Northwest Natural : March 2021 Investor Deck

INVESTOR PRESENTATION

INVESTOR INFORMATION

COMPANY INFORMATIONFORWARD LOOKING STATEMENTS

NW Natural Holdings 250 SW Taylor Street Portland, OR 97204 nwnaturalholdings.com

Nikki Sparley

Director, Investor Relations [phone]

This and other presentations made by NW Natural Holdings from time to time, may contain forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, which are subject to the safe harbors created by such Act. Forward-looking statements can be identified by words such as "anticipates," "intends," "plans," "seeks," "believes," "estimates," "expects" and similar references to future periods. Examples of forward-looking statements include, but are not limited to, statements regarding the following: plans; objectives; estimates; timing; goals; strategies; future events; projections; expectations; acquisitions and timing; completion and integration thereof; storage, pipeline and other infrastructure investments; safety; system modernization and reliability; risk profile; commodity costs and sourcing; competitive advantage; marketing success; service territory; customer service; customer and business growth; customer satisfaction ratings; weather; customer rates and timing and magnitude of potential rate changes; price advantage; customer preference; conversion potential; business risk; efficiency of business operations; regulatory recovery; business development and new business initiatives; water and wastewater industry and investments including timing, completion and integration of such investments; environmental initiatives and remediation recoveries; gas storage markets and business opportunities; gas storage development, costs, timing or returns related thereto; dispositions and timing, completion and outcomes thereof; financial positions and performance; economic and housing market trends and performance; shareholder return and value; capital expenditures; technological innovations and investments; availability and sources of liquidity; strategic goals and visions; decarbonization and the role of natural gas and the gas delivery system, including use of renewables such as renewable natural gas and hydrogen; low carbon pathway; carbon emissions and savings; renewable natural gas projects or investments and timing related thereto; procurement of renewable natural gas for customers; workforce trends; diversity, equity and inclusion initiatives; hedge efficacy; cash flows and adequacy thereof; return on equity; capital structure; return on invested capital; revenues and earnings and timing thereof; margins; net income; operations and maintenance expense; dividends; credit ratings and profile; debt and equity issuances; the regulatory environment; effects of regulatory disallowance; timing or effects of future regulatory proceedings or future regulatory approvals; regulatory prudence reviews or deferrals; timing, outcome and effects of regulatory dockets or mechanisms or approvals, including, but not limited to, OPUC approval of the Oregon general rate case comprehensive stipulation; effects of legislation and changes in laws and regulations, including but not limited to carbon, renewable natural gas and renewable hydrogen regulations; gas supply; supply chain; effects, extent, severity and duration of COVID-19 and resulting economic disruption; the impact of efforts to mitigate risks posed by its spread, the ability of our workforce, customers or suppliers to operate or conduct business, COVID-19 expenses and financial impact and cost recovery including through regulatory deferrals, impact on capital projects, governmental actions and timing thereof, including actions to reopen the economy; and other statements that are other than statements of historical facts.

Forward-looking statements are based on our current expectations and assumptions regarding our business, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Our actual results may differ materially from those contemplated by the forward-looking statements, so we caution you against relying on any of these forward-looking statements. They are neither statements of historical fact nor guarantees or assurances of future performance. Important factors that could cause actual results to differ materially from those in the forward-looking statements are discussed by reference to the factors described in Part I, Item 1A "Risk Factors," and Part II, Item 7 and Item 7A "Management's Discussion and Analysis of Financial Condition and Results of Operations," and "Quantitative and Qualitative Disclosure about Market Risk" in the Company's most recent Annual Report on Form 10-K, and in Part I, Items 2 and 3 "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Quantitative and Qualitative Disclosures About Market Risk", and Part II, Item 1A, "Risk Factors", in the Company's quarterly reports filed thereafter.

All forward-looking statements made in this presentation and all subsequent forward-looking statements, whether written or oral and whether made by or on behalf of the Company, are expressly qualified by these cautionary statements. Any forward-looking statement speaks only as of the date on which such statement is made, and we undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law.

LEADERSHIP PRESENTING

DAVID H. ANDERSON • President and Chief Executive Officer

Mr. Anderson is currently NW Holding's President and CEO effective October 2018 and NW Natural's President and CEO effective August 2016. Since he joined NW Natural in 2004, Mr. Anderson has served in various executive positions over Operations, Regulation and Financial Matters, as COO and CFO. Previously, Mr. Anderson held executive positions within TXU Corporate including Senior Vice President and Chief Accounting Officer. Mr. Anderson holds a BBA in Accounting from Texas Tech University and held a CPA (retired) and CGMA.

FRANK BURKHARTSMEYER • SVP and Chief Financial Officer

Mr. Burkhartsmeyer is currently NW Natural Holdings' Senior Vice President and CFO effective October 2018 and NW Natural's Senior Vice President and CFO effective May 2017. Previously, Mr. Burkhartsmeyer served as President and CEO of Avangrid Renewables and Senior Vice President of Finance at Iberdrola Renewables Holdings US and also held various positions at PPM Energy, ScottishPower and PacificCorp. Mr. Burkhartsmeyer has an MBA from the University of Oregon and a Bachelor of Arts in Liberal Arts from the University of Montana.

