Thank you for participating in NV Energy's Cool Credit program, our central air conditioning cycling program that lets valuable customers like you save energy - and money - while protecting the environment, during the hot summer months.

We would like to inform you that the Cool Credit program is coming to an end this year. Cool Share is a new and improved version of Cool Credit. It is an environmentally responsible and customer empowering program brought to you by NV Energy.

Just like Cool Credit, the new Cool Share program will automatically cycle your central air conditioning system on the hottest summer weekdays. Such "events" generally last no more than three hours. However, Cool Share will provide a greater opportunity for savings via more events, while at the same time providing customer control, as you can always call 702-402-1111 to opt-out of any single event.

We currently have deployed two types of technologies to existing customers:

• Receiver switches--a box that attaches to your A/C unit outside
• Programmable Communicating Thermostats--a thermostat inside your home that communicates via radio

Receiver Switch Customers

Under the new Cool Share incentive structure Receiver Switch customers will still receive a bill credit June through September -- a bill credit of $5 per month ($20 per year) per central A/C unit. But with Cool Share, you'll also earn $1 per event--up to an extra $29 over the summer for each central A/C unit. You'll receive these extra earnings as a check in October so you can share it with your family, or spend it on something special for yourself. In addition, you'll save more energy and money on your bill just by participating more.

So, with Cool Share, you have more control. Your benefits depend upon how often you participate: the more energy you help us save, the more you benefit.

• Beginning June 2008, Receiver Switch customers will EARN and SAVE for participating in Cool Share with all of the following benefits:
  
• Receive a $5 summer bill credit for each central A/C unit ($20 per year)
• Earn up to $29 for each central A/C unit ($1 per event, after the first four events)
• Save up to an additional $7 on your bill over the summer for each central A/C unit ($14 for Time-of-Use customers)
• Total potential Cool Share benefits each year could be as much as $63 for one A/C unit (on TOU rate) and $126 for two A/C units (on TOU rate)

Thermostat Customers

Under the new Cool Share incentive structure, the ownership of the programmable thermostat transfers from NV Energy to you. Also, Cool Share makes it easier to get customer support to help you save energy all year long by programming your thermostat. Just call customer service if you need help programming YOUR thermostat. Plus, from June through September, you'll earn $1 per event--up to $29 annually for each central A/C unit. You'll receive your earnings as a check in October so you can share it with your family, or spend it on something special for yourself.

Beginning June 2008, Thermostat Customers will EARN and SAVE for participating in Cool Share with all of the following benefits:

• Earn up to $29 for each central A/C unit ($1 per event, after the first four events)
• Save up to an additional $12 on your bill over the summer for each central A/C unit ($24 for Time-of-Use customers)
• Total direct Cool Share benefits each year could be as much as $53 for one A/C unit (on TOU rate) and $106 for two A/C units (on TOU rate)
• Plus, it's your thermostat, so you're always in control: manage your energy use online and save up to 20% all year long

All Existing Customers

It's easy: Your Cool Credit participation is automatically switched to the Cool Share program in 2008.

Best of all, participating in this new program is easy and automatic. Through September 2007, you'll continue to receive the same "cool" bill credit you always have. Beginning June 2008, you'll be automatically switched to the new Cool Share program and the new benefits.

Want to start enjoying the benefits of Cool Share right away? Simply call us at 702-402-1111 and tell us you'd rather switch to the new Cool Share program sooner. If you'd rather not participate in Cool Share, please call us at 702-402-1111 and we'll remove you from the program. However, if you choose to leave the program, then you won't be eligible to receive all of the cool benefits.

Remember, there's nothing you need to do, unless you want to start participating in Cool Share right away. Because you're a current Cool Credit participant, you'll be automatically transferred into the new Cool Share program in 2008.

So thanks for doing your share to help NV Energy protect our environment, while giving "more power to you" and all the rest of our neighbors.

FAQs:

What does "automatically cycle my central air conditioning system" mean? Cycle, or cycling, refers to reducing your air conditioning usage during events. It does NOT mean that we completely turn off your air conditioning for three hours during a typical event. It does mean that Receiver Switches will reduce usage by up to a maximum of 50% of your normal usage, and thermostat customers would see the thermostat set point increased by up to a maximum of 4 degrees over your normal setting. This only happens for a few hours on select hot summer days.

With many customers signed up under the program, these slight and temporary reductions in usage for individual customers add up to a big reduction in peak electricity usage of the community. It great for the community, for the environment, and with all of the benefits, it's a great program for you!

Why is NV Energy discontinuing Cool Credit? Cool Credit was a pilot program and as such, was offered to a limited number of NV Energy customers. Our new Cool Share program will make the benefits of automated central air conditioning cycling more widely available across our NV Energy service territory.

