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Sempra CEO Shares How Company Is Driving Sustainable Value in Shareholder Letter
This is an excerpt from Chairman and CEO Jeff Martin’s comprehensive letter to shareholders. Dear fellow shareholders: While this past year has brought many unexpected challenges, I am optimistic about what lies ahead. We have seen people from all walks of life persevere and come together to support one another in ways that are inspirational to all of us. As vaccination programs expand across America and we look to rebuild the greatest economy in the world, we are also reminded of the vital role of energy. Energy — and the critical infrastructure that delivers it — are foundational to all aspects of daily life. As the global pandemic has underscored, it powers healthcare facilities, first responders and other critical services. It also empowers millions of people working or studying from home and many more who are relying on us every day for the energy they need to power their lives and businesses. That is why I have been profoundly inspired by the work of our employees. They have displayed great leadership, resilience and an unwavering commitment to doing the right thing over the past year. They have continued to deliver energy with purpose to our more than 36 million consumers in North America, and many more around the world, during a time when our customers needed it most. Safety is a foundational value at Sempra Energy, guiding how we serve our customers and communities during times of great crisis. Our operating companies innovated to develop new ways for our employees to continue working safely when the world around us demanded it. Our resilience over the past year makes me even more optimistic for the future. We are continuing to focus on innovation, sustainability and leadership as we strengthen our investments and work toward a net-zero carbon footprint. By aiming higher, and thinking differently, we believe we can help solve some of our society’s greatest challenges. Despite unprecedented events, we continued to execute on our strategic mission to be North America’s premier energy infrastructure company. To read more about our accomplishments in 2020, please refer to the full shareholder letter. Shaping the Future of Energy Each of our operating companies is playing a key role in delivering essential energy to some of the biggest economies in the world. We are delivering cleaner forms of energy to our customers while concentrating our investments in transmission and distribution infrastructure — the section of the energy value chain that we believe provides attractive, risk-adjusted returns to our owners. Advancing Our High-Performance Culture We believe we have the best workforce in the industry and our high-performance culture continues to set us apart. Our company’s culture is underpinned by a focus on safety. In 2020: The construction activities for Cameron LNG Phase 1 concluded with a remarkable safety record of more than 89 million hours without a lost-time incident; SDG&E and SoCalGas both achieved record-setting safety performances in 2020 with their lowest injury and lost-time incident rates on record; Oncor logged 10 million hours without a lost-time incident; and IEnova achieved a 99th percentile score in health and safety according to a survey conducted in coordination with the U.S. National Safety Council. Across our family of companies, we are realizing the benefits of our safety-focused mindset in which everyone feels responsible for their own safety as well as the safety of others. Another key factor in our high performance is our long-standing commitment to an inclusive workplace, where we value diverse views, backgrounds and experiences. We believe these factors improve decision making, advance innovation, and ultimately deliver a culture that reflects the ideal of service to others. This year, we will continue to take concrete actions to advance our high-performance culture and maintain a workplace where everyone feels empowered to bring their authentic and best selves to work. Driving Sustainable Value Looking ahead, we are committed to expanding our position as a leader in the North American markets where we operate: California, Texas, Mexico and the LNG export market. We are working to enhance the value of energy infrastructure for customers across North America, while expanding lower-carbon energy choices and energy access and affordability. As the owner of one of the largest energy networks in North America, we are confident that our strategy of making critical new investments primarily focused on transmission and distribution infrastructure will help accelerate the energy transition. Our role in the energy value chain will help us assert a leadership position in helping to decarbonize every market we serve. Moreover, we also expect these activities to increase shareholder value by producing strong organic growth and improved earnings visibility. At Sempra Energy, we have set out to boldly build a different type of energy company — one that is focused on the empowering value of energy infrastructure. As a purpose-driven and values-led company, we are striving to build a cleaner and smarter grid as part of our commitment to help lead a carbon-neutral society, while also delivering increased value to our shareholders. I am proud to lead an amazing leadership team, as well as one of the most talented workforces in our industry. In everything that we do, you can count on us to prioritize creating sustainable value for our shareholders and other stakeholders as we work to have a positive impact in our communities and our society. Ever forward together, Jeffrey W. Martin Chairman and Chief Executive Officer Meet Jeffrey Martin This article contains statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. For more information, please review Sempra's comprehensive forward looking statements.
UPDATE: Renewable Natural Gas Produced by Anaergia from Diverted Landfill Waste Now Flowing through SoCalGas System
RIALTO, Calif., March 19, 2021 /PRNewswire/ -- Southern California Gas Co. (SoCalGas) and Anaergia, Inc. (Anaergia) announced today that renewable natural gas (RNG) produced from diverted landfill waste is now flowing into SoCalGas' pipeline system from the Rialto Bioenergy Facility (Facility). The Facility is located in San Bernardino County, California, and owned by Rialto Bioenergy Facility, LLC, an Anaergia company. A new one-mile pipeline connects the facility to an existing SoCalGas pipeline. This is the fifth project in which carbon-negative RNG has been injected directly into SoCalGas' system. Using Anaergia's advanced anaerobic digestion technology and proprietary systems, the Facility will produce up to 985,000 MMBTU/year of RNG each year using up to 300,000 tons of waste diverted from local landfills. Creating this carbon-negative fuel from waste will reduce landfilling and decrease greenhouse gas emissions by up to 220,000 metric tons per year—an amount equal to removing 47,500 passenger cars from the road. "This project marks the fifth time SoCalGas has connected to an in-state renewable natural gas producing facility, and we're now distributing RNG from nearly 25 dairy farms and more than 18 cities' refuse collectors," said Jawaad Malik, SoCalGas vice president of strategy and sustainability, and chief environmental officer. "Capturing the methane that would have been emitted from this waste helps combat climate change and provides clean transportation fuel that also improves air quality." "We are proud to support California's ambitious climate goals of landfill diversion, greenhouse reduction, and production of in-State carbon negative fuel," said Yaniv Scherson, Anaergia Chief Operating Officer. "The Rialto Bioenergy Facility is the largest generator of RNG in California and the first of a number of facilities Anaergia is constructing and developing across California to service the landfill diversion and RNG procurement needs of municipalities under SB 1383." "This RNG project is an important step toward ensuring San Bernardino County residents have access to affordable and reliable energy, all while achieving California's clean energy goals," said Joe Baca Jr., San Bernardino County Supervisor (District 5). "This important RNG project utilizes existing waste to deliver clean fuel for trucks, reducing air pollution along our San Bernardino County freeways while providing jobs and revenue sources for our residents." RNG is a clean fuel that can be used to heat homes and businesses, for cooking, and to fuel trucks and buses. Today organic waste from farms, landfills, and wastewater treatment plants account for about 80% of methane emissions in California. To combat that issue, California passed a law requiring 40% of methane from sewage treatment plants, dairies and other agriculture to be captured, with provisions for energy delivery to customers as part of the state's plan to reduce greenhouse gas emissions. In addition, the Coalition for Renewable Natural Gas projects that in California, RNG can generate $14.3 billion in economic growth, and support over 130,000 clean energy sector jobs in maintenance, manufacturing, construction, operations, and engineering. Recently the California Public Utilities Commission approved SoCalGas' request to offer a voluntary RNG tariff. The program will allow SoCalGas customers the option to purchase RNG and use it as part of their natural gas service. SoCalGas has been working to increase the amount of renewable gas produced in California for delivery to its customers and for use in transportation. RNG production is growing in California. The state currently has about 30 operational dairy RNG projects with an estimated total emissions reduction of more than 1.4 million metric tons of greenhouse gas reduction (CO2e). Experts estimate as many as 160 RNG facilities will be in operation by 2024. For more information on SoCalGas vision for California's clean energy future, visit www.socalgas.com/vision. About Anaergia Anaergia is the global technology leader in recovering value from waste for the municipal, industrial, and agriculture sectors. Through its proven portfolio of proprietary technologies, Anaergia's integrated solutions create value for its customers in the forms of renewable energy, quality fertilizers, and clean water, while dramatically reducing the cost of waste management. Anaergia's affiliates operate out of ten regional locations, including two manufacturing plants. Anaergia's technologies are in use at over a thousand resource recovery facilities worldwide, reducing greenhouse gas emissions while creating new revenue sources for its clients. For more information on Anaergia, please visit www.anaergia.com or contact info@anaergia.com. About SoCalGas Headquartered in Los Angeles, SoCalGas® is the largest gas distribution utility in the United States. SoCalGas delivers affordable, reliable, clean and increasingly renewable gas service to 21.8 million customers across 24,000 square miles of Central and Southern California, where more than 90 percent of residents use natural gas for heating, hot water, cooking, drying clothes or other uses. Gas delivered through the company's pipelines also plays a key role in providing electricity to Californians— about 45 percent of electric power generated in the state comes from gas-fired power plants. SoCalGas' mission is to build the cleanest, safest and most innovative energy company in America, delivering affordable and increasingly renewable energy to its customers. In support of that mission, SoCalGas is committed to replacing 20 percent of its traditional natural gas supply with renewable natural gas (RNG) by 2030. Renewable natural gas is made from waste created by dairy farms, landfills and wastewater treatment plants. SoCalGas is also committed to investing in its gas delivery infrastructure while keeping bills affordable for our customers. From 2015 through 2019, the company invested nearly $7 billion to upgrade and modernize its pipeline system to enhance safety and reliability. SoCalGas is a subsidiary of Sempra Energy (NYSE: SRE), an energy services holding company based in San Diego. For more information visit socalgas.com/newsroom or connect with SoCalGas on Twitter (@SoCalGas), Instagram (@SoCalGas) and Facebook. SOURCE Southern California Gas Company
