Wolfe Research 2018 Power & Gas Leaders Conference Jim Robo Chairman and CEO, NextEra Energy October 3, 2018
Cautionary Statements And Risk Factors That May Affect Future Results This presentation includes forward-looking statements within the meaning of the federal securities laws. Actual results could differ materially from such forward-looking statements. The factors that could cause actual results to differ are discussed in the Appendix herein and in NextEra Energy’s and NextEra Energy Partners’ SEC filings . Non-GAAP Financial Information This presentation refers to certain financial measures that were not prepared in accordance with U.S. generally accepted accounting principles. Reconciliations of historical non-GAAP financial measures to the most directly comparable GAAP financial measures can be found in the Appendix herein. 2
NextEra Energy achieved strong financial results in the first half of 2018 NextEra Energy First Half 2018 Results Adjusted EPS (1) • NEE achieved year-over-year growth of ~12% in adjusted EPS • Continued execution on our best-in- class customer value proposition at FPL $4.04 – Regulatory capital employed growth of ~13% (2) year-over-year $3.62 • Outstanding origination success at Energy Resources – Added over 2,600 MW of renewables to backlog • Announced acquisition of Gulf Power, Florida City Gas and the Stanton and Oleander natural gas power plants – H1 2017 H1 2018 Florida City Gas closed in July 2018 – Gulf Power and natural gas plants granted Hart-Scott-Rodino antitrust clearance 1) See Appendix for reconciliation of adjusted amounts to GAAP amounts 2) Average over the first half of each year; includes retail rate base, wholesale rate base, clause-related investments, and AFUDC projects; reflects adjustment related to removal of accumulated deferred taxes 3
Florida Power & Light’s focus is on providing customers low bills, high reliability and outstanding customer service FPL – Areas of Focus FPL Service Reliability (“SAIDI”) (4) FPL 1,000-kWh Residential Bill ~$138 $140 ~101 minutes ~$119 $120 ~$109 ~$99 $100 ~56 minutes $80 Good $60 $40 $20 $- FL IOUs National FPL FL Avg FPL FPL (2) (3) (1) 2006 2018 Average Average FPL Fuel Savings (5) FPL Operational Cost Effectiveness (6) $1,200 $10 Adjusted Regressed $100.00 $9 $1,009 Top Quartile $1,000 $8 Good Top Decile $7 $786 $813 $800 Cumulative $655 $6 Annual $672 $666 $644 $635 $631 Savings Savings $600 $541 $5 $486 ($ B) $515 $528 ($ MM) $/Retail $4 MWh $400 $357 $3 $243 $2 $200 FPL 2017 = $88 $1 Log/Log $12.44/MWh $- $- $10.00 2002 2005 2008 2011 2014 2017 1,000,000 10,000,000 100,000,000 1,000,000,000 Retail MWh 1) Based on a typical 1,000 kWh residential bill for September 2018 2) FL IOUs Avg consists of data from FPL, TECO, Duke Energy Florida, FPUC and Gulf Power; as of September 2018 3) Source: EEI; National Average as of January 2018 based on reporting utilities 4) System Avg. Interruption Duration Index; as reported to FL PSC for 2017; FL Avg. consists of data from TECO, DEF and Gulf 5) Fuel savings computed using historical system generation, fuel costs and actual system heat rates for the period, and an estimate of what the system heat rate would have been without the efficiency improvements 6) FERC Form 1, 2017; excludes pensions and other employee benefits; FPL costs exclude expense related to Hurricane Irma 4 write-off; holding companies with >100,000 customers; excludes companies with no utility owned generation
Gulf Power and Florida City Gas are an excellent geographic and strategic fit for NextEra Energy Transaction Overview • Addition of attractive regulated electric and natural gas franchises Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Tallahassee Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville Jacksonville – NextEra to extend its best in class value Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola Pensacola proposition of low bills, clean energy, high reliability and outstanding customer service to additional FL customers – Florida Public Service Commission has FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL Orlando Orlando Orlando Orlando Orlando Orlando Orlando FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL FL Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando Orlando provided a constructive and progressive regulatory environment • $6.475 B total transaction value: Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa Tampa – ~$5.1 B all cash consideration (expected to be financed with issuance of new debt) – Includes the assumption of ~$1.4 B of Gulf Power debt Florida Power & Light • Florida City Gas Gulf Power and natural gas plants Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Miami Gulf Power expected to close in first half of 2019 (1) • Florida City Gas closed in July 2018 Transactions expected to be $0.15 and $0.20 accretive to adjusted EPS in 2020 and 2021, respectively 1) Subject to FERC approval 5
Energy Resources’ competitive advantages position us well for continued renewables development success Energy Resources – Key Competitive Advantages 2017 Top 10 U.S. Capital Investors (1) Wind O&M (2) $/MWh ~$19 $20 ~$17 ~25% Reduction $15 ~$12 ~$11 ~$10 ~$10 $ B $10 ~$9 ~$8 ~$8 ~$8 $5 $0 A B C NEE D E F G H I 2014 2016 2018E (3) NextEra Average Site (3) Top Decile Site(3) Top Quartile Site Renewable Development Credit Ratings Longer-Term Pipeline NextEra Energy, Inc. Wind: 450-600 MW Solar:1,600-1,700 MW Wind: 4,500-4,800 MW Standard & Poor’s A- Solar: 600-700 MW Moody’s Baa1 Wind: 300-450 MW Solar: 600-700 MW Wind: 2,800-2,900 MW Solar: 3,400-3,500 MW A- Fitch Ratings Solar: 3,500-3,600 MW Wind: 7,950-8,100MW Solar: 1,900-2,000 MW 1) NEE internal estimates based on publicly available information 2) Wind O&M costs are reported herein on a per-gross-generation basis and include all expenses related to the operations and maintenance of each wind project owned and operated by NextEra Energy Resources. These costs include planned and unplanned maintenance of the wind turbines as well as electrical balance of plant - including labor, parts, materials and consumables and exclude all G&A costs 3) Top quartile and average O&M costs based on average of two independent studies. Top decile performance based on one 6 independent study
Energy Resources backlog of future renewables projects has never been stronger Energy Resources Renewables Backlog (1) (MW) ~7,400 ~5,000 ~3,700 ~2,900 ~2,400 ~2,100 Q4 2013 Q4 2014 Q4 2015 Q4 2016 Q4 2017 Q2 2018 Wind Solar Repowering Energy Storage Year to date 2018, Energy Resources announced ~2,600 MW of new PPAs – our best period ever 1) Energy Resources reported backlog 7
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