GE’s Energy Ecosystem Portfolio Energy Ecosystem 08 Electrical Consumption 12 Transmission & Distribution 18 Electricity Generation 32 Refining & Processing (Downstream) 36 Fuel Delivery & Storage (Midstream) 42 Exploration & Production (Upstream) “I find out what Transformations the world needs. 56 Demand Side Efficiency 60 Demand Side Management Then I go ahead 64 Electrification of Things 68 Distributed Generation and try to invent it.” 72 Decarbonization 76 Universal Access 80 Age of Gas Thomas Edison 84 Water-Energy Nexus 88 Digitization of Energy Inventor, businessman and founder of the General Electric Company GE Store 96 GE Beliefs 98 Global Research 102 Financial Solutions 104 Digital Technologies 108 Global Presence 111 Leading Energy into the Future 118 GE's Commitment to Leading GE is a digital industrial company that offers exceptional customer outcomes across the entire energy ecosystem. This puts GE in a unique position to understand the complex interrelationships across the Energy ecosystem, and the implications to our customers of transformations occurring within the ecosystem. The electricity industry is undergoing transformation. Complex interrelationships across the entire energy ecosystem pose challenges to power leaders everywhere. The new age of digital is now providing the means for driving efficiencies, uncovering business opportunities and better serving consumers. GE is uniquely positioned to help our customers navigate and thrive in changing global markets.

Digital Thread

Electrical Transmission Electricity Refining & Fuel Delivery Exploration & Consumption & Distribution Generation Processing & Storage Production The efficient use of electricity Getting electricity from the Conversion of fuels to (Downstream) (Midstream) (Upstream) at its end point by a device generator terminals to its point of kilowatt-hours at the producing a useful output use at the required conditions generator terminals Conversion of hydrocarbons Delivery of a fuel of the The extraction of natural to useful products desired composition and resources for use in required conditions energy production

GE Current and GE Energy GE Power GE Renewable GE Oil & Gas Lighting Connections Energy 4 5 Energy $5T 6% ANNUAL SPEND IN THE OF THE Access to affordable, reliable energy In the second chapter we’ll address nine major transformations that are occurring across the energy ENERGY ECOSYSTEM WORLD'S GDP is critical to sustaining and growing ecosystem. The majority of these transformations are economies and is fundamental to at or near the point of consumption and have rippling quality of life in the modern world. effects upstream. For that reason, we have ordered Transformation Description the flow of this document to start at the point of Demand Side The shift towards decreasing consumer energy consumption driven by Energy powers our factories, provides light to study, electrical consumption and work upstream. 01 Efficiency improved efficiencies of devices and behavioral changes to reduce demand enables access to clean water, heats our homes, transports products and people, refrigerates foods Changes within one segment of the ecosystem Demand Side The shifting of electricity consumption from periods of peak demand, and medicines, and connects us to information in can have dramatic effects upstream and 02 Management often to align with periods of excess supply from renewable resources a digital world. Each year, $5 trillion is spent across downstream. As rooftop solar installations Electrification The shift from fuel-based consumption at the point-of-use towards electrical the entire energy ecosystem globally, from capturing grow, electricity generation occurs closer to the of Things consumption at the point-of-use (e.g., electric vehicles, rail, prime movers) natural resources through their final consumption point of consumption. This reduces the amount of 03 transmission and distribution lines needed to connect by end users. Distributed The shift from central power generation towards generation closer to central plants to end users. The use of a renewable 04 Generation the point of consumption (e.g., rooftop solar, industrial self-generation) Multiple technologies, fuels and industries work energy source reduces the need for central fossil in concert across the energy ecosystem to provide generation, which in turn reduces the amount of fuel Decarbonization The shift towards a reduction in CO2 from power generation through energy in the form and quantity required, with desired that must be transported, refined, and extracted. 05 increased use of lower or non-CO -emitting generation technologies 2 reliability, at the lowest possible cost. The ecosystem Consumers may also start to change their behavior to Universal The shift towards providing greater access to reliable, affordable, can be segmented into exploration and production, align periods of peak consumption with times when Access sustainable electricity for the global population fuel delivery and storage, refining and processing, the sun is shining or the wind is blowing to reduce 06 electricity generation, transmission and distribution, their cost of energy. Age of Gas The shift towards increasing access to and utilization of natural gas driven and electrical consumption. In the first chapter of 07 by increased supply and ability to transport globally at more affordable prices this portfolio we will explore each of these segments, In the third chapter we’ll highlight how GE uses share the breadth of GE’s offerings across each, the full breadth of the corporation to offer its Water-Energy The shift towards decreasing consumption of water for power generation, and highlight a few offerings to illustrate GE’s customers industry-leading technology, talent, 08 Nexus and consumption of power for the extraction, purification, delivery, heating/ capabilities and leadership. financing, digital expertise, and global capabilities cooling, treatment, and disposal of water and wastewater and connections through the GE store. This chapter Digitization The shift towards increasing use of sensors, data, software and analytics The energy ecosystem is undergoing will share insights to the future of energy and how GE 09 of Energy across the energy value chain to increase efficiencies, improve business unprecedented changes driven by advancements is positioned to be your preferred partner for growth. outcomes, and reduce downtime and maintenance in technology, growing concern for the environment, GE’s breadth and continued investment across the changing consumer behavior, new policies, changes in entire energy ecosystem stands out in the industry. fuel availability and pricing, and resource constraints. GE is committed to lead as a digital industrial company and help customers react, adapt and grow as these energy transformations continue.

6 7 GE’S OFFERINGS GE is a digital industrial company where world-class Hardware Software Services hardware technology lighting applications baseline energy auditing meets unprecedented controls Predix platform electric vehicle cyber security installation/ software technology. commissioning charging stations Asset Performance We combined uninterruptible Management (APM) monitoring and analytics GE’s 120+ years power solutions Operations drives Optimization (OO) of experience electrical distribution Business developing cutting Optimization (BO) edge electrical devices with 21st century digital technology, powered by Predix,* to deliver efficient systems to curb your energy Annual savings US cities will realize by 2019 by installing consumption and $17B smart street lights and devices greenhouse gas Electrical footprint.

*Trademark of General Consumption Electric Company.

8 9 ELECTRICAL CONSUMPTION FEATURED SOLUTION ELECTRICAL CONSUMPTION FEATURED DIGITAL SOLUTION Energy Consumption Energy Management & Optimization Solution From illuminating your Our cloud-based enterprise solution delivers a single source of truth across commerical or industrial assets, systems and fleets for energy environment with bright and asset management. We offer a energizing LED light, to secure, open and customizable approach, avoiding vendor lock-in and preserving charging your electric the customers’ energy and asset data vehicle fleet, GE has created ownership. Our digital platform allows the products that help power purchase of energy at the best price, and the efficient management of energy-using your life. assets, which allows intelligence on asset performance. This insight can help prioritize repair and replacement decisions and Lumination* Indoor LED Fixtures assure utility bills are error free. The GE Lumination product line brings energy efficiency, long life and ease of installation together in a group of products that can enhance retail, office and Commercial DuraStation* Measurement Controls and Billing and Rating External Inputs hospitality spaces with the benefits of Electric Vehicle Charging Stations and Verification Optimization LED technology. Fixtures are available GE DuraStation is our most versatile Bill Verification Weather for many applications including new line of electric vehicle chargers. It offers Connectivity Controls Cost and Savings Meter Data construction, renovation and retrofits. a broad array of mounting options, user Enterprise/Asset Schedule Management Analysis Tariffs access control and payment methods Inventory Rule and Digitized Costs and As a leader in innovation GE has with the optional WattStation* Connect BillsE Baseline Analytics Optimization Engine Consumption developed reveal* TriGain.* This advanced Software which includes an RFID reader. technology enhances colors without and Trends Analysis Predictive Service Complex Charge DuraStation enables electric vehicle sacrificing efficiency. Management charging in a safe and convenient Efficiency Analysis package and is available with a variety of connectivity and mounting options making it ideal for any outdoor installation.

*Trademark of General Electric Company. 10 11 GE’S OFFERINGS Transmission & With solutions that modernize the electrical grid, GE Transmission Distribution Smart Grid is helping with the high voltage equipment collaborative control analytics software Distribution and services and analytics creation of a more demand response High Voltage Direct protection and control systems efficient, resilient Current (HVDC) distribution automation microgrids and reliable Flexible AC Transmission maintenance and solar inverters Systems (FACTS) power system. modernization energy storage digital substations distributed energy GE equips 90% telecommunications grid protection resource management solutions of power utilities and control MV/LV switchgear power quality monitoring worldwide to bring monitoring and and power distribution diagnostics equipment power reliably and control room software efficiently from the and analytics point of generation to the end power consumers. We are Digital Projects & Services serving customers 50% cyber security power system studies globally with increase in Asset Performance turnkey projects Management (APM) and consulting electricity employees in about Predix platform electrical balance of plant demand 80 countries. transmission and maintenance and asset Helping to meet Improving grid Upgrading and Enabling renewables predicted distribution software management growing energy resiliency and energy digitizing aging and a diversified by 2040 and analytics substation operations demands efficiency infrastructure energy mix geospatial and and maintenance mobile solutions MV/LV power centers

12 13 TRANSMISSION & DISTRIBUTION FEATURED SOLUTION TRANSMISSION & DISTRIBUTION FEATURED SOLUTION HVDC and FACTS Electrical Balance of Plant (EBoP) Improve power quality, stability and maximize grid performance Innovative solutions for efficiently evacuating power onto the grid

GE is globally recognized for Today’s power plants are designing, manufacturing Application becoming increasingly Example: and delivering HVDC and Connecting complex—especially when FACTS solutions for utilities offshore wind connecting disparate with HVDC worldwide. VSC solution generation systems together on the same grid. HVDC Offshore DC GE offers two HVDC technologies: Conversion GE helps utilities solve this challenge with Line Commutated Converters (LCC) and Platform versatile and robust solutions for EBoP— Voltage Source Converters (VSC), for a for applications spanning heavy duty gas broad range of applications and available turbines to distributed mobile power in a variety of configurations including plants on wheels and remote wind farms. overhead line (point-to-point, back-to- back, submarine/land cable, and offshore). GE uses world-class HV substation equipment (such as padmount and FACTS HV Circuit generator step-up power transformers, GE provides solutions that offer grid Converter Breaker Padmount HV circuit breakers, current transformers operators the ability to provide reactive Station DC and gas insulated switchgear), advanced GSU Protection Transformer power support, enhance controllability, to AC protection and control solutions, and Transformer & Control improve stability and increase power engineering and installation services to transfer capability of AC transmission help seamlessly get power from the source systems. Our portfolio includes: of generation out onto the grid. Static Synchronous Compensator (STATCOM) HVDC provides 3x power capacity, Packaged Substation enables up to 50% faster Static Var Compensator (SVC) longer distance capability and lower costs implementation of power evacuation solutions Series Compensation compared to AC systems resulting in accelerated revenues Synchronous Condenser Systems

14 15 TRANSMISSION & DISTRIBUTION FEATURED DIGITAL SOLUTION TRANSMISSION & DISTRIBUTION FEATURED DIGITAL SOLUTION Intelligent Digital Substations Grid Management Systems with Maximizing Substation Utilization and Driving Situational Awareness Analytics and Data Visualization Geospatial Systems and Distribution, Outage and Energy Management

Helping utilities meet Integrated and Streamlined Operation GE’s Advanced Distribution Management increasing demands for grid System enables distribution utilities to reliability and efficiency. keep the lights on and respond to outages using one model of network operations. GE's solutions provide mission These integrated systems can reduce peak critical electrical protection, control, load by 2–3%. monitoring and diagnostics of utility grids maximizing reliability, efficiency, Situational Awareness security and operational excellence. GE’s Energy Management Systems have It also improves personnel safety and advanced alarm and event summaries reduces overall substation footprint. from transmission network assets providing real-time situational awareness From local power networks to and actionable intelligence. wide area interconnected grids, GE's intelligent digital substations Geospatial and Mobile Solutions enhance grid management and A consolidated view of assets, allowing operation using intuitive dashboards Digitizing primary equipment and GE’s outage restoration tools enable 30% utilities to make faster, smarter decisions for situational awareness. to reduce maintenance and repair costs. sensing can reduce substation reduction in storm response costs Integrated mobile apps for dispatch It ensures optimum real-time and switching can reduce verbal performance of the grid by monitoring footprint by up to 50% compared communications between crews and availability, health, and dynamic loading operators as much as 80%. capability of the power network. to conventional technology in use today Intuitive User Experience Pre-defined dashboard and advanced visualization capabilities for faster user recognition of overall system status and next-step options.

