Penned in 2011 under the leadership of Governor Mary Fallin, the Oklahoma First Energy Plan outlines the following overarching principles: Enhance all OK energy production to create jobs and grow the economy; Lead the transition in transportation fuels to reduce dependence on foreign oil; Build new markets for OK natural gas; Make OK an energy research leader through the creation of the OK Energy Initiative to leverage OK’s traditional and renewable resources with its world-class knowledge base. As it relates to natural gas and oil—the plan outlines specifically: Objective: Encourage the continued responsible development of natural gas and oil and promote new and existing market opportunities that enhance reliance on Oklahoma resources for economic growth. Promote Oklahoma’s flagship fuel, natural gas; Maintain the ability to develop Oklahoma oil and gas resources with hydraulic fracturing; Address the price differential between Oklahoma crude prices and global crude prices to correct marketplace distortions; Ensure the Oklahoma Corporation Commission has the capacity to carry out its statutory purpose; Increase the recovery of Oklahoma oil resources through CO2 enhanced oil recovery; Ensure refining regulations in Oklahoma remain effective while not impairing business development in the state; Ensure equitable assessment of ad valorem taxes across the state; Attempt to reduce litigation between oil and gas operators, producers, mineral owners, and surface estate owners. Objective: Drive a coordinated effort between states to reach a tipping point for the production of functional and affordable original equipment manufacturer alternative vehicles. Make new compressed natural gas vehicle purchases and conversions a viable and economic option for both the state and individual consumers; Strategically expand compressed natural gas and electric vehicle fueling and charging infrastructure; Clear transportation impediments in the marketing and distribution of new, increasing supplies of crude oil. Objective: Capture the benefits of energy efficiency and CHP opportunities in industrial processes. Encourage coordination between industry and utilities or firms specializing in recognizing and implementing efficiency potential; Explore programs and policies that encourage upgrading boilers and process heat applications with modern efficient equipment; Encourage load-leveling and peak-shaving practices through demand-side management opportunities and through favorable structured rates; Encourage utilities to allow reduced back-up capacity requirements or reduced fees associated with standby charges to encourage more robust investments in CHP applications; Employ emissions standards that account for efficiencies and evaluate industrial emissions based on the total useful energy actually produced, not simply the fuel put into the system; Evaluate the feasibility of providing feed-in tariffs or net-metering that allow compensation (based on the time of generation) for companies that put power back into the grid".

In 2009, the Oklahoma Corporation Commission (OCC) adopted natural gas energy efficiency rules with the goal of establishing fair and reasonable rules for planning and implementing energy efficiency programs that may receive cost-recovery treatment from the Commission. In 2011, the OCC approved 8 energy efficiency programs for Oklahoma Natural Gas Company, to be in effect from January 2011 to December 2013. (Cause No. PUD 201000143; Order 585366) In January 2013, Oklahoma Natural Gas requested approval of proposed energy efficiency programs 2014 - 2016. In addition, a request was made to increase the program administration budget. In 2011, the Commission approved CenterPoint Oklahoma’s program portfolio (Cause No. PUD 201000148) and CenterPoint Oklahoma began to implement the program portfolio thereafter in 2011. In June 2013 (Cause No. PUD 201300085), filed for approval of new energy efficiency portfolio for 2014-2016. CenterPoint requested approval of 9 energy efficiency programs. In October 2013 (Cause No. PUD 2010000148 , Order No. 616573) CenterPoint Oklahoma received approval of proposed energy efficiency programs for 2014-2016. Oklahoma Natural Gas and CenterPoint Oklahoma are allowed a shared benefit incentive plan for programs that pass the Total Resource Cost ("TRC") Test. The companies are allowed to collect 15% of the net benefits of such programs and 15% of the program costs for those programs that do not pass the TRC Test (Cause No. PUD 201000143; Order 585366 and Cause No. PUD 201000148; Order 683869).

CenterPoint utilizes a rate stabilization mechanism (Rider PBRC) to change its rates annually to reflect higher capital investment (rate base) and higher O&M costs relating to pipeline safety and other factors. For each twelve-month period ended December 31, a Commission determination shall be made pursuant to this PBRC Plan as to whether the Company’s revenue should be increased, decreased or left unchanged.

Oklahoma Natural Gas owns and operates multiple CNG stations in Oklahoma and has multiple CNG rate schedules (rate schedules 701 and 705) in its tariff. In June of 2012, Oklahoma Natural Gas Co. introduced a natural gas vehicle rebate program. Under the program, which was approved by the Oklahoma Corporation Commission, dedicated natural gas vehicles are allowed a rebate of $1,000. Bi-fueled vehicles, receive $500, and consumers interested in a home-fueling system are eligible for $1,000. These refunds were reduced from their amounts due to the overwhelming popularity of the program. The program is funded by a tariff mechanism that allows the ONEOK Inc. subsidiary to assess a surcharge of 25 cents per gasoline gallon equivalent at all public CNG dispensers owned and operated by the company. In January of 2014, CenterPoint Energy filed a proposed NGV tariff with the Oklahoma Corporation Commission in an effort to further facilitate the development of the NGV fueling infrastructure in Oklahoma and to support strategic initiatives concerning the NGV market within Governor Fallin’s state energy plan. The proposal is based upon the superior load factor of NGV fueling stations and provides for 1) lower distribution rates, 2) lower cost of gas for NGV fueling stations on sales service and 3) a lower administration fee for NGV fueling stations on transportation service.

CenterPoint Energy and Oklahoma Natural Gas operate under rate stabilization tariffs. CenterPoint Energy, Oklahoma Gas & Electric, ONEOK, and Public Service Oklahoma utilize riders to recover lost revenues associated with energy efficiency programs, and certain incentives. CER and ONEOK account for these items in their performance-based ratemaking plans. CenterPoint Energy and ONEOK also operate under weather normalization mechanisms. Oklahoma Natural Gas operates under a straight-fixed-variable rate design which consists of a two-tier that offers its customers a choice.