1. 1 New York City New York City Long Island Long Island Buffalo Buffalo Albany Albany Energy Curtailment Specialists, Inc. Stamford, CT Stamford, CT Boston, MA Boston, MA San Francisco, CA San Francisco, CA Los Angeles, CA Los Angeles, CA San Diego, CA San Diego, CA Energy Curtailment Specialists, Inc. www.ecsny.com

2. 2 Demand Response An Aggregators Perspective ECS Energy Curtailment Specialists, Inc. www.ecsny.com

3. 3 ECS Background Full service demand response provider Full service demand response provider Demand response audits Demand response audits EMS & engineering studies EMS & engineering studies Advanced metering technologies Advanced metering technologies Founded in 2001 Founded in 2001 In response to electric reliability concerns In response to electric reliability concerns Assist New York State in avoiding blackouts Assist New York State in avoiding blackouts Energy Curtailment Specialists, Inc. www.ecsny.com

4. 4 ECS Experienced Senior Staff Marie Pieniazek, VP, Strategic Operations Marie Pieniazek, VP, Strategic Operations Responsibility: Responsibility: NYISO Market Issues NYISO Market Issues Analysis of New Markets Analysis of New Markets Former Lead Analyst at NYISO Former Lead Analyst at NYISO Administrator of $750 million capacity market Administrator of $750 million capacity market Implemented demand curve rules into ICAP Market Implemented demand curve rules into ICAP Market Bob Boyle, VP, Market Development Bob Boyle, VP, Market Development Responsibility: Responsibility: Develops ECS in New Markets Develops ECS in New Markets Former Supervisor at NYISO in Audit & Compliance Former Supervisor at NYISO in Audit & Compliance Marketing: Marketing: Performance and economic consulting to large utility generators Performance and economic consulting to large utility generators Energy Curtailment Specialists, Inc. www.ecsny.com

5. 5 Operation Save New York Market Penetration ~500 MW actual load taken offline in emergency ~500 MW actual load taken offline in emergency Projected to grow to >625 MW by summer 2008 Projected to grow to >625 MW by summer 2008 Energy Curtailment Specialists, Inc. www.ecsny.com

6. 6 Demand Response Case Study Energy Curtailment Specialists, Inc. Energy Curtailment Specialists, Inc. www.ecsny.com

7. 7 Participant in Operation Save New York since 2004 Participant in Operation Save New York since 2004 Type of facility Type of facility Paper printing and circulation facility Paper printing and circulation facility Summer on-peak load = ~2.3 MW Summer on-peak load = ~2.3 MW Energy Curtailment Specialists, Inc. www.ecsny.com

8. 8 Step #1: Identify curtailment ability Evaluate the facility - 425,000 sq ft Evaluate the facility - 425,000 sq ft Demand response audits Demand response audits Energy management system study Energy management system study Interfacing with generators Interfacing with generators Lighting Lighting Printing presses Printing presses Evaluating flexibility upon day – ahead notice Evaluating flexibility upon day – ahead notice Energy Curtailment Specialists, Inc. www.ecsny.com

9. 9 Step #2: Make preparations for event – long term – long term Identify load that will be curtailed during event Identify load that will be curtailed during event Identify and overcome obstacles Identify and overcome obstacles Written action plan for staff Written action plan for staff Energy Curtailment Specialists, Inc. www.ecsny.com

10. 10 Step #3: Day – ahead notification Implementation of action plan Internal notification to entire company Internal notification to entire company Director of Operations meets with staff Director of Operations meets with staff Discuss at the meeting: Discuss at the meeting: Time start and finish Time start and finish Equipment required to shed Equipment required to shed Production schedule Production schedule Use all existing enhancements and sequence of operation Use all existing enhancements and sequence of operation Coordination and communication on channel 7 Coordination and communication on channel 7 All announcements on phone for PC shutdown All announcements on phone for PC shutdown Notification to Cafeteria Notification to Cafeteria Concerns Concerns Attendance is required for following people and departments: Attendance is required for following people and departments: Director of Operation Director of Operation General foreman Electrician General foreman Electrician Chief Operating Engineer Chief Operating Engineer Production Manager on duty Production Manager on duty Information Technology technician on duty Information Technology technician on duty Security Manager on duty Security Manager on duty Maintenance Planner Maintenance Planner Energy Curtailment Specialists, Inc. www.ecsny.com