16 17 Electricity Hydro Coal Natural Gas Nuclear Generation small hydro total plant solutions total plant solutions ESBWR reactors large hydro including integrated steam gas turbines PRISM reactors pump storage platforms reciprocating engines ABWR reactors GE’S OFFERINGS retrofits and services steam turbines/ steam turbines/ PWR and BWR services generators GE’s electricity generation portfolio includes some of the digital hydro plant generators fuel and engineering boilers most efficient and comprehensive equipment and heat recovery steam steam turbines/ environmental control generators generators service offerings available in the industry today. solutions plant controls plant controls With products ranging in size from reciprocating plant controls digital gas plant total plant solutions engines of less than 1 MW through nuclear digital steam plant decommissioning services plants that deliver more than 1,500 MW, Solar concentrated solar power and service offerings available for solar photovoltaic the entire lifecycle of an asset, GE has a solution for almost any electricity generation need. Wind Other Renewables Services on-shore wind turbines geothermal energy multi-year agreements off-shore wind turbines biomass energy other original equipment Water digital wind farm tidal energy manufacturer (OEM) influent, utility, process services wind services renewable energy storage and wastewater coal and gas plant ~1/3 treatment upgrades mobile water services rehab and relocation of global electricity fuel treatment maintenance and repair is produced by analytical instruments parts and training GE technology operations and maintenance

18 19 ELECTRICITY GENERATION FEATURED SOLUTION ELECTRICITY GENERATION FEATURED SOLUTION HA Combined Cycle Power Plants PRISM Reactor The world’s largest and most efficient combined cycle power plants GE’s HA high efficiency, An advanced sodium-cooled air-cooled gas turbines are fast reactor with base power an industry leader among ratings from 160 MW to H-class offerings, and now the 300 MW, with options 9HA.01 version is at the heart for larger modular power of the world’s most efficient configurations to meet combined-cycle power plant multiple customer needs. in Bouchain, France. PRISM is an innovative GE Store solution for coal plant repowering or replacement while utilizing existing site infrastructure and turbine island assets, and its advanced metal fuel design can enable full recycling GE’s combined cycle total plant cycle ratings from 280 MW Greenville, South Carolina. Every Clean and Green of used nuclear fuel or surplus plutonium. solution includes advanced through 519 MW, customers phase of the testing has been a Generates carbon-free and emission-free electricity gas turbines, steam turbines, can easily select the right success, with all aspects exceeding Securely recycles nuclear fuel waste from existing The PRISM reactor is generators, heat recovery steam capacity to meet their electricity expectations. In addition, the first nuclear plants generators, plant controls, and generation needs. 9HA plant in commercial operation 100x more balance of plant equipment. All was cited by the Guinness Book of Compact, diverse footprint with near-zero of GE’s HA gas turbines are more Full engine validation of GE’s HA World Records for achieving the water usage potential fuel efficient gas turbines is performed in GE’s than 62% efficient in combined highest combined cycle efficiency compared to conventional cycle application, and with simple full-speed, full-load test facility in in the world. Flexible and Innovative Advanced reactor—simplified design, exceptional economics water-cooled reactors and proven with U.S. national lab test reactor experience A flexible solution for repowering superheated coal plants >62% combined cycle efficiency...a world record while utilizing existing plant assets Factory-built modular construction Always available air-cooling keeps the reactor safe without needing people or power 20 21 ELECTRICITY GENERATION FEATURED SOLUTION ELECTRICITY GENERATION FEATURED SOLUTION Cross Fleet Services State-of-the-Art Coal Plants Smarter. Cleaner. Steam Power.

The combined GE/Alstom Evolving regulations, team brings 230 years of changing operating regimes collective experience across to accommodate growing 90+ OEM brands to customize renewable generation capacity, solutions around: and narrow dark spreads demand more creative Planning and installation Technology Digital Environmental Advancements Capabilities Controls solutions than ever before. Long-term operation and maintenance 1.5% points more Delivers up to 1.5% Able to lower emissions efficient and 3% lower more power over by 70% more than the Performance upgrades and optimization emissions compared the life of a plant world’s most stringent At GE we use our unrivaled expertise to today’s best emission standards Asset/plant repowering and repurposing every day to help customers get tailored systems that stand the test of time, while Digital Solutions for asset monitoring continually driving improved efficiency and Boiler Optimization and optimization performance benchmarks. Boiler Optimization, a key component of Operations Optimization, helps coal-fired steam plants improve GE offers customers exceptional flexibility Specific oOEM solutions include: combustion efficiency and manage soot blowing more in coal power plant solutions for plant Comprehensive hardware offering effectively. By managing tradeoffs between the combustion upgrades, repowering or new plants. From for Siemens and MHI gas turbines and heat transfer processes and identifying any process a single component to a full power plant— that improves availability and cost issues that need immediate attention, plant managers see our broad range of products covers a large of maintenance reductions in tube failures and slagging, lower NOX, SOX, and scope of applications and a wide range of carbon emissions, less ammonia consumption, better steam Generator repair and upgrade solutions – fuels including coal, lignite, anthracite and and gas temperatures and improved heat rates. improve availability and reliability petcoke. We put over 100 years of steam power expertise to work, generating Performance Acceptance Testing – Each 1pt improvement in efficiency of the global power that is reliable, efficient, and easy validate oOEM upgrades of steam to integrate and operate. and gas turbines fossil installed base reduces CO2 emissions by ~250M tons per year…the equivalent of removing ~50M US cars from the road

22 23 ELECTRICITY GENERATION FEATURED SOLUTION ELECTRICITY GENERATION FEATURED SOLUTION Hydropower Solutions TM2500: GE’s Mobile Power Plant on Wheels

Hydropower contributes to grid stability due to its scale of production and flexibility. It offers a high level of reliability, high efficiency, low operating costs and large storage capacity.

Pumped Storage Plants GE is a leader in the field of pumped storage technology. With variable speed and GE’s R&D work on asynchronous- Fast and flexible power plant – motor technology, the pumping power can when and where it’s needed also be regulated, allowing more efficient use of excess energy, contributing even GE’s TM2500 fast power solution solves a number of more to grid efficiency and stability. industry challenges, positioning power at—or near—the point of use. Known as the “power plant on wheels,” Digital hydropower plants Services the TM2500 generator set is ideal for providing a Smarter and more connected, our hydro With 30% of the global hydropower fleet Actual results baseload bridge to permanent power installations Gorontalo, plants can store and deliver power to the being more than 40 years old, we service indicate more or for generating backup power in support of natural grid with an unmatched level of flexibility and retrofit existing plants to unleash disaster relief, plant shutdowns, grid instability due to Indonesia and efficiency. One of our latest digital their potential throughout their lifespan. than 30% renewables adoption, or equipment maintenance. Four TM2500 generator sets capable of applications is GE’s intelligent Condition Together with our customers, we make running on diesel or natural gas provide Monitoring System (iCMS) for hydropower hydropower more affordable, more additional 100 MW of power to the island of Gorontalo plants that tracks the health of the plant in reliable and more sustainable. turbine output in less than 6 months; a model for the order to detect failures before they happen. Indonesian government’s plan to achieve is possible due 98% electrification for the island nation. to upgrades

24 25 ELECTRICITY GENERATION FEATURED SOLUTION ELECTRICITY GENERATION FEATURED DIGITAL SOLUTION Wind Turbine Technology GE’s Digital Wind Farm The next evolution of wind energy

GE is redefining the future of wind power, delivering with proven performance, availability and reliability, ultimately helping our customers to be more profitable.

2 MW & 3 MW Onshore Offshore Wind Energy GE Remote Operations Centers Wind Platforms GE’s Haliade* offshore wind GE has remote operations centers A comprehensive family of smart, turbine is the first wind turbine in the US and Germany that modular wind turbine technology especially designed for offshore monitor over 14,000 turbines that is capable of meeting a conditions. GE has the project globally with Predix, around wide variety of wind conditions management experience needed the clock. Real time turbine key and overcoming geographic to help control costs and mitigate performance indicators support A dynamic, connected and adaptable wind GE’s 2 MW modular turbine platform constraints across the globe. risks of large projects, especially remote operating center fault combined with secure Predix software offshore. handling procedures, and the energy ecosystem that pairs world class and diagnostics turbine fault data drives a safe turbines with the digital infrastructure of the Platform includes a suite of software and accurate response. Integrated wind industry. The Digital Wind Farm combines applications to enhance annual energy 50+GW global onshore wind capacity, turbine commands, available at the production and improve wind farm technician’s fingertips—optimize modular turbine platforms with secure Predix in 35+ countries around the world profitability return to service. software and diagnostics. *Trademark of General Electric Company.

26 27 ELECTRICITY GENERATION FEATURED DIGITAL SOLUTION ELECTRICITY GENERATION FEATURED DIGITAL SOLUTION Digital for Power Generation Asset Performance Management

Machine and Asset Health: Providing a unified  view of the asset, anytime, anywhere, to understand performance at many levels and initiate immediate action.

Reliability Management: Predicting and accurately diagnosing issues—and responding before they negatively impact assets.