Renewable Natural Gas Produced by Anaergia from Diverted Landfill Waste Now Flowing through SoCalGas System
RIALTO, Calif., March 18, 2021 /PRNewswire/ -- Southern California Gas Co. (SoCalGas) and Anaergia, Inc. (Anaergia) announced today that renewable natural gas (RNG) produced from household waste is now flowing into SoCalGas' pipeline system from the Rialto Bioenergy Facility (Facility). The Facility is located in San Bernardino County, California, and owned by Rialto Bioenergy Facility, LLC, an Anaergia company. A new one-mile pipeline connects the Facility to an existing SoCalGas pipeline. This is the fifth project in which carbon-negative RNG has been injected directly into SoCalGas' system. Images and video of the project can be found here. Using Anaergia's advanced anaerobic digestion technology and proprietary systems, the Facility will produce up to 985,000 MMBTU/year of RNG each year using up to 300,000 tons of waste from local landfills and biosolids from regional wastewater treatment plants. Creating this carbon-negative fuel from waste will reduce landfilling and decrease greenhouse gas emissions by up to 220,000 metric tons per year—an amount equal to removing 47,500 passenger cars from the road. "This project marks the fifth time SoCalGas has connected to an in-state renewable natural gas producing facility, and we're now distributing RNG from nearly 25 dairy farms and more than 18 cities' refuse collectors," said Jawaad Malik, SoCalGas vice president of strategy and sustainability, and chief environmental officer. "Capturing the methane that would have been emitted from this waste helps combat climate change and provides clean transportation fuel that also improves air quality." "We are proud to support California's ambitious climate goals of landfill diversion, greenhouse reduction, and production of in-State carbon negative fuel," said Yaniv Scherson, Anaergia Chief Operating Officer. "The Rialto Bioenergy Facility is the largest generator of RNG in California and the first of a number of facilities Anaergia is constructing and developing across California to service the landfill diversion and RNG procurement needs of municipalities under SB 1383." "This RNG project is an important step toward ensuring San Bernardino County residents have access to affordable and reliable energy, all while achieving California's clean energy goals," said Joe Baca Jr., San Bernardino County Supervisor (District 5). "This important RNG project utilizes existing household waste to deliver clean fuel for trucks, reducing air pollution along our San Bernardino County freeways while providing jobs and revenue sources for our residents." RNG is a clean fuel that can be used to heat homes and businesses, for cooking, and to fuel trucks and buses. Today organic waste from farms, landfills, and wastewater treatment plants account for about 80% of methane emissions in California. To combat that issue, California passed a law requiring 40% of methane from sewage treatment plants, dairies and other agriculture to be captured, with provisions for energy delivery to customers as part of the state's plan to reduce greenhouse gas emissions. In addition, the Coalition for Renewable Natural Gas projects that in California, RNG can generate $14.3 billion in economic growth, and support over 130,000 clean energy sector jobs in maintenance, manufacturing, construction, operations, and engineering. Recently the California Public Utilities Commission approved SoCalGas' request to offer a voluntary RNG tariff. The program will allow SoCalGas customers the option to purchase RNG and use it as part of their natural gas service. SoCalGas has been working to increase the amount of renewable gas produced in California for delivery to its customers and for use in transportation. RNG production is growing in California. The state currently has about 30 operational dairy RNG projects with an estimated total emissions reduction of more than 1.4 million metric tons of greenhouse gas reduction (CO2e). Experts estimate as many as 160 RNG facilities will be in operation by 2024. For more information on SoCalGas vision for California's clean energy future, visit www.socalgas.com/vision. About Anaergia Anaergia is the global technology leader in recovering value from waste for the municipal, industrial, and agriculture sectors. Through its proven portfolio of proprietary technologies, Anaergia's integrated solutions create value for its customers in the forms of renewable energy, quality fertilizers, and clean water, while dramatically reducing the cost of waste management. Anaergia's affiliates operate out of ten regional locations, including two manufacturing plants. Anaergia's technologies are in use at over a thousand resource recovery facilities worldwide, reducing greenhouse gas emissions while creating new revenue sources for its clients. For more information on Anaergia, please visit www.anaergia.com or contact info@anaergia.com. About SoCalGas Headquartered in Los Angeles, SoCalGas® is the largest gas distribution utility in the United States. SoCalGas delivers affordable, reliable, clean and increasingly renewable gas service to 21.8 million customers across 24,000 square miles of Central and Southern California, where more than 90 percent of residents use natural gas for heating, hot water, cooking, drying clothes or other uses. Gas delivered through the company's pipelines also plays a key role in providing electricity to Californians— about 45 percent of electric power generated in the state comes from gas-fired power plants. SoCalGas' mission is to build the cleanest, safest and most innovative energy company in America, delivering affordable and increasingly renewable energy to its customers. In support of that mission, SoCalGas is committed to replacing 20 percent of its traditional natural gas supply with renewable natural gas (RNG) by 2030. Renewable natural gas is made from waste created by dairy farms, landfills and wastewater treatment plants. SoCalGas is also committed to investing in its gas delivery infrastructure while keeping bills affordable for our customers. From 2015 through 2019, the company invested nearly $7 billion to upgrade and modernize its pipeline system to enhance safety and reliability. SoCalGas is a subsidiary of Sempra Energy (NYSE: SRE), an energy services holding company based in San Diego. For more information visit socalgas.com/newsroom or connect with SoCalGas on Twitter (@SoCalGas), Instagram (@SoCalGas) and Facebook. SOURCE Southern California Gas Company
Industry-Leading SoCalGas Energy Efficiency Programs Save 40 Million Therms in 2020
LOS ANGELES, March 17, 2021 /PRNewswire/ -- Southern California Gas Co. (SoCalGas) today announced that last year, the company's energy efficiency programs helped conserve more energy than any other natural gas utility in the U.S. The utility invests more in energy efficiency than any other natural gas local distribution company in the country and currently operates the largest natural gas energy efficiency program. In 2020, SoCalGas' energy efficiency programs saved enough energy to power 100,000 homes in southern California for one year. By using less energy, SoCalGas customers saved more than $44 million in energy costs last year alone and reduced greenhouse gas emissions linked to climate change by more than 211,000 metric tons – equal to removing 45,000 cars from the road. "Energy efficiency must be the foundation as we build the cleanest, safest and most innovative energy company in America. The track record for energy efficiency is undisputed: it reduces greenhouse gas emissions while saving our customers money on their bills," said Gillian Wright, senior vice president and chief customer officer at SoCalGas. "As customers think about their natural gas use, they should look to SoCalGas and our energy efficiency rebate and cost-savings programs to help them achieve their own sustainability goals." SoCalGas' energy efficiency programs have offered consistent energy savings and have been an industry leader for more than a decade. Approximately 1.5 million households and businesses enrolled in the utility's energy efficiency programs in 2020. One of the most effective SoCalGas energy efficiency programs is the home energy report. Residential customers enrolled in this program receive a personalized report that helps them better understand their natural gas usage and how to use energy wisely to help lower bills. SoCalGas also offers energy efficiency rebates to residential and business customers on hundreds of appliances and products that help conserve energy and reduce costs. To learn more about these measures, click here. An energy efficient natural gas appliance, over its lifetime, will save customers thousands of dollars in natural gas costs. A tankless water heater can save about $1,500, an efficient traditional water heater about $200. An energy efficient furnace will use about $550 less in natural gas over its lifetime and a smart thermostat, which can learn a customer's schedule and temperature preferences to adjust the temperature in the home accordingly, can save $125 over its lifetime. In the last five years, SoCalGas' energy efficiency programs have generated over $1 billion in avoided energy costs and delivered more than 219 million therms in energy savings, enough natural gas usage for 548,000 households a year. These energy savings reduced greenhouse gas emissions by 1.15 million metric tons of carbon dioxide, equivalent of removing more than 250,000 cars annually. Overall, these measures have helped SoCalGas customers save over $241 million on their natural gas bill costs over the past five years. In addition to its energy efficiency programs, SoCalGas' Energy Savings Assistance (ESA) program provides eligible customers with home improvements, at no cost to the renter or homeowner, that help conserve energy, reduce natural gas use and enhance the safety, health, and comfort of the renter or homeowner. SoCalGas provides this service to approximately 100,000 customers each year. To date, more than 1.5 million homes have received upgrades through the ESA program. To learn more, please visit socalgas.com/assistance. About SoCalGas Headquartered in Los Angeles, SoCalGas® is the largest gas distribution utility in the United States. SoCalGas delivers affordable, reliable, clean and increasingly renewable gas service to 21.8 million customers across 24,000 square miles of Central and Southern California, where more than 90 percent of residents use natural gas for heating, hot water, cooking, drying clothes or other uses. Gas delivered through the company's pipelines also plays a key role in providing electricity to Californians— about 45 percent of electric power generated in the state comes from gas-fired power plants. SoCalGas' mission is to build the cleanest, safest and most innovative energy company in America, delivering affordable and increasingly renewable energy to its customers. In support of that mission, SoCalGas is committed to replacing 20 percent of its traditional natural gas supply with renewable natural gas (RNG) by 2030. Renewable natural gas is made from waste created by dairy farms, landfills and wastewater treatment plants. SoCalGas is also committed to investing in its gas delivery infrastructure while keeping bills affordable for our customers. From 2015 through 2019, the company invested nearly $7 billion to upgrade and modernize its pipeline system to enhance safety and reliability. SoCalGas is a subsidiary of Sempra Energy (NYSE: SRE), an energy services holding company based in San Diego. For more information visit socalgas.com/newsroom or connect with SoCalGas on Twitter (@SoCalGas), Instagram (@SoCalGas) and Facebook. SOURCE Southern California Gas Company
