Session 1: CHIEFS ROUNDTABLE The information contained in these - PowerPoint PPT Presentation

Session 1: CHIEFS ROUNDTABLE The information contained in these presentations may be confidential and intended for this audience only.

President & CEO PAULA GOLD-WILLIAMS DR. CRIS CAROLYN FELECIA KAREN FRED BONEWELL, EUGSTER, COO SHELLMAN, CLAO ETHERIDGE, CCEO KIRWAN, CIO CSSO

Chief Security & Safety Officer Fred Bonewell during Storm FRED BONEWELL Restoration in Victoria

Chief Customer Engagement Officer Felecia speaking to our employees about FELECIA ETHERIDGE changing customer expectations at EmpowerU

Chief Operating Officer Dr. Cris Eugster touring power generation fleet with Councilman John Courage DR. CRIS EUGSTER Councilman Courage, Dr. Cris Eugster, Jeff Kruse

Chief Information Officer KAREN KIRWAN Karen speaking to our employees at the Security Summit.

Chief Legal & Administrative Officer CAROLYN SHELLMAN Carolyn during our inaugural Future of Energy Symposium.

President & CEO PAULA GOLD- Paula during the annual safety kick off event. WILLIAMS

Session 2: A VIEW OF THE INDUSTRY & OUR EVOLVING BUSINESS MODEL

2nd Annual Future of Energy Symposium Ralph Cavanagh Co-Director, Energy Program

Energy Use per Unit (kWh per year) Refrigerator Size (cubic feet) Price (2010$)

The Cost of Refrigeration has Declined Since the Early 70’s* $/ Cubi ubic Feet et / Year ar 16 14 $ / Cubic Feet / Year 12 10 8 6 4 2 0 Sources: EIA, Alliance to Save Energy, Association of Home Appliance Manufacturers, U.S. Census Bureau Note: For each model year, the calculation includes the average retail price for a new refrigerator amortized over the life of the refrigerator plus the average annual electricity cost of operating a new refrigerator in that year. The lifetime of the refrigerator and the price of electricity are assumed to be constant in real terms from 1972 to 2005.

Home Idle Load: Devices Wasting Huge Amounts of Electricity When Not in Active Use NRDC Issue Paper, May 2015

Thank you

Residential Power Use per CPS Energy Customer 14,600 14,400 14,200 14,000 KWH PER YEAR 13,800 13,600 13,400 13,200 13,000 12,800 FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017

Session 3: CUSTOMERS ARE OUR BEACON – THEY DEMAND & DESERVE THE BEST SERVICES

E M P O W E R I N G & E N G A G I N G C U S T O M E R S P R E S E N T E D B Y : Felecia Etheridge Chief Customer Engagement Officer FEBRUARY 27, 2018

B Y T H E N U M B E R S # Largest Municipally Owned Electric and Gas Utility in the U.S. Solar Power Production in Texas; Seventh in the Nation Most Trusted Brand in the South Region by MSI Wind Power Production in Texas 75 + Years Owned by San Antonio Years of Serving San Antonio T O P 10 Engaged Residential Customer Relationship by MSI

B Y T H E N U M B E R S 92% 98% AMI Meters Installed Billed through AMI Meters 805k Electric 58% 334k Gas Online Accounts Our Customers 48% 1,515 SQ. MILES Paperless Billing of Service Area

B Y T H E N U M B E R S 3100 E M P L O Y E E S

P E O P L E F I R S T E M P L O Y E E S C O M M U N I T Y C U S T O M E R S O U R M I S S I O N S T A T E M E N T : CPS Energy’s employees are dedicated to providing world -class energy solutions to meet the diverse and unique needs of our customers, while acting as an economic engine to drive value and growth in our community. 28

P A S T P R E S E N T F U T U R E Empowered & Customers Ratepayers Informed Consumers “Flip the Switch. Pay the Bill.” “Safe. Reliable. Secure.” “I Want It My Way. Now. ”

C R E A T I N G I N T E N T I O N A L , C O N S I S T E N T E X P E R I E N C E S 1 Evolving the Customer Experience 2 Programs, Products & Services 3 “Taking it to the Streets” 4 New Energy Economy (NEE)

E V O L V I N G T H E C U S T O M E R E X P E R I E N C E V I RT U A L S E L F - S E RV I C E I - WA L K E X P E R I E N C E S

P R O G R A M S , P R O D U C T S & S E R V I C E S

B E I N G M O B I L E A N D F L E X I B L E I S K E Y T O E N G A G E M E N T.

“ T A K I N G I T T O T H E S T R E E T S ” M O B I L E S U P P O RT C E N T E R ( M S C )

P A R T N E R S H I P S A R E K E Y , A N D T H E F O C U S I S A LWAY S O N T H E V A L U E T O T H E C U S T O M E R .

N E W E N E R G Y E C O N O M Y • Launched in June 2011: Instrumental pathway to our generation goals: renewable energy, energy efficiency & low-carbon generation. • Leverage Strategic Investments: To create jobs, economic development & educational opportunities in community. • Fostering NEE Ecosystem Growth: To bring additional value to our local community & establish SA as a hub for clean energy innovation.

