The Role of Utilities Jim Dollard Executive Director

The Role of Utilities Jim Dollard Executive Director, ESB Business Service Centre & Electric Ireland Energy Action Fuel Poverty Conference 2014 1

Electric Ireland Background • Ring-fenced retail arm of ESB • Electric Ireland brand est. 2011 to meet deregulation requirements Customers & Markets • 1. 5 m customers in All Islands market • Highest customer satisfaction rating in SEM • 37% share of all Islands market Products • Electricity • Gas • Home efficiency services 2 Fuel Poverty Conference 2014

A changing energy landscape Sus tain abili ty Reliab ility ab Afford 3 Fuel Poverty Conference 2014 ility

From an Energy Supplier perspective No Industry Definition Vulnerable Customer CER Definition 4 Title of presentation and date Not currently possible for Energy Supplier to identify / segment Energy Poor! Energy Poor Indebted Customers Energy Supplier focus

Payment Plans 350, 000 309, 201 300, 000 290, 729 250, 000 206, 826 160, 992 150, 000 111, 452 100, 000 75, 300 69, 399 50, 000 0 2007 5 2008 2009 2010 2011 2012 2013

6 Title of presentation and date

Annual Disconnections per 10 K Domestic Customers 60 50 40 30 20 2011 2012 2013 2014 Disconnections down to 5 k in 2013 - now down further 600 YTD Up to 40% of disconnections are vacant premises 7

Electricity PAYG Meters Actual Installs 35000 31, 80 30000 25000 20000 15000 10000 5000 0 Q 1/2012 Q 2/2012 Q 3/2012 Q 4/2012 Q 1/2013 Q 2/2013 Q 3/2013 Q 4/2013 Q 1/2014 Q 2/2014 8

The voice of the customer More control over UR bills. Can be used to save up credit so u can have more money leading up to Christmas because of upfront credit One less bill to pay. They won’t cut you off after 5 pm if your credit runs out. Plus they let you run over a little. Wanted to budget and see how much I was using. It was recommended by many people. For cheaper rates. No bills coming in the door. 9 Title of presentation and date I am hopeless @bills. I hated opening the bills and dreading the amount I would have to pay in one lump sum You have to pay first and then you can use it. It sets of an alarm when it’s running low. No bills and easier to manage my money – no stress!

Pay as You Go Customer in arrears makes contact Special Help Line 32 k installed to date Network Technician explains how it works 10 Title of presentation and date Electric Ireland contacts ESB Networks < 1 hour installation time on site

Energy Efficiency Projects 2 key projects in 2014: • SEAI Community Projects: Ø Support for 19 Residential and 12 Community Projects Ø Energy efficiency measures installed in c. 1, 000 homes • Department Environment, Community and Local Government: Ø Energy efficiency measures completed in > 5, 000 homes Mitchels Estate, Tralee Before After 11 Title of presentation and date

Promoting Energy Efficiency € 15 k /r 12

Our approach to tackling fuel poverty Payment plans for customers who engage No-one who engages is disconnected 13 Title of presentation and date PAYG meters 4% discount Free installation No bill shocks Energy Efficiency Initiatives & Education Collaboration with MABS and SVP Disconnections code / Moratorium Lowest rate of disconnections in the Irish Market

The Energy Engage Code 14

Visit our stand to find out more € 15 k /r 15

Thank You 16