Retail Marketplaces: Are Utilities the Next Amazon of Energy?

Panelists

David Quin

Director of Marketing

and Customer Strategy

CenterPoint Energy

James EberManager of Demand

Response and

Dynamic Pricing

Commonwealth Edison

Dan Bautch

Partner, Commercial

Analytics & Execution

Twenty First Century

Utilities

Colin Lamb

Team Lead, Product

Strategy and

Development

Xcel Energy

Twenty First Century UtilitiesSGCC 2017 Members MeetingSeptember 2017

CURRENT STATE OF PLAY – MARKET DYNAMICS

Electric Utility Customer Non-Utility Vendors*

* Representative list

Implementation: efficiency; utility payment

1

3

1

2

Missed revenue opportunity for electric utility

Customers face confusing choices & high costs Compounding negative impact to utility

2

3 Reduced electricity usage = less core revenue

4

THE TFC MILLION RATE BASE APPROACH

CustomerElectric UtilityNon-Utility Vendors*

* Representative list

1

2

1

2

Variety of customizable customer choices offered by trusted electric utility

Convenient single payment for customer; utility captures incremental revenue

3

3 Potential for enhanced access to larger customer base and lower marketing, production and installation costs

5

UTILITIES NOT VIEWED AS THE BEST INNOVATORS

6

Figure Courtesy of Customer Experience & Expectations (December 2016, SmartGrid Consumer Collaborative)

CONSUMERS RELY ON THE UTILITY AS THE TRUSTED SOURCE FOR ENERGY SERVICES

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Figure Courtesy of Customer Experience & Expectations (December 2016, SmartGrid Consumer Collaborative)

Xcel Energy Store

September 2017

https://www.xcelenergystore.com/

Marketplace Evolving

9

Platform Evolving

10

Core delivery function

• Customer data integration

• Ecommerce approach

• Other opportunities

New DSM program channel

• Instant rebating

• Easy enrollments

• Operational benefits

Instant rebating outside of the store

11