Maintenance Optimization: Balancing reliability, availability, performance and costs against risk to Unexpected plant disruptions maximize asset value. can cost 3–8% of capacity, or Real Customer Results† $10B annual lost 7500+ production cost† ASSETS MONITORED “Now that SRP has realized the incredible performance of the software and how strong and $3M+ robust it is, we’d like to expand it across our enterprise assets.” FINANCIAL BENEFIT IN ONE YEAR M ay Millies FOSSIL WIND NUCLEAR HYDRO SOLAR Improve flexibility to Maximize output Improve plant Drive reliability to Balance availability Manager, Power Generation ramp quickly, drive from every turbine reliability and boost performance and asset $7.8M Services, Salt River Project fuel efficiencies and across the fleet outage efficiency toward no unplanned maintenance for PER YEAR INSURANCE SAVINGS lower emissions downtime best productivity †Representative customer outcomes are not guarantees of results

28 29 ELECTRICITY GENERATION FEATURED DIGITAL SOLUTION ELECTRICITY GENERATION FEATURED DIGITAL SOLUTION

Operations Optimization Typical Coal Steam Plant† Increase Output Performance: Focus on improvng overall 2–3% MW output improvement output and heat rate across the plan 3% improved fuel efficiency Increase Raise Eciency Flexibility: Focus on improving start time, Availability start fuel ramp rate and minimum load 10–17% NOx reduction Availability: Focus on improving equivalent forced outage rate, equivalent †Representative customer outcomes are not guarantees of results availability factor and commercial Improve Balance availability Reliability Wear & Tear Capacity: Focus on improving output and heat rate forecast vs. ambient conditions

Emissions: Focus on managing emission rates for NO , SO and CO Reduce Enhance X X 2 Maintenance Flexibility Costs Align business strategy to operating models with fact-based Key Performance Indicators (KPIs)

2016 Power Magazine Top Plant Award PSEG’s Linden Generating Station Italian energy firm A2A partnered Winners with becomes a two-time Top Plant winner with GE to return one plant to for its embrace of advanced digital profitability with a combination GE's Solutions monitoring and analytics to stay of hardware improvements and competitive in the power market. cloud-based analytics.

30 31 GE’S OFFERINGS GE is committed to Refining & providing innovative Water solutions across the Refining & Processing On-site Power influent, process, downstream industry reciprocating compressors steam turbines Processing utility, and wastewater to help customers centrifugal compressors gas turbines treatment (Downstream) increase operational axial compressors generators corrosion and fouling efficiency, improve hot gas expanders fuel gas booster control chemicals throughput and turboexpanders compressors crude quality and desalting reduce downtime. high speed separable fuel gas booster compressors natural gas solutions finished fuel Our customers performance additives natural gas solutions control valves benefit from highly mobile water services pumps safety relief valves qualified technical expert services for valves fuel gas systems reliability and profitability expertise, and fully fuel gas systems integrated solutions safety relief valves that include refinery, regulators Over petrochemical and fertilizer Services plant equipment, 35K aftermarket services pieces of rotating parts, supporting parts equipment and 2.5M technologies and repairs value-added services, field service engineers valves in operation carefully tailored to upgrades across the refinery their specific needs. multi-year service and petrochemicals agreements sectors globally

32 33 REFINING FEATURED SOLUTION REFINING FEATURED SOLUTION Centrifugal & Reciprocating Compressors Life Cycle Services: Rotating Equipment Service and Support Our high-pressure compressors are the GE provides a complete set of services most powerful machines for applications to support the entire range of rotating over 30,000 HP and have delivery equipment offerings. We offer an extensive pressures as high as 10,000 psi (700 bar). portfolio of proactive and interactive GE’s API618 reciprocating compressors service products such as condition-based are renowned for low pulsation and maintenance, Conversions, Modifications vibration—which translates directly to and Upgrades (CM&Us) and Contractual exceptional efficiency, smooth operation, Service Agreements (CSAs) complementing low maintenance and low power the traditional service offerings of OEM consumption. They are used across a wide spare parts, repairs, and field services. range of refinery, petrochemical and natural gas applications—including low density Our innovations go beyond mechanical polyethylene, hydrocracking, ammonia, engineering. We have developed refrigeration, re-injection and gas lift. business solutions such as remote monitoring and diagnostics to help We continually invest to improve drive customer value by providing compression technologies through higher equipment reliability, availability, extensive research and development, and productivity at a predictable cost. advanced design capabilities, modern Other advanced information-based manufacturing techniques and extensive developments include electronic parts operating data from installations in every catalogs, and ecommerce solutions. corner of the industry. We also provide More than 80 years of industry-leading GE’s Predictivity* is a complete package of expert on-site technical support for Global services engineers are backed up by installation, commissioning, overhaul, industrial internet solutions that gives you our new product design engineering groups performance with over 4,500 compressors and by the GE Global Research Center— repair and maintenance activities—with data-driven insights on everything from individual teams of highly skilled and experienced active in the downstream sector hundreds of creative minds working to Field Service Engineers close to our pieces of equipment to your overall operating provide contemporary high-tech products customers in every region. and business solutions for the 21st century. efficiency and performance—all to enable *Trademark of General Electric Company. better life cycle management

34 35 GE’S OFFERINGS Fuel Delivery GE works with operators to keep the oil and gas flow Pipeline & Storage LNG Services & Storage uninterrupted from reciprocating compressors gas turbines on-site commissioning reciprocating gas engines centrifugal compressors other OEM production plants gas turbines pumps repairs to distribution (Midstream) centrifugal compressors valves maintenance points. Our solutions pumps turboexpanders multi-year agreements drive efficiency pipeline integrity modular LNG solutions resident engineers and profitability management modular Compressed training Intelligent Pipeline Natural Gas (CNG) for pipelines, LNG field testing and Solutions* solutions inspection liquefaction, gas actuators cyber security storage terminals and control valves distribution systems regulators worldwide. We help safety and relief valves *Trademark of General Electric Water customers promote Company. asset integrity 2M environmental and chemical programs kilometers of public safety, while flow assurance pipeline supported optimizing their monitoring solutions and digital oilfield by GE’s pumping asset’s long term and compression reliable performance. solutions

36 37 FUEL DELIVERY & STORAGE FEATURED SOLUTION FUEL DELIVERY & STORAGE FEATURED SOLUTION LM6000PF+ NovaLT*16 Reliable innovation for the entire LNG value chain Ideal solutions for pipeline stations used for gas transport worldwide

With over 25 years of proven The NovaLT16 is a two- experience in the LNG field, shaft gas turbine specifically GE continues developing designed for mechanical innovative solutions, covering drive and power generation both compressor and turbine in oil and gas and industrial technology, which help applications. customers achieve their objectives at many of the largest processing facilities in the world. The LM6000-PF+ aeroderivative gas turbine, optimized for LNG, with DLE GE aeroderivative gas turbines are delivering With a power turbine speed of 7,800 rpm, it is ideally Adding to the benefit of long intervals without combustion technology can offer the suited for pipeline compression—with direct coupling maintenance, the NovaLT16 also enables extremely best cost per kilowatt in its power class. >99% reliability and >98% availability to the latest generation of PCL pipeline compressors short duration of maintenance intervals. In fact, a It delivers excellent reliability and fuel featuring high performance stages and 89% or cold-condition engine can be swapped in just 24 flexibility in both power generation and higher compressor efficiency. It is full of exceptional hours due to the optimized modular maintenance mechanical-drive applications, whether advantages for any operation—including up to 99% philosophy. Beyond the mechanics of the turbine installed onshore or offshore. availability. It is designed for a 35,000-hour mean itself, the complete package is designed with the In simple cycle configuration under ISO time between maintenance, which translates into ultimate performance and support features as conditions, the turbine has a flange-to- four years of non-stop running for the gas generator standard—fully equipped with integrated monitoring flange thermal efficiency of 42.7%—or module and eight years for the power turbine module. and diagnostics sensors and remote tuning capability. 56% in combined cycle. The standard unit is 54 MW, and our optional GE Setting a new standard for 16 MW class turbines SPRINT* technology allows an increase of up to 6 MW. in mechanical drive and power generation applications

*Trademark of General Electric Company. *Trademark of General Electric Company.

38 39 FUEL DELIVERY & STORAGE FEATURED DIGITAL SOLUTION FUEL DELIVERY & STORAGE FEATURED DIGITAL SOLUTION Edge Devices: Connecting Assets Sensors for a Wide Variety Within Process Control Networks of Industry Needs

System 1* Condition Monitoring GE’s wide variety of vibration, & 3500 Machinery Monitoring position, speed, pressure and The connection between GE’s System 1 power sensors or transmitters— condition monitoring software and plus rugged probes of various the 3500 condition monitoring system tip diameters and thread sizes/ provides machinery protection and enables plant personnel to quickly identify configurations—are designed important events, evaluate the situation, to perform even in the harshest and respond—leading to increased industrial environments. equipment availability, reliability, and reduced maintenance costs. Sensors available include: Real-time optimization of equipment and selected processes, condition Pressure transducers monitoring, and event diagnostics Acoustic sensors High resolution trend, alarm, Acceleration and velocity sensors and startup/shutdown data Optical sensors Short-term “black box” flight Proximity probes recorder for trend data Vibration and thrust sensors Anti-friction and hydrodynamic bearing diagnostics 50+ years of condition Condition monitoring instrumentation Ultraviolet flame sensors Diagnostic reporting monitoring experience for machinery intensive Depth/level sensors *Trademark of General Electric Company. industries

40 41 GE’S OFFERINGS Tapping into a broad portfolio of technology from Exploration & On-site Power Services Production across the GE reciprocating engines on-site commissioning drilling blow out gas turbines repair enterprise, we offer preventers steam turbines maintenance advanced exploration subsea production systems generators multi-year agreements and production subsea power and substation resident engineers technology that processing electrical distribution training delivers in the flexible pipe motors field testing and most extreme surface pressure control inspection cyber security environments. From frac tree systems Reliability Max off-the-shelf products cased hole wireline Services subsea life of field to fully customized wireline tools solutions solutions, GE’s drilling measurement Water domain expertise systems injection, utility, downhole sensors and produced water and ability to deliver treatment artificial lift systems truly comprehensive production chemicals oilfield automation and and services solutions continue to optimization – Field Exploration Vantage* sulfate removal and help provide the right enhanced oil recovery *Trademark of General Electric product or service for Company. service contracts and & Production the right application. remote monitoring temporary or long-term (Upstream) mobile water services

42 43 EXPLORATION & PRODUCTION FEATURED SOLUTION EXPLORATION & PRODUCTION FEATURED SOLUTION Subsea Production Systems Artificial Lift Systems Taking on the world’s most challenging deepwater conditions The world’s most reliable artificial lift equipment solutions and services; GE simplifies how you select, install, produce and maintain your wells

GE’s subsea production systems cover all At GE we put our best minds to applications from single-well satellites in shallow water, to large and complex work for customers’ artificial multi-well deepwater developments— lift operations, helping to from low-pressure reservoirs with artificial maximize production. stimulation or lift, to high-pressure high- temperature (HPHT) applications. We offer Electric Submersible Pumps (ESP), Rod Lift Systems (RLS), Progressing Our first subsea tree was installed in Cavity Pumps (PCP), and Gas Lift solutions. 1963 and we now have close to 1,400 tree Our approach is holistic, offering expertise systems operating across every major across all forms of artificial lift, regardless production basin in the world. GE also has of location or lifecycle. From field the largest installed base of large-bore technicians to production optimization gas projects in the industry, all anchored consultants, our global team is available to by the Diverless (deep water) Horizontal simplify how customers select, install, and Cluster Manifold. maintain their equipment. With the introduction of the Deepwater Vertical Xmas Tree (DVXT), GE’s trees portfolio provides the industry with a tree for any depth and any challenge. The industry’s most reliable solutions A crank balanced beam pump unit (BPU)— Designed for water depths up to 3,000 m, with uptime on the critical control system and for HPHT environments, the DVXT’s in 1922, GE’s Lufkin BPU unit was the structured, modular approach shortens exceeding 99.9%, including zero the delivery cycle, while increasing overall world’s first crank balanced BPU quality and engineering focus on the most failures on SemStar5* control system important and unique project challenges. since its first installation in 2011.

