2019-2023 ENERGY EFFICIENCY AND DEMAND RESPONSE PLAN

Save Money with Efficiency

Energy Efficiency Cost-Recovery Notice: Electric

CUSTOMER CLASS ENERGY EFFICIENCY COST RECOVERY RATE $/KWH

ANNUAL BILL IMPACT % CHANGE

CURRENT PROPOSED*Residential $0.00599 $0.00220 -4.0%

General Service $0.00411 $0.00258 -2.0%

Large General Service

$0.00411 $0.00258 -3.0%

Lighting $0.00018 $0.00014 -1.1%

Energy Efficiency Cost-Recovery Notice: Natural Gas

CUSTOMER CLASS ENERGY EFFICIENCY COST RECOVERY RATE $/THERM

ANNUAL BILL IMPACT % CHANGE

CURRENT PROPOSED*Residential $0.06886 $0.00976 -7.9%

General Service $0.03521 $0.00725 -5.1%

Large General Service

$0.03521 $0.00725 -5.5%

Lighting N/A N/A N/A

Electric Energy Efficiency Programs - Annual Costs*

MAJOR CLASS CURRENT BUDGET PROPOSED BUDGET % CHANGE

Residential $36,181,522 $11,793,569 -67.4%

Nonresidential $58,352,248 $30,880,074 -47.1%

Natural Gas Energy Efficiency Programs - Annual Costs*

MAJOR CLASS CURRENT BUDGET PROPOSED BUDGET % CHANGE

Residential $24,533,390 $4,092,582 -83.3%

Nonresidential $13,332,506 $1,941,488 -85.4%

THE COST OF THIS PROPOSAL IS SHOWN IN THE FOLLOWING TABLES.

*Annual costs are based on the first year budget (2019) and are subject to change in subsequent years.

Saving Energy and Money

MidAmerican Energy Company is dedicated to providing safe, reliable and affordable energy to our customers while keeping rates low. Iowa’s energy landscape has been reshaped since 1990 when energy efficiency spending was first mandated. Thanks to major investments in renewable energy generation, today nearly half the energy provided by MidAmerican Energy now comes from wind. Additionally, MidAmerican Energy has a plan in place to provide its customers with 100% renewable energy by the end of 2020. This, in turn, has helped make Iowa the nation’s leader in the percentage of electric generation coming from wind – playing a critical role in keeping rates in Iowa among the lowest in the country and making it an attractive place to live and do business.

Robust energy efficiency programs are an important part of a long-term energy strategy. However, providing those programs in a cost-effective way for our customers is equally important. As a result of legislation passed earlier in 2018 and subsequently signed into law, MidAmerican Energy will modify and refile its 2019-2023, five-year energy efficiency and demand response plan. The new plan provides for robust energy savings, while putting money back into customers’ pockets.

MidAmericanEnergy.com/ee1875534350

MidAmerican Energy proposes additional programs that include:

Low-income home weatherization Education program that includes trade ally outreach and energy efficiency materials for schools

Home energy reports for residential customers to better assess their energy consumption and find ways to reduce energy use

Community tree-planting program to promote energy efficiency by providing windbreaks and shade

Home Energy Assessments – An online home energy assessment is available to MidAmerican Energy’s residential customers who wish to learn more about their home energy use. Customers who complete the online assessment may be eligible for an energy-saving kit with easy-to-install products to help lower energy use.

Residential Equipment – MidAmerican Energy’s residential customers may receive incentives to replace older HVAC equipment with new high-efficiency models. In addition to saving money through purchasing incentives, customers receive long-term savings through reduced energy bills.

Appliance Recycling – This program assists customers by safely removing inefficient refrigerators and freezers and properly recycling the coolant inside them. In addition to removal and disposal of the older working appliances, customers receive an incentive from MidAmerican Energy.

Residential Load Management – SummerSaverSM is a voluntary initiative for MidAmerican Energy customers who wish to help reduce energy use during peak usage weekdays from June through September. The program will utilize both traditional cycling devices which are attached to the air conditioner unit, and qualified smart thermostats which allow MidAmerican Energy to cycle an air conditioner by remotely adjusting the thermostat’s temperature. Participants receive a credit on their energy bill at the end of each program season.

SummerSaver – A new offering which allows homeowners with qualified, smart thermostats installed in their homes to easily participate.

Residential Equipment – HVAC SAVE testing will no longer be required in order to receive an HVAC equipment rebate.

Nonresidential Energy Solutions – A combined program for commercial and industrial customers previously served by the Commercial Energy Solutions and Industrial Partners programs. This offering also will serve market-rate multifamily and agriculture customers.

Programs not included in the 2019-2023 plan:

Residential New Construction Upstream Retail Lighting Plant Some Shade®

Income Qualified Multifamily Housing – This program provides new measures focusing on building envelope improvements, such as air sealing and insulation for existing income qualified multifamily buildings.

2019-2023 Energy Efficiency Program ProposalsIn July, MidAmerican Energy Company is filing an assessment of potential and will modify and refile its 2019-2023 energy efficiency and demand response plan to the Iowa Utilities Board. This notice includes a preview of the plan’s program proposals as well as estimated costs to provide these programs to MidAmerican Energy’s Iowa customers.

The Review ProcessAfter MidAmerican Energy files this energy efficiency and demand response plan, the Iowa Utilities Board will conduct a contested case proceeding to review the company’s application in Docket No. EEP-2018-0002. During this proceeding, MidAmerican Energy’s proposal may be modified.

Customers have a voice in this proceeding and may request a consumer comment hearing. Questions, written comments or objections to the company’s energy efficiency and demand response plan may be directed to any of the following:

MidAmerican Energy Company Attn: Energy Efficiency 106 E. Second St. P.O. Box 4350 Davenport, IA 52808 888-427-5632 MidAmericanEnergy.com

Iowa Utilities Board 1375 E. Court Ave. Des Moines, IA 50319 877-565-4450 iub.iowa.gov

Office of Consumer Advocate 1375 E. Court Ave. Des Moines, IA 50319 515-725-7200

Residential Programs Specialty Program

Commercial and Industrial Programs

Additional Specialty Programs

Significant Changes from the 2014-2018 Plan

Nonresidential Energy Solutions – This program promotes comprehensive energy efficiency for existing commercial buildings and industrial facilities. Business owners can increase their property values by lowering their monthly operating costs and investing in advanced efficient technologies, while improving building operation and comfort. Qualifying customers receive expert advice for project identification/evaluation and financial incentives to help offset costs for new energy efficiency investments.

Nonresidential Equipment – Incentives are available for nonresidential energy-efficient equipment and products that include lighting, heating, cooling, and custom equipment such as refrigeration and agriculture-related equipment.

Commercial New Construction – MidAmerican Energy provides electric incentives to owners, developers and their design teams through expert advice to study and test energy efficiency strategies early in the process of commercial construction projects. The complimentary energy design assistance leads to energy-efficient new construction. In addition, with available construction incentives, these projects introduce efficient solutions at lower costs.

Nonresidential Load Management – Large commercial and industrial customers may receive financial incentives for reducing their energy use during times of peak demand. Curtailment goals can be reached by shedding load, shifting load to non-peak periods or by on-site replacement power generation.