MidAmerican Energy Company

MidAmerican Energy Company

EconomicAdvantage®EconomicAdvantage®

MidAmerican Energy CompanyMidAmerican Energy Company

• Approximately 3,570 employees• $8.6 billion in total assets (2009)• $3.7 billion in annual revenues (2009)• 8,185 net megawatts of generating

capacity

MidAmerican Energy’s Service TerritoryMidAmerican Energy’s Service Territory

725,000 Electricity Customers

707,000 Natural Gas Customers

725,000 Electricity Customers

707,000 Natural Gas Customers

MidAmerican Energy’sEconomic DevelopmentMidAmerican Energy’sEconomic Development

• In 2009, MidAmerican Energy completed the final year of an eight-year $3.35 billion investment in new electric generation projects and environmental upgrades to meet the current and future needs of our customers.

Wind-Powered Electric Generation

• MidAmerican Energy is

No. 1 in the nation among regulated utilities in ownership of wind-powered electric generation.

• 1,284.3 megawatts owned and operated by MidAmerican Energy

• 833 turbines

MidAmerican Energy’s InvestmentsMidAmerican Energy’s Investments• 2009 – Received approval from the Iowa Utilities Board to

add 1,001 megawatts of wind by the end of 2012• 2008 Wind Expansion Projects – 623.8 megawatts of

wind-powered electric generation added• 2006 and 2007 Wind Expansion Projects – 300 megawatts

of wind-powered electric generation on-line• 2004 and 2005 Wind Project – 360.5 megawatts of wind-

powered electric generation on-line• Greater Des Moines Energy Center – 540 megawatt

natural gas-fueled combined-cycle electric generation plant – completed in 2004

• Council Bluffs Energy Center Unit 4 – 790 megawatts coal-fueled electric generation plant on-line June 1, 2007

At the end of 2009, MidAmerican Energy’s total generating capacity was 8,185 megawatts.

20%

19%

9% 1%

Coal Natural Gas

Wind NuclearNonrenewable Sources

Stable RatesStable Rates

• MidAmerican Energy’s Iowa electric rates have not increased since 1995.

• The Iowa Utilities Board has approved MidAmerican’s plan to not raise electric rates until 2013.

• There are no plans for any electric rate increases for South Dakota and Illinois customers.

Competitive Rates

MidAmerican Energy has competitive rates.

Electric

$0.0590 kWh

Natural Gas

$1.0952 per therm

MidAmerican Energy’s Industrial Electric RatesAmong the lowest in the region

MidAmerican Energy’s Industrial Electric RatesAmong the lowest in the region

Investor-Owned Utilities - Average Industrial Electric 2007(Regional)

0.00 1.00 2.00 3.00 4.00 5.00 6.00 7.00 8.00 9.00

MidAmerican Energy Co (IL)

MidAmerican Energy Co (IA)

Union Electric Co (MO)

Kansas Gas & Electric Co (KS)

Kansas City Power & Light Co (MO)

Minnesota Power Inc (MN)

Aquila Inc (MO)

Superior Water, Light and Power Co (WI)

Westar Energy Inc (KS)

Interstate Power and Light Co (IA)

Wisconsin Public Service Corp (WI)

Northern States Power Co (WI)

Aquila Inc (KS)

NorthWestern Energy (SD)

Kansas City Power & Light Co (KS)

Central Illinois Pub Serv Co (IL)

Northern States Power Co (MN)

Empire District Electric Co (MO)

Wisconsin Electric Power Co (WI)

Wisconsin Power & Light Co (WI)

Empire District Electric Co (KS)

Interstate Power and Light Co (MN)

Mt Carmel Public Utility Co (IL)

Commonwealth Edison Co (IL)

Central Illinois Light Co (IL)

Source: Energy Information Administration (DOE)

cents/kWh

Customer SatisfactionCustomer Satisfaction

TQS Key Accounts National Benchmark• In 2009, MidAmerican Energy Holdings Company was

the highest ranked parent utility in the nation among key account customers on “Overall Satisfaction with your Electric Utility”.

