East West Interconnector Background Security Of Supply Promote

East West Interconnector Background • Security Of Supply • Promote Competition in The Electricity Sector • Accommodate Growth Of Renewable Energy • Reduce Dependence on Imported Fuels • Downward Pressure on Price • Achievement of National and European Objectives

East West Interconnector Background • Key Strategic Project • Priority Interconnector Project - DG TREN January 2007 • ‘Critical National Strategic Importance. . ’ – NDP 2007 -2013 • CER to arrange for design of competition for construction of a 500 MW interconnector at earliest possible date (2012 or earlier) • Upon completion, I/C to be owned and operated by Eir. Grid • Work on selection of sub sea route and sites and associated grid reinforcement to proceed in parallel with selection of developer process

• Connects To Irish Grid At Woodland 400 kv Substation The Route • Irish Land Cable Route – Approx 45 km • Connects To UK Grid At Deeside 400 kv Substation • Welsh Land Cable Route – Approx 30 km

Marine Survey

Recent Milestones Government Approval / Contract Award March 2009 Planning Permission in Britain Sep 2009 Planning Approval Granted in Ireland Sep 2009 European Investment Bank funding secured Sep 2009 Granted Foreshore Licence in Britain Oct 2009 Commencement of Works in Wales Nov 2009 EU Grant secured March 2010 Full Notice to Proceed March 2010

North Ocean 102 Cable Laying Vessel ABB HVC Karlskrona

High level timeline of activities Customer workshop RA’s SEM Regional Integration Consultation Review of EU and UK legal requirements (including telecoms) Customer workshop Start Customer Registration Explicit auction system tender Q 4 2009 Q 1 2010 AS Contract Agreed Auction Platform workshop Q 2 2010 Final Notice to Proceed Q 3 2010 Q 4 2010 Registration in BETTA/SEM Mods Approval from RAs Q 1 2011 Q 2 2011 Mods submitted to Mods panel Q 3 2011 Q 4 2011 Q 2 2012 RA Approval access rules Go-live explicit System Customer Training Regulatory interface Q 1 2012 EWIC commercially operational April 2012 Release Q 3 2012 Q 4 2012

Auction Process • An auction platform will be procured over the next few months • Coordination underway with Moyle so as to offer 1 platform but 2 separate auctions • Explicit Auctions will be held on annual, monthly, weekly and daily basis • Implicit auctions being considered for within day auctions • Secondary trading will be facilitated • The auctions and the rules of the interconnector will be compliant with the Congestion Management Guidelines • UIOLI and UIOSI will be operated

Facts & Figures • 500 MW Continuous Rated Power • Overload Capacity Up To 550 MW • DC Cable Voltage ± 200 k. V • Reactive Power Capability • Total Estimated Losses At Rated Power – 30 MW • Completion Date Q 3 2012

End of Presentation Questions? Eir. Grid website: Project website: Planning websit ABB HVDC: www. eirgrid. com www. interconnector. ie www. eirgrideastwestinterconnector. ie www. abb. com/hvdc