Over the next three years, NV Energy is targeting 100MW of reduction in peak electricity usage. In effect, we are building a peaking power plant--a customer power plant. This will save you and the entire community energy and money in a very environmentally friendly manner!

What do I have to do to participate in Cool Share? Nothing. Because you are a Cool Credit program participant, you will automatically begin enjoying the benefits of Cool Share in June 2008.

Can I start participating in Cool Share now? Yes, simply call us at 702-402-1111 and we will take care of the rest.

How is Cool Share different than Cool Credit? Cool Credit offered a flat bill credit per customer while Cool Share offers incentives on a participation basis per A/C unit. Plus, Receiver Switch customers receive a $5 bill credit per summer month per Receiver Switch. Also, the Cool Share program will offer more hours of A/C cycling, which could provide you more savings on your bill, especially if you also sign-up for the Time-of-Use rate.

How often will Cool Share events happen? Cool Share events will happen during periods of peak electricity demand, generally on extremely hot weekdays from June 1 to September 30 (between 1 p.m. and 7 p.m.). You can expect about 33 events over the summer. Most events are expected to be three hour events between 4pm and 7pm.

How do I choose not to participate in an event? If you'd rather not participate in any single event, please call us at 702-402-1111. Remember, however, that you will not receive the event credit for that time period, and this will lower your annual benefits.

How did you calculate earnings of up to $29? First we assumed full participation, since you can choose not to participate in any single event. Then, your earnings or "shares" are based upon the expectation of 33 events lasting three hours each. NV Energy rewards $0.3333 per event hour after the first twelve hours (four typical events). This equates to $1 per cycling event for 29 events, hence the $29 earnings. By sharing four events with us--the reliability events--you are helping ensure the reliability of the electrical system during the hours of maximum peak conditions.

When will I receive the Cool Share earnings? You will receive your "shares" by a separately mailed check at the end of each cooling season, typically in the month of October. Remember, Cool Credits is ending in 2007. So, this will be the last year that the flat incentive amount per summer month is offered. The more you participate under Cool Share, the more incentives you earn and the more energy you save.

How did you calculate summer bill savings of up to $7 ($14 for TOU) for Receiver Switch Customers? First we assumed full participation, since you can choose not to participate in any single event. Then, the average customer will save approximately 59 kWh per central A/C unit for full participation (about 100 hours). At approximately $0.12 per kWh on the regular rate, this equates to $7 in bill savings. At approximately $0.24 per On-Peak kWh on the Time-of-Use (TOU) rate, this equates to $14 in bill savings. To learn more about our Time-of-Use rate, call 702-402-1111, press 1 for residential, and then press 3 for the TOU rate. With an Off-Peak rate of approximately $0.08 per kWh, the TOU rate has the potential to save you a bundle of money!

How did you calculate summer bill savings of up to $12 ($24 for TOU) for Thermostat Customers? First we assumed full participation, since you can choose not to participate in any single event. Then, the average customer will save approximately 100 kWh per central A/C unit for full participation (about 100 hours). At approximately $0.12 per kWh on the regular rate, this equates to $12 in bill savings. At approximately $0.24 per On-Peak kWh on the Time-of-Use (TOU) rate, this equates to $24 in bill savings. To learn more about our Time-of-Use rate, call 702-402-1111, press 1 for residential, and then press 3 for the TOU rate. With an Off-Peak rate of approximately $0.08 per kWh, the TOU rate has the potential to save you a bundle of money!

How does the new Cool Share program potentially provide more benefits for Receiver Switch Customers? For participants with one receiver switch the total annual benefits will be similar with full participation; however, benefits could be greater--up to $63--if Cool Share is leveraged with the TOU rate (nevadapower.com/tou). Participants who have two central air conditioning units would receive up to $112 in total annual benefits on the regular residential rate and up to $126 on the TOU rate for full participation!

How does the new Cool Share program potentially provide more benefits for Thermostat Customers? The Thermostat is yours to keep, and customers with more than one thermostat could significantly increase their Earning and their Savings. Save up to 20% on your energy bills year round by programming temperature set-back periods on your thermostat. If you have trouble, call us, or go online. We've made it very easy and are here to help.

Can't I just stay with Cool Credit? No. The pilot program ends on September 30, 2007. After that, your participation will automatically be transferred to the Cool Share program. It is important to know that no action is necessary on your part, if you wish to automatically be enrolled in the new Cool Share program. You do not need new equipment or to schedule any appointments. Just call us if you want to switch to the new Cool Share benefits structure right away.

Can I choose not to participate in Cool Share? Yes, all programs are voluntary. If you'd rather not participate in Cool Share, please call us at 702-402-1111 and we'll remove you from this voluntary program. However, if you choose to leave the program, then you won't be eligible to receive all of the cool benefits.