1. Creating and Sustaining Clean Energy Markets Sustainable Energy Fund Energy Service Provider Conference Hershey, PA January 29, 2011

2. Clean Energy Imperative “ It’s about national power. Everything America (or any country) can do to go green today will make it stronger, healthier, more secure, more innovative, more competitive, and more respected. What can be more patriotic, capitalistic and geostrategic than that?” Thomas Friedman, “Hot, Flat and Crowded” 10/8/20152

3. Recent Headline: “Residential Energy Efficiency Market Poised for Strong Growth During the Economic Recovery ” Pike Research, Energy Efficient Homes, 2/2/10 ENERGY EFFICIENCY 10/8/20153

4. Drivers of EE Market Government: – ARRA funding – DOE’s Weatherization Assistance program increase Utility energy efficiency program mandates Manufacturers: New offerings and rebates from product manufacturers Consumers: Increased demand due to environmental awareness and incentives 10/8/20154

5. Residential Energy Efficiency Market (Billions) 10/8/20155 20092014 $38.3$50.2 31% Source: Pike Research, Energy Efficient Homes, 2/2/2010 Home Energy Audits Home Improvements Energy Star Appliances

6. Residential EE Growth Areas Home Energy Audits Energy Efficient Home Improvement: Includes upgraded electrical systems, appliances and major equipment, HVAC systems, roofing replacements, and window/door replacements Energy Star certified refrigerators and clothes washers 10/8/20156

7. Commercial Energy Efficiency Market Urban Land Institute estimates market for Commercial energy efficiency retrofits from 2010 – 2020 $190 Billion EE retrofits typically save 20% to 30% of energy use, depending on building's age, type, design, condition and maintenance Source: Urban Land Institute, New Tools, New Rules, 10/2010 10/8/20157

8. Drivers of Commercial EE Market Operating-cost reductions Sustainability initiatives & image Funding for new markets or lines of service Improved employee working environments, = employee retention and higher productivity Lower building vacancy rates and tenant turnover Reduced risk due to energy price volatility 10/8/20158

9. RENEWABLE ENERGY “From Beijing to Seoul and Washington DC to Brussels, clean energy has become a driving force for economic recovery” “Total investments in new clean- energy generation capacity outpaced conventional fossil fuels for the past two years in a row. In the U.S., wind power roughly matched natural gas as the leading source of new electricity generation for the third consecutive year. Clean Energy Trends 2010 10/8/20159

10. Drivers of Renewable Energy Markets Government: – State RPS – 29 states enacted – State system benefits funds & carbon auctions – Federal ARRA spending - $100B/$787B – Federal tax credits – 8 yr extension ITC; 3 yr PTC; 30% grant; utilities eligible for ITCs Private Equity: Percentage of Investment portfolios grew from 11.4 percent in 2008 to 12.5 percent in 2009 Sustainability initiatives Consumer demand 10/8/201510

11. RE Growth, by Resource (Billions) Biofuels Solar Wind TOTAL 10/8/201511 2007200820092019 $25.4$34.8$44.9$112.5 20.351.436.1114.5 30.129.663.5114.5 Source: Clean Edge, Clean Energy Trends 2008, Clean Energy Trends 2009 75.8115.9$144.5325.1 40% 35% 25%

12. State Renewable Portfolio Standards 10/8/201512 29 states and DC have an RPS

13. Challenges of RE Growth Stock market declines affect IPO markets Tightened credit markets Cumbersome federal procurement process Increasing NIMBY and regulatory challenges Escalating cost of materials Intermittent nature solar & wind 10/8/201513

14. Future Drivers “Smart Grid” Infrastructure: – ”Green Power Express”-North Dakota -Indiana transmission line 3,000 miles of (765 kV) transmission - $10- $12 B – Offshore Wind- Cape Wind 300 MW Utility scale energy storage Increase in micro grids Developing nations 10/8/201514

15. CONTACT INFORMATION Ellen Lutz 215-242-1424elutz@cleanmarketswork.com 10/8/201515