SoCalGas Provides $50,000 in Grant Funding to Support Minority Students in the San Gabriel Valley and Inland Empire
LOS ANGELES, March 16, 2021 /PRNewswire/ -- Southern California Gas Co. (SoCalGas) today announced its donations to the Society of Extraordinary Women (SOEW) and The Pasadena Delta Foundation, Inc. (PDF) with $25,000 grants respectively to provide supplies and services to aid female high school and college minority students pursuing an education in science, technology, engineering, and math (STEM). "SoCalGas strives to create systematic change for racial equality and social justice focused on equality and inclusion. It's been an amazing opportunity to partner with organizations like the Society of Extraordinary Women and the Pasadena Delta Foundation in driving programs that help support the youth in our communities," said Jill Huppenbauer, director of diversity, equity and inclusion at SoCalGas. "These funds will help provide materials and resources for these students to help them continue to learn and grow, hopefully allowing them new opportunities to excel." "Our exceptional programs at SOEW provide exposure to great opportunities that they would otherwise not have. We're extremely grateful and proud to partner with SoCalGas to assist our students in need with necessary funding and help make their aspirations a reality," said Shirley Coates, founder and president of Society of Extraordinary Women. "Through our programs, students are exposed to technology, for now and for the future. They're able to study subjects such as GIS, mapping, robotics, coding and more, which allows them to discover new opportunities in traditionally male-dominated career paths in STEM and various trades." The $25,000 grant provided to SOEW will help expand its Ignite Leadership and STEM Academy program, which encourages middle through high school female students to pursue careers in STEM and GIS, to the Inland Empire. Through this grant, students without internet services were provided access to Spectrum internet and those without access to a computer received notebooks and writing supplies. Additionally, the funds were also used to provide stipends for participating teachers and for the hiring of program coordinators. "The Ignite Leadership and STEM Academy has changed my life significantly and I've been a proud participant since the seventh grade," said Aleeyah, a freshman at Spelman College. "Being a part of this program has opened many doors that I didn't even know could be open for me, such as attending flight school to learn how to be a pilot. I just want to thank Mrs. Coates in pushing us to be the best that we can be and helping us grow our confidence. Together, we can achieve more." "The Pasadena Delta Foundation, Inc. is excited to present STEM scholarships to underrepresented students in the greater Pasadena area. We are extremely grateful and proud to partner with SoCalGas to provide necessary funding to make these opportunities a possibility for our college students," said Debra Ward-Samad, president of the Pasadena Delta Foundation, Inc. "These funds will allow our students the financial freedom to pursue their interests in STEM freely." The PDF STEM Scholarship program is designed to assist deserving students currently enrolled in a four-year college with a STEM field major by providing scholarships for the completion of their degree, and to further enhance their competitiveness in the workforce. The $25k grant will provide five students with $5,000 scholarships that will be used towards tuition, living expenses, school supplies, study materials and additional courses to further their education. "I am beyond grateful to be receiving this award from the Pasadena Delta Foundation. I cannot thank the organization enough -- the scholarship will be used towards my study materials and help pay for my Spring and Fall tuition," said Nicole, a freshman at California State University, Northridge. "I am so thankful for this opportunity and extremely appreciative of the support on this exciting journey towards becoming a Mechanical Engineer!" About SoCalGas Headquartered in Los Angeles, SoCalGas® is the largest gas distribution utility in the United States. SoCalGas delivers affordable, reliable, clean and increasingly renewable gas service to 21.8 million customers across 24,000 square miles of Central and Southern California, where more than 90 percent of residents use natural gas for heating, hot water, cooking, drying clothes or other uses. Gas delivered through the company's pipelines also plays a key role in providing electricity to Californians— about 45 percent of electric power generated in the state comes from gas-fired power plants. SoCalGas' vision is to be the cleanest gas utility in North America, delivering affordable and increasingly renewable energy to its customers. In support of that vision, SoCalGas is committed to replacing 20 percent of its traditional natural gas supply with renewable natural gas (RNG) by 2030. Renewable natural gas is made from waste created by dairy farms, landfills and wastewater treatment plants. SoCalGas is also committed to investing in its gas delivery infrastructure while keeping bills affordable for our customers. From 2014 through 2018, the company invested nearly $6.5 billion to upgrade and modernize its pipeline system to enhance safety and reliability. SoCalGas is a subsidiary of Sempra Energy (NYSE: SRE), an energy services holding company based in San Diego. For more information visit socalgas.com/newsroom or connect with SoCalGas on Twitter (@SoCalGas), Instagram (@SoCalGas) and Facebook. About the Society of Extraordinary Women The Society of Extraordinary Women is a group of dedicated business professional, educators, and community leaders offering girls a path to a greater future by providing access to high quality training and mentoring the produce extraordinary outcomes designed to make an indelible impression on each participant. Mission: "Empower girls to discover their extraordinary selves through education and mentoring for a life time". About Pasadena Delta Foundation and Pasadena Alumnae Chapter of Delta Sigma Theta Sorority, Inc. The Pasadena Delta Foundation (PDF) was founded in 1994 as a means to fund scholarships for youth and other community benefits programs that promote, improve and sustain the quality of life and equity advancements in education, economic, health and social justice in the Black community in the greater Pasadena area. PDF is proposing a scholarship program focused on underrepresented Black college students studying science, technology, engineering and math (STEM) fields. SOURCE Southern California Gas Company
Sempra Companies Donate Over $42 million in 2020
The Sempra family of companies invested a record $42.1 million in charitable giving in 2020. Between the COVID-19 pandemic, multiple climate-related disasters and calls for social justice, 2020 presented immense challenges to the communities where we operate. We are committed to living our values — do the right thing, champion people and shape the future — by supporting nonprofit organizations that are working to provide relief to our communities, especially during the times when they need it most. Highlights from Sempra Energy and the Sempra Energy Foundation: COVID-19 The Sempra Energy Foundation provided $1.75 million in aid to small and mid-sized nonprofits through its Nonprofit Hardship Fund and another $500,000 to the Oncor Cares Foundation for COVID-19 relief in Texas. In addition, Sempra gave an additional $250,000 in support of community needs in San Diego and Tijuana, complementing the support of IEnova, SDG&E, SoCalGas, Sempra LNG and Oncor Electric Delivery Company LLC (Oncor). In sum, the Sempra family of companies gave $14.1 million in COVID-19 related assistance to communities across California, Texas, Louisiana, Mexico and beyond. Disaster Relief in 2021 Last month, the Sempra Energy Foundation pledged $1 million to assist communities in Texas recovering from the unprecedented winter storm that blanketed the state in February 2021. This builds on a $250,000 donation by Sempra Energy for food and water relief in Houston and Southeast Texas and bolsters an additional $1 million pledged by Oncor, of which Sempra Energy is a majority owner, to community organizations within its service territory. Disaster Relief In addition to the COVID-19 pandemic, multiple wildfires in California along with hurricanes in the Gulf Coast region impacted communities where we operate. Sempra and the Sempra Energy Foundation responded quickly to these disasters, committing $900,000 in disaster relief across Louisiana, Texas and California. Social Justice A key factor in Sempra’s high-performance culture is our long-standing commitment to an inclusive workplace, where we value diverse views, backgrounds and experiences. Last summer, Sempra launched a Social Justice Campaign, raising more than $715,000 in employee donations and matches. At Sempra, we believe when employees are encouraged and empowered to be their authentic selves, it elevates performance and helps us partner responsibly with our communities to work toward building a more equitable and inclusive society for all. Holiday Giving At the end of 2020, the Sempra Energy Foundation issued grants totaling $400,000 to organizations such as the Ronald McDonald House Charities across our service territories for their holiday programs that provide toys, meals and holiday cheer. In addition, employees were invited to make personal contributions that were matched by the Sempra Energy Foundation raising another $46,000 in donations. Thanks to our generous workforce we were able to make an even greater impact in the communities we serve last holiday season. Find out more about the different ways we strive to make an impact in our communities.
