AI-Powered Energy Storage - SustainSoCal · 2! Year Founded: 2009 Offices: Millbrae, CA, Newport Beach CA, Seattle, WA, and Honolulu, HI Operations: CA, HI, NY, TX Employees: 140+

AI-Powered Energy Storage Optimizing the timing of energy use with Stem

Randy Palombi Vice President of Sales

2!

Year Founded: 2009

Offices: Millbrae, CA, Newport Beach CA, Seattle, WA, and Honolulu, HI

Operations: CA, HI, NY, TX

Employees: 140+

Installed: 330 sites, 102 in SCE

Contracted & Installed: 774 sites, 205 in SCE

Project Finance $500 million

ANGELENO  GROUP  

High caliber global investors Stem customers include

Stem’s Headquarters in Millbrae, California

Stem operates the world’s largest!AI-powered energy storage network!

Stem Overview

Timing is everything. Your energy costs are increasingly driven by when you use energy, not by how much.

60% of utility bill based on timing, and growing

Demand response

Solar net export

Demand charges

Wholesale prices

Time of use rates

Capacity charges

Brain power. Not battery power.

Facility Hotel in CA System size 700 kWh Savings $49,100 / year

It’s all about the intelligence. Optimizing timing of energy use takes more than a battery.

Stem model: A win-win for customers and the grid

Utility or ISO

•  Automated energy savings and/or space lease payment

•  DR revenues •  Protection from changing

rates

•  Stronger grid for the community •  Enable renewable power

•  Subscription / fixed fee

Stem Service model

AI-powered solution

Networked Grid-connected

Financial benefits

Social benefits

Service payment

Private and public sector

Energy to relieve grid congestion

Payment for reliable delivery

Confidential 6

What is LCR? •  Interactive grid program from SCE •  Relieves capacity shortfall to maintain a resilient grid •  Sustainable alternative to natural gas peaker plants •  LCR spans West LA Basin and Orange County

How do we help? •  Stem’s customer-sited systems create a virtual power

plant •  When grid is strained, SCE requests capacity •  Athena optimizes energy timing and LCR response •  Grid Rewards lowers your service fee

LCR qualifying geography

Stem is operating 36 sites and 4.2 MW in LCR. Stem has contracted an additional 77 sites and 17.1 MW in LCR.

LCR: Supporting a reliable grid in OC and West LA

LBA Realty installed the world’s largest indoor energy storage system at Park Place to reduce operating costs and to support sustainability efforts. In addition to providing value for the owners and tenants, this system participates in Stem Grid Rewards with Southern California Edison to help relieve grid congestion in the West LA Basin. •  System size: 1.3 MW •  Annual demand charge reduction: 7% •  System lifetime savings over 10 years:

$450,000

© 2017 Stem, Inc. Proprietary and Confidential 7

Case study: LBA Park Place

“We continue to demonstrate leadership in enhancing our properties with smart building technologies that increase

sustainability, strengthen the local power grid, and reduce costs for our tenants. The installation of Stem’s cutting-edge technology

is the most recent demonstration of this commitment.”

Perry Schonfeld, Principal and COO, LBA Realty

Soka University is using Stem to reduce operating costs without using staff labor, and to support the university’s dedication to sustainability and creating value. Watch this video about the Soka operations team’s experience with Stem. •  System size: 400 kW •  System lifetime savings over 10 years:

$780,000

© 2017 Stem, Inc. Proprietary and Confidential 8

“Stem made the effort to understand the culture of the campus and its sustainability initiatives so that the project was

relationship based. When this project was presented to the senior administration for consideration, the response was that it was a

‘no brainer.’ The installation and coordination with SCE and municipal building permitting was seamless as well.“

Tom Harkenrider, Chief of Operations, Soka University

Case study: Soka University