Distributor Salesperson Training Presented by: Your Name HERE

1. Energy Policy & Conservation Act The new Ballast Luminous Efficiency (BLE) Metric Distributor Salesperson Training Presented by: Your Name HERE

2. EPCA & BLE Overview • The Energy Policy & Conservation Act (EPCA) was signed into law on November 14, 2011. As part of this larger Ballast Rule, a new linear fluorescent efficiency standard became law on January 13, 2012. • The new efficiency measurement standard for manufacturers is called BLE (Ballast Luminous Efficiency)and replaces the older Ballast Efficacy Factor (BEF) metric. • This law comes into enforcement on November 14, 2014. • This grace period allows manufacturers to make the necessary changes in design to meet the new efficiency standards. • After this date, the government will prohibit the domestic manufacture and importation of products that don’t meet the new standards. • This will not affect the sale of any completed units in inventory. Existing inventories can be sold until they are consumed. • This new DOE 2014 Ballast Rule requires higher efficiency in many of today’s linear fluorescent ballasts. It will affect nearly all non-dimming ballasts for linear lamps in the 120 – 277 volt range.  

3. Legislation Shift to Efficiency New efficiency requirements will continue to drive the market to higher efficiency T5, T8, dimming, demand response, and LED solutions. • What are the advantages of using BLE? • Clear view of ballast performance – lamp is only a load • No photometrics are needed – only electrical measurements • No reliance on lamp efficacy • Measurement is repeatable and reliable, minimizes error due to photometrics • More accurate measurement of ballast efficiency • Ballast is measured warm, as actual operation use condition, giving true picture of steady state performance Why did DOE change the efficiency metric? The metric, since 1984, has been Ballast Efficacy Factor (BEF). In 2011, the Ballast Luminous Efficiency (BLE) metric was created. Unlike BEF, BLE is based solely on electrical measurements and removes variability by measuring true power in and true power out of the ballast. BLE shows the losses inside the ballast only.

4. The BLE Calculation • You don’t really need to run the BLE calculation on your own – the Manufacturer will do this for you on their products. But, you should know how this new metric will impact efficiency. • New BLE minimums represent increases in efficiencies between 5.7% to 26.5% over the average of the currently available ballasts tested by the DOE. • This is a selling point for continued or further conversions away from outdated technologies. • BLE is defined as the total fluorescent lamp arc power divided by the fluorescent lamp ballast input power multiplied by the appropriate frequency adjustment. • BLE efficiency metric minimums were established for 7 product classes: • IS and RS commercial ballasts that operate 4’, 2’ U-shaped or 8’ slimline lamps • PS commercial ballasts that operate 4’, 2’ U-shaped or 4’ mini bipin lamps • IS and RS ballasts (not classified as sign ballasts) that operate 8’ HO lamps • PS ballasts (not classified as sign ballasts) that operate 8’ HO lamps • Sign ballasts that operate 8’ HO lamps • IS and RS residential ballasts that operate 4’, 2’ U-shaped or 8’ slimline lamps • PS residential ballasts that operate 4’ or 2’ U-shaped lamps

5. Coverage, Requirements, & Exceptions The new Ballast Rule encompasses more ballasts than ever before. Previously, only ballasts that operated one or two T12 lamps needed to be measured and reported to DOE. The new rule covers almost all T5, T8 and T12 ballasts. Coverage: • Manufactured on or after November 14, 2014 • Manufactured in, or imported into, the United States • Operate nominal input voltages at or between 120V and 277V. • Includes sign ballasts • Includes residential ballasts Requirements: • Non-residential ballasts: Power Factor ≥ 0.90 • Residential ballasts: Power Factor ≥ 0.50 • Residential ballasts: FCC 47CFR Part 18 consumer limits • Designed, labeled, marketed • Sign ballasts: UL Type 2 rating • Designed, labeled, marketed • All ballasts must meet BLE standard Exceptions: • 347V and 480V ballasts • Export ballasts (must be labeled) • Dimming ballasts designed to dim to 50% or less of max output • Magnetic T8 ballasts for EMI-sensitive environments (must be labeled) • Low BF (.71) programmed start ballasts that operate 4’ T8 lamps

6. Why BLE Matters Professionals in lighting design, lighting installation, property managers and contractors should all take note of the new ruling so they can plan accordingly for the new higher standards of efficiency. • For Manufacturers: • Starting November 14, 2014, the government will prohibit the domestic manufacture and importation of products that don’t meet the new standards. Many products already comply, but some do not. Manufacturers are evaluating their product mix to determine what models to reengineer or discontinue. These are the ballast types that are most impacted: • Most T12 electronic ballasts; • Most outdoor sign magnetic ballasts; • Older T8 and T5 instant start and programmed start ballasts. • For Lighting Designers: • Requesting input watts and ballast factor as derived from BLE ensures a level playing field in product comparisons. The ability to convert BLE to BEF allows fixture designers to continue using BEF as a design parameter. The BEF equation is still BEF = 100*Ballast Factor / Input Power. • Both LEED and Energy Star building certifications are experiencing rapid market adoption and growth, and are spearheading the movement toward “greener” buildings. Certification is earned by gaining credits for energy reductions and reducing lighting consumption. Dimmable solutions are top choice! • Rebates and incentives are becoming quite attractive for owner investments, as the average rebate improves payback by 20-25%. Remember there are EPACT tax incentives too. Many utility companies offer rebates for lighting controls, which will help the building manager / facility manager with a faster payback. • For End Users (e.g. contractors): • Efficiency is the performance parameter for CEE and the NEMA Premium Ballast Program. This program is still a great resource for contractors to find the most efficient products within specific categories. • For Distributors: • With DOE legislation taking effect in November 2014, most of the existing T12 products and a number of T8 products will no longer be manufactured. Distributors should be able to purchase as normal until manufacturers phase out the products. • The efficiency requirements will drive the market to higher efficiency T8, T5, dimming, demand response, and LED solutions. • Look to the NEMA Premium program and CEE for the highest efficiency ballasts available today. Most of Universal’s highest efficiency ballasts are on these lists. • Contractors will ask for input watts and ballast factors. Distributors will want to be armed with this info so they can answer their customer’s questions quickly. This data will continue to be published on the Universal website (via spec sheets). • New building energy regulations continue to grow stricter, demanding not only energy efficiency, but also higher levels of controllability. In Oct. 2013, all states must certify they have a commercial building energy code in place at least as stringent as ASHRAE/IES 90.1-2010 or justify why they cannot comply.

