Global Roundtable On Climate Change
Steve Fludder
February 27, 2009
The Challenge
Global Energy Related Our Generation’s Moonshot
60 Emissions (Gt CO2/ yr)
50
CO2 emissions 80%
40
30
2005 Decoupling needed
20
10
Technology is key
0
1990 2000 2010 2020 2030 2040 2050
IEA Reference Scenario
80% reduction path 2 / / February 2009
Business Strategy
Driving Innovation and Growth of
Profitable Environmental Solutions
3 / / February 2009
1. Grow revenues to $25B
by 2010
2. Double R&D to $1.5B
3. Reduce GHG 1% absolute
by 2012
4. Reduce water 20% absolute
5. Inform & Engage public…
Transparency
ongoing
4 / / February 2009
A sustainable business strategy
INVEST Profit GROW
$1.5B in R&D Technology Revenue to $25B
GEnx jet PV solar Use 20% more fuel Iberinco –
engine panels efficient 10MW carbon-
free electricity
Caceres, Spain
Save REDUCE
GHG/H2O Impact
lower emissions solar at GE HQ
from jet test rig
5 / / February 2009
Reducing our own footprint
'04 GHG Emissions (MM MT / yr)
'07
• > $100 MM savings
• 5,000+ projects
6.5 6.75 7 7.25 7.5 7.75
'04 GHG Intensity (MT / $MM Rev)
'07
Lighting @ 46 plants
20 30 40 50 60 70
'04 Energy Intensity (MM Btu / $MM Rev)
'07
250 300 350 400 450 500 550
'06 Fresh Water Use (Billion Gallons) $6.5MM, 59k tons CO2
'07
7.5 8 8.5 9 9.5 10
’12 Commitment
6 / / February 2009
Innovative technologies…now
Revenues ($B) 25 Carbon
20% CAGR
17
14
12
10
Energy Efficiency
…
'05 '06 '07 '08 ’10
goal
·80 certified products
Water
·company-wide
solutions
7 / / February 2009
Innovative technologies…tomorrow
Wind $1.5B by 2010 Hybrid evo
doubling our
2005 investment
Solar OLEDs
Advanced
Desalination
Carbon Capture GEnx
Zero Liquid
Discharge
Energy Storage Turbine Efficiency
8 / / February 2009
Carbon Mitigation
60 Global Emissions Carbon Capture
(Gt CO2/ yr) 14% & Sequestration1
50 12% Nuclear1
Renewables
40 27% & Biofuels1
today d
30
Energy
47% Efficiency1
20
10 IEA Reference Scenario
80% reduction path
0
1990 2000 2010 2020 2030 2040 2050
1. Source: International Energy Agency – World Energy Outlook 2008 9 / / February 2009
Carbon Mitigation at GE
CCS-New Gen IGCC & Precombustion Capture
CCS-Retrofit Silicone Based Solvents
Nuclear ABWR / ESBWR
Wind 1.5 & 2.5 MW
Solar PV / Thin Film
Biofuels Co-fired Gasification
10 / / February 2009
Energy Efficiency Entitlement
Sector Global Efficiency Opportunity (-Q BTU / yr, 2020)*
Industrial -53.0
Residential -34.5
Commercial -13.8
Total Entitlement:
~130% of US Energy Use**
Transport -13.0
Supply: Power -21.0
*At >10% IRR, McKinsey
** ’06 Usage: 10011Q/ / BTU,
February 2009
EIA
Energy Efficiency at GE
Sector Products* Growth with early-stage companies
Industrial 8 Advanced Processes
Residential 6 Smart Homes
Commercial 8 Lighting Systems
Transport 16 Energy Storage
Supply: Power 10 Smart Grid
Supply: Fuels 3 Advanced Coatings
12 / / February 2009
*Certified Ecomagination solutions as of 12/08
GE Energy Financial Services – VC / Growth Portfolio*
Energy Efficiency
& Smart Grid
Renewables
Energy Storage
Oil & Gas
Transportation
*Excludes 1 undisclosed Proof of Pilot Early Growth
investment Concept Stage Sales Stage
Development Stage
13 / / February 2009
Engaging with Stakeholders
Academi
Policy a Governmen
t
Technolog NGOs
y
Financ Public
e Opinion
Employee
s
14 / / February 2009
ecomagination summary
Solving our Generation’s Toughest Challenge
Driving Innovation and
Customer and Shareholder Value
Challenge calls for Multiple Technologies
Organic and Inorganic Innovation
Engaging Broad Constituencies
15 / / February 2009
Carbon Offsets by…
Greenhouse Gas Services, LLC, a GE AES venture
General Electric • GHGS invests in and develops projects that
GE Energy Financial Services: Over $20 reduce greenhouse gas emissions and supplies
clients real, independently verified credits to
billion in energy investments and renewable
offset emissions
energy projects
GE ecomagination: GE's commitment to
provide products and services that generate
significant environmental and economic
performance advantages to GE’s customers
AES Corporation • Offers unrivalled credibility, quality, and scale
20% of global portfolio in renewables • Leverages leading carbon market expertise
• Represents highest standard of scientific and
AES Climate Solutions: 300 people in 26 environmental integrity
countries and 700 offset projects • Provides diversified top-quality portfolio
• Covers full spectrum of project development and
First carbon sequestration project in the late
carbon asset management services
1980s
16 / / February 2009
17 / / February 2009