KIMBERLY A. HEITING • SVP Operations and Chief Marketing Officer

Ms. Heiting is currently serving as NW Natural's Senior Vice President of Operations effective April 2018 in addition to her duties as Chief Marketing Officer (2013). Since she joined the Company in 1998, Ms. Heiting has served in various executive and director positions over Marketing, Communications, and Consumer Information. Previously, Ms. Heiting held management positions at Alltel and Bank of America. Ms. Heiting holds a Bachelor of Arts in Communications from the University of Iowa and a Master of Science in Communications from Northwestern University in Illinois.

JUSTIN B. PALFREYMAN • VP Strategy and Business Development & President NW Natural Water

Mr. Palfreyman is currently NW Natural's Vice President of Strategy and Business Development effective 2016. In addition, he is the President of NW Natural Water. Previously, Mr. Palfreyman was with Lazard, Freres & Co. serving as a Director in the Energy & Infrastructure Group and worked in the Infrastructure Investment Banking Group at Goldman Sachs in New York.

Mr. Palfreyman has an MBA and a Master of Public Policy from The University of Chicago, and a Bachelor of Business Administration from Pacific Lutheran University.

INTRODUCTION

NWN AT A GLANCE

Water & Wastewater Utilities

• • 63,500 people served

• • 26,300 connections

• • $110 million committed to date

• • Fast-growing service territories

• • Continued disciplined expansion

Gas Utility Gas Utility

• • 2.5 million people served

• • 2.5 million people served

  • • Over 770,000 connections

• • 770,000+ connections

  • • 14,000 miles of modern pipeline

• • 14,000 miles of modern pipeline

  • • $3.6 billion in assets

• • $3.5 billion in assets

  • • Fast-growing service territory in

• • Fast-growing service territory in

Oregon & Southwest Washington Oregon & Southwest Washington

KEY THEMES AND 2020 RESULTS

• • Reported net income from continuing operations of $2.30 per share for 2020 reflecting contributions from Oregon 2020 and Washington 2019 rate cases and customer growth, offset by higher depreciation & COVID

• • Invested over $270 million in our utility systems to support growth and greater reliability and resiliency

• • Continued to provide customers with essential natural gas and water utility services during COVID-19

• • Received Oregon rate case order providing an estimated annual pre-tax earnings benefit of $45.1 million

• • Scored second in the West for large utilities in 2020 J.D. Power Gas Utility Residential Customer Satisfaction Study

• • Completed rulemaking for Senate Bill 98 enabling our gas utility to procure renewable natural gas (RNG)

• • Announced we're partnering with an Oregon electric utility to work toward a renewable hydrogen facility

• • Signed first RNG investment for ~$8 million with potential for a total investment of $38 million with Tyson

• • Increased dividends for the 65th consecutive year

• • Closed five water and wastewater utility transactions, including first transaction in Texas

Executing on Strategy

CORPORATE STRATEGY

Our Mission

We provide safe, reliable and affordable essential utility services in an environmentally responsible way to better the lives of the public we serve

Our Values

Safety Integrity Service Ethic Caring

Environmental Stewardship

CONSERVATIVE STRATEGY

Stable gas and water utility margins through progressive regulation

• • Gas utility: weather, decoupling, and environmental cost recovery mechanisms in Oregon

• • Constructive relationships with regulators and customer groups benefit both gas and water utilities

Excellent operations and efficient cost structure

• • Commitment to safety, reliability, and high-quality service

• • Continued focus on efficient business operations

Long-term growth opportunities that fit NWN's profile

• • GAS UTILITY: strong cap-ex profile with attractive and growing service territory driving above-average customer growth compared to peers

• • MIST FACILITY: high-value long-term contracts, asset management revenues, North Mist expansion

• • WATER & WASTEWATER: long-term, disciplined strategy to acquire water utilities and wastewater businesses in a highly fragmented industry with ample infrastructure investment opportunities

ESG LANDSCAPE & 2019 ACHIEVEMENTS

Published inaugural ESG Report in alignment with SASB disclosures and AGA Sustainability Template

Environmental

• ◼ On track to meet or exceed carbon savings goal of 30% by 20351

• ◼ Saved 275,000 metric tons of carbon in 2019, equivalent to taking 60,000 cars off the road

• ◼ Our north star and vision forward is being a carbon neutral energy provider by 2050

Safety

• ◼ No cast iron or bare steel pipe in natural gas system, making our system one of the most modern and tightest in the nation

• ◼ Met or exceeded pipeline safety requirements

• ◼ Proactive damage prevention programs reduced third-party damages by 19%

Full report at nwnatural.com/about-us

• 1 This is an emissions savings goal equivalent to 30% of the carbon emissions from our sales customers' gas use and NW Natural company operations from 2015