Nelly Molina Q&A: Driving Sustainable Value for Shareholders
Nelly Molina is vice president of investor relations for Sempra Energy. In this role, Molina is responsible for communicating with the investment community about Sempra Energy’s disciplined focus on delivering long-term sustainable value. Before starting her current role last year, Molina previously served as chief financial officer for Infraestructura Energética Nova (IEnova), managing the company’s corporate finances, business planning, financial reporting, mergers and acquisitions, investor relations, risk management, and information technology, among other areas. In 2020, Molina was recognized by Institutional Investor Magazine as the best overall chief financial officer among Latin America energy companies in the publication’s list of “Latin America’s Most Resilient Executives and Companies.” Learn more in this Q&A with Nelly Molina: You began your Sempra career with IEnova, Sempra’s subsidiary in Mexico. IEnova develops, builds and operates energy infrastructure in Mexico and is one of the largest private energy companies in the country. How did this experience prepare you for your current role? I spent the past 10 years of my career with IEnova and joined the Sempra Mexico team prior to the initial public offering (IPO) of IEnova. Preparing for the IPO was one of the most fulfilling experiences I’ve had as a finance executive, working hand in hand with a great group of people from Sempra in the U.S. and in Mexico. I was involved in the small details without losing sight of the big picture. This was a remarkable team effort and the transaction was completed quickly and efficiently. I also had the privilege to be around and guided by extraordinary leaders at Sempra and IEnova — leaders with a clear long-term vision of what we wanted to accomplish. The IPO process prepared IEnova to operate with agility and with strong governance since day one. Managing the corporate finances at IEnova helped me to transition to this new opportunity as Sempra Energy’s vice president of investor relations, for which I am very grateful. I now have the challenge to develop new skills in a different country and learn more about the full Sempra businesses and the markets where we operate. What advice would you give to women considering a career in finance? It may not be as common to find females in the finance field, but this is changing as more women are preparing for these roles with a broader finance skillset. There’s plenty of room for women in finance! First of all, I would say that one should take every opportunity to learn. Acquire experience, deep knowledge and abilities across a broad range of topics. Second, continue with additional and post-graduate education. I completed my master’s degree after I got married, while I was working full time, pregnant and living in a new city. I know it requires a lot of energy, but the effort is worth it. Third, find the right mentors and people that can support you every step of the way. Finally, find a good balance between your professional and personal life. Having firm support from my family and my husband was fundamental to what I wanted to accomplish professionally. It requires hard work, no doubt about it, but it is very rewarding when organizations can benefit from your experience, knowledge and openness to continue learning and growing. What are some of the ways Sempra Energy provides long-term, sustainable value for shareholders? We are very proud of our strong financial and operational performance in 2020 and the many accomplishments achieved throughout a difficult year worldwide. Our results are a credit to our strategic focus on creating sustainable value, on disciplined and consistent execution and on safety and operational excellence, and to our high-performance culture. For more information on our 2020 performance, you can read our year-end earnings press release or listen to our year-end earnings call. In every step we take, we are focused on creating sustainable value for our shareholders. In 2020, we increased our dividend for the 11th consecutive year and executed a $500 million share buyback program as part of our goal of returning value to shareholders. Our focus on transmission and distribution investments, underpinned by our U.S. utilities, has delivered stable cash flows, improved earnings visibility, and strong organic growth as we continue to invest in safety, reliability and cleaner technologies. Additionally, through our plan to simplify the ownership structure of Sempra LNG and IEnova under Sempra Infrastructure Partners, we believe there is an opportunity to create scale, unlock portfolio synergies and better position the business for growth. We expect the new business structure to create additional shareholder value over the long-term. We are committed to expanding our position as a leader in the top-tier North American markets where we operate: California, Texas, Mexico and the LNG export market. We are focusing on innovation and sustainability as our operating companies enable the delivery of lower-carbon energy. I believe we have a very compelling story for the near- and long-term as the owner of one of the largest energy networks in North America. We also are confident that our strategy of making critical new investments in transmission and distribution infrastructure will help accelerate the energy transition. What are Sempra Energy’s priorities for 2021? As our Chairman and CEO, Jeff Martin, said in our year-end earnings call, we are continuing to focus on executing health and safety programs to help mitigate COVID-19 risk for our employees. We want to continue our strong track record of operating safely and reliably while serving our customers across our businesses. One important milestone is completing the proposed Sempra Infrastructure Partners transactions, including selecting the right partner and the right value for our infrastructure business franchise. Additionally, we are continuing to execute on our five-year, $32 billion capital plan and we continue to see robust opportunities to invest in our U.S. utilities and our infrastructure business. The capital plan is anchored by $29 billion dollars of investment in our U.S. utilities from 2021 to 2025, with a focus on safety and reliability. This represents over 90% of our total capital plan and is the largest utility capital program in our company’s history. We are making investments to enhance our pipeline infrastructure and investing in innovative and cutting-edge technologies to advance our industry-leading wildfire mitigation program at San Diego Gas & Electric to help keep our communities safe. Financially, we are focused on delivering strong financial results for the year and continuing to strengthen our balance sheet. In 2021 and forward we will continue to support the global energy transition and help advance a net zero future for the communities we serve. This article contains statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on assumptions with respect to the future, involve risks and uncertainties, and are not guarantees. Future results may differ materially from those expressed in any forward-looking statements. These forward-looking statements represent our estimates and assumptions only as of the date of this press release. We assume no obligation to update or revise any forward-looking statement as a result of new information, future events or other factors. In this article, forward-looking statements can be identified by words such as "believes," "expects," "anticipates," "plans," "estimates," "projects," "forecasts," "should," "could," "would," "will," "confident," "may," "can," "potential," "possible," "proposed," "in process," "under construction," "in development," "target," "outlook," "maintain," "continue," or similar expressions, or when we discuss our guidance, priorities, strategy, goals, vision, mission, opportunities, projections, intentions or expectations. Factors, among others, that could cause actual results and events to differ materially from those described in any forward-looking statements include risks and uncertainties relating to: California wildfires, including the risks that we may be found liable for damages regardless of fault and that we may not be able to recover costs from insurance, the wildfire fund established by California Assembly Bill 1054 or in rates from customers; decisions, investigations, regulations, issuances or revocations of permits and other authorizations, renewals of franchises, and other actions by (i) the Comisión Federal de Electricidad, California Public Utilities Commission (CPUC), U.S. Department of Energy, Public Utility Commission of Texas, and other regulatory and governmental bodies and (ii) states, counties, cities and other jurisdictions in the U.S., Mexico and other countries in which we do business; the success of business development efforts, construction projects and major acquisitions and divestitures, including risks in (i) the ability to make a final investment decision, (ii) completing construction projects or other transactions on schedule and budget, (iii) the ability to realize anticipated benefits from any of these efforts if completed, and (iv) obtaining the consent of partners or other third parties; the resolution of civil and criminal litigation, regulatory inquiries, investigations and proceedings, and arbitrations, including, among others, those related to the natural gas leak at Southern California Gas Company's (SoCalGas) Aliso Canyon natural gas storage facility; the impact of the COVID-19 pandemic on our capital projects, regulatory approval processes, supply chain, liquidity and execution of operations; actions by credit rating agencies to downgrade our credit ratings or to place those ratings on negative outlook and our ability to borrow on favorable terms and meet our substantial debt service obligations; moves to reduce or eliminate reliance on natural gas and the impact of volatility of oil prices on our businesses and development projects; weather, natural disasters, pandemics, accidents, equipment failures, explosions, acts of terrorism, computer system outages and other events that disrupt our operations, damage our facilities and systems, cause the release of harmful materials, cause fires and subject us to liability for property damage or personal injuries, fines and penalties, some of which may not be covered by insurance (including costs in excess of applicable policy limits), may be disputed by insurers or may otherwise not be recoverable through regulatory mechanisms or may impact our ability to obtain satisfactory levels of affordable insurance; the availability of electric power and natural gas and natural gas storage capacity, including disruptions caused by failures in the transmission grid, limitations on the withdrawal of natural gas from storage facilities, and equipment failures; cybersecurity threats to the energy grid, storage and pipeline infrastructure, the information and systems used to operate our businesses, and the confidentiality of our proprietary information and the personal information of our customers and employees; expropriation of assets, failure of foreign governments and state-owned entities to honor their contracts, and property disputes; the impact at San Diego Gas & Electric Company (SDG&E) on competitive customer rates and reliability due to the growth in distributed and local power generation, including from departing retail load resulting from customers transferring to Direct Access and Community Choice Aggregation, and the risk of nonrecovery for stranded assets and contractual obligations; Oncor Electric Delivery Company LLC's (Oncor) ability to eliminate or reduce its quarterly dividends due to regulatory and governance requirements and commitments, including by actions of Oncor's independent directors or a minority member director; volatility in foreign currency exchange and interest and inflation rates and commodity prices and our ability to effectively hedge these risks; changes in tax and trade policies, laws and regulations, including tariffs and revisions to international trade agreements that may increase our costs, reduce our competitiveness, or impair our ability to resolve trade disputes; and other uncertainties, some of which may be difficult to predict and are beyond our control. These risks and uncertainties are further discussed in the reports that Sempra Energy has filed with the U.S. Securities and Exchange Commission (SEC). These reports are available through the EDGAR system free-of-charge on the SEC's website, www.sec.gov, and on the company's website, www.sempra.com. Investors should not rely unduly on any forward-looking statements. Sempra North American Infrastructure, Sempra LNG, Sempra Mexico, Sempra Texas Utilities, Oncor and Infraestructura Energética Nova, S.A.B. de C.V. (IEnova) are not the same companies as the California utilities, SDG&E or SoCalGas, and Sempra North American Infrastructure, Sempra LNG, Sempra Mexico, Sempra Texas Utilities, Oncor and IEnova are not regulated by the CPUC.
