Slide 1: Advanced Modular CHP Systems
Advanced Modular CHP Systems “ecogen:) NASDAQ: TGEN
Slide 2: Safe Harbor Statement
Advanced Modular CHP Systems ‘Tecogen-ip te) Safe Harbor Statement This presentation included forward-looking statements within the meaning of Section 27-A of the Securities Act of 1933, and Section 21-E of the Securities Exchange Act of 1934. Such statements include declarations regarding the inten
Slide 3: Tecogen Core Business
Advanced Modular CHP Systems Tecogen <= Tecogen Core Business = Build, Sell, Install, and Service Advanced, Modular Combined Heat and Power (CHP) Systems = Proprietary Technology = Industry Leader Other Build/Sell/Service Business = Gas Driven Chillers = Gas Driven Heat Pumps (Ilios) = Ultra Emissio
Slide 4: Unique Benefits, Market Opportunity, Financial Strengths
Advanced Modular CHP Systems Tecogen _ Unique Benefits = Driven by High electric, low gas prices = Dramatic, long-term savings = Differentiated technology Market Opportunity Dramatic Improvements in DG Technology Market Resurgence = Significant growth in large markets (NY, CA) = Historic market barr
Slide 5: The Company
The Company Advanced Modular CHP Systems SS = Thermo Electron Research Center (now Thermo Fisher Scientific) = Long associations with US natural gas industry and national labs Key Stats = Headquartered in Massachusetts — 75 Employees = Nine service centers — ~ 50% of company revenue = 2000+ units sh
Slide 6: CHP Fundamentals
Tecogen:\ Advanced Modular CHP Systems = CHP is an efficiency measure = Basis is intrinsic low efficiency of central station power — Approximately 30-40% — Highly resistant to improvement = CHP relocates power generation to onsite — Waste heat purposefully used — Efficiency increased two fold (90%)
Slide 7: CHP Economics
Tecogen-) Advanced Modular CHP Systems = High electric rates, low gas rates drive CHP, Chiller savings — Electric rates are primary driver — Gas rates secondary — High efficiency is essential = Demand reduction contribute to savings — Punitive demand charges during peak use — Several demand charges
Slide 8: Other CHP Drivers
‘Tecogen-ip ‘Advanced Modular CHP Systems Other CH P Drivers Resiliance to Grid Failure — Aging grid infrastructure ~ Congested sub-stations — Storm, natural disaster vulnerability - Terrorism concerns CHP Better suited for urban environments = Wind, Solar not practical = Fuel cells cost prohibitive
Slide 9: Product Suite
T ‘ ee) Product Suite CHP Modules TECOCHILL Water Chillers llios Water Heaters . —— Electricity & Heat Cooling & Heat ra-low Emission Kits 9
Slide 10: InVerde Product Features
Tecogen-: Advanced Modular CHP Systems 100 kW base machine Widely deployed to 1.2 MW (no limit) Ultra Emissions compliant with CA standards Power converter certified as “utility” safe (UL 1741) Fast-track permitting Unique micro-grid system capability Fully operational during blackouts Standard feat
Slide 11: Tecochill Product Features
Tecogen=\ teCocHILL Product Features Advanced Modular CHP Systems Economic Comparison (800 ton) Std Efficiency _HighEffciency | Tecochill $(000s)/yr —ElectricChiller_ Electric Chiller. | (2x 400) = Significant savings over electric Electricity $144 $93 $36 chillers Peak Demand hi a — Electric tariff
Slide 12: Ilios High Efficiency Water Heating
Tecogen Advanced Modular CHP Systems llios 64% owned by Tecogen Commercial products in 2012 Displaces expensive boiler use High efficiency engine Water Source Unit Gaining Traction — Simultaneous heating and cooling — Displaces expensive electric and fuel — Ideal for manufacturing, industrial sites
Slide 13: Ultra Emission System
Tecogen ee) Emission System = Patent Protected Ultra Retrofit System Unltd pakly verification = Tecogen CHP, Chillers, llios Systems 42012) = Long-term tests = Stationary Engines v (2014) = Natural Gas Generators 42015) = Proven ina larger industrial = Small industrial mobile engines ant. 2016 engin
Slide 14: Ultra-Clean Emissions System
Patented Advanced te) Ultra-Clean Emissions System Ultra-Clean Emissions is an option on all Tecogen products. Retrofit kit installed at water district pumping station. Opportunity - all gas water pumping in Southern California Retrofit kit functioning ona standby generator for a large Southern Cali
Slide 15: Turnkey Business
Tecogen-) ose Turnkey Business = Successful program initiated in = Northeast in 2013 California = Southern Mid-Atlantic in 15 — Upgrade service center to provide = Expanded staff = Extraordinarily successful consulting and installation services Utilize team of subcontractors charged with well-define
Slide 16: Promising Confluence of Factors
Tecogen Advanced Modular CHP Systems Natural Gas = Abundant supply = Low cost = Preferred fuel/low carbon content i) Future Even More Vulnerability of Electric Power Grid = Exposed by natural disasters = Prolonged/ widespread = Outage security highly valued Promising Confluence of Factors Carbon Cur
Slide 17: Tecogen Revenue & Margins
Advanced Modular CHP Systems SS Tecogen Revenue & Ma = Three revenue streams — Product sales — Long-term service contract — Turnkey Installation through Tecogen service operations = Low cost basis of products — Excellent margins for products and service — Lean Manufacturing Platform = Total project
Slide 18: Sales and Marketing
Advanced Modular CHP Systems SS Sales Networ = 8 FT Direct Sales (MA, CA, FL, NY, CT) = Manufacturer Representatives = 30 Repsin 26 states/ 11 countries = Commision based = Sales Agents = 10 Independent project developers = Commision based = Energy Service Companies (ESCOs) = Large project developer
Slide 19: Product Deployment
Product Deployment edical, Educational, Industrial, Commercial and Multi-Unit Dwelling Advanced Modular CHP Systems eoogen
Slide 20: Competitive Positioning
Tecogen - see ose ie) Competitive Positioning CHP TECOCHILL Chillers | Ilios HeatingSystems * York / Caterpillar o Motlitciss Competition * Capstone, (new comparables p regional players , * Conventional * Gas absorption heaters Strength . pce aeact + IP, cost, efficiency, + IP, efficiency, g Ss : oe
Slide 21: Growth Strategy
Advanced Modular CHP Systems SS Expansion in Existing Markets Expansion of Tumkey Service Centers Ilios Platform Commercialization Leverage Emissions Innovation Acquisition Targets Growth Strategy Possess strong technical advantages Markets largely untapped Superior value proposition Leverage experi
Slide 22: Management Team
Tecogen-: Advanced Modular CHP Systems John Hatsopoulos, Co-Chief Executive Officer & Board Member = CEO since the company’s organization in 2000 = Co-Founder of Thermo Electron Corp., which is now Fisher ‘Scientific (NYSE:TMO) = AsThermo Electron CFO, grew company from a market capitalization of ~$
Slide 23: Board of Directors
Tecogen-: Advanced Modular CHP Systems Angelina Galiteva, Chairperson of the Board = Chairperson of the Company since 2005 = Founder and Chair of the Board for the Renewables 100 Policy institute, a non-profit entity dedicated tothe global advancement of renewable energy solutions since 2008 = Chair
Slide 24: Contact Information
Tecogen Advanced Modular CHP Systems Contact Information Company Information Tecogen Inc. 45 First Avenue Waltham, MA 02451 www.tecogen.com John Hatsopoulos, Co-CEO Tecogen Inc. 781.622.1122 John.Hatsopoulos@tecogen.com 24