• 2 2019 J.D. Power Gas Utility Residential Customer Satisfaction Study for Large Utilities

Governance

• ◼ Maintained well-qualified, diverse, independent and active Board with appropriate business & risk oversight

• ◼ 100% of active NW Natural employees participated in ethics and compliance training

Customers & Employees

• ◼ Ranked #1 in the West for residential customer service2

• ◼ Over $1 million and 5,000 employee volunteer hours donated to nonprofits in our communities

• ◼ Made progress on diversity goals and introduced comprehensive new DE&I strategy

INVESTMENT TARGETS

Growth targets over the next five years include:

• • EPS growth of 3% - 5%1

• • Strong and growing dividend2

• • Customer growth 1.4%+ per year

• • Capital plan of $1.0 - $1.2 billion

• • Rate base growth of 4% - 6%1

• • Long-term strategy, incremental earnings growth and diversity

• • Deliberate and disciplined roll-up strategy

• • Maintenance cap-ex plan $40 - $50 million3

• 1 EPS and rate base growth forecasted for period 2021 - 2025; EPS growth rate uses mid-point of 2020 guidance range as base year

• 2 Future dividends are subject to Board of Director discretion and approval

• 3 Water cap-ex plan is based on projected needs of water and wastewater utilities acquired as of 12/31/20

Stable and Growing Return Proposition

COVID-19 RESPONSE

COVID-19

• o Continue to Serve Customers during COVID - Ongoing incident command and business continuity planning to ensure customer & employee safety especially during winter heating season. NW Natural and NW Natural Water are considered essential and continue to operate and serve customers without interruption. Following CDC, OSHA, & state specific guidance. Office employees continue to work remotely

• o Regulatory - All jurisdictions approved deferrals related to COVID costs. Term sheets have been approved in all jurisdictions and provide guidelines and timing related to resuming normal operations

• o Customers - In March 2020, we voluntarily and temporarily suspended disconnections and late fees and provided our annual bill credit in June 2020 totaling $17 million -a record amount. Term sheets outline timing of reinstating normal operating and collection processes as well as additional customer assistance. Continue to watch AR balances and commercial and industrial meter losses closely

• o Supply Chain - No significant disruptions experienced or currently expected, contingency plans in place, continue to secure necessary PPE

• o Capital Expenditures - Work continues without significant delays or meaningful impacts

• o Liquidity - Repaid short-term financings issued during March 2020 that strengthened liquidity amid COVID crisis

TERM SHEETS & DEFERRALS

Deferrals and term sheets approved in all jurisdictions. Term sheets provide guidelines and timing for resuming normal operations. Timelines were adjusted in Washington for residential and small commercial customers in February 2021.

Oregon	Washington	Idaho	Texas
Deferral Application	Approved	Approved	Approved	Approved
Key Term Sheet Dates
Reinstitute Disconnects:
Residential	4/15/2021*	Original 4/30/2021 Revised 7/31/2021*	N/A	6/14/2020
Small Commercial	12/1/2020	Original 4/30/2021 Revised 7/31/2021*	N/A	N/A
Large Comm/Industrial	11/3/2020	10/20/2020	N/A	N/A
Resume Late Fees:
Residential	10/1/2022*	Original 10/27/2021 Revised 1/27/2022*	N/A	5/15/2020
Small Commercial	12/1/2020	Original 10/27/2021 Revised 1/27/2022*	N/A	N/A
Large Comm/Industrial	11/3/2020	10/20/2020	N/A	N/A

* Jurisdiction retains discretion to re-evaluate date based on ongoing pandemic and economic conditions

RESILIENT BUSINESS MODEL

Pure-Play Utility Business Model

2020 Net Income

Favorable Customer Mix

2020 Natural Gas Utility Margin

MITIGATING FACTORS

~80% of Natural Gas Utility Margin is Decoupled

Housing Inventory

MonthsofInventory

25 20 15 10 5 0

1/1/2008

8/1/2008

3/1/2009

10/1/2009

5/1/2010

12/1/2010

7/1/2011

2/1/2012

9/1/2012

4/1/2013

11/1/2013

6/1/2014

1/1/2015

8/1/2015

3/1/2016

10/1/2016

5/1/2017

12/1/2017

7/1/2018

2/1/2019

9/1/2019

4/1/2020

11/1/2020

RMLS Data for Portland Metro

Residential Commercial Industrial Other

Total

Based on 2020 SEC financials

38% 21% 41% N/A

24% 78%

7% 5%

-% N/A

100%

100%

77%

~70% of Gas Utility Margin Earned during Heating Season
Q1 Q2	Q3 Q4
Sales Volumes 39% 18% (weather normalized)	9% 34%
Utility Margin 35% 18%	13% 34%
Net Income 70% -7%	-29% 66%