11. 11 Step #4: Event day Shedding of load begins ~1 hour before event start time Shedding of load begins ~1 hour before event start time IT Technician on duty starts power down of the following listed PCs IT Technician on duty starts power down of the following listed PCs - Stripping benches - Stripping benches FMC server and client FMC server and client Inserter win links Inserter win links Copy machines / printers in control room Copy machines / printers in control room Q/A office: HP Designer Jet color proofer IT technician powers down PCs / servers Q/A office: HP Designer Jet color proofer IT technician powers down PCs / servers - Upon completion of power down reports to Foreman – Electrician on duty - Upon completion of power down reports to Foreman – Electrician on duty Operating Engineers : Shed all chillers and related pumps Shed all chillers and related pumps Air Handling Units Air Handling Units Vacuum pumps Vacuum pumps Minimize down time to the minimum for Compressor shutdown, Vacuum pumps Minimize down time to the minimum for Compressor shutdown, Vacuum pumps Start emergency compressor to keep up house pressure Start emergency compressor to keep up house pressure Upon completion report to electrician – foreman on duty Upon completion report to electrician – foreman on duty

12. 12 Event day… continued Electricians Check status of all UPSs (Data center, Diamond Setters, Honeywell process modules, GUS, House UPS) Check status of all UPSs (Data center, Diamond Setters, Honeywell process modules, GUS, House UPS) Shed high bay lighting: Shed high bay lighting: Mailroom Mailroom Newsprint warehouse Newsprint warehouse Drive Through Drive Through Production Equipment: Production Equipment: Stripping benches 1 and 2 Stripping benches 1 and 2 1.Buffers 1.Buffers 2. Unwind Stations Shut down touch screens and then power down 2. Unwind Stations Shut down touch screens and then power down 3. 365 Conveyors machines in that order 3. 365 Conveyors machines in that order 4. Inserters 4. Inserters Shut down Life Safety generator. Shut down Life Safety generator. After verifying with all involved departments on clearance, switch over to emergency power After verifying with all involved departments on clearance, switch over to emergency power

13. 13 Event day… continued Make announcement to entire bldg, and on the radio. Make announcement to entire bldg, and on the radio. Generator Power has been accomplished. Generator Power has been accomplished. You can turn your computers back on. You can turn your computers back on. Copy machines Copy machines Printers Printers We will return to Con Ed Power at 6 PM We will return to Con Ed Power at 6 PM Thank you for your continued cooperation Thank you for your continued cooperation Verification via secure channel and PA system Verification via secure channel and PA system Energy Curtailment Specialists, Inc. www.ecsny.com

14. 14 Step #5: Results July 18th & 19th, 2006 July 18th & 19th, 2006 Target = 128 kW or below Target = 128 kW or below (i.e. goal is to get down to 128 kW or below) (i.e. goal is to get down to 128 kW or below) Duration – at least 4 hours each day Duration – at least 4 hours each day Energy Curtailment Specialists, Inc. www.ecsny.com

15. 15 Performance – July 18, 2006 Energy Curtailment Specialists, Inc. www.ecsny.com

16. 16 Performance – July 19, 2006 Energy Curtailment Specialists, Inc. www.ecsny.com

17. 17 Benefits of Participation $ for capacity (commitment to curtail) $ for capacity (commitment to curtail) $ for energy (based on price & # hours) $ for energy (based on price & # hours) NY Post has generated a significant revenue stream over past 3 years NY Post has generated a significant revenue stream over past 3 years Protects equipment against voltage fluctuations Protects equipment against voltage fluctuations Help prevent blackouts Help prevent blackouts Environmental benefits Environmental benefits Interval metering can be used for energy management Interval metering can be used for energy management

18. 18 New York Post is a proud, long – standing blackout buster! Energy Curtailment Specialists, Inc. www.ecsny.com