*Trademark of General Electric Company.

44 45 OIL & GAS FEATURED DIGITAL SOLUTION OIL & GAS FEATURED DIGITAL SOLUTION

Digital for oil and gas Security

Asset Performance Production GE is fueling Management Optimization the future. We are leading a digital revolution, harnessing the power of data and analytics to help customers optimize their operations from reservoir to refinery. Together, we are reinventing the oil and gas industry to boost production, reduce risks and better serve the world’s growing energy needs.

46 47 OIL & GAS FEATURED DIGITAL SOLUTION OIL & GAS FEATURED DIGITAL SOLUTION Asset Performance Management (APM)

For asset intensive companies, such as Machine and Asset Health Providing a unified view of the asset, Oil & Gas entities, APM solutions for anytime, anywhere, to understand Upstream, Midstream and Downstream performance at many levels and initiate connect disparate data sources and use immediate action. advanced analytics to turn that data Reliability and Integrity Management Predicting and accurately diagnosing into actionable insights while fostering issues—and responding before they collaboration and knowledge management negatively impact assets. across an organization—minimizing the total Maintenance Optimization cost of ownership. Balancing reliability, availability, performance and costs against risk to maximize asset value.

Production Optimization

Data-driven insights empower customers to Gain Visibility Across Wells make informed decisions faster, to optimize Increase visibility and efficiency production in fields and facilities while Go from reactive to proactive reducing operating costs. Ensure optimal flow

Upstream Pipeline LNG Refinery Inspection Committed to cyber security; protecting our systems, products and customer operations

48 49 OIL & GAS FEATURED DIGITAL SOLUTION OIL & GAS FEATURED DIGITAL SOLUTION Asset Performance Management Examples of productivity from reservoir to refinery

UPSTREAM PIPELINE Centralizing big data for real- Aggregate and analyze multiple time plant operations visibility streams of data to increase EXCURSION & ANOMALY situational awareness for more MANAGEMENT informed, proactive decisions Detection of safe operating limits and prediction of process related issues. ENHANCE INTEGRITY AND SAFETY Improved data and risk management EQUIPMENT MONITORING reduces the likelihood of high Monitor Key Performance Indicators consequence of failure and enhances of equipment health—and correlate regulatory compliance. current issues with historical and future OPTIMIZE O&M SPEND maintenance activity. Modern management tools enable PROCESS SURVEILLANCE efficient capital and human resource Threat map presenting real-time safety allocation and improved maintenance and production risks including health decisions. metrics at the plant, system, train and IMPROVE THROUGHPUT AND UPTIME equipment levels. State-of-the-art technologies and digital knowledge transfer help resolve critical industry challenges impacting reliability.

50 51 OIL & GAS FEATURED DIGITAL SOLUTION OIL & GAS FEATURED DIGITAL SOLUTION Asset Performance Management Examples of productivity from reservoir to refinery

LNG REFINERY Minimize unplanned downtime Optimize processes across for GE heavy-duty and your refinery by improving aeroderivative gas turbines. the reliability and productivity A Predictivity Solution that Increases of assets Machinery Reliability COMPLETE VISIBILITY ADVANCED SENSORS in the gas turbine Connect data from pumps, heat provide predictive analytics to help exchangers, pipes, towers, reciprocating optimize performance and minimize costs. compressors and other assets at your site to provide one digital view of your DATA ANALYTICS diagnostic, prognostic, refinery and remove deviations from the and predictive rules provide foresight production plan. on potential issues and quick, actionable insights. ASSET INTEGRITY With mobile reviews of alerts, and trend REMOTE MONITORING advisory services reports to set baselines, identify the root reduce trips, enhance performance, cause of potential failures and extend improve asset health, and perform asset life. remote tuning. MAINTENANCE OPTIMIZATION Recommended mitigation actions to enable proactive and preventative maintenance and maximize flow through the refinery.

52 53 Electrical Transmission Electricity Refining & Fuel Delivery Exploration Consumption & Distribution Generation Processing & Storage & Production (Downstream) (Midstream) (Upstream)

Demand Side Efficiency 01 Demand Side Management02 Electrification of Things 03 across the energy ecosystem The energy ecosystem is undergoing transformation on a scale never Distributed Generation 04 experienced, from the way electricity is used by consumers to the methods for accessing and transporting hydrocarbon fuels. A digital thread runs throughout Decarbonization these transformations and will define their path and future state. GE is in a 05 unique position to provide customers with the solutions needed to navigate these transformations and help them prosper in the process. Universal Access 06 Age of Gas 07 Water-Energy Nexus 08 Digitization of Energy 09 54 55 Demand Side Efficiency TRANSFORMATION 01

SINCE THE INTRODUCTION OF PERVASIVE older equipment. As other commercial and industrial ENERGY ACCESS IN INDUSTRIALIZED equipment evolves, such as motors and drives, their ECONOMIES, GROWTH IN ECONOMIC ACTIVITY respective per-unit energy consumption decreases. HAS LED TO GROWTH IN ELECTRICITY CONSUMPTION. For utilities that rely on capacity tariffs for revenue, declining energy intensity can be an For example, in the United States, the energy issue. The cost of installing and servicing equipment intensity, or kWhs required to produce one dollar in most cases is not declining, but now this cost of GDP, more than doubled between the 1940s and must be covered over a decreasing amount of 1970s, as the economy grew and new technologies electricity sales. Decoupling rates from capacity that consumed electricity were introduced. With charges, instituting other charges, and allowing the US Energy Crisis in the 1970s came the utilities to earn a return on efficiency investment first significant focus on energy efficiency and are among the many ways regulators are addressing conservation which may have fueled the persistent this issue. In countries where electrical grids are decline in energy intensity observed in the US since still being extended, efficiency can often be a “first the 70s. This trend is not unique to the US; indeed, fuel.” It eliminates the need for generation capacity, with advancements in devices that consume reduces the size of transmission and distribution electricity, energy intensity around the world infrastructure, and reduces fuel consumption. continues to decline. LED lights consume almost Electricity customers see demand-side efficiency 80% less than their incandescent counterparts; investments not only as a way to reduce their bills, the latest heating, ventilation, and air conditioning but also as a way to reduce their carbon footprint. (HVAC) equipment can be 30% more efficient than

Challenges Opportunities “Energy efficiency could well be Traditional utility revenue models are at risk as New revenue opportunities for utilities called the ‘first fuel’; for, overall, it efficiency continues to reduce consumption growth and other energy industry stakeholders Lack of incentives to invest in efficiency for buildings Lower energy spend by electricity customers, has had the single biggest impact that are not owner occupied, as the occupant and potentially lower carbon footprint of any source in the energy mix.” typically pays for the energy usage Lower overall generation and distribution capacity Energy efficiency (and consumer behavior) can be costs in fast-growth and large markets Daniel Yergin challenging to coordinate as a generation resource, vs. larger centralized power stations Pulitzer Prize-winning American author, speaker, and economic researcher 56 57 Demand Side Efficiency TRANSFORMATION 01

Highlights of GE’s solutions Energy Management & Optimization Solution After performing an expert audit of existing HVAC, lighting ENERGY EFFICIENCY and equipment systems—data measuring, analyzing, predicting and energy consumption optimizing are WAS RANKED BY THE conducted on the Predix platform. Energy conservation CALIFORNIA ENERGY methods utilizing asset, fleet and external inputs are COMMISSION AS THE developed with impacts to cost savings, financial tracking, and carbon management. LED Lighting Systems Relative to traditional technology, these systems can #1 reduce energy consumption by nearly 80% compared to incandescent technology with longer-life—and are designed METHOD TO MEET to serve a wide variety of uses both inside and outside in THE STATE’S GROWING the residential, commercial and industrial sectors. ELECTRICITY DEMAND Variable-Frequency Drives (VFD) VFDs are increasingly being incorporated into new motor systems to enable motors to operate at their most efficient operating point, resulting in energy consumption savings upwards of 50% compared to static drives. GE’s intelligent exterior LED lighting systems Electric Motors GE’s GE brings nearly 125 years of expertise to developing that are installed in Oceanside, CA will save the high-efficiency motors, to drive fans, pumps, compressors, city more than $600,000 in annual energy and grinding mills, mine hoists, refiners, propulsion and many Intelligent maintenance costs. The efficient LEDs provide other process equipment needs across industries such as oil and gas, marine, power, mining, cement, metals, pulp bright light at much lower energy use, while the and paper, water and wastewater. LEDs Save US embedded GPS technology can be used by the city to identify operational issues and address them City $600K quickly and proactively.

58 59 Demand Side Management TRANSFORMATION 02

FOR DECADES, UTILITIES HAVE WORKED WITH SOME OF Challenges “[Demand-side THEIR LARGEST CUSTOMERS ON CONTROLLING DEMAND, DSM has been limited by how reliably it management] will have ASKING THEM TO REDUCE THEIR USAGE DURING CRITICAL can be called upon in its current form, PEAK PERIODS. unlike “hard” generation assets. a tremendous impact A more recent phenomenon is to formalize such arrangements The amount of DSM has varied by the on consumers to control through a demand response product, in which a commitment time of year and year to year, preventing to lower demand when requested can be quantified and operators from incorporating it into their energy cost and paid-for through instruments such as capacity payments. longer-term plans. provide a service…It’s Customers benefit through lower electricity spend, while grid Myriad of market rules and regulations going to make consumers operators can ensure reliable operation during peak events. prevent DSM operators and aggregators Indeed, a “negawatt” of capacity can be more cost effective from achieving meaningful scale. an equal participant in than firing up a megawatt of generation. the market in a way they However, issues of Demand Side Management (DSM) adoption Opportunities persist. The amount of DSM can vary by season, preventing never were before.” operators from considering it an annually-available asset. DSM can be a much more economical way Unlike a generator, which has deterministic performance, load to address system peak requirements. Jon Wellinghoff management’s efficacy and impact on the grid is harder to rely When aggregated across customers Former FERC chairman upon. Such disadvantages may be temporary as the Industrial as a portfolio to improve deterministic Internet becomes more pervasive. Intelligent devices can allow performance, it can be equivalent to more consumers to participate in a seamless and less intrusive generation capacity. manner. Such devices can communicate with grid systems, The Internet of Things will facilitate and adjust their operational patterns based on grid peak less-intrusive participation by more requirements. When aggregated over millions or even billions of customers, allowing for greater reliability. devices, DSM’s impact becomes more deterministic and reliable, as any one individual customer or device that may choose to not participate can easily be substituted by another. From a grid operator’s perspective, dispatching on-site generation also can achieve the same purpose, that is to lower bulk grid demand, assuming that the power produced does not exceed the site’s local demand. As inverters and on-site generation interconnections become more intelligent, such assets can become an important and reliable part of the equation.

