Disclosure on Management Approach - Enel for its customers

The energy market is under increasing strain.
On the one hand, consumers are more and more concerned about the big issues raised by energy: supply, cost, consumption containment, new sources, and environmental impact. On the other, market liberalization stimulates consumers, creating new choices and demands.
For Enel, understanding these needs is essential for the creation of an increasingly customer-based corporate culture and the improvement of their satisfaction. For this reason, the Company launched “A Customer for a Friend”, an innovative project that throughout 2009 allowed over 3,000 electricity and gas customers to have at their disposal a totally dedicated corporate consultant and even to be involved in establishing the instruments that they themselves will use in the future.

Another project regarding the excellence of service quality implemented in 2009 was “CRMotto”, which the Sales Division designed to simplify the operating processes of electricity and gas and speed up the service by integrating frontoffice systems with those of metering, billing, and credit.
The year-long trial period constituted a veritable test bench to check the functioning of the IT solution and the connection among the various areas of Enel Energia, such as Marketing, Sales, and Customer Service. Then, on August 31 - about a year after the trial period had begun - CRMotto was launched. The approximately 5,000 employees engaged in managing free-market customers received 100,000 hours of training, beginning in June, to enable each of them, using the new CRM, to make his or her contribution to improving the quality of customer service.

With 32 million electronic remote-managed and remote-read meters installed in Italy, Enel is unique in the world and a benchmark for the European Union. And 13 million more will be installed
in Spain by the end by 2015. The electronic meter is a device that will turn the current networks into those of the future, smart grids, but it is also a cultural instrument, because it makes customers aware of their energy consumption and motivates them to use it more and more intelligently.
Through the large research project on smart grids financed by the European Union and coordinated by Enel Distribuzione, the 25 ADDRESS participants – companies, research centers, and universities in 11 countries – sketched out the new network architecture to work on. This architecture was officially presented, together with the first results of the work groups, during the second general assembly of ADDRESS at the Enel Auditorium in Rome at the end of May 2009.
By 2012, Enel intends to create a network system that allows a smart use of energy by developing not only technical solutions, but also functional and behavioral models that can break down social, economic, and cultural barriers and develop in customers the awareness of their consumption profile and provide an incentive for them to actively participate in the demand for energy.

Optimization of service quality is also the goal of the Work Force Management (WFM) project. This is part of a set of projects and actions aimed at improving the efficiency and effectiveness of the processes of Enel Distribuzione and through which a series of new technologies have been introduced that engage employees working locally throughout Italy.
The functions currently available have been implemented and integrated with the WFM program, which started up in 2007 and through which a number of technological instruments have been put at the operating personnel’s disposal.
Among these are surfing on commercial cartography and surfing on Enel-owned cartography, together with applications for network inspection and maintenance and management of remote-management and remote-control equipment.
The capital expenditure planned during the time frame of the Development Plan regards the extension of the equipment concerning the WFM project, such as pc tablets to support the technical activities carried out on the network and fitting out vehicles with WFM equipment and mobile laboratories for identifying malfunctions, as well as application software to improve the overall functioning of the WFM technological infrastructure.
Thus the WFM system aims to improve service quality, the quality of the safety management systems, and the quality of the processes, activities, and operating efficiency of the personnel involved.
In Spain, 2009 saw the creation of the Málaga Smartcity project, which aims to concentrate a wide range of sustainable technologies in the city. This is a new model conceived to increase energy efficiency, reduce CO₂ emissions, and enhance the role of renewable energy. The project is led by Endesa, which coordinates a group of fifteen companies and research institutes.
Smartcity is meant to integrate renewable energy optimally in the electricity network by installing photovoltaic panels in public buildings, using microgeneration electricity in hotels, and installing small wind turbines in the area. In addition, other systems will be used to store in batteries energy for air-conditioning buildings, street lighting, and urban mobility. To improve such mobility, the use of electric cars will be increased by installing re-charging stations and introducing an experimental fleet of vehicles.
In general, the project will try to involve end users in all stages of the process.
All customers will have the new electronic meters, which enable them to consume electricity in a smarter way. Furthermore, the installation of advanced telecommunications and remote-control systems will enable operations on the distribution network to be performed automatically and in real time, with a consequent improvement in service quality.
The final objective of the project is to achieve a 20% reduction in the consumption of energy and to abate the emission of CO₂ by over 6,000 tons a year. Smartcity Málaga is one of the six major projects of this kind currently in progress in the world, together with Stockholm (Sweden), Malta, Masdar (Dubai), and Boulder and Columbus (USA), and is included in the European Union’s 20-20-20 Plan.