Smart Metering via Public Wireless Networks Smart

Smart Metering via Public Wireless Networks

Smart. Synch® Overview Over the past 6 years, Smart. Synch has deployed more polyphase meters with embedded public wireless communications than ALL other companies combined. • Global leader in wireless smart metering technology for electric utility industry • Founded in 1998, first public wireless product in 2000 • Headquartered in Jackson, Mississippi • 50+ major utility customers throughout North America – 4 out of top 5 utilities in United States • Existing smart meters service estimated $15 billion revenue and 35, 000 MW annually • ~100, 000 th public wireless smart meter sold 2

A History of Innovation • 1 st Digital Public Wireless C&I Smart Meter in the World (2000) • 1 st ANSI GPRS C&I Smart Meter in World (2004) • 1 st Residential GPRS Smart Meter in World (2006) • Intellectual Property: – Patented Super Capacitor Technology (#6, 819, 226) – Patent Pending Antenna Technology – Patent Pending Plug N’ Play Deployment Technology • Preferred Public Wireless Provider for 3 of 4 Top Meter 3 Manufacturers

Strong Customer Base UNITED STATES CANADA 4

Core Business Partners and Partnerships METERS NETWORKS TECHNOLOGY 5

Public Wireless Smart Metering : The Right Solution

100% Under-the-Glass Meter Smart. Synch Personality Base Comm Module … it’s just that easy. TM 7

System Architecture “End to End Solution Provider” 8

Data Retrieval GPRS Carrier SMS message TMS GPRS Connection server 1. System Initiated Reads (On Demand) 2. Meter Initiated Reads (Scheduled) 9

Power Outage/Restoration GPRS Carrier GPRS Connection TMS server TXT message or Email 10

The Smart. Synch Solution: Meter Agnostic • Multiple meter manufacturers: – Commercial and Industrial (C&I) • • – Elster A 3 field Itron SENTINEL field GE k. V 2 c Landis+Gyr S 4 the field ~30, 000 units deployed in the Available in 2007 ~40, 000 S 4 units deployed in Residential • Itron CENTRON Commercially Available 11

GPRS: The Global Standard • Price • GSM is the Global Standard • Economies of scale from over 2 Billion worldwide users • More affordable component costs • Coverage • Largest Digital Cellular Network in the U. S. : AT&T’s GSM/GPRS All. Over Network covers more points of presence (POP) than any other network • 45, 000 cell sites • AT&T owns more spectrum than any other carrier • 59 MHz avg. in top 100 US markets • Reliability • Dedicated time slot and channel for data • Always on, versus 1 X hibernation state with inactivity • Security of a dedicated APN or custom APN 12

Superior Coverage Validation Two Models JETT • eye Rugged Hand Held PC AT&T Cell Phone 13

Advanced Security • All messages utilize end-to-end 128 -Bit Encryption – Utility and meter specific encryption – Multiple key seeds • Secure APN network environment – Dynamic private IP addresses – Secure VPN or frame relay connectivity • Meter Security – – Tamper detection Tilt detection Alien message detection and alarming Port logons and write session alarming 14

Flexible Data Collection Options • SSI Transaction Management System (TMS) – Scalable Head-End built specifically for digital cellular systems – Multitude of benefits and functionality not provided by other head-end systems • Direct reads from MV-90/MV-XI – Available in August 2007 – Co-Development partnership with Itron (Smart. Synch TIM) • Managed Services – Data collection managed and provided daily by 15

TMS: Technology Benefits Smart. Synch is focused solely on public wireless technology • Built for digital cellular networks – • Security: – Packet switched data – • 128 bit end-to-end encryption Asynchronous messaging Reduced over-the-air usage: – Compression Ease of Use – Device managed schedules – Automated reconciliation – Automated data recovery Optimized data transmission – • • Scalability of push 16

TMS: Functional Benefits TMS supports real-time or inbound push transmissions of data • Real-time alarm monitoring and reporting – Real-time power outage/restoration alarms (Super. Cap patent) – Power quality alarming – Demand threshold monitoring and alarms – Tamper detection monitoring and alarms – All ANSI C 12. 19 meter diagnostics and events • Scalable real-time retrieval of interval data – Used for load curtailment – Scheduled data retrieval using push technology / no polling • Transparent data collection of multiple meter models across multiple networks 17

Managed Services Solution • No TMS installation: Daily provision of all critical metering data – Interval data, register data, outages and restorations, alarms • • • Dedicated Client Services Manager Dedicated Deployment Account Manager Dashboard views/reports for system health and performance Data deployment tools and reporting Support – Telephone support – On-Line support – On-Site support • Tier 1 Data Center – 24 x 7 Operations – High-speed, high-availability network infrastructure – Physically and electronically secure and protected environment • 128 -bit Encryption of all messages transmitted across the wireless network • Experienced utility-focused engineers with meter point troubleshooting experience 18

