SUMMARY OF KEY TERMS OF COMPENSATION ARRANGEMENTS WITH BERKSHIRE HATHAWAY ENERGY COMPANY NAMED EXECUTIVE OFFICERS AND DIRECTORS

Berkshire Hathaway Energy Company's ("BHE") continuing named executive officers each receive an annual salary and participate in health insurance and other benefit plans on the same basis as other employees, as well as certain other compensation and benefit plans described in BHE's Annual Report on Form 10-K.

The named executive officers are also eligible to receive a cash incentive award under BHE's Performance Incentive Plan ("PIP"). The PIP provides for a discretionary annual cash award that is determined on a subjective basis and paid in December. In addition to the PIP, the named executive officers are eligible to receive discretionary cash performance awards periodically during the year to reward the accomplishment of significant non-recurring tasks or projects. Mr. Gregory E. Abel has not been granted discretionary cash performance awards in the past five years. Mr. Patrick J. Goodman and Ms. Natalie L. Hocken are participants in BHE's Long-Term Incentive Partnership Plan ("LTIP"). Mr. Abel does not participate in the LTIP. A copy of the LTIP is incorporated by reference to Exhibit 10.9 to BHE's Annual Report on Form 10-K for the year ended December 31, 2014. Mr. Abel is a participant in BHE's Incremental Profit Sharing Plan ("IPSP"). Mr. Goodman and Ms. Hocken do not participate in the IPSP. A copy of Mr. Abel's IPSP is incorporated by reference to Exhibit 10.2 to BHE's Annual Report on Form 10-K for the year ended December 31, 2013.

Base salary for continuing named executive officers for BHE's fiscal year ending December 31, 2016, is shown in the following table:

Mr. Abel is a director of BHE, but does not receive additional compensation for his service as a director other than what he receives as an employee of BHE. The other members of the BHE board of directors do not receive compensation for their service as directors.