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IBM, National Grid and the Long Island Power Authority to Address Performance and Energy Savings for Customers

Will Help Organizations Find Value in "Going Green"

LONG ISLAND, NY - 19 Nov 2008: National Grid, the Long Island Power Authority (LIPA) and IBM (NYSE: IBM) are working together on an energy-efficiency program to raise awareness and increase the use of energy-saving options in their customers' information technology operations. The three companies are collaborating as a result of their work with the Advanced Energy Research and Technology Center (AERTC).

IBM, National Grid and LIPA announced their plans at the AERTC 2008 Advanced Energy Conference on Long Island, N.Y.

Energy-efficiency programs like the ones these three companies are creating can help organizations identify and implement strategies that apply new technologies and best practices to reduce both energy usage and energy-related costs. Curtailing fast-growing energy demand from IT can also help lessen the need to build additional energy generation capacity, and thus avoid potential new greenhouse gas emissions.

The new, joint initiative is designed to:

This collaboration adds the strength of IBM's expertise in IT, software applications, and datacenter management to National Grid's and LIPA's current energy-efficiency services offerings.

"This new initiative will help IBM, National Grid and LIPA customers run their IT operations more efficiently," said Rich Lechner, vice president, energy and environment, IBM. "By taking advantage of the combined capabilities of our companies, the resulting set of solutions and services will help our customers reduce their energy use and improve the overall efficiency of their business, while at the same time doing good for the planet."

"Energy efficiency can help postpone the need to build additional generating facilities and it also provides tools our customers can utilize to control their own energy consumption, thereby lowering their monthly bills," said LIPA President and CEO Kevin S. Law. "It's the cheapest, cleanest and fastest way to meet Long Island's energy needs while reducing global warming pollution. We are proud to be partnering with IBM and National Grid in introducing efficiency concepts in datacenters."

IBM has intensified its focus on data center energy efficiency as part of, "IBM Project Big Green," the largest undertaking of its kind in the world. In addition to its comprehensive set of products and services to help clients meet their energy and environment goals, the company is taking action to improve its own operations. One project involves consolidating 3,900 servers to about 30 mainframes which IBM expects will save 80 percent on energy costs and 85 percent on datacenter floor space. One year into the project, the company has found that for each dollar savings in energy costs it has achieved, it has seen an additional six to eight dollars in operational savings.

Availability
The new energy-efficiency program will be deployed in early 2009. Customers interested in learning more about the program can write to Steve Cole (stevecol@us.ibm.com).

About the Advanced Energy Research and Technology Center
The AERTC is a partnership of academic institutions, research institutions, energy providers and industrial corporations. Its mission is innovative energy research, education and technology development, with a focus on efficiency, conservation, renewable energy and nanotechnology applications. National Grid, LIPA and IBM are AERTC partners.

About IBM
IBM's products and services for increased energy efficiency and climate protection address not only IT's own direct impact upon energy consumption and CO2 emissions, but also the ways in which IT can help solve the world's energy and climate challenges. Ranging from energy-efficient hardware, software and data centers to intelligent electric utility networks, support for solar development, carbon management, intelligent transportation systems and more, IBM's initiatives are responding to this global challenge consistent with the company's core value of "innovation that matters."

About National Grid
National Grid (LSE: NG) (NYSE: NGG) is an international electricity and gas company and one of the largest investor-owned energy companies in the world.

National Grid owns the high-voltage electricity transmission network in England and Wales and operates the system across Great Britain. It also owns and operates the high pressure gas transmission system in Britain and its distribution business delivers gas to 11 million homes and businesses. National Grid also has a number of related businesses such as LNG importation and storage, land remediation and metering.

In the US, National Grid delivers electricity to approximately 3.3 million customers in Massachusetts, New Hampshire, New York and Rhode Island, and manages the electricity network on Long Island under an agreement with the Long Island Power Authority (LIPA). National Grid also owns over 4,000 megawatts of contracted electricity generation that provides power to over one million LIPA customers. It is also the largest distributor of natural gas in the northeastern U.S., serving approximately 3.4 million customers in New York, Massachusetts, New Hampshire and Rhode Island.

About LIPA
LIPA, a non-profit municipal electric provider, owns the retail electric Transmission and Distribution System on Long Island and provides electric service to more than 1.1 million customers in Nassau and Suffolk counties and the Rockaway Peninsula in Queens. LIPA is the 2nd largest municipal electric utility in the nation in terms of electric revenues, 3rd largest in terms of customers served and the 7th largest in terms of electricity delivered. In 2006, LIPA outperformed all other overhead electric utilities in New York State in all three major reliability categories. LIPA does not provide natural gas service or own any on-island generating assets. More information about LIPA can be found online at: http://www.lipower.org.

For additional information please visit http://www.ibm.com/green or http://www.ibm.com/press.

Contact(s) information

Stephanie Rasmussen
IBM Media Relations
Office: 512-918-1794
rasmusen@us.ibm.com

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