2012 Annual Report - Energy Solutions Center

2012Annual Report

Darrell WilsonESC Board Vice ChairChesapeake Utilities

Gary RehmAtmos Energy

Nancy LangeNorthwest Natural

ESC Leadership 2012

Equipment Manufacturers Council Leadership Team

Marc Grandbois, ChairSchwank North America

Mary Carson - RCEIRuth Ann Davis – Williams FurnacesBob Heller - GeneracJohn Koenig - AisinUday Purani – Kraft PowerJim Stephens – Relms, Inc.

ESC Support Team

David WeissExecutive Director

Richard BiljetinaIndustrial Markets

Eric BurgisCommercial & Residential Markets

Warren WillitsCommunications & On-Site Conference Coordination

Leslie AuerbachMeeting Planner

Jennifer CoutoAccounting Assistant

Gillian WrightESC Board ChairSouthern California Gas

Executive Committee

Joe GordonSouthern Natural Gas

Susan DavisQuestar

PAGE 2 ENERGY SOLUTIONS CENTER INC. – 2012 ANNUAL REPORT

Corey MinshewAGL Resources

About our Cover

The magnificent cauldron of the London 2012 Olympics was powered by natural gas. The technical and engineering design was undertaken by ESC Affiliate Member FCT Combustion, who supplied a total packaged solution.

ENERGY SOLUTIONS CENTER INC. – 2012 ANNUAL REPORT PAGE 3

The Energy Solutions Center iscomprised of energy utilities and

equipment manufacturers working together to bring improved, energy

efficient natural gas solutions toresidential, commercial, and industrial

energy users

The Energy Solutions Center –

Strengthens the Ability of Energy Utilities to Achieve Excellence in Serving all

Customer Segments

Accelerates the Deployment ofNew Gas Solutions

Increases Customer Productivity, Competitiveness, Reliability, and Comfort

What is theEnergy Solutions Center?


ESC in Review

Dear ESC members:

Even with the abundant supply and stable price of natural gas, the ability to deliver natural gas solutions to customers in 2012 was challenging. We were faced with the stops and starts of a recovering economy, a warm winter, and ferocious summer storms. Fortunately, ESC tools, resources, and strategies helped gas professionals promote and deliver natural gas solutions to customers. Through market-driven consortia, ESC members aligned specific customer needs and priorities with relevant ESC programs, products, and services. Working through the consortia process, we enabled our members to educate and assist our energy customers in the deployment of natural gas products, appliances, equipment, and systems.

Our efforts to build a “one-stop“ shop for the marketing, sales, and customer education needs of energy utilities have resulted in significant participation from the gas industry. This graph below illustrates the growth in ESC membership over the last 12 years. From 19 members in 2000, we have grown to become one of the largest membership organizations of gas utility marketing and sales executives and equipment manufacturers in North America.

More than 2000 marketing and sales representatives from our member utilities and equipment manufacturers now serve over 50 million natural gas customers in 47 states and 4 provinces, shown in blue on the map below.

0

25

50

75

100

125

ESC Members

Our 2012 Technology and Market Assessment Forums (TMAFs) in Houston, Boston, and Washington, DC broke all-time ESC attendance records. TMAFs continue to provide a unique opportunity for gas utility reps, equipment manufacturers, and business consultants to formulate new ideas about bringing innovative, natural gas solutions to customers. The carefully-crafted equipment manufacturer presentations offer members updates of well-known gas products and appliances and introductions to new or specialty applications of emerging gas equipment and systems.

During our TMAFs, the ESC Partnership Awards program recognized CenterPoint Energy, Columbia Gas, and Washington Gas for their innovative projects, ranging from natural gas vehicles, to energy efficient gas appliances in homes, to waste heat recovery in industrial applications. Eight different projects involving energy utilities, equipment manufacturers, and customers resulted in the installation and implementation of new gas solutions at residential, commercial, and industrial customer locations.