Based on 2020 SEC financials

NATURAL GAS UTILITY

GAS UTILITY OVERVIEW

• • More than 160 years of service in our communities

• • Largest stand-alone local distribution company in the Pacific Northwest

• • Serve 2.5 million people in more than 140 communities through over 770,000 meters in Oregon and southwest Washington

• • Consistently recognized for high-quality customer service by J.D. Power

• • One of the safest, most modern distribution systems in the country 18

SOPHISTICATED MARKETING

Affordable, Preferred, Growing

• • Growing communities with healthy permitting levels

• • Price advantage of heating with natural gas

  • • Up to 65% advantage over electric furnace

  • • Up to 15% advantage over high-efficiency heat pumps

• • Preferred by 8 out of 10 homeowners with recognition that natural gas is affordable, efficient, and preferable to electricity for heating and cooking1

• • Over 80% of survey respondents would pay $50,000 more for a median priced home that has gas amenities, relative to an all-electric home1

Significant Conversion Potential

• • Serve approximately 63% of single-family homes in service territory

• • About 400,000 potential conversions

• • Targeted marketing campaign using innovative, proprietary tool supporting strong conversion pipeline

1 Research study conducted by Escalent, Inc. December 2020

LEADING IN CUSTOMER GROWTH

20,000 18,000

GrossCustomerAdditions

16,000 14,000 12,000 10,000 8,000 6,000 4,000 2,000

-3.0%

2.5%Conversions

Construction

Net Growth Rate

2.0%

1.5%

1.0%NetCustomerGrowthRate

0.5%

0.0%

INVESTING IN GAS SYSTEM

Customer growth

• • New construction & conversions

• • Main extensions

Safety & Reliability

• • Recurring replacements

• • Enhanced system reliability to support growth

Facilities

• • Resource and operations center renovations

Technology

• • Cybersecurity & customer facing technology

• • Efficiencies and upgrades

• • Enterprise resource planning system

The timing and amount of the core capital expenditures and projects for 2021 and the next five years could change based on regulation, growth, and cost estimates. Additional investments in our infrastructure during and after 2021 that are not incorporated in the estimates provided will depend largely on additional regulations, growth, and expansion opportunities. Required funds for the investments are expected to be internally generated and/or financed with long-term debt or equity, as appropriate.

2017

2018

Customer Growth

System Capital Expenditures*

(In millions)

2019

Safety and Reliability

2020

Technology

*Chart is based on accrual cap-ex figures and excludes North Mist Gas Storage Facility construction costs

Five-Year Cap-Ex Approximately $1.1 Billion

~$300

2021F

2021F - 2025F

Facilities

RNG

PROGRESSIVE REGULATION

OREGON

WASHINGTON

KEY MECHANISMS:

Decoupling/WARM	✔
Purchased Gas Adjustment	✔	✔
Environmental Cost	✔	✔
Incentive Sharing(1)	✔
RATE CASE TEST YEAR	Forward	Historical(2)
RATE STRUCTURES:
ROE	9.4%	9.4%
ROR	6.965%	7.161%
Equity Ratio	50%	49%
2020 Rate Base(3)	$1.5B	$0.2B
(1) In Oregon, NW Natural shares PGA gains and losses

• (2) In 2019, SB 5116 was passed granting the WUTC authority to incorporate costs and capital up to 48 months after the rate effective date

• (3) Rate base is a 13-month average ending 12/31/20. Oregon rate base includes gas reserves and North Mist gas storage facility

FILED WASHINGTON 2021 RATE CASE

• o Filed request December 18, 2020 - based on continued system investment. An 11-month litigation period with new rates expected to be effective Nov. 1, 2021 and Nov. 1, 2022

• o Request Based on System Investments - Multi-year rate case to recover investments and costs for:

  • • System resiliency & reliability

  • • Headquarter leasehold improvements & rent costs

  • • Vancouver, Washington service center upgrades

  • • Consumer-focused technology investments

2019 RATE CASE Settled	2021 - 2022 RATE CASE Year 1 Year 2 Request Request
ROE	9.4% 9.4% 9.4%
ROR	7.161% 6.913% 6.913%
Equity/ LT Debt/ ST Debt Ratio	49 / 50 / 1 49 / 50 / 1 49 / 50 / 1
Rate Base	$173.7M $225.9M $247.3M
Revenue Requirement	+$5.1M +$6.3M +$3.2M
Net Income Benefit	+$3.9M +$4.7M +$2.4M

FINISHED OREGON 2020 RATE CASE

• • Filed December 2019 - OPUC issued order in October 2020 approving settlement. New rates were effective Nov. 1, 2020

• • Rate Base Growth - Settlement includes $242.1 million increase in rate base related to capital that strengthens and reinforces the natural gas system, necessary system maintenance and operational resiliency, and technology upgrades

• • Cost Recovery - Higher costs associated with new union contract, facilities, inflationary increases in payroll and benefits, and technology expenses

