www.grid-net.com Grid Net, Inc. © 2010 - Company Confidential, 2010

COMPANY OVERVIEWJanuary 2011

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What is the Smart Grid?Utility Grids + Buildings + Homes + Vehicles

Our Smart Grid definition unites the Utility Grid, Buildings, Homes, and Vehicles into one grid

Smart Grid is not only AMI Smart Grid = DA + DR + AMI + DER (i.e. DG, ES, EV) A Smart Grid is an Electric Grid + Communications Network +

Hardware + Software The Smart Grid monitors, controls and manages the creation,

distribution and consumption of energy The Smart Grid of the future is distributed, interactive, self-

healing and reaches every device

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Who is Grid Net?The Universal Smart Grid Operating System Company

Founded in 2006, and Headquartered in San Francisco California, with regional

operating offices in Sydney and Melbourne Australia, Grid Net is backed by

world class investors

Grid Net is a software company that delivers ”PolicyNet: The Universal Smart

Grid Operating System” for any powered device, over any IP networking

technology, on any smart grid, within any customer location.

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Who are Grid Net’s Current Partners?ODMs, ISVs, SIs, and Carriers

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Who are Grid Net’s First Customers?Over 2 million devices under contract

Grid Net’s “PolicyNet: The Universal Smart Grid Operating System” was commercially

introduced into the utility market in the Fall of 2009

Grid Net’s first utility customers include:

SP Aus Net (http://www.sp-ausnet.com.au/) and EnergyAustralia

(http://www.energyaustralia.com.au/), which combined represent over 2 million smart grid

devices

SP AusNet is in the process of deploying 700K 4G WiMAX Smart Meters

EnergyAustralia is in the process of deploying 15K 4G WiMAX SmartGrid Routers; and

recently won the Australian Government “Smart Grid Smart City Project” (AUS$200

million), which will use Grid Net software products throughout – smart meters,

smartgrid routers, smart home gateways, smart home sensors and controls, and

electric vehicles

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Electric Grid Supply ChainFour traditional domains moving beyond the meter

Central GenerationTransmission Grid

(high voltage)Distribution Grid

(low voltage)Meters and Customers

(low voltage)DG, Storage, Appliances,

PHEs and EVs

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Central Generation Transmission Grid Distribution Grid Meters and Customers Home and Office

How does the Electric Grid work?Hundreds of applications, complex infrastructure, silos

Customer Portals / Web Services / IHDs

Meters / MDMS

CRM / CIS / Billing

Call Center

Conservation System

Workforce and Workflow Management

Portfolio Management / Project Management

EMS / SCADA

GIS / Materials Mgmt / Asset Mgmt / Facilities Mgmt

Load Planning Sys

Distributed Control Sys

Emissions Mgmt Sys

CAD / CAE Applications and Modeling Tools

PDAs / Smartphones / PCs / Servers / IT Management Systems / Email / MS Office / App Servers

Lab Mgmt Sys

Generation Mgmt Sys

Wholesale Schedulingand Settlement Sys

Energy Hedging Sys

Demand Response Sys

Distribution Management Systemand Outage Management System

Distribution Automation

Sub-Metering Sys

Smart Charging Sys

DG Mgmt Sys

Storage Mgmt Sys

LAN/PAN/HAN

Smart Appliances

Marketing Program Sys

Vegetation Mgmt System

Corporate Voice and Data Networks + Separate DCS, SCADA, DA, DR, Field Force and AMI Networks

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Central Generation Transmission Grid Distribution Grid Meters & Customers Home & Office

Workforce and Workflow Management

Materials Mgmt / Asset Mgmt / Facilities Mgmt

IT Infrastructure at the Data Center

Corporate Voice and Data Networks

IHDs and HEMS

LAN / PAN / HAN

Electric Vehicles

Distributed Generation

Energy Storage

Smart Devices

Metering System (AMI)

EMS / SCADADistributed Control Sys Demand ResponseDA Systems – GIS/DMS/OMS

DCS Network EMS / SCADA Network DA Network DR Network

AMI Network

MDMS and Billing Systems

NOTE: Smart Grid v1.0 integration happens at the Application layers with Disparate networks.It is a costly approach that has limited security, reliability, scalability, and speed response times;

and there is no answer as to how to integrate Smart Grid 2.0 Systems

What are 1st Generation Smart Grids?Many Disparate Networks with Mass Inefficiencies and Costs

Meters and Customers

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Central Generation Transmission Grid Distribution Grid Meters & Customers Home & Office

Materials Mgmt / Asset Mgmt / Facilities Mgmt

IT Infrastructure at the Data Center

Corporate Voice and Data Networks

PolicyNet SmartGrid NMS with IEC CIM (61970, 61850, 61968 ) WSDL APIs (in Utility NOC)

And PolicyNet Smart NOS and PolicyNet Agents (on Meters, Routers, Inverters, and Gateways)

PolicyNet Smart Metering System (AMI / MDMS) IHDs and HEMS

Electric Vehicles

Distributed Generation

Energy Storage

Smart Devices

EMS / SCADADistributed Control Sys Demand ResponseDA Systems – GIS/DMS/OMS

Billing Systems

Workforce and Workflow Management

NOTE: By integrating at the networking layers, 2nd generation Smart Grids gain robust security, reliability,

scalability, and speed response times (to handle 100 millisecond applications). Integration costs are reduced.

And it makes the integration of Smart Grid 2.0 applications super easy.

What are 2nd Generation Smart Grids?Integrated Networks With a Single View and Control Dashboard

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What is the Grid Net Solution?PolicyNet: The Universal Smart Grid Operating System

KEY ELEMENTS– Leverage Public Carrier Networks or Build Your Own Network. We support 3G, 4G, Fiber, and Ethernet for WAN, and Wi-Fi, HomePlug, Ethernet, and ZigBee for LAN/HAN.

