© EnerNOC Inc. The Role of Aggregators in the Reliable Recruitment and Delivery of Demand Response Or “why do I need an aggregator anyway? 9 June, 2011

Frankfurt (Germany), 6-9 June 2011 What does an aggregator do? Aggregators provide a guaranteed turnkey resource, similar to a power plant, by bridging the gap between grid operators and customers.

Frankfurt (Germany), 6-9 June 2011 CONFIDENTIAL AND PROPRIETARY

Frankfurt (Germany), 6-9 June 2011 Rapid customer acquisition can only happen with a dedicated team, unfettered by regulations and barriers typical for many utilities. As of March 31, 2011: 6,300 MW under management 3,900 C&I demand response customers 10,100 C&I sites under management

Frankfurt (Germany), 6-9 June 2011 Really? Aren’t you just giving away money? Convincing customers to participate in demand response is far from straightforward, and requires customizing a package for each one. New revenue stream Reduced energy costs Access to energy data No cost or risk “Financially, DR makes a lot of sense. As energy costs go up, we need to maintain control and reduce our reliance on increasing amounts of electricity.” - Jake Nixon, Mission Produce, Oxnard, CA

Frankfurt (Germany), 6-9 June 2011 What are the other parts of the package? Once you have a customer’s data, provision of additional services is a small incremental step – but plays a huge part in ensuring customers remain engaged in DR. Enterprise Carbon Management Data-Driven Energy Efficiency Comprehensive Demand Response Energy Price and Risk Management

Frankfurt (Germany), 6-9 June 2011 Can I really count on customers to perform? Yes, actually – when carefully managed, DR can outperform generators! Average PerformanceNumber of Events % % % %190 Key Drivers Our technology platform enables automated dispatch of multiple events simultaneously, with real-time visibility into performance. We monitor end-use loads continuously to ensure capacity availability. We thoroughly test each site prior to event dispatch, including acceptance tests and notification tests. We are experts at building a “portfolio” that ensures reliable delivery.

Frankfurt (Germany), 6-9 June 2011 Customer 1 Customer 2 Customer 3 Customer 4 100% RISK0% RISK Customer 8 Customer 9 Customer 10 Customer 11 Customer 12 Customer 13 Customer 14 Customer 5 Customer 6 Customer 7 Customer 15 Customer 16 0% RISK EnerNOC Utility Performance through portfolio management

Frankfurt (Germany), 6-9 June 2011 How do you prepare customers to perform? Operations staff work closely with customers and local contractors to develop a unique installation solution tailored for each participating customer. Qualificatio n Visit Energy Reductio n Plan Metering Installatio n Testing Ready to Respond Simple, quick implementation Typical end-to-end duration for DSR enablement is 4-8 weeks The enablement process & metering is designed to be fast, cost-effective, and scalable to: Support and enhance customer satisfaction Deliver reliable demand response capacity EnerNOC Site Server (ESS)

Frankfurt (Germany), 6-9 June 2011 What happens on game day? Event dispatch triggers a detailed series of activities, all aimed at ensuring delivery.

Frankfurt (Germany), 6-9 June 2011 “Over the past 18 months, EnerNOC has proved its ability to reliably deliver demand response capacity when and where it's needed to help TVA to cost-effectively meet its system needs. John Trawick, Senior Vice President of Commercial Operations and Pricing for TVA Tennessee Valley Authority (TVA) Program Name TVA Demand Response Programme Program Size Up to 560 MW (2% of 33,400 MW peak) Program Period Year-round Program Hours Weekdays; April to October: 12 PM – 8 PM CT November to March: 5 AM – 1 PM CT Event Notification 30 Minutes Maximum Annual Event Hours 40 – 80 Hours Demand Response Strategies Curtailment and Select Generation Event Trigger Economic and Emergency Starting with a pilot program in 2007, EnerNOC worked hand-in-hand with TVA and its local Power Distributors to craft the largest turn-key demand response resource ever created

Frankfurt (Germany), 6-9 June 2011 Scott McGaraghan Senior Director, Business Development +44 (0)