2018-19 RATE CASE Settled	2020 RATE CASE Original Request Order
ROE 9.4% 10.0% 9.4%
ROR 7.317% 7.298% 6.965%
Equity/Debt Ratio 50 / 50 50 / 50 50 / 50
Rate Base $1.20B $1.47B $1.44B
Revenue Requirement +$24.8M +$71.4M +$45.1M

ENVIRONMENTAL

STEWARDSHIP

25

ROLE OF OUR SYSTEM TODAY

NW Natural's System

• • Delivers more energy than any other utility in Oregon

• • Heats 74% of residential square footage in the areas we serve

• • Provides 90% of energy needs for our residential space and water heat customers on the coldest winter days

• • One of the tightest, newest systems in the country

• • Our residential and commercial customers' emissions account for just 6% of Oregon's total carbon emissions

Source: Oregon DEQ In-Boundary GHG Inventory 2015 data

OUR LOW-CARBON PATHWAY

VOLUNTARY GOAL: 30% CARBON SAVINGS BY 2035

Baseline: 2015 emissions associated with customer use & company operations

ON TRACK TO MEET OR EXCEED LOW CARBON PATHWAY GOAL

Our voluntary carbon savings goal of 30% by 2035 includes greenhouse gas emissions from our own operations and the use of our product by our sales customers

2019: Above Target Savings Rate. 275,101 metric tons of carbon dioxide equivalent saved.

This marks 21.3% of savings toward goal, ahead of necessary pace

2019 Source of Savings Mix

49%	43%	8%
Energy Efficiency	Smart Energy	Upstream Methane

DEEP DECARBONIZATION

How does the Pacific Northwest achieve an 80% reduction in economy-wide GHG emissions by 2050 from a 1990's baseline? What pathways are possible and what are the trade offs?

Believe natural gas will be critical to achieving deep decarbonization

• • All four separately commissioned Northwest studies show natural gas is pivotal to achieving deep decarbonization most affordably and reliably

• • NW Natural commissioned a study by premier environmental consultant, E3, to analyze how to achieve the goal while also serving peak energy needs on the coldest winter days

E3 study shows direct use of gas offers a viable, pragmatic path toward 2050 targets

• • Study showed that with a 25% blend of renewable natural gas, the region can achieve deep decarbonization more affordably by using the existing gas system already in place

  • • Recent Oregon Department of Energy study identified nearly 50 Bcf of RNG technical potential

  • • Assumes commercialization of gas heat pumps

• • Full electrification of heating would require:

  • • Perfect adoption and proper installation of "cold climate" heat pumps in 2 million existing homes and businesses

  • • The equivalent energy of 38 new large gas-fired peaker plants to serve 17 Gigawatts of new electric winter load

  • • At an estimated incremental cost that grows to $3 billion more annually by 2050

  • • Other electric scenario with more typical heat pump installations had an estimated incremental cost of $9.5 billion annually

NEW THINKING IS REQUIRED FOR FUTURE

What is the goal?

• • Emission reductions - as fast as can be done in an affordable way

How are we driving to a lower carbon electric system?

• • We didn't "cut the wires," we set out to decarbonize what went over them

-

From coal, to natural gas to more wind and solar

The same holds true for the gas delivery system

• • We deliver energy through pipes, what goes through them can change - From natural gas, to renewable natural gas and renewable hydrogen

We're committed to furthering decarbonization

• • Using a variety of tools and supportive policy, we see a path to carbon neutrality by 2050. This is our vision forward:

  • - RNG and renewable hydrogen,

  • - Deep energy efficiency, and

  • - End-use innovation

RENEWABLE NATURAL GAS

Turning the problem of waste into renewable energy

Wastewater Treatment Plants

Municipal

Solid Waste

Landfills

Dairies

Residues

Wood and Agricultural

GETTING TO ZERO

Renewable sources that do not contribute new carbon to the atmospherePartnership with cleaner electric systems to create seasonal and peak energy storage

Encouraging innovation in efficiency

FROM WASTE TO RENEWABLES

• • 130 RNG facilities operating today in the U.S. and Canada

• • Nearly 110 more are in development or under construction

• • We are working to interconnect 3 projects onto our transportation system in the next 12 months

• • Actively working to procure RNG for our customers in the near future

POWER TO GAS

Converting wind, solar, or hydro to renewable hydrogen for use in pipeline system

• • Partners with renewable electricsystem to solve the peak capacity gap

• • Blends into the existing pipeline system for immediate use

• • 100+ projects in Europe, 7 in North America

How to convert power to useable, renewable energy

Take excess renewable electric energyAdd water (electrolysis) to create hydrogen

Blend hydrogen (or create RNG by methanating with waste carbon) into pipeline

Use now or store for the future

GAS SYSTEM: FLEXIBLE RENEWABLE STORAGE

2019 U.S. Energy Output by Facility Type (MWh)

Natural Gas Withdrawals from

Underground StorageHydroelectric GenerationOutflows from Utility Scale

Batteries

• • Gas system has 2.5 times the energy of hydro facilities and about 1,500 times the energy delivered from current large-scale utility batteries

• • Existing facilities can be used to store renewable natural gas and methanated hydrogen

• • NWN's Mist storage can hold 6 million MWh of energy that can be delivered whenever needed

• • To replicate that with a Lithium-ion battery, that's $2 trillion at today's prices5

• 1.Source: EIA Weekly Natural Gas Storage Report - Withdrawals are calculated and aggregated from a weekly regional report.

