ue - presentation

Unified Energy Services

A unified approach to energy procurement

and load management

History of Unified Energy

Unified Energy Group

August 2008

In 2005, full

production sales of

our completely

automated real-time

price control and

demand response

system began.

In January of 2008,

RTP partnered with

Gatekeeper Systems,

RTP now called Vexia

In 2000, we filed our

first patent in real-time

price control, laying a

foundation of strong

intellectual property.

Patents Production Partnership Expansion

Company History

Acquisition

Tullett Prebon

acquires Unified

Energy – Unified

brand remains


History

• More than 150 years of combined financial, wholesale, retail, and supply side energy experience

• International leader in power purchasing and negotiations

• Specialize in price discovery and timely market assessments simplifying the purchase and management

of energy.

• Navigate complex energy markets and buying energy more cost effectively

• Holistic approach to energy procurement, demand side management, demand response and facility

management

Unified Energy is acquired by Tullett Prebon

• Tullett Prebon, rated #1 interdealer commodities broker in the world, rated #1 in 25 commodity categories

in 2012, and rated #1 in Electricity Products for 2012

http://www.tullettprebon.com/products/prod_energy.aspx

• Tullett Prebon is a public company based out of the U.K. with annual revenue in excess of 1 Billion

Dollars. Here is a link to their 2011 Annual Report

www.tullettprebon.com/Announcements/.../2012/RA20120731.pdf

http://www.tullettprebon.com/products/prod_energy.aspx

International Capabilities of Tullett Prebon

Holistic Energy Management


Commodity

Demand

Response

Energy

Efficiency

Asset

Management

Commodity Procurement

Leveraging the Portfolio of Unified Energy

More than 75 Suppliers

http://www.transcanada.com/index.html

Unified Energy Services-Customers

Proprietary Demand Response

Shaping Retail to take Advantage of Wholesale

Index Mitigation and Long Position Creation


The following green and yellow “blocks” above represent the wholesale allocations associated with a daily load

profile of a University. Wholesale markets transact in whole megawatts of power in amounts of 7x24 (first

number days; second number hours), 5x16, 7x8 and 2x16. If you are on a fixed price product, the retail energy

provider buys these blocks for both your load as well as their entire portfolio. You can also buy these blocks on

your own in a take-or-pay product. The gray area above shows either what is not hedged, or what reductions

can be made to create the long position for the supplier.

By implementing the strategy above, we create a voluntary program that you control. Decisions are made based

upon specific monetary decisions. Because the program is not ISO based, you cannot be penalized or removed

for underperformance or otherwise incorrectly participating. Additionally, there are no base-lines that have to be

proven to a third-party, rather we show the hedged load versus the curtailed load and settle based on index

prices. You receive 100 percent of the reduction in consumption as a further cost reduction.

In order to best determine options for curtailments, our team will meet with the applicable facility management

staffs and do due diligence on how the systems and infrastructure integrate. Then round-table with your staff to

discuss the options we have found and more importantly which options we may have missed. Opposed to other

companies in the demand response space, we know that your team understands your assets better than we do

as well as what they can and cannot afford. We encourage their input every step of the way.

Load Profile

Buying Blocks

Load Shaping

Demand Response Event

Index Mitigation

Curtail at high index prices and receive share of transparent value

Creates value that is a multiple of capacity option payments

Customized to customer ability to curtail and to turn retail product into wholesale value



• Voluntary economic demand response program embedded into the commodity procurement agreement • Day ahead notice, *No penalties or time limitations* No obligations to curtail

• Shared compensation programs that work to create long positions for REPs

• Much larger returns than restrictive ISO Programs • Take advantage of the commodity markets when prudent for BAIN, not just for the grid

Depending on the selected retail energy provider and the contract put into place, we will create a voluntary program

where defined curtailment amounts create transparent, market based compensation back to Bain. Effectively, we

create a no-risk long position for the retail energy provider that can be sold back into the index market. The

following is a diagram of what we are proposing:

Yellow: Index prices

Blue: Hedged load from LSE*

Green: New consumption line

Gray: Value from selling into Index

* Load Scheduling Entity

Financial Structuring

Utilizing Wholesale and Retail Market Margins to Monetize Savings

Wholesale

Procurement

• EEI and ISDAs brokerage

• Large and small market makers

• Margins clear within 45 days of contract signing

Immediate dollars

available thru the

wholesale trades

Retail

Procurement

• 75+ suppliers

• Large and small market makers

• Multiple product structures and terms

Immediate

savings versus

existing contracts

or tariff

Demand-Side

Project Work

• Lighting retrofits

• Cogen and solar projects

• ISO and proprietary demand response

Demand reduction

projects and

carbon footprint

reduction

Wholesale, Retail and Project Work

Disbursement of Funding Via Wholesale Trade

LOA

REP

REP

REP

REP

REP

REP

REP

REP Contract

Executed

Contract UE

Paid

Wholesale

Margin

Clears in

Full within

45 days of

contract

UE Paid Monthly by

Winning REP After

Customer Pays Bills

1) Assume 7c/kWh existing contract. Market rate at 5c/kWh. Move to 5.5c/kWh instead of 5c/kWh.

2) Assume 200,000 mWh hedge 3) Include $5/mWh in wholesale hedge 4) Transparent contract between Tullett Prebon and

Bain for increased wholesale margin 5) $1,000,000 to Customer within 45 days of contract

execution…interest-free and unamortized

Customer

Data Management Systems

Budgeting, Bill Auditing, Trend Analyses and more

Energy management is comprehensive,

not singular

Unified Energy

Metering

Technologies

Building

Automation

Systems

Utility

Management

& Analysis

Best

Practices &

Conservation

Energy

Management

Systems

Energy Star

Certification

Proactive Cost

Saving Strategies

Best Practice

Conservation

Initiatives

Energy Management

Organization

Monitoring

Historical Data

Comparison

Analysis

Contract

Compliance

Full Bill Auditing

Data Services

Exception

Processing

Advocacy

Competitiveness &

Economic

Development

Renewable

Energy &

Sustainability

Public Energy

Policy

Utility Rate Case

Representation

Spectrum of Unified Energy Services

Tracking Your Budget

Compare Usage and Demand Information

Compare Actual versus Billed Demand

Compare Usage at Multiple Levels

Annual Energy Summary

Benchmarking

Interval Data Reporting

Automated Full Bill Auditing

In 3-5% of bills

audited, Unified

finds and resolves

issues which in

return saves the

customer money

Cost Avoidance and Weather Normalization

Monitoring Contract Locks and Pricing

Additional Premium Services

• Tariff analysis

• Quarterly reviews

• Budgeting

• Energy Star registration and

certification

• Energy bill payment

• Annual review certification

• Historical bill audit

• Energy policy creation

• Sub-metering

• Assessment and audit

Unified Energy Data Management Services Results

Natural Gas Midstream Company

• Analysis of tariff & other service options

• Time of Use tariff savings of $28,000+ per year

Major hospital system

• Savings of almost $1M from bill auditing in first year

Large corporation

• Refund of $350,000 from bill auditing the first year

Oil Producer

• Integrated bill processing with internal accounting system

• Saved 18% due to tariff analysis and correction of invoice calculations

• $75,000 Refund due to incorrect metering found

Retail Store chain – 14% Savings w/tariff analysis

• Identified Peak Shaving Strategy

• Recommended Tariff Schedule Change

Commodity Procurement

Consistent and verifiable

market settlements

National footprint for

market participation

Low hurdles for entry into

demand response

Fast installations and

market participation

Demand Response

The ability to shape retail

load to match wholesale

supply

Mitigates risk associated

with index markets

Moves beyond energy

conservation to

synchronize energy use

with market prices &

events

Energy Structuring

Conclusion

Unified’s national footprint

for electricity and natural

gas

Immediate opportunities

for year over year savings

and managed planning

In-depth knowledge of

markets leads to better

pricing and overall

decision making

Thank you for your time and hospitality.

Do You Have

Any Questions?

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