60 61 Demand Side Management TRANSFORMATION 02

Highlights of GE’s solutions Energy Management & Optimization Solution After performing an expert audit of existing HVAC, lighting and equipment systems—data measuring, analyzing, predicting and energy consumption optimizing are conducted on the 14% Predix platform. Energy load shifting methods utilizing asset, fleet and external inputs are developed with impacts to POTENTIAL US PEAK cost savings, financial tracking, and carbon management. ENERGY DEMAND Demand Response System COULD BE REDUCED Engineering studies can assess the benefits for grid THROUGH DEMAND operation, demand response road mapping, business RESPONSE case development, technology assessment, application of smart grid integration, and impact analysis. Intelligent LEDs Intelligent LED lighting systems that are infused with sensors, and combined with analytics and software, can help building owners smartly reduce lighting usage during periods of peak power demand. Our Approach: Reciprocating Engines A Unique Approach Within GE With outputs ranging from 250 kW to 10 MW, reciprocating 100M 1. Analyze engines can start and achieve full load in minutes, reducing We know one size doesn't fit all. So we'll build the We figure out your energy strategy by the need for bulk grid-connected peak capacity. INTERNET solution that's right for your organization, today and evaluating how you use energy and its effect tomorrow. We're here to help our clients navigate this on operations. And we consider how data Aeroderivative Turbines CONNECTED new energy landscape—and prepare for what’s next. insights can create value for your business. Aeroderivative turbines with fast startup times and LIGHTING SYSTEMS highly cyclic duty operability are ideally suited to provide BY 2020 2. Implement reliable on-site power for industrial applications, and We provide the hardware and software you thereby can reduce bulk grid demand dispatching. need, plus offer financing to make it happen. 3. Optimize All our solutions can be updated and augmented as needed. At Current, we continually ask: “What’s next?”

62 63 WaterElectrification Scarcity of Things TRANSFORMATION 03

THE NEXT GENERATION ENERGY LANDSCAPE IS Challenges EXPECTED TO LOOK VERY DIFFERENT FROM TODAY’S Inadequate supporting infrastructure CENTRALIZED STRUCTURE. and grid architecture The power sector is undergoing a revolution that is reshaping Uncertainty in regulation a well-defined and established industry. Consumers will Ability to recharge mobile assets have increasing access to “things”—cars, planes, appliances, is a key challenge to adoption industrial processes—that when powered by electricity may be more efficient. Increased complexity of utility planning

The largest consumer of fuel-based power is the transportation sector. With fuel costs for rail at $11B and airlines spending over Opportunities 40% of their costs on fuel, companies have huge incentives to Demand for more electrical generation shift towards electrified systems. Electric vehicles are also and distribution of electricity expected to more than quadruple through 2025. Growth opportunity for electrical Harsh environments and difficult access to fuel are also generation that is otherwise flat in driving electrification in industrial sectors like mining, OECD world chemicals, and oil and gas exploration. Decarbonization and Growth in demand for mechanical declining technology costs will continue to drive switching energy driven by electricity consumption at the point of use from fuel to electricity. New markets for “electrical” devices As the energy ecosystem continues to evolve, consumers and and offerings industries at all levels are seeking technology opportunities and new business models in this new and ever-changing landscape, and electrified “things” will play an increasingly important role in the future energy ecosystem. “All peoples everywhere should have free energy sources. Electric Power is everywhere present in unlimited quantities and can drive the world's machinery without the need for coal, oil or gas.”

Nikola Tesla Inventor, engineer and futurist

64 65 Electrification of Things TRANSFORMATION 03

Highlights of GE’s solutions Electric Vehicle (EV) Charging Commercial and residential EV charging stations are available to suit extreme outdoor conditions, indoor conditions, various pedestal and mounting needs, user access control and 4X payment methods. User convenience, safety, communication ELECTRIC VEHICLE connectivity, and expansion flexibility are delivered with reliability, durability, and style in a practical solution. GROWTH THROUGH 2025 Motors and Generators High-efficiency motors avoiding fuel-power based power are available to drive compressors, fans, pumps, grinding mills, mine hoists, refiners, propulsion, and many other process equipment needs across industries such as oil and gas, marine, power, mining, cement, metals, pulp and paper, water and wastewater. Drives Drives applied at electricity point of use range from 1/3 to 1350 HP, each in a compact package and with a host of built-in features that heighten performance, reduce energy Converting from Diesel to Electric Power in Mining consumption, simplify installation and eliminate the need for many costly add-ons. With the AF-6 Series, the drives are Customers creating safer and quieter work environments already in tune with the application, in the most cost-efficient and space-efficient manner possible. Energy Storage Value of Electric Drive Life Cycle Cost Savings Integrated energy storage systems are being made more Zero tailpipe emissions, and no diesel particulates Improved energy efficiency competitive by incorporating anticipated battery performance High efficiency and low maintenance Lower fuel costs and value analysis, power electronics inverters, transformers propulsion system Lower maintenance costs and medium voltage switchgear, grid-connecting controls, Lower heat emission and operating temperature and fit for purpose enclosures that optimize battery life and Reduced ventilation requirements performance and reduce downtime. Reduced ventilation and refrigeration needs

66 67 Distributed Generation TRANSFORMATION 04

POWER PRODUCED AT OR CLOSE TO WHERE IT and thus consume, power even if the larger system IS NEEDED IS TRANSFORMING RESIDENTIAL, experiences a failure. As distributed generation COMMERCIAL, AND INDUSTRIAL CUSTOMERS increases, electric utilities, and in particular INTO PROSUMERS. those with distribution systems, are faced with numerous challenges. They must continue 21 GW 9% Residential, commercial and industrial customers to ensure reliable power delivery to all customers are choosing to become prosumers (producer- while being able to address changing power flows ROOFTOP SOLAR GLOBAL ENERGY consumers) by installing distributed generation caused by distributed generation and lower revenues INSTALLED FROM COMBINED systems, and in turn are becoming active, rather from customers that are self-generating. Those than passive, participants on the grid. Distributed distributed generation sources that are more variable IN 2015 HEAT AND POWER generation is not new; indeed, industrial customers and uncertain in nature can create more volatility have used combined heat and power solutions for in the system by creating voltage fluctuations nearly a century, with much of the growth enabled over outside the prescribed levels. Even as utilities must the last few decades by advancements in gas turbine address these challenges, they also are seeking to technology. However, with the recent declines in harness the power of distributed generation. Placing solar and energy storage costs, more commercial and generation assets closer to their customers allows residential customers are installing power generation utilities to forgo expensive system upgrades for peak assets within their premises. capacity, provide greater reliability during weather events, and increase system sustainability while This is driven in part by a desire to be more efficient. also ensuring that customers receive cost-effective In some instances, producing power at the point of power, particularly during peak periods. As electricity use is more economic than paying the increasing consumers become producers, and more entities retail price of electricity. In yet others, customers are begin installing and operating distributed generation, looking for generation assets that will enhance their one thing is clear: the traditional way of operating the resiliency to grid outages by being able to produce, grid will need to change.

Challenges Opportunities Traditional utility business models stressed Provide electricity consumers with more as more customers self-generate sustainable and cost-effective electricity Ensuring reliable power delivery with Enhance system reliability by islanding “two-way” power flows during grid outages Incorporating more resources that are Ensure more efficient distribution system variable and uncertain in nature design and upgrades 68 69 Distributed Generation NEW IMAGE TRANSFORMATION 04

Highlights of GE’s solutions Gas Turbine-based Power Plants Simple cycle and combined cycle plants utilizing heavy duty or aeroderivative gas turbines are available in “The change towards various sizes and configurations for utility and industrial applications with combined heat and power, while more distributed employing beneficial distributed generation features generation is [only such as black start and islanding capabilities. Reciprocating Engines just] starting, but High efficiency Jenbacher and Waukesha gas engines with outputs ranging from 250 kW to 10 MW, are well suited it’s going to stay. to furnish reliable on-site power, heat and cooling for a So the utilities have variety of commercial, industrial and municipal applications and can improve hospital, defense, communications, to change their and other critical infrastructure resiliency. Solar and Storage business models.” Higher power yield LV5 inverters, solar supervisory control and data acquisition (SCADA) tools—a complete IEA Renewable electrical system for commercial and industrial PV systems and the integration of battery management systems— Energy Division provide reliability, power quality and cost of ownership GE’s Jenbacher 10 MW range J920 FleXtra gas engine is the benefits for grid connected and microgrid applications. J920 FleXtra centerpiece of the largest cogeneration plant in Northern Microgrid Control Systems in Stapelfeld, Germany operating in conjunction with a heat storage system. The Grid IQ* Microgrid Control System (MCS) enables The plant produces environmentally friendly power for 21,500 distribution grid operators to integrate and optimize energy Schleswig-Holstein households and heat for 6,000 average single-family homes assets for a local distribution grid, also known as a “microgrid.” in the region. The MCS provides a simple yet effective solution to integrate Centerpiece of the The “High Efficiency Power Generation (HEPG)” concept and dispatch distributed energy resources with a goal to largest cogeneration developed jointly by HanseWerk Natur and GE in Jenbach minimize the total cost of operation. plant in North Germany increases the efficiency of the cogeneration plant to more *Trademark of General Electric Company. than 95 percent.

70 71 Decarbonization TRANSFORMATION 05

SCIENTIFIC EVIDENCE HAS BEEN MOUNTING THAT Challenges “We called for strong ambition, for remarkable partnerships, GLOBAL CLIMATE CHANGE IS BEING CAUSED BY Fossil fuels make up the majority MAN-MADE SOURCES OF CO IN THE ATMOSPHERE. for mobilization of finance, and for implementation of 2 of global electricity generation national climate plans. Paris delivered.” The largest sources of man-made atmospheric CO are electricity Some developed grids need to evolve to 2 accommodate renewables penetration and heat generation (42%), transportation (23%), and industry Jim Yong Kim (19%). In December 2015, 196 countries signed the COP21 Policies have not kept pace with agreement to limit climate change impact to less than 2°C technology advancements World Bank President on COP21 above pre-industrialized levels by reducing CO2 emissions from all sources. Each country that is part of the agreement is Opportunities expected to put in place local policies and regulations to achieve their Nationally Determined Contribution (NDC). Broad consensus of need to curb

CO2 emissions Irrespective of COP21, the power generation industry had been Lower costs for renewable technologies on a path of reducing CO emissions. Methods to achieve lower 2 Fuel diversity leads to energy security CO2 emissions in the power industry include deploying nuclear and renewables sources such as wind and solar, retiring coal- fired plants and/or switching from coal to natural gas as a fuel source, and improving the efficiency of existing fossil-fueled generation. The effects of these new or changing fuel sources has implications throughout the energy ecosystem, including new grid infrastructure to accommodate renewables, and natural gas transportation infrastructure improvements. The multi-national progress on COP21 is an unprecedented and important step, with more aggressive actions needed from all CO2 emitting industries to mitigate the approximately 1/3 increase in global

CO2 emissions expected through 2050.