7. CEE & NEMA Premium • Efficiency remains the cornerstone of the CEE and NEMA Premium Ballast Programs, and continues to be a great resource for the highest efficiency products available on the market today. The NEMA Premium Electronic Ballast Program provides the method for identifying the most efficient T8 fluorescent ballasts available in the market and identifies models that are consistent with the Consortium for Energy Efficiency (CEE) specifications for high performance lamps and ballasts, tested in accordance with ANSI C82 Standards. Approved ballasts carry the NEMA Premium logo on the specification sheet and product label. The NEMA Premium ballast list can be found at this web address: http://www.nema.org/technical/pages/nema-premium.aspx The Consortium for Energy Efficiency (CEE) provides a list of “High Performance” 4’ T8 lamps, ballasts and dimmable ballasts which meet the CEE specification. CEE launched in November 2004 and was updated in 2007 to include reduced wattage T8 systems. The lists on their website are updated monthly and available for download. The CEE website is: http://library.cee1.org/content/commercial-lighting-qualifying-products-lists The DOE has a Compliance Certification Database of all compliant product, and it should be viewed as a new resource. Their database will list all the ballasts that ballast manufacturers submit to the DOE. This should be the most comprehensive list of products. However, this data is not yet complete, but it will be comprehensive and viewable by November 2014. http://www.regulations.doe.gov/certification-data/

8. Incentive Programs • Demand Response Programs • The rising demand for energy has resulted with an increasing number of utilities implementing Demand Response (DR) programs. • Consumers in these markets will be demanding manual or automatic dimming and energy management lighting controls to take advantage of the incentives offered, as well as to avoid associated Peak Demand charges. • Energy Incentive Rebate Programs • Many state and utility rebate programs moving away from standard lighting upgrades and toward controllable systems. • Example: National Grid – Non-Residential Energy Efficiency Program • Eligible Technologies: Lighting, Lighting controls/sensors • Amount: Linear Dimming Fixtures: $15-50/fixture, Lighting Sensors: $20-60/sensor

9. DSIRE Database For a list of rebates and energy incentives by state visit the Database of State Incentives for Renewables and Efficiency (DSIRE) website. Universal’s website links to the DSIRE Database: http://www.dsireusa.org/ Click the state in question to view the available energy rebates. Select the state or utility rebate program for your area/ DSIRE summarizes the rebate program offering, and has a link directly to the program’s site for more information.

10. LEED & EnergySTAR Building Certifications Both LEED & EnergySTAR building certifications are experiencing rapid market adoption and growth, and are spearheading the movement toward “greener” buildings. Certification is earned by gaining credits for energy reductions and reducing lighting consumption. • These certifications require strict energy standards to be met. • The greater the energy reduction, the more credit earned toward the certification. • Lighting energy consumption is a top choice for reductions because of, “low hanging fruit,” and because of a better ROI than HVAC reductions. • Dimmable lighting systems offer the best results. • Energy-efficient ballasts/fixtures • Integrated sensors and switches • Control system scheduling

11. Universal Products – Plan to Remain Universal is working to proactively position ourselves for 2014. The transition process out of catalogs that are being discontinued has been underway for several months. Listed here and on the following pages, by category, are all core ballast catalogs that will remain in our line. This will allow you to select products with confidence. Items marked as (“NPI” or new product introductions) are currently in development and will be launched sometime in 2014, prior EPCA effective date. Expect to see additional communications as these products become available.

12. Universal Products – Plan to Remain

13. Universal Products – Plan to Remain

14. Thank you! The ruling specifies that manufacturers cannot manufacture covered products after Nov 2014. Manufacturers will still be able to sell already produced inventory for a limited time. Distributors should be able to purchase as normal until manufacturers phase out the products. • Be Proactive (but not too proactive)! Be aware that the SKUs will be changing. These will be a gradual shift, so while you will want to begin transitioning to the remaining line, you will want to not yet abandon selling the SKUs that will be obsolete. • Educate Your Customers! Inform and educate your customers. Discuss how and when the changes will impact the product line. • Use NEMA Premium ballasts list for T8s. For now, use the highest efficiency T8 fluorescent ballasts on our line (which is the ULTim8 family). Gradually you will transition to the line that will be remaining. The NEMA Premium ballast list for T8s can be found here: http://www.nema.org/technical/pages/nema-premium.aspx • Use the CEE ballasts lists. Go to the Consortium of Energy Efficiency and check their website for a list of CEE ballasts (high efficiency, and dimming). CEE’s commercial lighting qualifying list can be found here: http://library.cee1.org/content/commercial-lighting-qualifying-products-lists For more information, please discuss with your Agent, RSM or visit our website at www.unvlt.com. This presentation is not meant to replace the current DOE policy in interpretation. It is meant only as broad interpretation subject to DOE modifications. As always, for current and complete details regarding the DOE rules and regulations, please see their website.