SoCalGas Donates $50K to Support Latino Restaurant Association's Feeding Frontliners Campaign and Restaurant Recovery Educational Boot Camp
LOS ANGELES, March 11, 2021 /PRNewswire/ -- Southern California Gas Co. (SoCalGas) today announced it has donated $50,000 to the Latino Restaurant Association (LRA) to support two Feeding Frontliners campaign events and the nonprofit's new Restaurant Recovery Educational Boot Camp, which will provide free business education to approximately 100 minority restaurant business owners. The first Feeding Frontliners campaign event funded under the utility's donation was held today at Martin Luther King Jr. Community Hospital. More than 550 healthcare workers received warm meals from three local restaurants. For photos of the event, please click here. "We are proud to show our continued appreciation to our community heroes while supporting local restaurants through our partnership with LRA," said Andy Carrasco, vice president of communications, local government, and community affairs at SoCalGas. "We are also proud to sponsor LRA's Educational Bootcamp program to help restaurant owners weather this storm. The past year has been challenging for so many and we want to thank those who play an important role in serving our communities." "We launched our Feeding Frontliners campaign as a response to the COVID-19 pandemic to support minority-owned restaurants and bring a little joy to frontline workers," said Lilly Rocha, co-founder of the Latino Restaurant Association. "Through the generosity of community partners like SoCalGas, we have been able to expand our support to minority business owners." "We express our gratitude to the Latino Restaurant Association and SoCalGas for bringing some comfort and cheer to our frontliners. We also appreciate their support of local restaurants in the community. We are stronger together," said Dyan Sublett, MLK Community Health Foundation president. Since March of 2020, SoCalGas and LRA have provided more than 2,700 meals to healthcare workers in 10 medical centers and have supported nine minority-owned restaurants across Southern California through the Feeding Frontliners campaign. This week, LRA began accepting applications for its free Restaurant Recovery Educational Boot Camp. The six-week virtual program will provide restaurant owners with tools and resources to grow their business. Sessions will be hosted in English and Spanish. To learn more or to apply to the Restaurant Recovery Educational Boot Camp click here. SoCalGas is dedicated to supporting the health, safety, and wellness of our community. In addition to supporting the LRA's Feeding Frontliners campaign and Restaurant Recovery Educational Boot Camp, the utility has donated more than $3.5 million to nonprofit organizations for COVID-19 recovery efforts, which include providing educational resources to students, supporting the region's workforce, feeding the hungry, providing bill assistance to customers, and more. For more information about SoCalGas' response to the COVID-19 pandemic, please visit www.socalgas.com/coronavirus. About SoCalGas Headquartered in Los Angeles, SoCalGas ® is the largest gas distribution utility in the United States. SoCalGas delivers affordable, reliable, clean and increasingly renewable gas service to 21.8 million customers across 24,000 square miles of Central and Southern California, where more than 90 percent of residents use natural gas for heating, hot water, cooking, drying clothes or other uses. Gas delivered through the company's pipelines also plays a key role in providing electricity to Californians— about 45 percent of electric power generated in the state comes from gas-fired power plants. SoCalGas' vision is to be the cleanest gas utility in North America , delivering affordable and increasingly renewable energy to its customers. In support of that vision, SoCalGas is committed to replacing 20 percent of its traditional natural gas supply with renewable natural gas (RNG) by 2030. Renewable natural gas is made from waste created by dairy farms, landfills and wastewater treatment plants. SoCalGas is also committed to investing in its gas delivery infrastructure while keeping bills affordable for our customers. From 2014 through 2018, the company invested nearly $6.5 billion to upgrade and modernize its pipeline system to enhance safety and reliability. SoCalGas is a subsidiary of Sempra Energy (NYSE: SRE), an energy services holding company based in San Diego. For more information visit socalgas.com/newsroom or connect with SoCalGas on Twitter (@SoCalGas), Instagram (@SoCalGas) and Facebook. About the Latino Restaurant Association The Latino Restaurant Association promotes, supports and educates restaurateurs and small business owners to ensure the equitable economic growth of the Latino restaurant sector. As a member association we work to bring our member community together to advocate for the critical issues impacting our industry and provide resources and educational opportunities to support efficient business practices. The LRA strives to create an all-inclusive Latino restaurant platform for the country. About Martin Luther King Jr. Community Hospital MLKCH is an award-winning, all-digital community hospital in one of the most medically-underserved areas in the nation. Opened in 2015, its mission is to provide high-quality and compassionate care to improve the health of South Los Angeles. www.mlkch.org SOURCE Southern California Gas Co.
Palm Desert Affordable Housing Community Receives Nearly $1 Million in Energy Efficiency Upgrades Courtesy of SoCalGas Energy Savings Assistance Program
LOS ANGELES, March 11, 2021 /PRNewswire/ -- Southern California Gas Co. (SoCalGas) today announced the completion of nearly $1 million in energy efficiency upgrades for the 791 residents at One Quail Place Apartments, an affordable housing community in Palm Desert. The upgrades SoCalGas provided include 11 high-efficiency boilers which will supply hot water to all 384 apartment units in the community. In addition to the energy-saving high-efficiency boilers, SoCalGas and SoCal Edison (SCE) installed low flow showerheads, low flow aerators, thermostatic shower valves, thermostatic tub spouts, door weather stripping, high efficiency HVACs, refrigerators and exterior light bulbs in units and throughout the complex. The work is part of SoCalGas' Energy Savings Assistance (ESA) program's Common Area Measures (CAM) effort. The upgrades will reduce overall operating costs at the community by cutting energy consumption by nearly 15%. "SoCalGas is committed to doing our part to help California reach its climate goals which includes enabling our customers to conserve energy while also saving money," said Brian Prusnek, director of customer programs and assistance at SoCalGas. "We are proud to have worked with the City of Palm Desert and SoCal Edison to provide a more energy-efficient and comfortable living environment for the 791 residents at One Quail Place." "The partnership with SoCalGas and SoCal Edison represents a true collaboration for the public good," said Palm Desert Mayor, Kathleen Kelly. "The operational dollars saved by this project will aid the Palm Desert Housing Authority in providing additional affordable housing opportunities to the public." "The improvements we made in collaboration with SoCalGas will help this housing community and the residents save money by reducing energy usage without sacrificing comfort," said Eugene Ayuyao, SCE's senior manager of customer programs – energy efficiency and conservation. " One Quail was our first project that's part of the CAM program and will serve as a model for our future projects in this program." SCE replaced 242 HVAC units and seven refrigerators inside individual residences throughout the complex. The company also replaced 475 exterior bulbs and ten pool and spa lights. These new, energy-efficient upgrades are expected to reduce the complex's energy usage by about 200,000 kilowatt-hours annually. The Common Area Measures initiative, through the Energy Savings Assistance Program, aims to provide low-income, deed-restricted properties with no-cost energy saving upgrades to their common areas. This could include boiler or water heater replacements, pipe insulation and ancillary services. The offering is ratepayer funded and administered by SoCalGas at the direction of the California Public Utilities Commission. To qualify, the property must be deed restricted and the owner must certify that at least 65% of the resident households meet the ESA income guidelines. Energy efficiency services provided differ by utility and are limited to the communal areas, or common energy systems, of the residential building(s) or property. This program can be combined with the ESA in-unit offerings. In the last five years, SoCalGas' energy efficiency programs have generated over $1 billion in avoided energy costs and delivered more than 219 million therms in energy savings, enough natural gas usage for 548,000 households a year. These energy savings reduced greenhouse gas emissions by 1.15 million metric tons of carbon dioxide, equivalent of removing more than 250,000 cars annually. Overall, these measures have helped SoCalGas customers save over $241 million on their natural gas bill costs over the past five years. In 2020, the company's energy efficiency programs helped conserve more energy than any other natural gas utility in the U.S. SoCalGas' energy efficiency programs saved enough energy to power 100,000 homes in southern California for one year. The utility invests more in energy efficiency than any other local natural gas distribution company in the country and currently operates the largest natural gas energy efficiency program. About SoCalGas Headquartered in Los Angeles, SoCalGas® is the largest gas distribution utility in the United States. SoCalGas delivers affordable, reliable, clean and increasingly renewable gas service to 21.8 million customers across 24,000 square miles of Central and Southern California, where more than 90 percent of residents use natural gas for heating, hot water, cooking, drying clothes or other uses. Gas delivered through the company's pipelines also plays a key role in providing electricity to Californians— about 45 percent of electric power generated in the state comes from gas-fired power plants. SoCalGas' vision is to be the cleanest gas utility in North America, delivering affordable and increasingly renewable energy to its customers. In support of that vision, SoCalGas is committed to helping homes and businesses decarbonize their energy usage by delivering 5% renewable gas by 2022 and 20% by 2030. Renewable natural gas is made from waste created by dairy farms, landfills and wastewater treatment plants. SoCalGas is also committed to investing in its gas delivery infrastructure while keeping bills affordable for our customers. From 2015 through 2019, the company invested nearly $7 billion to upgrade and modernize its pipeline system to enhance safety and reliability. SoCalGas is a subsidiary of Sempra Energy (NYSE: SRE), an energy services holding company based in San Diego. For more information visit socalgas.com/newsroom or connect with SoCalGas on Twitter (@SoCalGas), Instagram (@SoCalGas) and Facebook. SOURCE Southern California Gas Company
SoCalGas to Assist Local Fleet Owners in Securing Incentive Funds to Transition to Cleaner Technologies
