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Impax Asset Management Ltd is authorised and regulated by the Financial Services Authority

Impax is a registered investment advisor with the SEC

Opportunities & Challenges in the World of “New Gas”- Strategies for Success

Bruce Jenkyn-Jones, Managing Directorsub-advisor, Pax World GEM Fund

October 3, 2012

2

Impax Asset Management – An Introduction

*As at 31 August 2012. **Fully diluted interest following vesting of employee incentivisation awards in September 2012.

Client Breakdown

Impax Ownership

Institutions 56%Private Label Fund Clients

31%

Private Wealth, Endowments/

Foundations 10%

Others 3%

BNP Paribas 25%

Staff 34%**Others 41%

• $2.9 billion AUM*

• Global firm, established in 1998, with a London base and presence in Hong Kong, New York and Washington DC

• 27 investment professionals, with 27 support staff

• Thought leaders on Resource Scarcity & Environmental Sector issues

3

“New Gas Changes Everything!”

Energy

Alternative

Transport

Industrials

Buildings

Power

Storage

EnergyEfficiency

Water

Infrastructure & Technologies

Infra-structure

Treatment Equipment

Utilities

Testing & Gas Sensing

ControlSolutions

PollutionControl

Waste

Waste Management & Technologies

Recycling & Processing

Hazardous

Carbon & Asset

Trading

Env. Consultants

Environmental Support Services

General

TechnologyEquipment

Note: Some sub-sectors have an additional ‘diversified’ category not shown above for the sake of clarity

Developers & IPPS

Solar

Wind Power

Biofuels

OtherEquipment

4

New Gas and the Photovoltaics Market – Challenges & Opportunities

Energy

Alternative

Transport

Industrials

Buildings

Power

Storage

EnergyEfficiency

Water

Infrastructure & Technologies

Infra-structure

Treatment Equipment

Utilities

Testing & Gas Sensing

ControlSolutions

PollutionControl

Waste

Waste Management & Technologies

Recycling & Processing

Hazardous

Carbon & Asset

Trading

Env. Consultants

Environmental Support Services

General

TechnologyEquipment

Note: Some sub-sectors have an additional ‘diversified’ category not shown above for the sake of clarity

Developers & IPPS

Solar

Wind Power

Biofuels

OtherEquipment

5

2007 2011

PV Module Manufacturing Capacity

2007 2011

Total61.4 MW

Total4.0 MW

17%

52%

31%

Europe

ChinaRest of the World

2007 2011

47%27%26%

Sources: SWS Research 2011, Impax Asset Management. 2011 figures are estimated.

European PV Plant Installation Cost (€m/MW)

2007 2011

1.8

2007 2011

6.5

Dramatic Economies of Scale

6

PV breakeven cost in 2012 for Commercial Facilities: Default Rate Structure With Incentives

• 51.9% of load covered at breakeven price of $3/Watt and greater

• 16.9% of load covered at breakeven price of $5/Watt and greater

• 10.3% of load covered at breakeven price of $7/Watt and greater0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

110%

$0 $1 $2 $3 $4 $5 $6 $7 $8 $9 $10 $11 $12 $13

Breakeven Price

Distribution of Load Covered Default Rate WithIncentives

DRAFT RESULTS: DO NOT CITE

Source: Ong, Denholm, Margolis, NREL: Draft Results

7

Demand/Supply Imbalance in PV Market

Substantial Overcapacity….

…leading to price pressure… … and underperformance

8

New Gas + Intermittent RE = New Demands, New Possibilities

Energy

Alternative

Transport

Industrials

Buildings

Power

Storage

EnergyEfficiency

Water

Infrastructure & Technologies

Infra-structure

Treatment Equipment

Utilities

Testing & Gas Sensing

ControlSolutions

PollutionControl

Waste

Waste Management & Technologies

Recycling & Processing

Hazardous

Carbon & Asset

Trading

Env. Consultants

Environmental Support Services

General

TechnologyEquipment

Note: Some sub-sectors have an additional ‘diversified’ category not shown above for the sake of clarity

Developers & IPPS

Solar

Wind Power

Biofuels

OtherEquipment

9

New Grid Realities Require New System Capabilities

Power Network Efficiency

ABB• Efficient transmission & distribution (‘T&D’) hardware products• Developed markets –

• grid reinforcement, reliability and renewables integration. • Emerging markets –

• new construction and rural electrification

Hubbell• T&D connectors, insulators and surge arresters (~90% of components on a tower) • Positioned to benefit from $300bn of investment in the US T&D grid by 2030