OF ELECTRICITY GLOBAL CO2 EMISSIONS GENERATED GLOBALLY IN FROM THE POWER ~2/3 2015 FROM FOSSIL FUELS ~1/3 INDUSTRY

72 73 Decarbonization TRANSFORMATION 05

Highlights of GE’s solutions Onshore and Offshore Wind Turbines HA Combined Cycle Power Plants Delivering up to 6 MW of zero-carbon electricity GE introduced the first H-class gas turbine in the per tower, enough to power approximately 2,000 industry and has evolved the technology to the HA US homes, GE wind turbines are among the most class which are at the heart of the largest, most advanced in the industry. Construction of the first efficient combined cycle power plant in the world. offshore wind farm in the US, with GE’s Haliade* Higher efficiency results in lower 2CO emissions technology, was recently completed off Rhode Island. compared to other combined cycle plants. Hydro Solar Representing more than 25% of the world’s installed From components to full plants, GE’s Concentrated capacity of hydro generators, GE offers a broad range Solar Power (CSP) solutions can be configured to of hydro solutions and services: from water to wire, the most challenging environments and stringent from individual equipment to complete turnkey customer specifications. GE can also handle every solutions, for new plants and the installed base. aspect of your solar photovoltaic project, including ESBWR Nuclear Power Plant design, development, construction, operations and The Economic Simplified Boiling Water Reactor maintenance and financing. (ESBWR), capable of generating 1,520 MW of Operations Optimization baseload, carbon-free electricity, is the world’s safest Operations Optimization is a cloud-based generation III+ reactor. It can safely cool itself with suite of digital solutions that deliver proactive no AC electrical power or human action for more recommendations by analyzing internal plant than seven days. data, historical operational data, or external Carbon Capture and Storage information in order to inform key resources, reduce production costs, and enhance plant With an intensive research and development GE just finished installation of the turbines program, we have designed and constructed 13 CO flexibility. It delivers results regardless of OEM. First US Offshore Wind Farm 2 in the first offshore wind farm in the US. Capture Solutions (CCS) demonstration projects Advanced Gas Path Construction Complete The wind farm, built by Deepwater Wind around the world, and these technologies are ready Blending hardware innovations with GE’s and located three miles off the coast of for large-scale implementation. advanced OpFlex* software delivers world- 60 to 120 thousand metric tons of Block Island, Rhode Island, will power class performance and operational flexibility. 17,000 homes and will reduce electricity For the existing fleet of 7F gas turbines, it can CO2 emissions avoided annually bills on the island an estimated 40%. improve output by more than 10 percent and heat rate by more than 3 percent, reducing fuel

burn and CO2 emissions per kWh generated. *Trademark of General Electric Company. 74 75 Universal Access TRANSFORMATION 06

1.2 BILLION PEOPLE LIVE WITHOUT Challenges “It’s been well over a century since Thomas Edison demonstrated ELECTRICITY, GROWING TO 1.5 BILLION Bring electricity to over 1.2 billion BY 2030 IF THINGS DON'T IMPROVE. people currently in the dark and 2 billion how an incandescent light bulb could turn night into day. And with unreliable electricity access yet, there are parts of the world where people are still waiting Countries seeking universal access should continue strengthening existing grid extension Ensure economic and operational viability to enjoy the benefits of his invention.” plans, utilizing native fuel resources and for projects deployed in remote regions cost-efficient central generation plants, while Provide holistic development Bill Gates minimizing distribution system losses and that provides people Microsoft co-founder, investor strengthening financial viability. This will be a capacity to use and philanthropist key to addressing the 50% greater electricity newly-available power demand expected over the next 20 years. However, for more than half the unconnected population, getting access to the grid may Opportunities not be an economically-viable solution. Balance the competing priorities of extending Powering everyone will require new the grid vs. using solutions, different grid structures, and alternative solutions new commercial models. Declining solar like distributed and storage costs, internet connectivity, generation and and new metering and power distribution microgrids technology will all facilitate access. Success also will require a collaborative effort Reinforce “last mile” between utilities and power producers, delivery by providing governments, financing institutions, and power close to nongovernmental organizations (NGOs). demand, bypassing expensive and/or These new paradigms will have significant unreliable distributed lines impacts on the industry. Reliable access Use distributed generation to electricity is the foundation these and microgrids to develop communities need for progress, and will a more affordable, reliable, lead to further developments in improved and sustainable system healthcare, clean access to water, and more reliable transportation infrastructures.

76 77 Universal Access TRANSFORMATION 06

Highlights of GE’s solutions TM2500 Mobile Gas Turbine-Generator Set Known as the “power plant on wheels,” this fast and flexible power plant solution harnesses the widely deployed LM2500 aeroderivative gas turbine. It can be delivered via land, sea, or air to remote locations in weeks, not months, providing scalable blocks of affordable power capable of operation on natural gas, distillate oil, or condensates. Grid Planning Solutions GE performs detailed steady state, voltage and transient stability studies of regional transmission systems, generation interconnections, distributed energy resources and renewables integration to enable customers to seamlessly deploy new technology and take advantage of grid modernization architectures. Bringing Reciprocating Engines With outputs ranging from 250 kW to 10 MW, reciprocating Power to Paradise engines are well suited to provide a dependable and efficient distributed energy resource of on-site power, heat and cooling MAECI Solar, GE and Princeton Powering Everyone, in isolated, mission-critical applications in some of the world’s Power Systems are installing a 5 MW solar grid across three locations on harshest operating environments. Annobon Province, Equatorial New One Village at a Time Double Reheat Ultra-supercritical Coal Plants Guinea including the airport, hotel and GE Power has teamed up with New electricity consumers with access to large grid systems can mountain top. The island-wide microgrid Global Himalayan Expedition benefit from the addition of reliable, cost-effective and durable will provide reliable, predictable power to install DC microgrids at several and meet 100 percent of current energy baseload electricity generation from high efficiency coal plants remote villages in northern India. Our with advanced air quality and pollution control technologies. demand. As energy requirements increase, extra storage batteries can partnership is reinforced by the time and be added. It will be the largest self- effort GE employees put in to travel to these sufficient solar project in Africa. villages, help install the microgrids, and ultimately provide light where none existed before. GE Power also is undertaking such activities across Africa and Asia as part of its mission of Powering Everyone.

78 79 Age of Gas TRANSFORMATION 07

IN 2011 THE INTERNATIONAL ENERGY AGENCY ISSUED Challenges A SPECIAL REPORT THAT ASKED THE QUESTION “ARE Environmental concerns, “The EU has a major opportunity WE ENTERING THE AGE OF GAS?” including seismic, water usage, to improve its energy security and fugitive methane The report cited favorable factors that drive natural gas and its competitiveness thanks demand including: lower emissions compared to other fossil Fuel transportation infrastructure to the positive development of fuels, the benefits of a diversified energy supply, and the ability Global price variations to provide flexibility and back up capacity in the electricity sector the global LNG market.” as more renewables capacity comes on line. These factors, Opportunities combined with vast and widely dispersed global natural gas European Commission Enables fuel diversity resources underpinned a much more positive future view for gas. Brussels, 16 February 2016 Technology opportunities for Since then, there has been a collapse in global oil prices, the extraction, transportation, COP21 climate agreement was signed by 196 nations, and bans and efficient consumption were enacted in some regions on hydraulic fracturing, a key enabler to increased availability of natural gas. Despite these Gas to liquid technology to headwinds, natural gas is expected to be the fastest growing replace incumbent liquid fuels fossil fuel for global power generation over the next 10 years, accounting for more than 20% of total electricity generation, and natural gas power plants are expected to lead all other fuel sources in new capacity additions over the next 10 years.

PERCENTAGE OF NEW POWER PLANTS ORDERED GLOBALLY ~28% IN THE NEXT 10 YEARS FUELED BY NATURAL GAS

PERCENTAGE OF GLOBAL ELECTRICITY ~22% GENERATION FROM NATURAL GAS IN 2025

80 81 Age of Gas TRANSFORMATION 07

Highlights of GE’s solutions Gas Turbine-based Power Plants Intelligent Pipeline Solution Natural gas-fueled simple cycle and combined Utilizing the Predix software platform, GE and cycle plants utilizing heavy duty or aeroderivative Accenture have teamed together on the Intelligent gas turbines are available in various sizes and Pipeline Solution, which aggregates and analyzes configurations to meet customer-specific site and multiple streams of data to deliver a comprehensive operability requirements. All of the gas turbine units view of gas and oil pipeline operations. This improved in GE’s portfolio can operate on natural gas and a situational awareness enables well informed, proactive wide range of other gaseous and liquid fuels with decisions that can provide better risk management, operational flexibility and low emissions. reduce the likelihood of failures, enhance regulatory Reciprocating Engines compliance, allocate capital and human resource With outputs ranging from 250 kW to 10 MW, more efficiently, improve maintenance decisions, reciprocating gas engines with fuel flexibility to and increase throughput and uptime. run on either natural gas or a number of other Compressors gases, are well suited to furnish on-site power, GE has a broad portfolio of compressors including heat and cooling for a variety of commercial, horizontally-split, vertically-split barrel, pipeline, industrial and municipal applications. Reciprocating axial, single stage overhung, and integrally geared gas engines with high power density and high configurations. These compressors help customers efficiency provide a reliable solution with fast to reliably meet the wide range of size and pressure startup times and exceptional efficiency. requirements in gas production, transportation, From Massive to Mega Advanced Gas Path refinery, fuel gas boosting and other applications. In-service F-class gas turbines can be uprated with Plug & Play Modules GE designs and delivers the advanced turbocompression technologies GE’s Advanced Gas Path solution that improves Power generation and compression modules are pre- needed to make the world’s largest LNG plant a success output, efficiency, emissions, and availability to fabricated and fully tested in a factory environment. unleash additional long-term value from existing They include the requisite equipment, piping, cabling Before this project, the Qatargas facility in Having provided turbocompression equipment assets. This solution, which blends hardware and a dedicated control room with single screen Ras Laffan was already the world’s largest LNG for the facility’s first development phase (QG1), innovations with OpFlex* software, can increase monitoring and analytics, resulting in reduced project—and the first to integrate the entire value GE Oil & Gas was again asked to meet the technology output 6% and increase efficiency 2% while improving risk and cycle times. While solutions can be fully chain. It includes offshore gas production, onshore challenges for the second and much larger phase parts lives and reducing start-up emissions by 50%. customized, and are project-specific, we also have a treatment and liquefaction, a dedicated fleet of (QG2). Although every aspect of the QG2 project was portfolio of pre-designed modules with a wide variety LNG ships, and regasification plants in the UK, ambitious and astounding, overall success depended of configuration options, offering great flexibility. US, and Italy. primarily on the ability to achieve enormous

*Trademark of General Electric Company. economies of scale. And the key to that would be the LNG megatrain technology from GE Oil & Gas.

