Volunteer Energy AFCOM Presentation

Volunteer Energy – Electric Division

Confidential. 2009 Volunteer Energy

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Volunteer Energy (VE) is a full-service energy provider, serving various businesses and industries throughout the region with expertise that allows us to provide business solutions that assure competitive and consistent energy pricing for customers.

VE is based in Ohio and serves customers throughout the Ohio, Michigan and Pennsylvania regions.

VE is certified by the Public Utilities Commission of Ohio (PUCO) as a Competitive Retail Natural Gas Supplier and a Competitive Retail Electric Service Provider.

VE’s electric team has over 50 years experience working in the mid-west deregulated energy markets

Company Background

Volunteer Energy – Electric Division


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We are…

Independent Objective Experts A Regional Load Aggregator 100% aligned with your budget and cost objectives An invaluable ongoing resource to your organization

We are not…

A “Preferred” sales agent for an energy company A self serving Electric marketer A subsidiary of a utility company

Our Client’s Include


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Property Management

Industrial

Commercial

Financial Institutions

Office Buildings

http://www.wendys.com/



http://www.wendys.com/about_us/news/

http://www.grubb-ellis.com/Default.aspx

http://www.colliers.com/Corporate/

What is Electric “Choice”?


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Deregulate

d

Distribution- Distribution

Only “shopable”Portion of yourUtility bill

Generation & Transmissioncost

Transmission Cost are Considered as Pass thru cost

85%ofCost

15%

Regulate

dUtility “Tariff” Bundled Cost Includes G,T & D (G) Generation(T) Transmission(D) Distribution

Distribution- Distribution

3rd Party Supplier Costs

- Energy- Capacity- Congestion- PJM ISO

fees- Ancillaries - Load

shaping- Line loss- Gross

receipts - Risk / holds- Supplier

margin

Savings

PRICE-TO-COMPARE

History of Deregulation in Ohio Ohio Market Restructuring Background: Deregulation in Ohio 1999: Ohio Senate Bill 3–Deregulated generation of

electricity–Provided for utility divestiture of generation plants

2001-2005: Market Development Period (20%+ shopping in Duke)

2005: Complete divestiture of generation plants 2006-2008: Rate Stabilization Plan (minimal shopping in

Duke)


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Background: Deregulation in Ohiocontinued

2008: Ohio Senate Bill 221 –Reworked the regulatory framework –Allowed utilities to choose between an Electric Security

Plan (ESP) or Market Rate Offer (MRO) to provide default generation supply

2009-2011: Duke Energy’s ESP is in effect

Duke rate increases + falling market prices = opportunity for customer savings


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Wholesale Electric Market Trend


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Electric Deregulation –101

Electric bill has various components that prior to deregulation were “bundled”

Under deregulation the charges are “unbundled”

Non-shopping customer –local utility charges generation, transmission and delivery

Shopping customer –supplier charges generation and transmission; utility charges delivery


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Electricity 101


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How to Determine Savings by Shopping


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What Charges Can I Avoid by Shopping?


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Conduct a no obligation energy assessment of your electricity and natural gas

Understand your business requirements, i.e., energy budget vs. cost risk that will define various supply options that make sense

Negotiate beneficial contract language and terms that fit your commercial requirements and risk profile

Market individual or aggregated account usage, contract requirements, and product type to qualified energy suppliers

Monitor energy market indices for the optimal buying opportunities Conduct a competitive bid process whereas best and final pricing

is negotiated in order to award the business to the lowest cost qualified supplier

Procurement Process

Which Electricity Supplier is Best for Me?


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http://www.duke-energy.com/

How to Shop for an Alternative Electric Supplier


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How to Shop for an Alternative Electric Supplier

Our Commitment to your Organization


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We help determine and manage your corporate energy supply goals

We recommend and deploy an effective purchasing strategy

We engage the market on your terms

We conduct an “open book” transparent competitive bid process

We negotiate supplier agreements to mitigate unnecessary risk

We ensure quality billing and account transition

We monitor the ongoing energy market for timely contract renewals to “lock-down” optimal future buying opportunities

Next Step’s


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VE will provide free no obligation analysis of your current rates and your options, however we will need to first obtain the following;

Your authorization to obtain historical energy supply usage and account data by signing an Letter Of Authorization (LOA)

Provide VE with a recent copy of your natural gas bill and electricity bill

VE will provide individual consultation to assist in providing for best program options, contract terms, and pricing for your organization

Finalize a pricing offer upon your final review and approval

Volunteer Energy AFCOM Presentation

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Transcript of Volunteer Energy AFCOM Presentation