• 2. To convert natural gas volumes to MWh for comparison, this figures uses a national average heat content of 1036 btu/cf and a direct energy conversion of 0.29307 MWh/MMBtu.

• 3.Source: EIA 923 Form - Hydroelectric and battery generation are pulled from generator level data identified with prime movers "HY" and "BA", respectively. Net generation is aggregated for hydroelectric generators and gross generation is aggregated for batteries.

• 4. The figure for hydroelectric generation is the total net generation from hydroelectric facilities and does not distinguish between what can and cannot be stored.

• 5.https://www.nrel.gov/docs/fy19osti/73222.pdf

ENABLING POLICY SUPPORT

WITH GROUNDBREAKING RNG BILL

• • Oregon law (SB 98) first-of-its-kind legislation that supports gas utilities purchasing renewable natural gas

  (RNG). Passed in 2019 and rulemaking completed in July 2020

• • Creates another path for RNG to become an increasing part of the Oregon's energy supply, one of the most effective ways to reduce emissions

• • Allows natural gas utilities to acquire RNG and hydrogen

• • Sets voluntary RNG portfolio targets for Oregon's natural gas utilities

• • Allows up to 5% of a utility's annual revenue requirement to be used to cover the incremental cost of RNG

• • Allows for investments related to RNG infrastructure, including production facilities, cleaning and conditioning equipment, and pipeline interconnections

• • Potential revenue source for communities to turn their waste into energy

2030

2035

2050

Oregon Senate Bill 98 supports RNG targets: 15%

20% 30%

RNG STRATEGY & NEAR-TERM OPPORTUNITIES

Dedicated RNG Team whose mission is to secure renewable supply for NW Natural customers and renewable resources in an effort to decarbonize the company's system

RNG Procurement Strategy is to prioritize contracts/investments that:

• • Can deliver RNG at the lowest incremental cost to our customers

• • Offer the largest possible volume of RNG over the next 5-10 years to help us meet SB 98 volumetric targets

• • Strive for the lowest impact to our annual revenue requirement cap of 5%

• • Include development or feedstock partners that have follow-on RNG opportunities

Strong Response to RNG RFP - Issued RFP in July 2020 after RNG rulemaking completed with strong response and provided market discovery information

Hydrogen Facility - signed MOU with Bonneville Environmental Foundation & local Eugene electric utility to develop proof of concept electrolysis project (estimated at 5-10 MW)

Hydrogen Testing - testing 5% hydrogen blend at NW Natural's state-of-the-art training facility with positive results and more testing planned in 2021

TYSON RNG PARTNERSHIP

RNG investment partnership signed in December 2020

• • Partnership encompasses options for four initial projects for an estimated $38 million investment

• • Exercised first option for ~$8 million project

• • Potential for additional RNG development projects at other Tyson food processing sites across U.S.

WATER

GROWING WATER UTILITIES

Increased Connections 4 Fold in 3 Years

• • NW Natural Water has 4x the connections it serves since its initial transactions in Dec. 2017

• • Today NW Natural Water serves 63,500 people through 26,000 water and wastewater connections

Expanding Footprint

• • Began strategy with two acquisitions in Pacific Northwest

• • Today also own a water utility in Texas, proving transaction capability beyond legacy service territory

Strong Organic Growth

• • Utilities in fast-growing areas with tuck-in potential

• • Organic customer growth of 2.8% in 2020

Continued Disciplined Acquisition Strategy

• • Intend to continue rolling up utilities near existing platform, while also exploring other high growth regions

PP&E Growth

$49

In millions

2020

2025

Acquisition Investment

$77

2021-2025 Planned Cap-Ex

$40 - $50 Million Planned

~$110 Investment To-Date

STRATEGIC RATIONALE FOR WATER

The water and wastewater sector aligns well with NWN's conservative risk profile and offers diversification, stable cash flows, and substantial long-term investment opportunities

• • Demand for water and wastewater is relatively inelastic

• • Stable, predictable cash flows

• • Aligns with our core competencies including:

  • - Customer service

  • - Developing and managing critical distribution infrastructure safely and reliably

  • - Environmental stewardship

  • - Constructive regulatory engagement

• • Existing constructive relationships with regulators that can be extended to water sector

• • Federal and state agencies driving upgrades to water and wastewater infrastructure