Exhibit tables at the TMAFs, staffed by equipment manufacturers, play an important role in building relationships with utility professionals interested in the cost, performance, and efficiency of various natural gas equipment and systems. Our June TMAF featured a business card exchange to allow equipment manufacturers, national account customers, and energy utilities to network in an informal atmosphere, identifying opportunities to work together.

ESC produced a record number of webinars for utilities and their customers in 2012 as a means to train utility staff and educate customers about the array of natural gas solutions for the home and workplace. ESC staff helps our member utilities to target the proper customer segment, develop an appropriate workshop or webinar agenda, gather key speakers, and undertake necessary logistical arrangements. Planning a customer workshop or webinar with ESC requires little work on behalf of the host utility and yet results in a rewarding customer experience.

We are also pleased that ESC has partnered with the American Gas Association for the second year in a row to conduct monthly webinars for our joint membership on successful natural gas equipment strategies for end use customers. This well-received webinar series demonstrates the value of partnership by two leaders in the natural gas industry. ESC and AGA continue to work together on a variety of projects including the International Builders Show, residential market research, combined heat and power, and industry growth strategies.

All the members of the Energy Solutions Center have a great deal to be proud of in establishing an organization that is responsive and dedicated to the needs of our industry. We are grateful for the opportunity you have given us to lead your organization and look forward to working with all of you in 2013!

David Weiss Gillian Wright Darrell WilsonESC Executive Director Chair Vice Chair

ESC Board of Directors ESC Board of Directors



National Accounts

Through its National Accounts Consortium, ESC expanded its relationships with those energy users associated with chain or franchise operations. These “National Account” customers make up an increasingly larger portion of the retail sector. On one project, ESC is working with a well-known, high-end family restaurant chain to replace existing electric patio heaters with energy efficient, natural gas outdoor heaters. ESC is working with several foodservice companies to promote low volume oil fryers, and with several chains to test natural gas heat pumps. The consortium is educating chains and franchises about natural gas abundancy, affordability, and efficiency, through our Front Burner communiqué sent to hundreds of restaurants, hotels, health care facilities, and retail stores.

Blue Flame Award

ESC’s Gas Foodservice Equipment Network Consortium actively promotes energy efficient natural gas solutions to improve productivity, efficiency, and profitability of restaurants and institutional food service operations. Every year the consortium selects the foodservice equipment manufacturer with the most promising gas solution to receive ESC’s Blue Flame Award. This year the award was presented to American Cook Systems (ACS) for its Straight Steam SG-6 steamer. This Energy Star rated, 6-pan, boilerless gas steam cooker boasts the highest production rate of any boilerless steamer available today. It features all stainless steel construction, a fast and efficient modulating burner, standard water and drain connections, and sturdy, reliable analog controls.

ESC 2012 Highlights


CHP Toolbox

Though Combined Heat and Power systems have provided economical power and heat for many years, the favorable supply and pricing of natural gas have customers examining once again the advantages of operating natural gas equipment and capturing the waste heat for additional heating or hot water. ESC’s CHP Toolbox provides the gas utility industry and customers with the tools and resources to help customers identify the specific benefits and cost savings associated with CHP systems. The online CHP Toolbox includes marketing collateral, case studies of engines, turbines, microturbines, and fuel cells at a variety of commercial and industrial settings, along with helpful guidelines to make system selection much easier.

Outdoor Room Website and Design Tool

Abundant supplies of natural gas and the recovering housing sector offer new opportunities for energy providers and equipment manufacturers to improve the aesthetics and functionality of America’s backyards. ESC’s new Outdoor Room website offers many creative ideas to increase the enjoyment and lengthen the season for time outdoors while enhancing property value. The website emphasizes the benefits of natural gas fire pits, barbeques, and patio heaters. Our new website is an important tool for both utility and equipment manufacturer professionals in helping guide customers to a more enjoyable lifestyle.

Customer Care Workshop

An ESC Customer Care Workshop was conducted by our Gas Foodservice Equipment Consortium July 26 and 27th in San Diego. The workshop introduced utility reps to new energy efficient foodservice equipment and provided hands-on demonstrations of various pieces of cooking equipment at a newly established commercial kitchen facility operated by San Diego Gas & Electric. Such workshops and resources provide gas utility professionals with a competitive advantage as they work with food service customers –restaurants, hotels, schools, and institutions. These customers are looking for better approaches and strategies to produce high quality food while improving productivity, efficiency, and customer satisfaction.