– Edge Devices (e.g. Meters, routers, electric vehicles, inverters, volt/VAR controllers, etc.)

– Grid Net Software (PolicyNet Smart NOS and PolicyNet SmartAngent for devices

and PolicyNet SmartGrid NMS for utilities and carriers)

To deliver real-time, all-IP Smart Grid and Smart Home software platforms for utilities supporting any device and IP networking technology

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Grid Net Smart Grid Design:Integrates Utility, B2G, H2G, V2G, ES2G, and DG2G Systems

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Home2Grid (H2G) Design:Includes V2G, ES2G, DG2G, and Smart Devices

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Building2Grid (B2G) Design:Includes V2G, ES2G, DG2G, & Smart Devices

SmartBuilding

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What are the Grid Net Products?PolicyNet is a Policy-based and Open Standards Software Suite

SMART GRID Software Products PolicyNet Smart NOS (linux-based) PolicyNet SmartGrid NMS Platform Smart Grid and Smart Home Agents Retail Broadband Services Agents

Hardware Reference Designs 4G Smart Meters 4G SmartGrid Routers 4G SmartGrid Comms Cards FTTH Smart Home Digital Gateway

SMART HOME Intelligent Home Device designs PolicyNet SmartHome Cloud Services HybridGatewayRouterMeter

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PolicyNet SmartGrid NMS SoftwarePolicy-based Smart Metering and Demand Response

Smart Metering Solution: Smart Meter Management Identity / Password

Provisioning / Configuration Monitoring / Alarms / Control

Advanced Metering Services

HAN Demand Response Services

Gas / Water Meter Reading Services

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PolicyNet SmartGrid NMS SoftwareReal-time Web Services Bus (IEC CIM – 61970, 61850, 61968)

Web Services Integration: IEC CIM WSDL APIs

IEC CIM based data model

Real-time Web Services Bus

Asynchronous / Synchronous

Transactional Queue Manager

System wide and Individual Policies

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PolicyNet SmartGrid NMS SoftwarePervasive Authorizations and Access Controls

System-wide Security: Administrative Controls

Device and Group Controls

Individual Policy Controls

Report Generation Controls

Smart Meter Application Controls

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Home & Building Energy Management SystemsInteroperable with Utility Systems and Signals

Home & Building EnergyManagement Portal: Socially aware and responsive

Open market and energy ecosystem

Real-time Consumption Information

Consumption Controlled via Home or Building Profile

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What are Grid Net’s Unique Advantages?Open Standards, Interoperability, Security, Cost and Scalability

Universal Management – first Utility NOC Network Management System to manage all

electric devices (supports Ethernet, Fibre, 3G, 4G, Wi-Fi, ZigBee, and HomePlug)

Massive Scalability – able to manage 10s of millions of devices from a single deployment of

the PolicyNet SmartGrid NMS platform.

Complete Security – end-to-end security (from Utility NOC Smart Devices) that is based on

and is compliant with the US NIST, NERC CIP, and FIPS requirements and standards

Instant Communication – real-time speeds (<100 milliseconds), or any interval, and 100%

Internet Protocol support

Open Standards-based Interoperability – support for multiple, heterogeneous devices (e.g.

transformers, fault monitors, switches, Volt/VAR controllers, meters, inverters, etc.) from multiple

vendors

Lowest Total Cost of Ownership – 10yr TCO of a full smart grid powered by Grid Net

software and smart device technology is cheaper than dedicated multi-network

implementations

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What are Grid Net’s Benefits?More than AMI. Integrated AMI + DA + DR + DER Improved Load Management and Control

Enables dynamic peak demand reduction solutions. Improves distribution grid reliability and power quality (e.g., improved SAIDI/SAIFI).

Enhanced Operational Efficiency & ResiliencyEnables grid optimization (e.g., improved control of distribution line losses), real-time monitoring/control and self-healing/adaptive distribution feeders (Volt/VAR control and fault detection)

Improved Customer SatisfactionProvides real-time information to enable dynamic pricing (e.g., critical peak pricing, etc). Enables proactive outage notification and restoration services. Enables the delivery of new and/or enhanced energy products and services and bundled retail products.

Positive Environmental ImpactEnables new grid solutions for integrating intermittent Renewable Energy (wind, solar farms). Integrates Distributed Energy Resources (DER), including distributed solar PV systems, electric vehicles and charging stations, and distributed storage to enable new solutions (e.g., Virtual Power Plants, etc.). Reduced CO2 emissions and enhanced regulatory compliance.

Improved Financial Impact (CapEx and OpEx)Delivers equivalent CapEx and significantly reduced OpEx when compared to other solutions, resulting in lowest Total Cost of Ownership (TCO).

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Grid Net Smart Grids are the future now…From AMI to DA to DR to DER to Converged Services…

Advanced Smart Metering and Demand Management

Advanced Customer Services (Info, RT Pricing, EVs, Solar PVs)

Advanced Substation and Distribution Automation

Integrated Mobile Workforce and Services

Retail Broadband Services + Energy Services

IMPLICATIONS / OPPORTUNITIESMore DevicesMore Data FlowsMore Transactions

More ServicesMore BandwidthMore Revenue

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Questions?

CONTACT INFO

ANDRES CARVALLOEVP / Chief Strategy OfficerGrid Net, Inc.Email: andres@grid-net.comTel: 512/215.9080URL: www.grid-net.comBlog: www.ciomaster.comTwitter: @ciomaster

www.grid-net.com Grid Net, Inc. © 2010 - Company Confidential, 2010

THANK YOU!