1. Gas Distribution Inc INC

2. Worlds largest liquids pipeline delivering more than 2,000,000 barrels of crude oil /day Inc Corporate Social Responsibility a commitment to sustainability 160 years of growth and Experience Where Energy Meets People Distributing Natural Gas to 1.8 million customers in Ontario, Quebec, New Brunswick and New York State

3. 160 years experience 1.8 million customers 420 BCF distribution volume 33,000+ km pipeline (20,625 miles) About 1,800 employees About $2.9 billion annual revenues About $300 million annual capital investment Gas Distribution Inc.

4. GAS NEAVEAU BRUSWICK Gas Distribution Inc.

6. Agriculture Is our single largest employer in the Niagara Region Millions of Square meters of greenhouse space 1000s of Acres of vineyards with gas fired fans Sustainability is critical to our industry and the Niagara Region Corporate Partnership and Responsibility

7. Demand Side Management Programs 0ver 10,000,000 m 3 Energy Savings Projects Greenhouse Industry Steam conservation programs Winery & Vineyards Farm Fan Conversions Process improvements Water / heat recovery Bio Fuel Projects Heat Recovery From Gen Set Bio Fuel Boilers Carbon Dioxide from Flue Gas EEP $$/ m 3 saved

8. First Installed in Franchise One Approved for NOTL One Approval in Application Fuel source flexibility allows customer to control financial destiny Allows customer to compete effectively in World Markets.

9. No more than 100 milligrams Sulphur /m3 No more than 7 milligrams H2S /m3 Free from sand dust gums oils compounds 36.MJ/M3 5% ethane 95% Methane 5 lbs H 2 O per 1000 ft 3 gas (2.272 kg/28,238 m 3 Natural Gas Quality

10. Development of cost effective upgrading process for biogas to meet pipeline quality specifications –Lab analysis of biogas & upgraded biogas from various existing sites Anaerobic Digestion Landfill Gas –Evaluation of technologies and plant design for upgrading of biogas Bio Gas and Landfill Gas Activities Installed 4.5 kilometers 8 HP plastic to Abitibi From Land Fill Installing 4.5 kilometers 12HP plastic to Abitibi from Land Fill Completed study of Glenridge Landfill Recently connected two Gas Production Wells in Wainfleet

11. PRESSURE DELIVERY RESIDENTIAL - 7 wcp COMMERCIAL 7 wcp normal COMMERCIAL 2 PSI TO 5 PSI AGRICULTURAL 7 TO 10 PSI INDUSTRIAL UP TO 60 PSI FARM FANS DISTRIBUTION PRESSURE 16 OZ = 1 LB - 28 WCP = 16 OZ ~ 7WCP = 4 0Z OR ¼ lb psig

12. DISTRIBUTION SYSTEMS TCPL 350 PSI TO 1500 PSI GATE STATION 175 TO 450 XTRA HIGH PRESSURE HIGH PRESSURE 64 PSI TO 175 INTERMEDIATE 24 PSI TO 64PSI MEDIUM 12 PSI TO 24 PSI LOW PRESSURES 14 wcp

13. Natural Gas Purchase Agreements Gas Rates and Contracts Approved by OEB Land Fill Gas Delivery based on Existing Transportation Rates with specific Agreements designed to project requirements Producer Gas Contract Based on Ontario Production Gas Purchase Agreement i.e.: Producer Gas Wells Economically Viable flow rate for sale and Purchase of high quality LFG 3200cfm Viable purchase rate for High Quality Bio Fuel Methane $25.00 GJ - current rate $11.00 gj

14. May 2001 Niagara Index per Canadian Gas Price Reporter where The Niagara row and column meet on the chart$7.542 Less Buyers balancing and transportation charge(.240) Net price payable (Canadian $ per GJ) for May 2001 deliveries$7.302 Note: This equates to approximately $284.78 per 103M3 or $8.067 per MCF. To convert $/GJ to $/103m3 multiply by 39.00 (Heat Value*) To convert $/103m3 to $/MCF divide by 35.30096 Simple Small Gas Producer purchase Agreement HOWEVER LEGISLATIVE INFLUENCES??? TRANSPORTATION RATES OEB RATE APPROVALS FUNDING FINANCING GOVERNMENT PROGRAMS INCENTIVES CARBON CREDITS GREENHOUSE METHANE CREDITS

15. Considerations Land Fill Gas and Bio Gas Treatment by OEB Purchase Rates to be determined Available Space on Distribution System Volumetric Uptake by Customer Base Proximity of Distribution System Distribution Pressures & Compression requirements Secure and Reliable Supply Fuel Integrity – Quality - Assurance Equipment Reliability – Redundancy – Controls – Report Access