The global marketplace requires North American manufacturing plants to be ever-vigilant in reducing costs and increasing productivity. ESC’s new Industrial Process Heating Calculators are bringing “second generation” energy efficiency savings to plants manufacturing cars, appliances, and industrial equipment. These process heating calculators demonstrate the commitment of the gas industry to help customers achieve conservation and efficiency goals well beyond the “low-hanging fruit” of the past couple of years.

Industrial Process Heating Tools

Air Compressor Workgroup Cherif Youssef, Southern California Gas

Boiler Burner ConsortiumSteven Ly, Southern California GasAqeel Zaidi, Enbridge Gas

Commercial Buildings ConsortiumJoe Gordon, Southern Natural GasBud Walters, Southwest Gas

Construction Heater / Thermal Remediation WorkgroupChris Cole, DTE EnergyDiane Murray, Union Gas

Cooling Equipment and Markets ConsortiumBarry Wentzel, UGITom Young, IntelliChoice Energy

Distributed Generation ConsortiumRob Eck, National FuelBob Fegan, DTE Energy

Gas Foodservice Equipment ConsortiumAna Hargrove, CenterPoint EnergySteve Reyna, Southwest Gas

Industrial Energy Efficiency ConsortiumSteven Ly, Southern California GasTodd Marentette, Union Gas

National Accounts Consortium

Greg Anderson, Atmos EnergySusan Davis, Questar GasMike Favela, Southwest GasMelisa Marks, Southern California Gas

NGV WorkgroupMike DeArmond, Atmos EnergyGreg Woloszczuk, DTE Energy

Oil Conversion ConsortiumBob Gallo, New Jersey Natural GasJason Van Hoffman, UIL Holdings

Renewable Energy Workgroup Cherif Youssef, Southern California Gas

Residential and Commercial Energy Efficiency ConsortiumBill Holmes, South Jersey GasWinston Humphrey, Florida Public Utilities

Residential ConsortiumDiane Murray, Union GasBridget Wallace, Atmos EnergyDarrell Wilson, Chesapeake Utilities


Energy Solutions Center Wishes to Recognize and Thank Our

Consortia and Workgroup Product Champions

Sanjiv DhanjalFCT Combustion

Why Participate in ESC?

“For the past 10 years our company has always created our own advertising and marketing campaigns. Finding out about ESC and all the marketing tools they offer really intrigued us to learn more about the organization. Instead of

trying to reinvent the wheel, we now have access to many brochures, videos and stock photos. Our company was lacking the resources to provide enough tools (e.g. ESC’s piping calculator) to share with builders and architects to show why

natural gas is a better fuel choice. Joining ESC has improved our Marketing Department by providing consistent messages with all the utilities about the

benefits of natural gas.“

Karri BuglowiczMetropolitan Utilities District

“FCT burners are sold globally for a wide range of applications and fuel types, but we have special expertise and experience in natural gas burner solutions. Our Gyro-Therm burner, for example, allows customers to switch to natural gas while mitigating any effects on heat transfer and flue gas flows. The growing abundance and long term affordability of natural gas in North America will open up new opportunities for us. We believe that that affiliate membership of the Energy Solutions Center is a highly effective way to enhance our brand awareness and increase our market position in the current energy and business paradigm.

As a brand new affiliate member of ESC, we are looking to re-engage North American gas utilities and to work with them to make our products better known to customers. We are also looking forward to exhibiting at the ESC conferences, developing innovative marketing partnerships with other ESC members and receiving coverage of our products in ESC’s Gas Technology magazine.”



“When it comes to return on investment in the variety of organizations and associations that are out there, we

find the Energy Solutions Center is hard to beat. It's a very professional organization focusing on the kinds of things my staff and I need to concentrate on every day.

