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Pepco and Delmarva Power Demand Side Management Programs Stakeholders Meeting February 20, 2009 Pepco and Delmarva Power Demand Side Management Programs Stakeholders Meeting February 20, 2009

Pepco & Delmarva EE & C Program Descriptions General Energy Awareness Campaign Educate customers Pepco & Delmarva EE & C Program Descriptions General Energy Awareness Campaign Educate customers about energy efficiency, conservation and demand response opportunities using public relations and media messaging to create awareness of programs Residential Low Income Program Provide a no cost comprehensive weatherization, energy conservation and education services to low-income customers, capped at $5, 000 per customer. A no fee Quick Audit will also be offered and is intended to improve overall performance of Maryland homes. Residential HVAC Efficiency Program Motivate customers to select high efficiency unitary AC and heat pump equipment when making HVAC purchase decisions. Also education of marketplace about increased efficiency and improved comfort from proper HVAC system installation. Residential Lighting and Appliance Program Increase ENERGY STAR© lighting and window AC products, using rebates and/or middlemarket buy-downs Home Performance with ENERGY STAR Program Improve overall performance of the home when improvements are being considered, by taking a whole house approach to reducing energy. A Quick Audit will also be offered and is intended to improve overall performance of Maryland homes when improvements are being considered, by taking a simplified, quick energy audit. The $40 fee will be waived if the customer agrees to some onsite measures at the time of the Quick Audit. 2

Pepco & Delmarva EE & C Program Descriptions (Cont'd) Building Commissioning and O & Pepco & Delmarva EE & C Program Descriptions (Cont'd) Building Commissioning and O & M Program Improve the way customers commission, operate and maintain their facilities. Non-Residential HVAC Efficiency Program Motivate non-residential customers to select high efficiency options when purchasing HVAC systems through incentives for high efficiency unitary AC and heat pump equipment. Non-Residential Prescriptive Rebate Program Provide incentives for selected common, cost-effective energy efficiency measures. Custom Incentive Program Any cost-effective non-lighting energy efficiency improvements that are not eligible for rebates through the Company’s other non-residential DSM programs. 3

Demand Programs Non-Residential Internet Platform for load Curtailments is approved by the Commission Customers Demand Programs Non-Residential Internet Platform for load Curtailments is approved by the Commission Customers will receive hourly energy data, hourly Zonal Locational Marginal Prices (LMPs), and load reduction calculations (hourly energy savings) presented through the Internet platform. Residential Direct Load Control (approved and starting implementation) Residential central air conditioner and heat pump cycling program to enable the reduction in high summer electric demand through the remote cycling of customer central electric air conditioner and heat pump compressors Non-Residential Direct Load Control Non-Residential central air conditioner and heat pump cycling program to enable the reduction in high summer electric demand through the remote cycling of customer central electric air conditioner and heat pump compressors 4

Statewide DSM Businesses and Contractor Opportunities • Promotes economic development and job creation. • Statewide DSM Businesses and Contractor Opportunities • Promotes economic development and job creation. • Development of a trained and certified group of HVAC, insulation, and home improvement contractors capable of providing whole-house energy services. HVAC, insulation, and home improvement contractors will be offered training opportunities and encouraged to become quality certified. • EE&C services will be delivered through a network of providers operating in the Company's’ service territory that have been trained in program protocols and participation processes. For smaller facilities, commissioning providers will conduct a targeted assessment of areas with substantial energy savings opportunities such as packaged HVAC units. Larger facilities will be eligible to receive a more comprehensive assessment of building systems and controls. • The Company will make special effort to involve minority owned and disadvantage business in the RFP processes. 5