LOS ANGELES, March 9, 2021 /PRNewswire/ -- Southern California Gas Co. (SoCalGas) today opened its annual initiative to assist fleet owners operating within the South Coast Air Quality Management District (SCAQMD) apply for incentive funding to replace diesel trucks with new near-zero emissions natural gas trucks through the Carl Moyer Program. Approximately $36 million is available for eligible clean air projects within the SCAQMD's territory. Approved fleet owners can apply to receive up to $100,000 towards the purchase of new natural gas trucks and compressed natural gas fueling stations. This year's application period will run through June 1, 2021. The transportation sector is responsible for about 40 percent of California's greenhouse gas emissions (GHG) and more than 80 percent of the state's NOx, or smog-forming, emissions. Heavy-duty trucks with the latest natural gas engines can cut smog-forming emissions by more than 90 percent compared to the cleanest heavy-duty diesel trucks on the road today. When these ultra-low emission natural gas trucks are fueled by renewable natural gas (RNG), GHG emissions are reduced by at least 80 percent. SoCalGas currently operates 15 public RNG fueling stations across its service territory. According to a 2020 report, RNG use as a transportation fuel in California has increased 210 percent over the last five years, helping displace more than 4.2 million tons of carbon dioxide equivalent (CO2e). "The transportation sector remains the largest contributor of greenhouse gases in our state," said Rasha Prince, director of customer energy solutions at SoCalGas. "The Carl Moyer Program plays a key role in California's strategy to achieve clean air and contributes to the Governor's zero-emission transportation policy which sets new vehicle standards that require for 100 percent of medium- and heavy-duty vehicles in the state be zero-emission by 2045." "When local truck fleets make the transition to cleaner technologies, we take a step closer to solving our mobile source problem, which account for about 80% of NOx emissions in our region," said Wayne Nastri, South Coast AQMD's Executive Officer. "By providing incentives for the replacement of dirty, diesel-burning trucks, the Carl Moyer Program targets air pollution where it is needed most." Since 2018, SoCalGas has assisted customers in securing incentive funding for 409 near-zero emissions heavy-duty trucks and 34 Compressed Natural Gas (CNG) fueling stations through the Carl Moyer Program. The emissions reductions attained by replacing 409 diesel trucks is equivalent to 48,671 traditional combustion engine cars off our roads. Last year, the utility assisted the City of El Monte in securing funding for a new RNG fueling station to support the City's local transit buses, trucks, street sweepers, and waste haulers. "The Carl Moyer Program has helped provide the needed funding to continue our transition to cleaner technology in our transportation sector," said Salvador Mendez, Public Works and Utilities Director for the City of El Monte. "Equipment with cleaner technology can help improve the air quality in our city. We thank SoCalGas for their support and partnership in helping the City of El Monte secure this funding." The Carl Moyer Program is a tool to help California reduce emissions from the transportation sector and reach its climate goals. Since 1998, the program has provided $530 million in incentive funding, which has resulted in a reduction of approximately 8,601 tons per year of NOx and over 249 tons per year of particulate matter emissions throughout its territory. The program grant is competitive, which means funds are distributed on a rolling basis until all money is awarded. Fleet owners interested in receiving support from SoCalGas in securing funding through the Carl Moyer Program can email CleanTransportation@semprautilities.com. About SoCalGas Headquartered in Los Angeles, SoCalGas® is the largest gas distribution utility in the United States. SoCalGas delivers affordable, reliable, clean and increasingly renewable gas service to 21.8 million customers across 24,000 square miles of Central and Southern California, where more than 90 percent of residents use natural gas for heating, hot water, cooking, drying clothes or other uses. Gas delivered through the company's pipelines also plays a key role in providing electricity to Californians— about 45 percent of electric power generated in the state comes from gas-fired power plants. SoCalGas' mission is to build the cleanest, safest and most innovative energy company in America, delivering affordable and increasingly renewable energy to its customers. In support of that mission, SoCalGas is committed to replacing 20 percent of its traditional natural gas supply with renewable natural gas (RNG) by 2030. Renewable natural gas is made from waste created by dairy farms, landfills and wastewater treatment plants. SoCalGas is also committed to investing in its gas delivery infrastructure while keeping bills affordable for our customers. From 2015 through 2019, the company invested nearly $7 billion to upgrade and modernize its pipeline system to enhance safety and reliability. SoCalGas is a subsidiary of Sempra Energy (NYSE: SRE), an energy services holding company based in San Diego. For more information visit socalgas.com/newsroom or connect with SoCalGas on Twitter (@SoCalGas), Instagram (@SoCalGas) and Facebook. SOURCE Southern California Gas Company
Diverse Businesses Awarded Over $884 Million in SoCalGas Contracts in 2020, 42% of Total Spending
LOS ANGELES, March 8, 2021 /PRNewswire/ -- Southern California Gas Co. (SoCalGas) announced today the company achieved another record year of spending with over 550 diverse business enterprises in 2020—at $884.2 million, the highest in company history. SoCalGas exceeded the California Public Utilities Commission's (CPUC) goal of 21.5% for the 28 th consecutive year by procuring nearly 42% of total goods and services from women, minority, service-disabled veteran, and LGBT-owned businesses. "During these unprecedented times where our world grapples with the COVID-19 pandemic, massive economic challenges and glaring racial inequities, SoCalGas is proud to have worked with over 550 diverse suppliers in 2020," said Jeff Walker, chief administrative and diversity officer and senior vice president at SoCalGas. "As SoCalGas looks to build the cleanest, safest and most innovative energy company in North America, our diverse suppliers will be a crucial part of our mission and we look forward to continuing our work with these business enterprises for years to come." "I commend SoCalGas for their continued commitment to supplier diversity, thus supporting the growth and development of diverse business enterprises," said California State Senator Steven Bradford (D- Gardena). "Supplier diversity is a critical component of the business environment in California. The late Honorable Gwen Moore worked tirelessly to create focus on this issue, emphasizing the importance of utilizing diverse businesses and helping them to build a sustainable business. SoCalGas is a true leader in this space." In addition to spending with diverse enterprises, SoCalGas also invests in the development of these firms. Development opportunities include business assessment programs, entrepreneurship courses, organizational and operation strategy programs, mentorship and technical assistance. The programs are designed to help diverse suppliers enhance their operations and help ensure success in their business partnerships. "Things really took off for us when we began providing services for SoCalGas' Pipeline Integrity Management Program and Pipeline Safety Enhancement Plan and were awarded a master service agreement to provide engineering and surveying services," said Mary Josenhans, co-founder, president and CEO at WestLAND. "In 2014, we had 70 employees; now, we have about 100 employees. The increase is almost entirely due to SoCalGas — more than half of our employees are working on the company's projects," said Craig Bingham, vice president at Johnson-Peltier. In 2020, SoCalGas purchases with women-owned businesses were surpassed for the 32 nd consecutive year, totaling nearly $243 million. The company also marked spend with 135 new diverse firms as well as $192 million in spend with diverse subcontractors. Other 2020 highlights include: $568 million spent with minority-owned businesses (category includes both minority men and women-owned) 41.3% total purchases with diverse suppliers $61 million spent with disabled-veteran business enterprises 15 firms among the top 25 SoCalGas suppliers are diverse firms 92% of suppliers are based in SoCalGas' home state of California In 2021, SoCalGas plans to continue its best practices in supplier diversity and identifying opportunities for diverse suppliers as the company looks toward the future of energy in California. More information on the company's mission and strategic priorities can be found at socalgas.com/mission. More information about SoCalGas' commitment to supplier diversity can be found in the newly released 2020 Supplier Diversity Annual Report. To apply to the SoCalGas Supplier Diversity Program please visit socalgas.com/for-your-business/supplier-diversity. About SoCalGas Headquartered in Los Angeles, SoCalGas® is the largest gas distribution utility in the United States. SoCalGas delivers affordable, reliable, clean and increasingly renewable gas service to 21.8 million customers across 24,000 square miles of Central and Southern California, where more than 90 percent of residents use natural gas for heating, hot water, cooking, drying clothes or other uses. Gas delivered through the company's pipelines also plays a key role in providing electricity to Californians— about 45 percent of electric power generated in the state comes from gas-fired power plants. SoCalGas' vision is to be the cleanest gas utility in North America, delivering affordable and increasingly renewable energy to its customers. In support of that vision, SoCalGas is committed to helping homes and businesses decarbonize their energy usage by delivering 5% renewable gas by 2022 and 20% by 2030. Renewable natural gas is made from waste created by dairy farms, landfills and wastewater treatment plants. SoCalGas is also committed to investing in its gas delivery infrastructure while keeping bills affordable for our customers. From 2015 through 2019, the company invested nearly $7 billion to upgrade and modernize its pipeline system to enhance safety and reliability. SoCalGas is a subsidiary of Sempra Energy (NYSE: SRE), an energy services holding company based in San Diego. For more information visit socalgas.com/newsroom or connect with SoCalGas on Twitter (@SoCalGas), Instagram (@SoCalGas) and Facebook. SOURCE Southern California Gas Company
SDG&E Purchased More Than 40 Percent In Goods & Services From Small & Diverse Suppliers In 2020
SAN DIEGO, March 1, 2021 /PRNewswire/ -- During a year when the economy was devastated by the pandemic, San Diego Gas & Electric sustained small and diverse suppliers by buying more than 40 percent in goods and services from them, according to the company's newly released 2020 supplier diversity annual report. "As one of the largest employers in the region, we recognize our supplier diversity program can be leveraged to help create a more inclusive economy and more equitable economic recovery," said SDG&E CEO Caroline Winn. "Small and diverse businesses are job creation engines. When they flourish, our entire region flourishes." Overall, SDG&E injected more than $2 billion into the economy last year, the highest level of expenditures on goods and services in the company's 140-year history. The company invested $872 million on small and diverse suppliers, representing 41.6% of the total expenditures – far exceeding the 21.5% goal set by the California Public Utilities Commission's (CPUC). Last year also marks the eighth consecutive year that SDG&E's supplier diversity spending surpassed 40%. (Videos of some of SDG&E's diverse suppliers: A.M. Ortega Construction , Patriot General Engineering) Year after year, SDG&E's supplier diversity program has grown, paving the way for many subcontractors to become prime contractors and add jobs to the local economy. To encourage large local employers to follow suit, SDG&E recently partnered with the San Diego Regional Economic Development Corp. (EDC) on a new study that analyzes the impact of increased local procurement on quality job creation, and includes recommendations for large employers to support small businesses by buying local. Along with the study, SDG&E also sponsored the EDC's " Right Recovery Town Halls." Here is a breakdown of SDG&E's 2020 spending by diverse business categories: Minority Business Enterprise: $455.4 million or 21.7% Women Business Enterprise: $285.9 million or 13.6% Service-Disabled Veteran Business Enterprise: $120.5 million or 5.7% Lesbian, Gay, Bisexual, Transgender Business Enterprise: $10.4 million or 0.5% Diverse suppliers support many of SDG&E's key functions including electric engineering and construction, gas operations, clean transportation, sustainability/environmental services and wildfire mitigation/vegetation management. Early in the pandemic, SDG&E even partnered with a Vista-based whiskey distillery to refocus production on hand sanitizers for its field crews. SDG&E is an innovative San Diego-based energy company that provides clean, safe and reliable energy to better the lives of the people it serves in San Diego and southern Orange counties. The company is committed to creating a sustainable future by providing its electricity from renewable sources; modernizing natural gas pipelines; accelerating the adoption of electric vehicles; supporting numerous non-profit partners; and, investing in innovative technologies to ensure the reliable operation of the region's infrastructure for generations to come. SDG&E is a subsidiary of Sempra Energy (NYSE: SRE). For more information, visit SDGEnews.com or connect with SDG&E on Twitter (@ SDGE), Instagram (@ SDGE) and Facebook. SOURCE SDG&E