Using ESC tools and resources can save us a great deal of time and money. The ESC Technology and

Market Assessment Forums provide a unique opportunity to learn about the relative success of various customer initiatives attempted in other service territories,

and to identify the potential benefit or pitfalls before we embark on our own such strategy. Of particular value to

our company are the ESC efforts to help utilities leverage costs by developing specialized industrial

software tools and by conducting technical webinars to train staff, targeted customers, and business partners."

Ed ReimerEnbridge Gas Distribution(flanked by Peter Goldman, Carmine Faiella, Susan Clinesmith)

“When seeking answers for our customers, whether it’s a question about a type of natural gas system in a commercial application, or about new approaches to the adoption of natural gas for homes, ESC remains a top resource for us. The staff has a long history with and intimate knowledge of the natural gas industry and our customers' needs, and are an integral part of our own team’s efforts to bring energy efficient natural gas solutions to the variety of customers we serve. ESC effectively leverages our budget and personnel so we can make the most of our resources in addition to the ESC tools and resources, which combine to significantly increase what we can offer to our customers. We’re also finding great value in ESC’s initiative to meet with national and regional home builders to encourage greater use of natural gas options in new homes.”

Claire TaylorPiedmont Natural Gas

Corporate Members

AGL ResourcesAlagascoAtmos EnergyAvistaBlack Hills EnergyCenterPoint EnergyChesapeake UtilitiesCitizens Gas and Coke UtilityCity of Corpus Christi (TX)City of Richmond (Va.)Columbia GasCPS EnergyDominion DTE EnergyEast Tennessee GroupEnbridge Gas DistributionEquitableFlorida Public Gas GroupFlorida Public Utilities Co.Gaz MetroHeritage GasIntermountain GasLaclede Gas Manitoba HydroMDU ResourcesMetropolitan Utilities DistrictMissouri Gas Energy

2012 Center Membership

Affiliate Members

A.O. Smith CorporationAiriusAisin World CorporationAltronic/GTI Bi-FuelAmerican Gas AssociationApogeeArmstrong InternationalBenz Air EngineeringBradford WhiteCapstone TurbineCaterpillar Energy GroupClayton BoilersCleaver BrooksCombustion and Energy SystemsCross County Home ServicesDettson IndustriesEconolerEnercomEnergy ConceptsEnershield IndustriesFCT Combustion

Steve Bryant, President Columbia Gas of Massachusetts and Tracy Bridge, Senior VP & Divisional President, CenterPoint Energy address the ESC membership during our 2012 TMAFs.

Energy Solutions Center Inc. | 400 North Capitol Street NW | Washington, DC 20001 | 202-824-7150

Municipal Gas Authority of GeorgiaNational Fuel Gas Distribution National GridNew Jersey Natural GasNIPSCONW NaturalONEOKPECOPGWPiedmont Natural GasPSNC EnergyPuget Sound EnergyQuestar GasSEMCO ENERGY Gas Co.South Jersey GasSouthern California Gas CompanySouthern Natural GasSouthwest GasTECO Peoples GasThe Gas Company (Hawaii Gas)UGI UtilitiesUIL Holdings CorporationUnion Gas Ltd.Vectren Washington GasXcel EnergyYankee Gas

Firebridge, Inc.Gas Technology InstituteGeneracGreen Building InitiativeGreffen Systems HomeServe USAHurst BoilerInsultechIntelliChoiceJCG Energy ConceptsKraft PowerLime EnergyMarathon Engine SystemsMarathon InternationalMeasurelogicMichaels Engineering/EnergyModine ManufacturingNatural Gas Technologies Center Navien AmericaNovithermOmegaFlex

Osaka Gas Energy AmericaPrecisionTemp, Inc.QuikWater, Inc.Ralph Wagner & AssociatesRed-Ray ManufacturingReflex BluRelms, Inc.RinnaiRoger Carson EnterprisesSchwank Ltd.Solar TurbinesSpirax SarcoSuperior Boiler WorksSuperior Radiant Products LtdTecogenThe Montague CompanyTOPPTrillium CNGUtility ShieldWilliams Furnace

Documents

2012 Annual Report - Energy Solutions Center