100% Fully Certified • Certified by Meter Manufacturer – Co-Developed Products with Partners, OEM Warranty still in place • FCC – FCC (CFR) 47 Part 15 for “B” digital devices – FCC Parts 22 and 24 for GSM power class 4 operation Smart. Synch has the only under-the-glass – FCC Part 90 and FCC Part 1 (MPE) smart meters (3) • ANSI certified to operate on ANSI C 12. 1 the AT&T network. ANSI C 12. 20 – – – ANSI C 37. 90. 1: Surge Withstand Capability (SWC) • CTIA – PCS Type Certification Review Board: (PTCRB) – Over the Air (OTA) for both 800 Mhz and 1900 Mhz Bands • AT&T Network Certification 19

Certification = Risk Mitigation • Meter Manufacturer Failure to meet ANSI or FCC standards can – Ensures that the original Meter Manufacturer warranty still applies result in the mandatory termination of device operation and/or substantial fines. • ANSI – Ensures the device will not break during shipping and installation – Ensures that the device will operate properly over long periods of time Failure to receive Network Carrier certification can result in the mandatory • FCC suspension of service to the device by the – Ensures device does not violate federal communications law carrier – this can occur well after meter installation. • CTIA – Ensures over-the-air protocol standards are not violated All Smart. Synch products are fully certified • AT&T prior to production release and shipment to – Ensures optimal network performance customers. Always. 20

Patented Technology • “Super Caps” (#6, 819, 226) – Super capacitors to provide power to land-based telemetry devices (not just electric meters) and compensate for ambient temperature • “Meter Buffering” (#6, 946, 972) – Use of a microprocessor and memory to buffer utility meter information and only send relevant responses to requests to minimize wireless transmissions • Patent pending antenna technology – 16 X improvement over other existing antenna technology • Patent pending Plug N’ Play deployment technology 21

Patented Technology = Performance • Supercaps – No Batteries for Last Gasp Power Outage with 15+ years life expectancy • Meter Buffering – 1/20 th the over-the-air data usage The Best O&M Price • Antenna – Superior sensitivity performance and coverage footprint • 850 MHz band • 1900 MHz band d. Bm • Deployment TIS: -99 d. Bm TRP: 22 d. Bm TIS: -101. 5 d. Bm TRP: 24. 5 22

Public Wireless Smart. Metering: World Class Service

Client Services Program Overview Smart. Synch’s Client Services program offers solutions for all phases of the customer project lifecycle. 24

Proven Performance & Capabilities • Account and Project Management coordination for new and expanding meter deployments – Implementations at 50+ major utility customers throughout North America • 4 out of top 5 utilities in United States • 3 rd party solution coordination providing the client one stop shopping for all integration requirements • TMS Managed Services for turn key information management 25

Account Management • Dedicated Involvement to ensure Success – Improved coordination throughout the project – Test plan development • Meter Shop • Field Deployment – Detailed Communication Plans – Training coordination – Issues resolution – Coordinated handoff to Smart. Synch Client Services and Managed Services • Lower risk throughout the deployment • On-time - On-budget – Met Expectations! 26

• Customer since: 2000 • Products: 3000 Smart. Synch Interval Smart. Meters (Siemens S 4, Elster A 3), TMS software • Current situation: Live production customer; 1 channel/15 minute interval data • Read Success Rate: rate is very close to 98. 5% daily (with retries and data recovery, the 100% 27

• Customer since: 2005 • Products: Smart. Meters TMS software 24, 500 Smart. Synch Interval (Itron SENTINEL), • Current situation: Live production customer; 1 channel/60 minute interval data • Read Success Rate: rate is very close to 98. 5% daily (with retries and data recovery, the 100% 28

• Customer since: 2001 • Products: 13, 000 Smart. Synch Interval Smart. Meters (Siemens S 4, Elster A 3), TMS software • Current situation: Live production customer with Real Time Load Curtailment Processing (data returned every 15 minutes and all new data exported every 5 minutes) and over 2. 5 million daily transactions • Read Success Rate: 99% daily (with retries and 29

• Customer since: 2001 • Products: 9, 000 Smart. Synch Interval Smart. Meters (Siemens S 4, Elster A 3 Alpha), TMS software. Recently awarded SSI with additional 6, 000 unit deployment. • Current situation: Live production customer; 2 channel / 15 minute interval data: Received Productivity Improvement Award from the city of Los Angeles for installing the SSI system • Read Success Rate: 99% (with retries and data 30

• Customer since: 2001 • Products: 6000 Smart. Synch Interval Smart. Meters (Siemens S 4, Elster A 3), TMS software • Current situation: Live production customer; 2 channel / 30 minute interval data • Read Success Rate: Unknown – PG&E is waiting to schedule a coverage validation audit which is anticipated to take this number close to 31

• Customer since: 2001 • Products: 5, 000 Smart. Synch Interval Smart. Meters (Siemens S 4, Elster A 3), TMS software • Current situation: Live production customer; 1 & 2 channel/15 minute interval data • Read Success Rate: data recovery, to 100% daily) • Delivery: 98% daily (with retries and the rate is very close The product was delivered as 32

For additional information contact: Nangy Gul, Regional Sales Director rraju@smartsynch. com (303) 570 -7252 Octavio Reza – Sales Engineer oreza@smartsynch. com (562) 509 -1139 33