Sempra Energy And Sempra Energy Foundation To Support Winter Storm Relief In Texas
SAN DIEGO, Feb. 26, 2021 /PRNewswire/ -- Sempra Energy (NYSE: SRE) today announced that the Sempra Energy Foundation is pledging $1 million to assist communities in Texas recovering from the unprecedented winter storm that blanketed the state. This builds on a $250,000 donation by Sempra Energy for food relief in Houston and Southeast Texas and will bolster a $1 million donation by Oncor Electric Delivery Company LLC (Oncor), of which Sempra Energy is a majority owner, to community organizations within its service territory. "As Texans across the state continue to navigate the effects of the recent winter storm, we are in close contact with community leaders to address some of their most immediate and critical needs," said Lisa Alexander, senior vice president of corporate affairs for Sempra Energy and board chair of the Sempra Energy Foundation. "At Sempra Energy and the Sempra Energy Foundation, we are committed to the communities where we operate and are proud to support organizations that are working diligently to provide relief to our community members." Together, the funds will help speed the distribution of much-needed resources, such as food, water and repairs for those who have been greatly affected by the severe weather and its ensuing impacts. Sempra Energy has already funded a combined $250,000 to the Greater Houston Food Bank, Greater Port Arthur Food Bank and Southeast Texas Food Bank, while the Sempra Energy Foundation is engaging with community partners in Texas to help identify additional areas of need for funds distribution. "Beyond Oncor's previously announced commitment of $1 million to help those affected by the recent severe winter storms, this additional support from the Sempra Energy Foundation will further enable communities within our service area to lean on local organizations for assistance as they look to recover in the aftermath of this devastating winter freeze," said Debbie Dennis, chief customer officer and senior vice president for Oncor. "Oncor has a long-standing commitment of working to help our communities thrive in the face of many challenges and this moment is especially significant given all that our region has faced in the last year. We appreciate the Sempra Energy Foundation stepping forward with even more support." Since 2018, Sempra Energy and the Sempra Energy Foundation have committed nearly $4 million to nonprofit organizations providing services throughout Texas. About Sempra Energy Sempra Energy's mission is to be North America's premier energy infrastructure company. The Sempra Energy family of companies have more than 19,000 talented employees who deliver energy with purpose to over 36 million consumers. With more than $66 billion in total assets at the end of 2020, the San Diego-based company is the owner of one of the biggest energy networks in North America serving some of the largest economies in the world. The company is helping to advance the global energy transition by enabling the delivery of lower-carbon energy solutions in each market it serves, including California, Texas, Mexico and the LNG export market. Sempra Energy is consistently recognized as a leader in sustainable business practices and for its long-standing commitment to building a high-performing culture and advancing diversity and inclusion. Sempra is the only North American utility sector company included on the Dow Jones Sustainability World Index and was also named one of the "World's Most Admired Companies" for 2021 by Fortune Magazine for the fourth consecutive year. About the Sempra Energy Foundation The Sempra Energy Foundation is a 501(c)(3) private foundation based in San Diego. The foundation was founded by Sempra Energy. The Sempra Energy Foundation is committed to making a difference through partnerships that produce sustainable and responsible change. Over time, the foundation has invested in communities where Sempra Energy employees live and work, responded to a wide range of natural disasters, and encouraged community collaboration. About Oncor Electric Delivery Company Headquartered in Dallas, Oncor Electric Delivery Company LLC is a regulated electricity distribution and transmission business that uses superior asset management skills to provide reliable electricity delivery to consumers. Oncor (together with its subsidiaries) operates the largest distribution and transmission system in Texas, delivering power to more than 3.7 million homes and businesses and operating more than 139,000 miles of transmission and distribution lines in Texas. While Oncor is owned by two investors (indirect majority owner, Sempra Energy, and minority owner, Texas Transmission Investment LLC), Oncor is managed by its Board of Directors, which is comprised of a majority of disinterested directors. SOURCE Sempra Energy
Sempra Energy Delivers Strong Full-Year 2020 Financial And Operational Results
SAN DIEGO, Feb. 25, 2021 /PRNewswire/ -- Sempra Energy (NYSE: SRE) today announced full-year 2020 earnings of $3.76 billion, or $12.88 per diluted share, compared to full-year 2019 earnings of $2.06 billion, or $7.29 per diluted share. On an adjusted basis, the company's full-year 2020 earnings were $2.35 billion, or $8.03 per diluted share, compared to $1.91 billion, or $6.78 per diluted share, in 2019. In the fourth quarter of 2020, Sempra Energy reported earnings of $414 million, or $1.43 per diluted share, compared to $447 million, or $1.55 per diluted share, in the fourth quarter of 2019. On an adjusted basis, fourth quarter 2020 earnings were $553 million, or $1.90 per diluted share. There were no adjustments made to fourth quarter 2019 earnings. "Our strong financial results in 2020 reflect the continued growth in our business and are a credit to our talented workforce and investments in a high-performing culture," said Jeffrey W. Martin, chairman and CEO of Sempra Energy. "As the owner of one of the largest energy networks in North America, we have set a goal of being a leader in transitioning to a lower-carbon future by enabling the delivery of cleaner energy solutions in every market we serve. We envision critical new investments in energy infrastructure playing a vital role in reaching a net-zero energy future, promoting growth across all sectors of the economy and supporting a thriving energy industry." The reported financial results reflect certain significant items as described on an after-tax basis in the following table of GAAP earnings, reconciled to adjusted earnings, for the fourth quarter and full-year 2020 and 2019. Three months ended Years ended December 31, December 31, (Dollars, except EPS, and shares, in millions) 2020 2019 2020 2019 (Unaudited) GAAP Earnings $ 414 $ 447 $ 3,764 $ 2,055 Gain on Sale of South American Businesses - - (1,747) - Impacts Associated with Aliso Canyon Litigation and Regulatory Matters 139 - 233 - Losses from Investment in RBS Sempra Commodities LLP - - 100 - Tax Impacts from Holding the South American Businesses for Sale - - - (99) Gain on Sale of Certain Renewables Assets - - - (45) Adjusted Earnings (1) $ 553 $ 447 $ 2,350 $ 1,911 GAAP Diluted Weighted-Average Common Shares Outstanding 290 289 292 282 GAAP Earnings Per Diluted Common Share $ 1.43 $ 1.55 $ 12.88 $ 7.29 Adjusted Diluted Weighted-Average Common Shares Outstanding (1) 290 289 306 282 Adjusted Earnings Per Diluted Common Share (1),(2) $ 1.90 $ 1.55 $ 8.03 $ 6.78 1) Represents a non-GAAP financial measure (GAAP represents accounting principles generally accepted in the United States of America). See Table A for information regarding non-GAAP financial measures. 2) To calculate Full-Year 2020 Adjusted Earnings-Per-Common-Share (EPS), preferred dividends of $104 million are added back to Adjusted Earnings because of the dilutive effect of Series A mandatory convertible preferred stock. Declaring Dividends and Raising Annualized Common Stock Dividend This week, Sempra Energy's board of directors declared a $1.10 per share quarterly dividend on the company's common stock, which is payable April 15, 2021 to common stock shareholders of record as of March 25, 2021. The declared quarterly dividend represents an increase of the company's common stock dividend to $4.40 per share, on an annualized basis, from $4.18 per share in 2020. Over the past decade, we have increased our dividend at a compound annual growth rate of approximately 9% and today's announcement demonstrates the company's continued commitment to generating value for shareholders, while also reinvesting in the future growth of the business. Sempra Energy's board of directors also declared a quarterly dividend of $1.6875 per share on the company's 6.75% Mandatory Convertible Preferred Stock, Series B. Additionally, the board of directors declared a semi-annual dividend of $24.375 per share on Sempra Energy's 4.875% Fixed-Rate Reset Cumulative Redeemable Perpetual Preferred Stock, Series C. The preferred stock dividends will be payable April 15, 2021 to preferred stock shareholders of record as of April 1, 2021. Continuing Strong Growth at U.S. Utilities In combination, San Diego Gas & Electric Co. (SDG&E), Southern California Gas Co. (SoCalGas) and Oncor Electric Delivery Company LLC (Oncor) own and operate some of the largest energy networks in the United States and are expected to play a critical role in delivering lower-carbon energy to the communities they serve, while continuing to invest in safety advancements and clean technologies to help maintain resiliency and reliability. Our U.S. Utilities platform has continued to deliver stable cash flows, improved earnings visibility, and strong organic growth. In 2020, Sempra Energy deployed record capital of approximately $7 billion which was primarily centered on safety and reliability investments at SDG&E, SoCalGas and Oncor. In 2021 to 2025, Sempra Energy's $32 billion capital plan is anchored by continued investments in the company's U.S. Utilities platform with a focus on safety, reliability and decarbonizing the energy system. Compared to Sempra Energy's prior capital plan, the company has increased U.S. Utilities capital in 2021-2022 by approximately $1.1 billion. In Texas, Oncor has restored power and repaired damages following the unprecedented winter storm that impacted many residents in the state last week. While the severe weather has highlighted the importance of critical energy infrastructure, it also demonstrates the vital role Oncor continues to play in meeting the growing needs of Texas' economy through the execution of its 2021-2025 capital plan. In 2020, Oncor connected approximately 77,000 new premises, exceeding its connections in 2019 by about 20%, which is the highest organic growth in Oncor's history. Oncor also set a company record for new generation interconnection requests it received in 2020, driven by strong development activity in utility-scale generation, with a focus on the renewable and battery storage markets. Additionally, Oncor completed six major transmission projects in West Texas totaling approximately 