Sempra : CDP Climate Change Questionnaire

Sempra Energy CDP Climate Change Questionnaire 2021 Wednesday, August 18, 2021

Welcome to your CDP Climate Change Questionnaire 2021

C0. Introduction

C0.1

(C0.1) Give a general description and introduction to your organization.

Sempra (referred to in this questionnaire as "Sempra" or the "Company") is a California-based holding company with energy infrastructure investments in North America and 2020 revenues of $11.4 billion. We and our family of companies invest in, develop and operate energy infrastructure and provide electric and gas services to customers through regulated public utilities. We operate in what we believe are the most attractive markets in North America: California, Texas, and Mexico. Our businesses position us at the intersection of two broad trends: innovation in energy technology and infrastructure; and growing demand for lower-carbon energy. Sempra is committed to driving responsible strategies to meet the evolving market need for sustainable, resilient and affordable energy. This is critical to our ability to deliver long-term, sustainable value to our shareholders and other stakeholders. Our operating companies include:

• San Diego Gas & Electric Company (SDG&E), is a regulated public utility that provides electric services to, at December 31, 2020, ~3.7M consumers and natural gas services to ~3.4 million of those consumers, covering a service territory in Southern California that encompasses San Diego County and an adjacent portion of Orange County.
• Southern California Gas Company (SoCalGas), is a regulated public utility that owns and operates a natural gas distribution, transmission and storage system that supplies natural gas to, at December 31, 2020, ~22 million consumers, covering a service territory that encompasses Southern California and portions of central California (excluding San Diego County, the City of Long Beach and the desert area of San Bernardino County)

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Sempra Energy CDP Climate Change Questionnaire 2021 Wednesday, August 18, 2021

• Oncor Electric Delivery Company LLC (Oncor), is the largest regulated electric transmission and distribution company in Texas, working to provide safe and reliable service to ~10 million consumers.
• Infraestructura Energetica Nova, S.A.B. de C.V. (IEnova), develops, owns and operates, or holds interest in, energy infrastructure in Mexico in three key energy markets: gas, power and storage.
• Sempra LNG develops, builds, operates and invests in natural gas liquefaction export facilities, including natural gas pipelines and infrastructure, and buys, sells and transports natural gas through its marketing operations, all within North America.

C0.2

(C0.2) State the start and end date of the year for which you are reporting data.

	Start date	End date	Indicate if you are providing emissions data for past reporting years
Reporting year	January 1, 2020	December 31, 2020	No

C0.3

(C0.3) Select the countries/areas for which you will be supplying data.

Mexico

United States of America

C0.4

(C0.4) Select the currency used for all financial information disclosed throughout your response.

USD

C0.5

(C0.5) Select the option that describes the reporting boundary for which climate-related impacts on your business are being reported. Note that this option should align with your chosen approach for consolidating your GHG inventory.

Other, please specify

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Sempra Energy CDP Climate Change Questionnaire 2021 Wednesday, August 18, 2021

Operational control, but we also provide GHG data for the Cameron LNG facility where we have a 50.2% ownership share, but do not have operational control.

C-EU0.7

(C-EU0.7) Which part of the electric utilities value chain does your organization operate in? Select all that apply.

Row 1

Electric utilities value chain

Electricity generation

Transmission

Distribution

Other divisions

Gas storage, transmission and distribution

Smart grids / demand response

Battery storage

Micro grids

C1. Governance

C1.1

(C1.1) Is there board-level oversight of climate-related issues within your organization?

Yes

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Sempra Energy CDP Climate Change Questionnaire 2021 Wednesday, August 18, 2021

C1.1a

(C1.1a) Identify the position(s) (do not include any names) of the individual(s) on the board with responsibility for climate-related issues.

Position of	Please explain
individual(s)
Board-level	Sempra's Board of Directors' safety, sustainability and technology (SS&T) committee focuses on health, safety, security (including
committee	cybersecurity), technology, climate change, sustainability and other related environmental, social and governance (ESG) matters that
	affect the corporation, including employees, customers and the communities in which the Company operates. Six non-employee board
	members serve on the committee, which is briefed by the Company's compliance, technology, environmental, health, safety, security and
	sustainability officers and senior personnel.
	In 2020 and 2021, the board updated the charter of the SS&T Committee to strengthen and clarify the way in which the board oversees
	sustainability and other ESG matters. These changes included: expanding to more fully describe the committee's areas of oversight to
	include health, safety, security (including cyber security), technology, climate change, sustainability and other related ESG matters;
	adding language throughout the charter to more broadly reflect this oversight; describing the committee's role in liaising with other board
	committees to make recommendations to management and the board; adding language to clarify the committee's role in reviewing,
	evaluating and making recommendations to the board regarding technology applications that advance the company's health, safety,
	cyber security, climate change, sustainability and other ESG goals; and adding oversight responsibility for reviewing controls and
	procedures with respect to the creation of the annual sustainability report.
	As an example of decision-making related to sustainability, the SS&T committee was engaged in the development of the Company's
	framework for advancing the energy transition and emphasizing a climate-centered business strategy. This included specific greenhouse
	gas (GHG) emissions goals and key areas of investment that we expect will be central to global net-zero goals by 2050. We expect that
	investing in three key capabilities is needed: decarbonization, diversification and digitalization. As the Sempra family of companies
	develops and promotes new capabilities in these areas, it will help drive our ESG commitments to support long-term, sustainable value
	for all shareholders and our other stakeholders.

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Sempra Energy CDP Climate Change Questionnaire 2021 Wednesday, August 18, 2021

C1.1b

(C1.1b) Provide further details on the board's oversight of climate-related issues.

Frequency with which	Governance mechanisms into	Please explain
climate-related issues	which climate-related issues
are a scheduled agenda	are integrated
item
Scheduled - some	Reviewing and guiding strategy	Climate and related implications are woven into the fabric of corporate strategic planning.
meetings	Reviewing and guiding major	With significant environmental regulation and exposure to both climate related risks and
	plans of action	opportunities, it is critical that these issues are monitored at the highest level.
	Reviewing and guiding risk	Risks include regulatory risk, transition risk, operational and physical risks (warmer weather,
	management policies
	increasing drought, wildfire risk, and rising sea level over the longer term.)
	Reviewing and guiding business
	plans	Opportunities include low- and zero-carbon energy infrastructure, international demand for
	Monitoring and overseeing
	liquefied natural gas (LNG), a lower-carbon alternative to traditional coal-fired generation,
	progress against goals and
	energy efficiency, cleaner transportation, energy storage, and the integration of new
	targets for addressing climate-
	technologies such as renewable natural gas, hydrogen, and carbon capture, utilization and
	related issues
	storage.
		The Board, primarily through the SS&T committee and sometimes at the full Board, oversees
		business strategies to mitigate the impact of Company operations on the environment,
		including climate change response and other sustainability matters. The Board's SS&T
		committee also reviews and evaluates issues related to the Company's preparedness for
		extraordinary weather-related events.
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