N E W E N E R G Y E C O N O M Y P A R T N E R S • 55K LEDs (light-emitting diodes) • Local HQ with manufacturing facility • Educational investments • 400 MW solar • Permanent jobs • 200 MW cell & panel manufacturing plant • Capital investment • North American HQ for OCISP, • Educational Mission Solar Energy and KACO investments • Educational investment • Local office • Grid Optimization Program • 700k electric smart meters • Partner Solutions Testing & • Local office Certification facility in SA • Permanent jobs • Permanent, high-tech jobs • Educational investment • Capital investment • Energy efficiency programs • Educational investments • Local offices • Internships O U R N E E P A R T N E R S H A V E B R O U G H T M O R E T H A N 6 0 0 J O B S , $ 1 B I N E C O N O M I C I M P A C T F O R S A N A N T O N I O , & C O N T R I B U T E D $ 4 . 1 M T O L O C A L E D U C A T I O N

P A S T P R E S E N T F U T U R E Empowered & Customers Ratepayers Informed Consumers “Flip the Switch. Pay the Bill.” “Safe. Reliable. Secure.” “I Want It My Way. Now. ”

T E C H N O L O G Y I S E V E R Y W H E R E 3.8 BILLION u s e t h e i n t e r n e t 3.5 BILLION s e a r c h e s o n G o o g l e / d a y 21 BILLION d e v i c e s c o n n e c t e d b y 2 0 2 0 24 HOURS OF VIDEO u p l o a d e d t o Yo u Tu b e > 570 NEW WEBSITES / m i n u t e a r e c r e a t e d / m i n u t e YouTube: “Did You Know 2016/217” David S. Rose, Karl Fisch, Scott McLeod

S O C I A L M E D I A - T W I T T E R 350 THOUSAND tweets sent / minute 500 MILLION tweets sent / day YouTube: “Did You Know 2016/217” David S. Rose, Karl Fisch, Scott McLeod

S O C I A L M E D I A - F A C E B O O K 1 in 7 divorces blamed on Facebook 2 BILLION active Facebook users with an average of 155 FRIENDS 300 MILLION photos uploaded / day to Facebook YouTube: “Did You Know 2016/217” David S. Rose, Karl Fisch, Scott McLeod

T H E A G E O F B I G D A T A t e c h n i c a l i n f o r m a t i o n i s DOUBLING EVERY 2 YEARS F o r s t u d e n t s s t a r t i n g a 4 - y e a r t e c h n i c a l d e g r e e , t h i s m e a n s h a l f o f w h a t 90 PERCENT t h e y l e a r n e d i n t h e i r f i r s t o f t h e w o r l d ’ s d a t a y e a r w i l l b e o u t d a t e d b y h a s b e e n c r e a t e d i n t h e i r THIRD YEAR OF STUDY t h e p a s t f e w y e a r s W e a r e c u r r e n t l y p r e p a r i n g s t u d e n t s FOR JOBS THAT DON’T EXIST u s i n g t e c h n o l o g i e s t h a t h a v e n ’ t b e e n i n v e n t e d YouTube: “Did You Know 2016/217” David S. Rose, Karl Fisch, Scott McLeod

T H E A G E O F B I G D A T A ‘Silver Surfers’ - SENIORS 50+ 4 GENERATIONS a r e w o r k i n g s i d e b y s i d e a r e u s i n g t h e i n t e r n e t TRADITIONALIST, “WRITE m e ” BABY BOOMERS, “CALL m e ” GEN X, “EMAIL m e ” MILLENNIALS, “TEXT m e ” YouTube: “Did You Know 2016/217” David S. Rose, Karl Fisch, Scott McLeod

T H E A G E O F B I G D A T A 250 MILLION h o u r s o f T V s h o w s w a t c h e d o n N e t f l i x A p p l e i P h o n e wa s i n v e n t e d 11 y e a r s a g o , 4 THOUSAND >1.5 BILLION R o b o t s a r e n o w a c r o s s p e o p l e n o w o wn 2 0 A m a z o n w a r e h o u s e s a s m a r t p h o n e YouTube: “Did You Know 2016/217” David S. Rose, Karl Fisch, Scott McLeod

T H E A G E O F B I G D A T A ARTIFICIAL INTELLIGENCE wi l l o u t p e r f o r m h u m a n s i n m a n y a c t i v i t i e s i n t h e n e x t 1 0 y e a r s - V i r t u a l R e a l i t y - A r t i f i c i a l I n t e l l i g e n c e - D e e p L e a r n i n g - R o b o t i c s - D r o n e s - M a c h i n e L e a r n i n g - A u g m e n t e d R e a l i t y - C h a t b o t s YouTube: “Did You Know 2016/217” David S. Rose, Karl Fisch, Scott McLeod

F U T U R E F O C U S 1 Connecting People – Not Technology 2 Right Customer, Right Product, Right Time and Relevant Message 3 Easy, Smart and On-Demand

C O N N E C T I N G P E O P L E – N O T T E C H N O L O G Y CPS Energy Grid 2.0 = 21 st -Century Infrastructure