Itron• Intelligent metering products for electricity, gas and water • Worldwide meter market only 10% automated; 7% compound growth forecast

10

Transport Fuel of the Future? Profitable Today

Source:http://3.bp.blogspot.com/-bhttp://3.bp.blogspot.com/-bMWkTcpYUKk/UEeGvLQZM3I/AAAAAAAA0wA/Xp_JVt6QZks/s1600/09-07-2012a.pngMWkTcpYUKk/UEeGvLQZM3I/AAAAAAAA0wA/Xp_JVt6QZks/s1600/09-07-2012a.png

Annual Sales of NG Trucks and Buses by Segment

World Markets: 2012-2019Landi Renzo • Automotive OEMs and aftermarket kits • Strong market position • Strong recovery

• (i) Euro V launches, • (ii) gasoline tax = improved $$

Westport Innovations • Gas kits for heavy trucks• Numerous strategic relationships• Less attractive financials• Unattractive valuation - 3x EV/Sales

(2013)

Natural Gas Vehicles

11

Production Boom Yields Clean-up Bonanza

Energy

Alternative

Transport

Industrials

Buildings

Power

Storage

EnergyEfficiency

Water

Infrastructure & Technologies

Infra-structure

Treatment Equipment

Utilities

Testing & Gas Sensing

ControlSolutions

PollutionControl

Waste

Waste Management & Technologies

Recycling & Processing

Hazardous

Carbon & Asset

Trading

Env. Consultants

Environmental Support Services

General

TechnologyEquipment

Note: Some sub-sectors have an additional ‘diversified’ category not shown above for the sake of clarity

Developers & IPPS

Solar

Wind Power

Biofuels

OtherEquipment

12

Exploration, Production Growth Expands Pollution Control, Remediation

Clean Harbors• Leading US hazardous waste company• Strong market position + barriers to entry growth• Strong balance sheet; excellent M&A record

Tetra Tech• Environmental advisors focused on US/Canada water; well placed as regulations ratchet up• Rapid revenue growth; $100m to $500m in 3-5 yrs• Strong balance sheet (zero net debt) positions well for M&A

Ecolab• Treatment chemicals for water, energy markets• Energy 17% of sales with broad exposure & growing opportunities from shale gas• Attractive business model with defensive growth (consumables)

Xylem• World’s largest water infrastructure /treatment company• Instrumentation for remote monitoring of water quality near fracking sites• Membrane technology used in treatment water clean-up

13

Summary

Expanded natural gas production is re-writing US energy & environmental markets

Resulting shifts will produce predictable sector winners & losers

Broadly diversified environmental investors can limit downside risk, pursue upside opportunity

Wide range of new opportunities for investor gain are already emerging

Well balanced holdings offer strong potential in high growth markets

14

Thank You

This document has been prepared by Impax Asset Management Limited (“Impax”, authorized and regulated by the Financial Services Authority). Impax is a registered investment advisor with the SEC. Registration does not imply a certain level of skill or training. The information and any opinions contained in this document have been compiled in good faith, but no representation or warranty, express or implied, is made as to their accuracy, completeness or correctness. This document does not constitute an offer to sell, purchase, subscribe for or otherwise invest in units or shares of any fund managed by Impax. It may not be relied upon as constituting any form of investment advice and prospective investors are advised to ensure that they obtain appropriate independent professional advice before making any investment in any such Fund. Any offering is made only pursuant to the relevant offering document and the relevant subscription application, all of which must be read in their entirety. Prospective investors should review the offering memorandum, including the risk factors in the offering memorandum, before making a decision to invest. Past performance of a fund or strategy is no guarantee as to its performance in the future. This document is not an advertisement and is not intended for public use or distribution. Under no circumstances should any information contained in this document be regarded as an offer or solicitation to deal in investments in any jurisdiction including, but not limited to, the United States of America. In particular, the shares of Impax Environmental Markets (Ireland) Fund, Impax Environmental Markets plc, Impax Asian Environmental Markets (Ireland) Fund, Impax Asian Environmental Markets plc and Impax Asset Management Group plc are not registered under United States securities laws and, subject to certain limited exceptions, may not be offered, sold transferred or delivered in the United States or to US persons.

Bruce Jenkyn-JonesManaging Director – Listed Equitiesb.jenkyn-jones@impaxam.com / +44 (0) 20 7434 1122

Ken LocklinUS Managing Director (Washington DC)k.locklin@impaxam.com / 703 476 1561

David RichardsonUS Managing Director (New York)d.richardson@impaxam.com / 646 543 8182