• • EPA estimates over $775 billion in water and wastewater capital needs nationally through 2040

• • Over long term, growing water business targeted to be an earnings driver and opportunity to deploy capital at attractive rates of return for infrastructure needs

Deliberate and Disciplined Roll-Up Strategy

NW NATURAL WATER AT A GLANCE

Closed

Pending(2)

Total

People served(1)	63,500	500	64,000
Connections	26,300	200	26,500

• (1) People served is based on estimated average household size for service territory

• (2) Pending transactions may be pending application to acquire and authorization to close of utility commission. We currently expected to close these transactions in 2021

WATER & WASTEWATER ACQUISITION OPPORTUNITIES

All Water and Wastewater Systems	Privately Owned Systems
Systems	Connections	Systems	Connections
Pacific Northwest	4,700	5.6M	2,760	511,000
Texas	5,739	17.3M	2,400	400,000
West of Mississippi	36,500	77.3M	16,700	9.1M
United States	71,325	202.0M	30,160	29.0M

Numbers in table above represent permanent community water and wastewater systems Source: Bluefield

FINANCIAL PERFORMANCE

STRONG LIQUIDITY

NW Holdings

• • $100 million credit facility

• • Expires in 2023

• • Extension for two additional one-year periods

• • Access to capital markets

NW Natural

• • $300 million credit facility

• • Expires in 2023

• • Extension for two additional one-year periods

• • Access to capital markets

• • Solid credit ratings(1)

NW Natural Credit Ratings(1)

(1)The above credit ratings are dependent upon a number of factors, both qualitative and quantitative, and are subject to change at any time. The disclosure of these credit ratings is not a recommendation to buy, sell or hold NW Holdings securities. AA- and A2 are secured debt ratings and A-1 and P-2 are commercial paper ratings

65 YEARS OF GROWING DIVIDENDS

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

2021 Indicated*

*Future dividends are subject to Board of Director discretion and approval

1 of only 3 Companies on NYSE with this Legacy

CONCLUSION

INVESTMENT THESIS

Stable and growing utility margins driven by targets over the next five years projections including:

• • EPS growth of 3% - 5%

• • Gas utility customer growth 1.4%+

• • Gas utility cap-ex $1.0 - $1.2 billion, projecting rate base growth of 4% - 6%

Excellent operations and efficient cost structure

• • Commitment to safety, reliability, and high-quality service

• • Continued focus on efficient business operations

Lower-Risk Growth

• • North Mist in gas utility segment provides additional regulated storage

• • Water strategy provides earnings diversity

Stable and Growing Return Proposition

APPENDIX

NET INCOME FROM CONTINUING OPERATIONS

Natural Gas Distribution (NGD)

• • Higher margin from new rates in Oregon and

  Washington along with customer growth

• • Investment in system led to increased depreciation & general taxes

• • COVID financial implications mitigated by temporary cost savings

Other

• • Higher water & wastewater revenues

• • Lower asset management revenues

• • Impact of 1.4 million share issuance

(1)Adjusted 2019 net income from continuing operations is non-GAAP and excludes the regulatory pension disallowance of $10.5 million pre-tax or $6.6 million and 22 cents per share after-tax. See "Non-GAAP Reconciliation" for additional information in Appendix

Adjusted1 2019 $2.41

2020 vs. 2019

NGD Margin $0.37

NON-GAAP RECONCILIATION

FY 2020	FY 2019
$ EPS	$ EPS

(In millions)

Net income from continuing operations	$70.3	$2.30	$65.3	$2.19
Regulatory pension disallowance(1)	-	-	10.5	0.35
Income tax effect of disallowance(1)	-	-	(3.9)	(0.13)
Adjusted net income from continuing operations	$70.3	$2.30	$71.9	$2.41
Diluted Shares	30.6	29.9

(1) Regulatory pension disallowance recognized in Q1 2019. Tax effect of adjustment is calculated using a combined federal and state statutory rate of 26.5% as well as a $1.1 million deferred tax asset specifically associated with the pension balancing account.

SUPPORTIVE MECHANISMS

• • Breaks link between earnings and consumption by removing incentive to increase usage

• • Employs use-per-customer decoupling calculation, which adjusts margin revenues to account for the difference between actual and expected customer volumes

• • Stabilizes collection of fixed costs for residential and commercial customers

• • Adjusts billings based on temperature variances compared to average weather

• • Applied from December through May of each heating season

• • Adjusts annual rates to reflect changes in expected cost of gas commodity purchases

• • Includes spot purchases, contract supplies, derivatives, storage inventories, in OR gas reserves

• • Includes temporary rate adjustments amortizing deferred regulatory account balances

• • Recovers environmental costs for sites attributable to each state at a rate of 96.68% in Oregon and 3.32% in Washington

• • Costs are subject to an annual prudence review in both Oregon and Washington, and in Oregon an earnings test1

• • Allows for deferral of environmental costs in both Oregon and Washington, and in Oregon the accrual of carrying costs