82 83 Water-Energy Nexus TRANSFORMATION 08

GLOBAL POPULATION GROWTH AND ECONOMIC Challenges “Unless new water-conserving practices are developed, there DEVELOPMENT SUGGEST A FUTURE OF Stricter regulations on freshwater likely will not be sufficient water to generate adequate supplies INCREASED DEMAND, COMPETITION AND withdrawals place pressure on COST FOR LIMITED FRESHWATER SUPPLIES. thermal and hydro power generation of energy and food, and for industries and cities.” Scarcer water, in turn, creates new challenges for Increased regulations on wastewater World Energy Council energy supply because fuel extraction and electricity effluent, requiring further production can require massive amounts of water. treatment before discharge March 2016 According to the International Energy Agency, water Urbanization and industrialization withdrawals related to the energy sector are expected to increase demands on infrastructure rise by one-fifth through 2035, and water not returned and wastewater treatment needs to its source, due to closed-loop cooling systems or to evaporation, is expected to increase by 85%. Opportunities Public and private sector leaders have recognized that socioeconomic development and human well- More complex treatment solutions being depend on current and future access to clean will be needed to meet water reuse water and energy. In 2015, the United Nations requirements acknowledged the scale of the challenge and Harnessing the energy in established global ambitions for water and energy wastewater and food waste to access in its Sustainable Development Goals: create renewable heat and power

• Goal 6: Ensure availability and sustainable Access to data and increased use management of water and sanitation for all. of analytics to monitor and optimize water and energy consumption • Goal 7: Ensure access to affordable, reliable, sustainable and modern energy for all. 1.2B 650M 9B PEOPLE LACK ACCESS PEOPLE LACK ACCESS ESTIMATED GLOBAL TO ELECTRICITY TO CLEAN WATER POPULATION IN 2040

84 85 Water-Energy Nexus TRANSFORMATION 08 Highlights of GE’s solutions Zero Liquid Discharge (ZLD) Energy Neutral Wastewater Turn wastewater treatment into resource in Power Generation recovery potential and claim valuable by products in the form of water reuse, GE’s ZLD Technology Enables Wastewater nutrient removal and energy generation. Reuse at Orlando Utility Zero Liquid Discharge When faced with water shortages and community pressure Concentrate wastewater to a solid that to conserve and protect drinking water sources, the state can be safely disposed of in a landfill or of Florida developed stringent wastewater guidelines. recovered as a valuable byproduct for use. Like other power plants and industrial sites in Florida, the InSight* Predictive Analytics Orlando Utilities Commission (OUC) needed a way to reduce Provides predictive insights to achieve makeup water requirements and to recycle and reuse as greater system efficiency, reduce operating much wastewater as possible at its Stanton Energy Center. costs and maximize production in targeted water and process applications—including Based on the ability to meet the reliability and on-stream reverse osmosis membranes, condensers, demands, GE was selected to provide a combination heat exchangers, and oil and gas processes. evaporation and crystallization system. Using wastewater from Orange County’s Eastern Wastewater Treatment InSight* Asset Performance Enabling Energy Neutrality Facility as cooling tower makeup, GE’s system is taking the Management cooling tower blowdown stream and reclaiming it for use Integrating GE’s Advanced Anaerobic Powered by Predix, InSight combines as makeup water. advanced data and analytics to help water Digestion of Biosolids and Biowaste treatment professionals maximize asset Implementing GE’s biological hydrolysis technology Through a partnership for over 20 years, the Stanton reliability and availability, lower operating enabled a European wastewater treatment plant to Energy Center’s ZLD facility was built over three phases costs and optimize operations. reduce the time and volume required to anaerobically and treats approximately 1,700 gallons per minute of cooling tower blowdown. The ZLD component prevents the *Trademark of General Electric Company. digest sludge. This change enabled the plant to treat 100 percent of indigenous and imported sludge. discharge of this wastewater stream, and maximizes the Further plant improvements to digest food waste reuse of wastewater, which limits the need for additional diverted 40,000 tons of organics per year from groundwater removal. GE’s ZLD process also allows OUC landfills and produces additional biogas. The plant to satisfy their permitting requirements for zero-liquid now generates 5.75 MW of renewable electricity, discharge, and conserve Florida’s most valuable resource— exporting 1.5 MW to the national grid. its drinking water!

86 87 Digitization of Energy TRANSFORMATION 09

DIGITAL TECHNOLOGY IS DISRUPTING AND TRANSFORMING Challenges THE ELECTRICITY INDUSTRY, CHALLENGING OLD MODELS Data access: <2% of data is captured and AND CREATING UNPRECEDENTED OPPORTUNITIES. is primarily done without automation EDISON WOULD NOT RECOGNIZE OUR WORLD TODAY. Lack of data scientists Although digitization has become ubiquitous in all aspects Old assets must be retrofit of our lives, the energy industry has one of the largest digital opportunities. Digitally-enhanced power generation, with software and data analytics, combined with advanced hardware, Opportunities will deliver greater affordability, reliability and sustainability. Connectivity: connected machines drive This will be accomplished while lowering costs, improving optimization, increase efficiency, and efficiency, and reducing the electricity industry’s carbon output. reduce emissions Traditional participants in the electricity industry are Grid 2.0: A highly connected, fully recognizing the momentous change taking place and optimized grid enables greater are seeking solutions and partners in the new age of transparency, new business models, digital. There are new and old players leveraging digital and enhanced security technologies, new policies creating new requirements, Address variability, reliability and new business models that are challenging traditional and line loss issues revenue sources and creating new growth opportunities.

OF SOCIETAL BENEFITS FROM REDUCTION IN CARBON EMISSIONS, NET NEW JOB CREATION AND VALUE “We have to look to innovation in emerging technologies.” >$2T CREATION FOR CONSUMERS Mike Kurzeja Emerging Technology, Exelon Corporation 88 89 Digitization of Energy TRANSFORMATION 09

Highlights of GE’s solutions Digital Power Plant (DPP) Business Optimization (BO) The DPP combines the physical strengths of BO is a cloud-based suite that helps power producers high-efficiency air-cooled (HA) gas turbines with take full advantage of predictive analytics to make a powerful tool to improve reliability, availability improved decisions around power trading, fuel and dispatch with reduced production costs. purchases and portfolio management. Modules New revenue streams can now be realized to can forecast plant capability and market behavior provide improved primary response to meet grid to maximize revenue, while optimizing profit by demands, ancillary market frequency regulation, scheduling outages and operations, against factors and real-time trade-offs between faster starts such as market conditions, load/demand variations, versus parts lives and grid demands. weather forecasts, fuel forecasts, transmission Asset Performance Management (APM) constraints and power/fuel pricing considerations. A large renewable APM is a suite of cloud-based software and service Energy Management & Optimization Solution and clean energy solutions that works across all equipment, all After performing an expert audit of existing HVAC, OEMs, and all industries—across the plant and lighting and equipment systems—data measuring, company: across the fleet. The solutions cover Machine analyzing, predicting and energy consumption Challenge & Equipment Health, Reliability Management, optimizing are conducted on the Predix platform. Misalignment between traders and Maintenance Optimization—to help asset- This digitized solution enables energy purchase and plant managers caused centric industrial companies increase uptime, at the best price, efficient management of missed market opportunities decrease costs, and reduce operational risks. energy using assets, actionable intelligence Operations Optimization (OO) development on asset performance to better Solution OO is a cloud-based suite that provides Key prioritize repair and replacement decisions, and Improving Building a digital twin, thermal Performance Indicator (KPI) focused analytics and by assurance that utility bills are free from errors. model and forecasting model analyzing internal plant data, historical operational Customer enabled traders to bid more on data, or external information delivers proactive the capacity market recommendations in order to inform key resources, Results reduce production costs, and enhance plant flexibility. Outcomes GE's Operations Optimization Every level of operations can tap into consistent ~$1.3T informed engineers and visibility across systems, giving the insights to OF INDUSTRY VALUE FROM SERVICE with the Digital operators of recommended act towards optimal operational excellence. PLATFORMS, SMART DEVICES, repairs and additional capacity THE ‘CLOUD’, ADVANCED ANALYTICS Power Plant

90 91 Digitization of Energy TRANSFORMATION 09

GE’S DIGITAL POWER PLANT PORTFOLIO

CUSTOMER OUTCOMES Combining data + physics Reducing customer risk profiles to improve outcomes:* with GE’s cyber solutions

Fuel Efficiency Output Unplanned Downtime O&M Costs Less Fuel on Starts Typical Gas Digital Power Plant:† STAGE STAGE STAGE Deeper Business Profitability 3% increase in fuel efficiency Optimization Insights 2% output Better, Faster 5% unplanned downtime Operations Productivity  Decisions 1 2 3 Optimization 25% O&M costs  BASELINE DEFEND PREVENT 20% fuel on starts Asset Real-Time Reliability Performance Actions Measure Attack Defend and Preventative, Managed Typical Digital Wind Farm:† Surface and Risk Respond and Comprehensive

10% maintenance cost Predix Tactical, random with Directed, preventative Proactive, measurable 1% production based on availability limited visibility and organized with continuous improvement 10% annual energy production Edge Compute Cyber 1–3% revenue & Advanced Controls GE's security experts help customers identify potential exposure to cyber attack and †Representative customer outcomes are not guarantees of results implement technologies and processes to reduce operational risk and assure availability.

92 93 POWER Combustion science and services, installed base

AVIATION ENERGY CONNECTIONS Advanced materials, Electrication, controls The GE Store is the transfer of technology, talent, manufacturing, and and power conversion engineering technology expertise, and connections through GE’s massive, productivity diverse network of businesses and markets.

GLOBAL GROWTH CULTURE & ORGANIZATION SIMPLIFICATION HEALTHCARE RENEWABLE ENERGY Diagnostics technology – Sustainable power a rst-mover and anchor GE DIGITAL GLOBAL systems and storage in growth markets RESEARCH CENTER

DRIVING COMPETITIVE ADVANTAGE ACROSS OUR BUSINESSES

We drive enterprise advantages that benefit our customers through what CURRENT AND OIL & GAS we call the “GE Store.” It means that every business in GE can share and LIGHTING Services and technology LED is a gateway to – a rst-mover in access the same technology, markets, structure and intellect. The value of energy eŠciency growth regions the GE Store is captured by faster growth—it makes the totality of GE more TRANSPORTATION competitive than the parts. No other company has the ability to transfer Engine technology and localization in growth intellect and technology as we can through the GE Store. regions

94 95 HELPING US WORK TOGETHER TO CHANGE OUR CULTURE AND DELIVER ON SIMPLIFICATION

THE GE BELIEFS: We are being challenged to think, act and lead in new ways, 1 Customers Determine Our Success pushing our boundaries to create a GE that is faster, simpler and 2 Stay Lean to Go Fast more customer-focused.

To accelerate our journey we 3 Learn and Adapt to Win must embrace a new way of working that enables us to: 4 Empower and Inspire Each Other keep pace with change, harness complexity, transform our 5 Deliver Results in an Uncertain World culture and deliver results.

