1. Progressive Energy, Environment, & Sustainability Summit 17 Denver, CO Compressed Air - What a Waste! Presented by: September 17, 2013

2. COMPARISON OF COSTS ELECTRIC vs. AIR MOTOR Approx. $200/year Approx. $1,500/year Power Cost Power Cost * Air Motors Require About 7 hp of Compressor Capacity or 27-30 cfm/hp Output Based on 5,000 hours/year at $0.05/kWh

3. Why Is Compressed Air So Inefficient? Less than 20% of input energy available for work Pressure drops and regulators reduce useable energy Typical air tool has 12-15% overall efficiency

4. How Much ?!?! A Question of Initial Cost @ $0.06/kwh, a single stage rotary screw compressor costs about $10,000/year per 100 cfm to operate!

5. Reciprocating ScrewCentrifugal

6. Leaks Dryer Selection and Operation Compressor Controls Drain Traps Eliminate Open Blowing VSD on Compressors Storage Targeted Savings Potential

7. Goal: Change Culture and Attitudes to Achieve Energy Savings Concerns Cited by Most Plant Personnel (in Decreasing Order of Importance): 1. Reliability 2. Air Quality 3. Preventative Maintenance 4. Efficiency and Operating Cost What it takes: Education, Information, Demonstration = Transformation Facility Goals

8. Success Stories: Airometrix Projects Sample of 67 Projects 189,000 hp of Compressors Analyzed/Tested 650 million kWhs of Energy Consumed 135 million kWhs Saved - 21% Savings 22 MW On-Peak Demand Savings $8.6 Million in Annual Customer Savings 0.7 Year Simple Payback Sample of 67 Projects 189,000 hp of Compressors Analyzed/Tested 650 million kWhs of Energy Consumed 135 million kWhs Saved - 21% Savings 22 MW On-Peak Demand Savings $8.6 Million in Annual Customer Savings 0.7 Year Simple Payback

9. Case Studies On-Line hp kWh Saved % Saved $ SavedCostPayback (yrs.) Food Processo r 1,2001,700,00062%$ 187,000$ 62,0000.3 Project Included: Leaks, Nozzle Replacement, Controls Modifications Project Included: Leaks, Controls Upgrades, VSD Compressor, Dryer Modifications On-Line hp kWh Saved % Saved $ SavedCostPayback (yrs.) Chemical Plant 4501,400,00044%$ 97,500$ 112,000 1.1

10. Case Studies Project Included: Leaks, Air Horns, Air Lances, Compressor Controls & Repair On-Line hp kWh Saved % Saved $ SavedCostPayback (yrs.) Mining1,9602,300,00023%$ 174,000$ 24,0000.1 On-Line hp kWh Saved % Saved $ SavedCostPayback (yrs.) Food Processo r 7,5006,400,00034%$ 350,000$ 130,000 0.4 Project Included: Compressor, Dust Collector, & Dryer Controls, Leaks, Pressure Reduction

11. What You Can Do: Evaluate Compressed Air Leaks: Target < 5% of load Optimize Compressor Energy: Testing, Storage & Controls Evaluate End-Uses: Open Blowing, Pressure Requirements Evaluate Compressed Air Leaks: Target < 5% of load Optimize Compressor Energy: Testing, Storage & Controls Evaluate End-Uses: Open Blowing, Pressure Requirements

12. Independent, third party, vendor-neutral engineering firm Over 200,000 hp of air compressors tested and analyzed Have helped customers identify over $38 million in Gas, Water, and Electricity costs savings Focus: compressed air, ammonia refrigeration, turbines, steam Worked with over 250 utility programs Independent, third party, vendor-neutral engineering firm Over 200,000 hp of air compressors tested and analyzed Have helped customers identify over $38 million in Gas, Water, and Electricity costs savings Focus: compressed air, ammonia refrigeration, turbines, steam Worked with over 250 utility programs Who we are:

13. Questions? Presented by: Scott Stroup, President Airometrix Mfg., Inc. (303) 333-7037 Presented by: Scott Stroup, President Airometrix Mfg., Inc. (303) 333-7037