future

PROPRIETARY AND CONFIDENTIAL INFORMATION

Agenda

• Damage Assessment App

• TABLEAU Dashboards

• Service Connect

Damage Assessment App

• The EDGE Damage Assessment allows Patrol Inspectors to:• Receive Circuit Assignments

• Access GIS maps

• Document EOP Field Inspector Notes• Create sketches

• Attach Photos

141


• The Damage Assessment Dashboard Capabilities:• Assign Circuits

• Create Rollup Notes

• Review/Confirm Work Items• Create Work Packets for Operations

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• Future State:• Release of Android mobile version• Possible Integration to ETR Dashboards

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TABLEAU

• TABLEAU is a powerful, flexible tool to complete end-to-end analytics of any kind of data

• How it works:• Import Data in spreadsheet format ( i.e.: from SAP, Excel, etc.)

• Once received, you can manipulate the data into numerous graphs and charts• There are set dimensions and measures by which the data is analyzed

• Once finalized, you formulate your dashboard where you can then make guided decisions

TABLEAU

Service Connect

• A one-stop shop website where customers can obtain the below information:• GIS Interactive Map for finding their electric

representative• Construction Processes by job type• Reliability Brochure• Electric Safety information• EE Programs & Alternative Energy Solutions

Service Connect

https://www.centerpointenergy.com/en-us/business/customer-service/service-connect?sa=ho

Service Connect Metrics

• Phase 1: “Day 0” email distributed May 3rd & May 24th to external customers

Campaign metrics Campaign PerformanceSent Total

OpensTotal

ClicksConversions Delivery

RateOpenRate

Click-through Rate

May 3rd 679 270 45 0 92% 15% 2.2%

May 24th 1694 1335 178 0 92% 24% 5%


• Web Metrics: 5/1-10/30


• Web Metrics: Page Visits; 5/1-10/30Page Visits Views

ServiceConnect Home 2,816 3,389Construction Process 1,258 1,443Start Electric Service 916 1,065Outage Center 321 364EE Programs 183 229Start Electric Service – No Meter 171 211Electric Safety 143 163Electric Reliability 113 141Technology Center 97 104Start Electric Service - Permits 72 95

Questions?

152

Baby Picture Winner!

153

IN CLOSING

154

Moody GardensAquarium Pyramid

Adventure!

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