Distribution Best Practices Program

1. Distribution Best Practices Program October 2-4, 2012 Operator Qualification & Training Best Practices Roundtable Presentation - Computer Based Training Cost Benefits CenterPoint Energy Jerry V Gann Director – Texas Gas Operations 713-539-6357 Jerry.gann@centerpointenergy.com

2. Company Background Metrics Insert Service Territory Map • Number of Customers 3,282,487 • Miles of Main 71,442 • Number of Employees 3,053

3. Technical Training Staff

4. Training Process Before OQ • Training For Specific Tasks Were Given Once • Exception – Welding and Fusion Re-Qualification • Training Was Instructor Led • CNP Was Operating As Three Different Business Units • Most Training Was Performed At The Training Centers • The Current Process Was Not Going To Work For OQ

5. Vision For OQ • New Qualification Process Had To Be Decentralized • Centralized Record Keeping • Needed To Leverage New Technologies • Investigate Computer Based Training • Develop a Single Process For All Of CNP

6. Initial Obstacles And Opportunities • Forming a Cross Business Unit Team To Develop a Single OQ Program • OQ CBT Program Was Developed By An Industry Association • Technology – Desktop Computers And Internet Were In Their Infancy

7. OQ Plan Implementation • Develop a Master Covered Task • Identify All Tasks Performed By Gas Operations Employees • Identify Which Tasks Were OQ Covered Tasks (134) • Perform Job Task Analysis For Each Job Classification • Develop Training Curriculum • Purchase Off The Shelf Software And Customize • Develop Training and Field Evaluation Materials And Requirements For Each job Classification

8. OQ Plan Implementation • CBT Training Would Take Place In Local Offices • Knowledge Portion Of Qualification • Testing Areas Would Be Secured • Most Training Modules Have A 3 or 5 year Requalification Timeframe • Field Evaluations • Skills And Ability Portion Of Qualification • Some Covered Tasks Requires A Field Evaluation In Addition To The CBT Training Module • Field Evaluations Are Performed By Supervisors Who Have Been Trained To Perform The Evaluations

9. eWebOQ Platform • Employees Have Access From Any Company Computer • Centralized Record Keeping System, Updates As Employees Complete Modules • Management Can Access Employee’s OQ Records To See Who Is Due For Re-qualifications

10. eWebOQ

11. Benefits To Current Process • Ease Of Use • One Record Keeping System • Standardized Training • Regulatory and Litigation Tested • Cost Savings –Travel, Trainers

12. Why Your Company was Selected • Performance Metrics Rankings (sample metric)

13. Future Enhancements • Developing In House CBT Modules Made Specifically For Our Company • More Streamline Covered Task To CBT Module • DVD’s Will Not Be Required

14. QUESTIONS