96 97 Delivering True Change in Three Focus Areas BETTER BUSINESSES At Global Research, we work every day to see, move and create IMPROVING THE the future. This is all about positioning GE for the long-term, WORLD BY PUSHING making the world a better place and partnering with our business teams who are serving our customers. THE LIMITS OF SCIENCE RESEARCH Each GE business commits to investing for the future, knowing AND TECHNOLOGY that it is vital to our Company’s success. At Global Research, our technologists deliver outcomes—technologies that will lead GE, our customers, and industries into the future. BETTER GE STORE 2,900 The power of GE is rooted in the distinction that our businesses are more competitive together than apart. Through the GE Store, EMPLOYEES we are able to scale processes, knowledge and, most importantly, our technology to innovate faster across multiple industries.

From additive manufacturing to the digital twin to connected controls, the ability we have to scale technologies and apply 138 them across everything from wind turbines to offshore oil rigs to aircraft engines is incredibly powerful. LABS BETTER GLOBAL RESEARCH Around the world, our Global Research team collaborates with our GE business partners, customers and external collaborators to lead the future. 100K+ When it comes to creating the future, we need faster technology VISITORS/YEAR development and prototypes. In 2016, we launched the Edge Lab, which is the nexus of robotics, artificial intelligence and more.

98 99 Featured Technologies Global Research Centers

Combustion Advanced Materials Innovation in combustion Ceramic matrix composites technology enables higher (CMCs) are a breakthrough power generation efficiency materials technology for jet while reducing pollutants. engines and gas turbines GE is developing advanced that started at our Global combustion components Research Center in Niskayuna. and systems capable of With more than 20 years using a wide variety of gaseous and liquid fuels. of experience, GE has taken CMCs from the lab to This enhanced combustion capability is coupled robust, cost-effective manufacturing. What’s so with advanced diagnostics to evaluate and enhance innovative about CMCs is that they can be made operability and durability. as strong as metal, yet are much lighter and can withstand much higher temperatures.

Additive Manufacturing Silicon Carbide Additive Manufacturing will Silicon Carbide (SiC) based break conventional constraints power devices have significant Niskayuna, New York What we do every day in design and manufacturing, advantages over Silicon (Si) Oklahoma City, Oklahoma and enable significant capabilities—and we’re excited matters to millions of people improvements in GE product by the possibilities. SiC will set Rio de Janeiro, Brazil capabilities. GE is unleashing new standards in power savings Munich, Germany and makes our world a this potential through its for virtually everything that Dhahran, Saudi Arabia unique position at the confluence of materials converts or uses electricity. better place. Thanks for development, process and machine engineering, Bangalore, India Brilliant Factory,* and advanced design rules. Shanghai, China joining us on this journey. *Trademark of General Electric Company.

100 101 SOLUTIONS

GE is dedicated to developing financing solutions designed to leverage public, private and development finance mechanisms. We focus our attention on the project’s regulatory and investment environment in order to manage the risks and returns for our clients. Our main objective is to allow our global clients to meet their energy targets by mobilizing financial resources.

Export Credit Banks/Direct Development Selected Equity Cooperation Agency Financing Foreign Capital Investments Structures Raise competitive Investment Unlock equipment Enable mega deals Establish partnership financing for Develop financing sales and with strategic structures including customers using platforms, service through customers; strategic cooperation $13B ECAs expanding regional investment in underwriting agreements/joint niche investor base growth market and investment ventures COMMITTED projects support FINANCING BY GE FOR ENERGY ASSETS 102 103 GE is investing in THE ENERGY INDUSTRY IS TRANSFORMING TECHNOLOGIES • Only 3% of modern industrial data is analyzed to solve energy • 93% of power executives put analytics in their top 3 business priorities ecosystem pain points

GE’S DIGITAL INDUSTRIAL JOURNEY Applied 20 years of machine data and analytics to monitor and optimize industrial assets 50M Invested $1B in software and analytics R&D, and DATA ELEMENTS opened a software center in San Ramon, CA MONITORED DAILY FOR GE CUSTOMERS Developed advancements in big data, analytics, sensors, and networking to create an Industrial IoT for nearly every piece of industrial equipment and process Powered by our Predix platform, customers can “see” in a new way, monitor and manage their $1T entire ecosystem, and deliver products more ASSETS SECURED efficiently, reliably, sustainably AND MONITORED This delivers up to $75B in savings industry wide CONTINUOUSLY

104 105 GE’s Predix Platform GE Digital Twin Purpose-built for the Industrial IoT A unique data model of a physical asset

Reasons for Cloud Speed to implementation and innovation Ability to scale End-to-end security Ubiquitous and global visibility Lower costs Failure isolation with microservices

Cloud-based platform Optimized for Industrial for Industrial Internet Requirements Connected Assets Asset Performance Management Industrial Data Science Industrial Analytics Industrial Data Management + Operations Optimization Cloud and Mobile Digital Twin

Reliability Cost Risk Profitable Increased Reduction Mitigation Growth availability Lower operating Lower Increased INDUSTRIAL DATA MODELS BUSINESS CUSTOMERS KPIs and longer costs with operations production STREAMS • Lifing models APPLICATIONS • Reliability asset life greater and financial for market • Atmospheric data • Anomaly models • Business optimization • Capacity efficiencies risk advancement • Operational data • Thermal models • Operations • Emissions Optimization • Inspection and repair • Transient models • Site events • Asset Performance Management • Advanced controls TAKES COMPLEXITY OUT OF INDUSTRIAL IoT • Cyber

106 107 SINCE ITS INCORPORATION IN 1892, GE has grown from a US company to a global company that operates in approximately 180 countries and happens to have its headquarters in the US. We have been active in countries like China for more than 100 years, and in 2015 approximately 55% of the company’s revenues came from outside the US. More than 60% of GE’s approximately 330,000 employees reside in countries other than the US.

Six years ago GE created its Global Growth Global Research Centers have been Organization, led by John Rice, with three established by GE at 7 locations around primary responsibilities: the world, staffed by approximately 2,900 PhDs, scientists, and engineers. Each Support GE businesses in local center specializes in core technologies 1 market expansion and growth while sharing their knowledge and expertise seamlessly. The focus of the Help GE localize faster and research centers is positioning GE for the 2 become more locally competitive long-term, making the world a better place and partnering with our business Maximize the GE Store teams who are serving our customers. 3 advantage in each region 2015 GEOGRAPHIC REVENUES GE has manufacturing facilities in more than 39 countries around the globe. This ■ local manufacturing capability enables us 14% US to get closer to our customer’s markets ■ Europe 10% PRESENCE while providing job opportunities to the ■ Asia local population. 45% ■ Americas 17% ■ Middle East 14% & Africa

COUNTRIES WITH NON-US RESEARCH MANUFACTURING INFRASTRUCTURE CENTERS 39 FACILITIES 7 $67B ORDERS IN 2015

108 109 ENERGY INTO THE FUTURE

“You never change things by fighting the existing reality. To change something, build a new model that makes the existing model obsolete.”

Richard Buckminster Fuller Author, architect, inventor

110 111 GE has been at the core of the electricity industry since its earliest Delivering Digital days and is continuing to invest Capabilities to lead in its transformation GE is transforming itself into a digital industrial company, coupling domain expertise in the most important industrial segments in the world with world-class digital capability at our flagship Digital Foundry in San Ramon and additional foundry locations in Paris, Shanghai, and Saudi Arabia (Q4 2016). Reinventing Energy Predix, developed by GE, is the world’s first industrial operating system.

We are transforming the electricity industry with the digital power plant, the world’s largest and most efficient gas turbine, full balance of plant offerings, Predix and upgrades and service solutions to improve the performance of GE’s and An operating system and platform for building applications that connect to industrial assets, collect othe OEM’s installed base. In addition, we are working on Reverse Osmosis (RO) and analyze data, and deliver real-time insights for membranes for water treatment solutions to improve performance and reduce optimizing industrial infrastructure and operations. cost through novel chemistry, manufacturing processes and module designs.

Digital Twin An engineering model that continuously increases insights in assets to deliver specific business outcomes. These models are continuously tuned with data to create models which track the running state and remaining useful life of each asset.

112 113 Optimizing Manufacturing Investing and Inventing for the Future Imagine a factory that never stops and constantly optimizes itself, continuously improving products and how they are made. A factory that is linked to our product We invest through economic cycles to position our businesses and customers designs and services, executing for our customer needs as well as continuously to be successful in the future. In 2015 we invested more than $5B in R&D. providing feedback to make our offerings better. GE is implementing this vision Our scientists, engineers, and technologists channel their innovation to deliver across its factories globally, using Predix to integrate disparate data streams disruptive breakthroughs that matter, at the right time. from machines, factories, supply chain partners and service shops.

Microsystems Brilliant Factory High value Micro Electro Mechanical Systems A factory enabled by a Digital Thread that marries (MEMS) that differentiate GE products through virtual tools with physical tools and connects every sensing, actuating, and embedded processing. part of the manufacturing supply chain from product designers to workers on the factory floor.

114 115 Engaging Policy Makers Driving Thought Leadership GE serves as a resource to global policy leaders, educating them about leading edge technologies and collaborating on sound policy that will GE is a leading sponsor and participant at global thought leadership events drive global energy innovation. Now in their fifth year, the GE-sponsored Minds & Machines events bring together a global community of GE customers, developers, partners, industry luminaries, and GE practices a customer-centric approach to global policy advocacy. We technology thought leaders to explore the digital transformation of industry, the state partner with our global customers on policies that will drive mutual growth. of the Industrial Internet, and what this means for your business. With the digital transformation of the energy industry, We are also key contributors and speakers at major energy ecosystem traditional policy thinking must transform as well. The events such as CERAWeek,† the World Economic Forum,‡ and future of energy is cleaner, more efficient and more World Energy Congress, where we share our views on the biggest connected. GE advocates for policies that support our challenges facing the world today. energy vision. †CERAWeek is a trademark of IHS Global Inc. ‡World Economic Forum is a trademark of World Economic Forum

116 117 e hope this portfolio shows the breadth and depth of GE’s solutions across the entire energy ecosystem, and demonstrates GE’s commitment to W working with our customers as they navigate structural transformations in their industry. This commitment has never been stronger, and was strengthened considerably by the Alstom acquisition which brought new products and services, great talent, and a more global footprint into the GE family. GE believes that energy access is a basic human right and we are committed to providing more affordable, reliable and sustainable energy to every person and industry on the planet.

GE is also undergoing a transformation into a digital industrial company; pairing its domain expertise in multiple industries with world-class digital solutions built upon Predix, the foundation for the Internet of Things. No other company has this combination of technology domain expertise and home-grown digital capability.

Despite the transformations in the industry and at GE, technology leadership will always be at the core of GE’s commitment to its customers. It’s what enables us to take on the world’s biggest challenges and deliver solutions that help our customers and society as a whole.

We want to help you navigate the transformative changes in your industry. Contact us to help solve your most challenging energy ecosystem problems.

GE’S COMMITMENT TO Steve Bolze Lorenzo Simonelli Beth Comstock SVP, President & CEO SVP, President & CEO Vice Chair GE Power GE Oil & Gas GE

Jérôme Pécresse Russell Stokes John Rice President & CEO SVP, President & CEO Vice Chair GE Renewable Energy GE Energy Connections GE

Sue Siegel Maryrose Sylvester Vic Abate in the transformation of the Energy Ecosystem CEO President & CEO SVP & CTO GE Ventures Current powered by GE GE

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