(1) To the extent the utility earns more than its authorized ROE in Oregon in a year, the utility is required to cover environmental expenses and interest on expenses greater than $10 million

(plus interest from insurance proceeds) with those earnings that exceed its authorized ROE

CURRENT UTILITY COMMISSIONERS

ChairCommissioners

OREGON COMMISSION (OPUC)	WASHINGTON COMMISSIONIDAHO COMMISSION (WUTC) (IUTC)	TEXAS COMMISSION (PUCT)
Megan Decker (D) • Appointed April 2017 • Term ends March 2021	David Danner (D)Paul Kjellander (R) • Appointed chair Feb 2013 • Appointed 2011 • Term ends Jan 2023 • Current term ends Jan 2025	DeAnn Walker (R) • Appointed Sep 2017 • Term ends Sept 2023
Letha Tawney (D) • Appointed May 2018 • Term ends May 2024 Mark Thompson (R) • Appointed Dec 2019 • Term ends Nov 2023	Ann Rendahl (D) Kristine Raper (D) • Appointed Dec 2014 • Appointed Feb 2015 • Current term ends Jan 2027 • Term ends Jan 2021 Jay Balasbas (R)Eric Anderson (R) • Appointed Feb 2017 • Appointed Dec 2015 • Term ends Jan 2023 • Term ends Jan 2025	Arthur D'Andrea (R) • Appointed Nov 2017 • Term ends Aug 2023 Shelly Botkins (R) • Appointed June 2018 • Term ends Sept 2025

DIVERSE RESOURCE PORTFOLIO

Gas Supply

• • 60% supply from Canada

• • 40% supply from the Rockies

• • Natural gas serves territory through one bi-directional pipeline

LNG Peaking Facilities

• • Portland LNG - 0.6 Bcf

• • Newport LNG - 1.0 Bcf

Mist Gas Storage Facility

• • Valuable asset - limited storage in the Pacific Northwest

• • 16 Bcf facility with 11 Bcf serving utility customers and 5 Bcf under long-term contracts

• • Utility can recall 5 Bcf to support customer demand

North Mist Storage Expansion

• • 4 Bcf expansion serves a single customer under long-term contract

MIST STORAGE FACILITY

Overview

• • In operation since 1989

• • Storage capacity at Mist 16 Bcf ─ 11 Bcf Core Utility ─ 5 Bcf Interstate Storage Services

Unique, Valuable Asset

• • Limited storage options in Pacific Northwest

• • Part of utility's diverse, reliable gas supply strategy

• • Utility can recall Interstate portion for Core Utility demand

• • Optimize non-utility portion and share revenues with utility customers

• • 5 Bcf under long-term high-value contracts

Mist Storage Capacity

BCF

18

15

12

9

6

3

0

Mist Storage Deliverability

BCF / Day

0.60

0.50

0.40

0.30

0.20

0.10

0.00

UtilityUtility Recall

Interstate

NORTH MIST FACILITY

• • Unique no-notice 24/7 storage service supporting gas-fired electric generating facilities that are integrating wind into energy generation mix

• • $149 million investment was immediately included in rate base once placed into service in May 2019

• • Contracted under 30-year agreement with single-customer (Portland General Electric)*

WATER TRANSACTIONS

Company	People Served	Connections	Location	Date Signed	Date Closed	Transaction Details
Salmon Valley Water Company	1,850	925	Welches, OR	12/18/2017	11/1/2018
Falls Water Company	17,531	6,187	Idaho Falls, ID	12/19/2017 6/28/2019 7/2/2020	9/13/2018 8/3/2020 2/9/2021	Falls Water Taylor Mountain Morningview
Cascadia	5,333	1,798	Whidbey Island, WA	5/15/2018 1/22/2019 11/2/2020	11/2/2018 5/1/2019 11/12/2020	Lehman & Sea View Estates/Monterra Del Bay Association
Sunriver Water & Environmental	20,070	9,396	Sunriver, OR	10/12/2018	5/31/2019
Gem State	2,087	835	Coeur d'Alene, ID	12/18/2018 3/21/2019 9/12/2019	7/31/2019 10/1/2019 4/2/2020	Spirit Lake East/Lynnwood Diamond Bar/Bar Circle S Happy Valley/Bitterroot
Suncadia Water & Environmental	6,847 3,220	Cle Elum, WA	10/12/2019	1/31/2020	Suncadia
T&W Water	9,743 3,897	Conroe, TX	10/31/2019	3/2/2020	T&W Water
Total Closed at 2/26/21	63,461 26,258
Hoffman Water	336 147	Coeur d'Alene, ID	12/18/2020	To be part of Gem State

Belle Oaks Water & Sewer

Total Pending

Total Closed & Pending

119

95

455 63,916

24226,500

Beaumont, TX

12/28/2020

To be part of T&W

RELIABLE RESILIENT RENEWABLE