• Other measures receiving high rankings include:– First in nation on “Overall Satisfaction with Electric Reliability”– First in nation on “Overall Satisfaction with Energy Efficiency”– First in nation on “Overall Satisfaction with Price”– First in nation on “Overall Account Representative”– Second in nation on “Overall Satisfaction with Power Quality”– Fourth in nation on “Overall Response to Customer Contacts”

Customer SatisfactionCustomer SatisfactionMSI (Market Strategies International) Commercial

• MidAmerican is in the top two percent (2%) of all benchmarked utilities (approximately 90) on “Overall Satisfaction with MidAmerican”.

• Virtually all other measures in the study obtained top 10 percent rankings; examples include:– Keeping electric rates as low as possible (#1 in nation)– Keeping natural gas rates as low as possible (#2 in nation)– Having programs to help customers use energy more efficiently

(#1 in nation)– Promptly restoring electric service when outages occur (#1 in nation)– Being a company you can trust (#2 in the nation)– Protecting the environment (#2 in the nation)– Providing reliable service (#5 in the nation)

Customer SatisfactionCustomer SatisfactionJ.D. Power and Associates – Commercial

• In 2009, MidAmerican ranked first in the Midwest Region on “Overall Satisfaction” in the J.D. Power Gas Utility Business study– Moved up from sixth place in 2008

• In 2010, MidAmerican ranked second in the Midwest Midsize Region (and fourth in the nation) in the Electric Utility Business study– Additional high rankings include:

• Power Quality & Reliability – 2nd in Region, 2nd in nation• Corporate Citizenship – 2nd in Region, 5th in nation• Price – 2nd in nation, 2nd in nation

InvestmentsInvestments

• MidAmerican will pay $85.8 million in property taxes in fiscal 2009-2010– the largest tax-paying entity in Iowa.

• The tax payments are based on the investment MidAmerican has made in property necessary to enhance and maintain electric and natural gas service to its customers.

• MidAmerican’s investment ranges from power plants and natural gas distribution lines to transformers and meters.

• The payments benefit 80 of Iowa’s 99 counties.

Environmental RespectENVIRONMENTAL SERVICES MISSION

To ensure MidAmerican Energy's facilities and operations meet or exceed all applicable

environmental laws and regulations, proactively participate in the environmental regulatory

process, support environmental education and research, and maintain a positive environmental

record with our regulators, customers and communities.

Environmental Investment• MidAmerican Energy invested over $400

million from 2004-2010 reducing emissions at our power plants

– Carbon dioxide emission intensity reduced 17%

– Nitrogen oxide emission reduced 42%

– Sulfur dioxide emission reduced 30%

Environmental Industry Issues• Clean Air Interstate Rule (CAIR)

– Affects nitrogen oxide in 2009 and sulfur dioxide in 2010

• Clean Air Mercury Rule (CAMR)– Rule status unknown at this time

• Climate Change Legislation– Carbon tax or Cap and Trade Bill– Likely rule implementation date of 2013

• Outcome of these rules may significantly impact rates

Community InvolvementCommunity InvolvementCommunity Contact Program

• More than 250 communities have a community contact volunteer.

• More than 175 community contact volunteers.• More than 10 programs available to communities.

Economic Advantage2009

Economic Advantage2009

• Invested more than $615,000 in development support.

• Invested more than $119,000 through the Local Partners Program.– 43Local Development Groups– 63 Projects

Economic Advantage2009

Economic Advantage2009

• Staff touched 85 business development projects.– 5 new business and expansion projects– 172new jobs– $39 million capital investment

EconomicAdvantageEconomicAdvantage2010 Local Partners Program

Product EnhancementStrategic Planning and ImplementationWorkforce DevelopmentProfessional DevelopmentSpecial Projects

Economic Advantage2009

Economic Advantage2009

External Marketing

Advertising

AWEA 2010

Advanced Manufacturing Conference

SMART Conference

Trade Shows – partnering through Local Partners Program

Regional Marketing Initiatives

Economic AdvantageEconomic Advantage• LocationOne Information System (LOIS)

• Synchronist™ - Coordinated statewide program

• Synchronist™ - Commercial, Retail, Tourism, and Service (CRTS) software

• Web site

• Energy Efficiency and Environmental programs

Economic AdvantageEconomic AdvantageWhat MidAmerican needs from you to continue tostrengthen and enhance the partnership:

• Current board member list• Current budget• Program of Work• Annual Report• Updated Marketing Plan• Customers• What do you use in your business package for MidAmerican?