Page 2 - UTC 2023-24 Proposed Membership & Engagement Strategic Framework and Marketing Plan Part One

Next-Level Approaches For UTC Growth and

Engaged Utilities Of The Future

UTC 75 Years. Serving Utilities. Serving You.

OVERVIEW

The Utilities Technology Council (UTC) is a global trade association that serves critical infrastructure providers
in the electric, gas, and water industries. Through advocacy, education, and collaboration, UTC creates a
favorable business, regulatory and technological environment for companies that own, manage or provide
critical telecommunications systems in support of their core business. UTC was founded in 1948 to advocate
allocating additional radio spectrum for power utilities. Over the last 75 years, UTC has evolved into an
organization representing electric, gas, and water utilities, natural gas pipelines, and transportation providers.

Of the major issues confronting utilities today (expense reduction, industry consolidation, regulation, and
business process standardization), the imminent loss of critical skills and the knowledge base of an aging
workforce approaching retirement represents a demographic tsunami, a force unprecedented in business
history.

The foundation of any utility is providing reliable service, be it keeping the lights on or safely providing gas or
water. That’s increasingly difficult in a world where service disruptions due to weather and increasing
electrification make resiliency and reliability a significant challenge.

The U.S. utility sector is undergoing significant changes impacting companies of varying sizes and service types.
In the electric power sector, more frequent extreme weather events are increasing stress on the grid and
impacting system resilience. New renewable energy resources, especially those further away from the load
center, highlight the urgent need for new transmission infrastructure to integrate these resources to the grid.
Gas pipeline utilities have heeded calls to replace vulnerable parts of their distribution systems in light of several
high-profile incidents. The highly fragmented water utility industry is dealing with its unique infrastructure
replacement needs, which also feature prominently in national discussions.

Deloitte US states, "In 2023, supply chain snags, rising costs, and extreme weather will likely continue plaguing
the power and utilities sector. But promising trends in innovation and investment, buoyed by recent legislation,
can help the sector fulfill its mission to provide increasingly secure, reliable, clean and affordable electricity."
"Inflation, high fuel costs, and supply chain snarls may keep electricity prices elevated, while extreme weather,
cybersecurity threats, and the growth of variable renewables and distributed energy resources may continue to
require innovative management to ensure grid reliability. Despite these challenges, new technologies and
supportive policies could ripen opportunities in 2023 and help the industry achieve its goals."

In addition to the above-stated challenges, the harsh reality of a disappearing workforce -- with 50% of the
utilities workforce set to retire over the next decade, the retirement wave will create a mass loss of field
technicians, operators, engineers, managers, supervisors, and clerical and administrative staff—resulting in
utilities losing critical knowledge.

All these SHIFTS mean that UTC needs to evolve to remain relevant. UTC's voice needs to be at the forefront of
leading changes legislatively, nationally, and state-wide.