Orion Energy Systems, Inc.

1. Orion Energy Systems, Inc. Achieving Energy Independence Guy Peterson Director of Marketing March 7, 2012 www.oesx.com NYSE Amex: OESX

2. The American Birthright • To enter a room, flip a switch and haveelectricity flow freely and inexpensively • To abuse every resource on the planet

3. The Right Goal In 1974 with 36.1% of oil from foreign sources: “At the end of this decade, in the year 1980, the United States will not be dependent on any other country for the energy we need.” – Richard Nixon

4. The Right Goal In 1975 with 36.1% of oil from foreign sources: “We must reduce oil imports by one million barrels per day by the end of this year and by two million barrels per day by the end of 1977.” – Gerald Ford

5. The Right Goal In 1979 with 40.5% of oil from foreign sources: “Beginning this moment, this nation will never use more foreign oil than we did in 1977 – never.” – Jimmy Carter

6. The Right Goal In 1981 with 43.6% of oil from foreign sources: “While conservation is worthy in itself, the best answer is to try to make us independent of outside sources to the greatest extent possible for our energy.” – Ronald Reagan

7. The Right Goal In 1992 with 47.2% of oil from foreign sources: “When our administration developed our national energy strategy, three principles guided our policy: reducing our dependence on foreign oil, protecting our environment, and promoting economic growth.” – George H. W. Bush

8. The Right Goal In 1995 with 49.8% of oil from foreign sources: “The nation’s growing reliance on imports of oil…threatens the nation’s security…[we] will continue efforts to…enhance domestic energy production.” – Bill Clinton

9. The Right Goal In 2006 with 65.5% of oil from foreign sources: “Breakthroughs…will help us reach another great goal: to replace more than 75 percent of our oil imports from the Middle East in 2025.” – George W. Bush

10. The Right Goal In 2009 with 66.2% of oil from foreign sources: “It will be the policy of my administration to reverse our dependence on foreign oil while building a new energy economy that will create millions of jobs.” – Barack Obama

11. The Right Organizations International 80 PLUS 2000-watt society IEA Solar Heating & Cooling Implementing Agreement Task 13 International Institute for Energy Conservation International Energy Agency (e.g. One watt initiative) International Electrotechnical Commission International Partnership for Energy Efficiency Cooperation World Sustainable Energy Days Australia Department of Climate Change and Energy Efficiency Department of the Environment, Water, Heritage and the Arts Sustainable House Day European Union Building energy rating Eco-Design of Energy-Using Products Directive Energy efficiency in Europe Orgalime, the European engineering industries association Iceland Marorka India 88888 Lights Out Bureau of Energy Efficiency Japan Cool Biz campaign Lebanon The Lebanese Center for Energy Conservation United Kingdom The Carbon Trust Energy Saving Trust National Energy Action National Energy Foundation United States Alliance to Save Energy American Council for an Energy-Efficient Economy (ACEEE) Building Codes Assistance Project Building Energy Codes Program Consortium for Energy Efficiency Energy Star, from United States Environmental Protection Agency‎ Industrial Assessment Center National Electrical Manufacturers Association Rocky Mountain Institute

12. The Right Question We’ve been trying to achieve energy independence for decades. Why haven’t we succeeded?

13. Building Capacity is Expensive By 2030, the electrical utility industry will need to make a total infrastructure investment of $1.5 to $2 trillion

14. Supply Side Options Traditional Coal Nuclear Wind $4.5 million/MW $8.2 million/MW $2.5 million/MW Future Coal T&D Photovoltaic $4.1 million/MW $8.1 million/MW $6 million/MW

15. Energy Sources/Generation and Losses

16. Electricity Generation and Losses

17. Government Subsidies Source: Environmental Law Institute

18. Government Process

19. Solution? EFFICIENCY! INNOVATION!

20. ενέργεια “The word "energy" incidentally equates with the Greek word for "challenge.” I think there is much to learn in thinking of our federal energy problem in that light. Further, it is important for us to think of energy in terms of a gift of life.” Thomas Carr

21. Orion Energy Systems, Inc. Technology Center and Manufacturing OperationsManitowoc, Wisconsin

22. Patented Product Portfolio • High Performance Lighting • Interior & Exterior • InteLite Energy Management Controls • Renewables

23. A Power Technology Enterprise 3 2 kW Base Line Usage: 596 kW REDUCE WATTAGE Retrofit interior & exterior lighting: - 134 kW REDUCE HOURS Reduction in compressed air operating hours Control of lighting operating hours - 60 kW RENEWABLES Turn lights off, use Apollo sunlight: - 122 kW Generate power with solar: - 250 kW Generate power with wind: - 70 kW kW Usage with Orion Technology: - 40 kW 1 1 2 3 Life Cycle Costs: w/ Incentive ($402,618): $0.04/kWhw/o Incentive: $0.0434/kWh

24. Other Success CCE’s new 60,000 sq. ft. sales center in Coachella, California is the first LEED-certified Coke facility in North America.

25. Other Success Other facilities have embraced renewables

26. Significant Impact $1.48 Billion Saved 1.15 Billion Sq. Ft. Retrofitted 139 Fortune 500 7,673 Facilities 12.4 Million Tons CO2 Removed 43 Completed 95Completed 364 Completed 19 Completed 9 Completed 108 Completed 153Completed 88 Completed As of February 2, 2012

27. The Right Observation “I don't care how much power, brilliance or energy you have, if you don't harness it and focus it on a specific target, and hold it there you're never going to accomplish as much as your ability warrants.” ZigZiglar

28. ThankYou Guy Peterson gdp@oesx.com 920-482-1972 www.oesx.com