260 circuit miles and approximately $300 million of investment. Advancing Sempra Infrastructure Partners Transactions Sempra Energy continues to make progress on a series of integrated transactions announced in December 2020, intended to simplify its energy infrastructure investments under a common platform – Sempra Infrastructure Partners. The company plans to complete the stock-for-stock exchange offer for the publicly traded shares of Infraestructura Energética Nova, S.A.B. de C.V. (IEnova) and close the sale of a non-controlling interest in Sempra Infrastructure Partners in the second quarter of 2021. The exchange offer and sale of a non-controlling interest are advancing independently and are not contingent upon the timing of the other transaction. "With increased scale and a strong growth pipeline, Sempra Infrastructure Partners will be well-positioned to help lead the global energy transition," said Martin. "Moreover, we expect the transaction to support an investment grade balance sheet to support the company's future growth." By simplifying the ownership structure of Sempra LNG and IEnova under Sempra Infrastructure Partners, the company is expected to create additional value for Sempra Energy investors. Progressing LNG Infrastructure Investments In November 2020, ECA Liquefaction (ECA LNG), a joint venture between Sempra LNG and IEnova, reached a final investment decision (FID) for the development, construction and operation of the ECA LNG Phase 1 natural gas liquefaction-export project in Baja California, Mexico. ECA LNG Phase 1 is the only liquefied natural gas (LNG) export project in the world to reach FID in 2020. Estimated capital expenditures for ECA LNG Phase 1 are approximately $2 billion. Sempra expects to fund the project with a combination of equity contributions and debt. First LNG production from ECA LNG Phase 1 is expected in late 2024. Additionally, an affiliate of Total SE has secured a 16.6% equity stake in ECA LNG Phase 1, while Sempra LNG and IEnova have each retained 41.7% ownership. Building Sustainable Value Sempra Energy's strong results are underpinned by a commitment to environmental, social and governance matters. The company's recent recognition includes: Fortune Magazine's "World's Most Admired Companies" for 2021; Dow Jones Sustainability World Index, as the only North American utility sector company on the list; Dow Jones Sustainability North American Index; Bloomberg Gender-Equality Index for 2021; Human Rights Campaign's "Best Place to Work for LGBTQ Equality;" Center for Political Accountability-Zicklin Index – Trendsetter in political disclosure practices and accountability for 2020; Chief Executive of the Year at S&P Global Platts' Global Energy Awards; Deal of the Year at S&P Global Platts' Global Energy Awards for the divestiture of the company's South American assets; and National Association of Corporate Directors' NXT Award for excellence in diversity and inclusion. Earnings Guidance As a result of Sempra Energy's continued financial execution, the company is reaffirming its full-year 2021 EPS guidance range of $7.50 to $8.10. Non-GAAP Financial Measures Non-GAAP financial measures include Sempra Energy's adjusted earnings, adjusted EPS and adjusted diluted weighted-average common shares outstanding. See Table A for additional information regarding these non-GAAP financial measures. Internet Broadcast Sempra Energy will broadcast a live discussion of its earnings results over the Internet today at 12 p.m. ET with senior management of the company. Access is available by logging onto the website at www.sempra.com. For those unable to log on to the live webcast, the teleconference will be available on replay a few hours after its conclusion by dialing (888) 203-1112 and entering passcode 2095631. About Sempra Energy Sempra Energy's mission is to be North America's premier energy infrastructure company. The Sempra Energy family of companies have more than 19,000 talented employees who deliver energy with purpose to over 36 million consumers. With more than $66 billion in total assets at the end of 2020, the San Diego-based company is the owner of one of the biggest energy networks in North America serving some of the largest economies in the world. The company is helping to advance the global energy transition by enabling the delivery of lower-carbon energy solutions in each market it serves, including California, Texas, Mexico and the LNG export market. Sempra Energy is consistently recognized as a leader in sustainable business practices and for its long-standing commitment to building a high-performing culture and advancing diversity and inclusion. Sempra is the only North American utility sector company included on the Dow Jones Sustainability World Index and was also named one of the "World's Most Admired Companies" for 2021 by Fortune Magazine for the fourth consecutive year. This press release contains statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on assumptions with respect to the future, involve risks and uncertainties, and are not guarantees. Future results may differ materially from those expressed in any forward-looking statements. These forward-looking statements represent our estimates and assumptions only as of the date of this press release. We assume no obligation to update or revise any forward-looking statement as a result of new information, future events or other factors. In this press release, forward-looking statements can be identified by words such as "believes," "expects," "anticipates," "plans," "estimates," "projects," "forecasts," "should," "could," "would," "will," "confident," "may," "can," "potential," "possible," "proposed," "in process," "under construction," "in development," "target," "outlook," "maintain," "continue," or similar expressions, or when we discuss our guidance, priorities, strategy, goals, vision, mission, opportunities, projections, intentions or expectations. Factors, among others, that could cause actual results and events to differ materially from those described in any forward-looking statements include risks and uncertainties relating to: California wildfires, including the risks that we may be found liable for damages regardless of fault and that we may not be able to recover costs from insurance, the wildfire fund established by California Assembly Bill 1054 or in rates from customers; decisions, investigations, regulations, issuances or revocations of permits and other authorizations, renewals of franchises, and other actions by (i) the Comisión Federal de Electricidad, California Public Utilities Commission (CPUC), U.S. Department of Energy, Public Utility Commission of Texas, and other regulatory and governmental bodies and (ii) states, counties, cities and other jurisdictions in the U.S., Mexico and other countries in which we do business; the success of business development efforts, construction projects and major acquisitions and divestitures, including risks in (i) the ability to make a final investment decision, (ii) completing construction projects or other transactions on schedule and budget, (iii) the ability to realize anticipated benefits from any of these efforts if completed, and (iv) obtaining the consent of partners or other third parties; the resolution of civil and criminal litigation, regulatory inquiries, investigations and proceedings, and arbitrations, including, among others, those related to the natural gas leak at Southern California Gas Company's (SoCalGas) Aliso Canyon natural gas storage facility; the impact of the COVID-19 pandemic on our capital projects, regulatory approval processes, supply chain, liquidity and execution of operations; actions by credit rating agencies to downgrade our credit ratings or to place those ratings on negative outlook and our ability to borrow on favorable terms and meet our substantial debt service obligations; moves to reduce or eliminate reliance on natural gas and the impact of volatility of oil prices on our businesses and development projects; weather, natural disasters, pandemics, accidents, equipment failures, explosions, acts of terrorism, computer system outages and other events that disrupt our operations, damage our facilities and systems, cause the release of harmful materials, cause fires and subject us to liability for property damage or personal injuries, fines and penalties, some of which may not be covered by insurance (including costs in excess of applicable policy limits), may be disputed by insurers or may otherwise not be recoverable through regulatory mechanisms or may impact our ability to obtain satisfactory levels of affordable insurance; the availability of electric power and natural gas and natural gas storage capacity, including disruptions caused by failures in the transmission grid, limitations on the withdrawal of natural gas from storage facilities, and equipment failures; cybersecurity threats to the energy grid, storage and pipeline infrastructure, the information and systems used to operate our businesses, and the confidentiality of our proprietary information and the personal information of our customers and employees; expropriation of assets, failure of foreign governments and state-owned entities to honor their contracts, and property disputes; the impact at San Diego Gas & Electric Company (SDG&E) on competitive customer rates and reliability due to the growth in distributed and local power generation, including from departing retail load resulting from customers transferring to Direct Access and Community Choice Aggregation, and the risk of nonrecovery for stranded assets and contractual obligations; Oncor Electric Delivery Company LLC's (Oncor) ability to eliminate or reduce its quarterly dividends due to regulatory and governance requirements and commitments, including by actions of Oncor's independent directors or a minority member director; volatility in foreign currency exchange and interest rates and commodity prices and our ability to effectively hedge these risks; changes in tax and trade policies, laws and regulations, including tariffs and revisions to international trade agreements that may increase our costs, reduce our competitiveness, or impair our ability to resolve trade disputes; and other uncertainties, some of which may be difficult to predict and are beyond our control. These risks and uncertainties are further discussed in the reports that Sempra Energy has filed with the U.S. Securities and Exchange Commission (SEC). These reports are available through the EDGAR system free-of-charge on the SEC's website, www.sec.gov , and on the company's website, www.sempra.com . Investors should not rely unduly on any forward-looking statements. Sempra North American Infrastructure, Sempra LNG, Sempra Mexico, Sempra Texas Utilities, Oncor and Infraestructura Energética Nova, S.A.B. de C.V. (IEnova) are not the same companies as the California utilities, SDG&E or SoCalGas, and Sempra North American Infrastructure, Sempra LNG, Sempra Mexico, Sempra Texas Utilities, Oncor and IEnova are not regulated by the CPUC. SEMPRA ENERGY Table A CONSOLIDATED STATEMENTS OF OPERATIONS (Dollars in millions, except per share amounts; shares in thousands) Three months ended December 31, Years ended December 31, 2020 2019 2020 2019 (unaudited) REVENUES Utilities $ 2,826 $ 2,640 $ 10,025 $ 9,448 Energy-related businesses 345 303 1,345 1,381 Total revenues 3,171 2,943 11,370 10,829 EXPENSES AND OTHER INCOME Utilities: Cost of natural gas (343) (350) (925) (1,139) Cost of electric fuel and purchased power (269) (259) (1,187) (1,188) Energy-related businesses cost of sales (76) (79) (276) (344) Operation and maintenance (1,174) (951) (3,940) (3,466) Aliso Canyon litigation and regulatory matters (180) — (307) — Depreciation and amortization (424) (395) (1,666) (1,569) Franchise fees and other taxes (146) (127) (543) (496) Impairment losses — — (1) (43) (Loss) gain on sale of assets (3) — (3) 63 Other income (expense), net 115 (26) (48) 77 Interest income 20 23 96 87 Interest expense (263) (280) (1,081) (1,077) Income from continuing operations before income taxes and equity earnings 428 499 1,489 1,734 Income tax expense (189) (165) (249) (315) Equity earnings 193 95 1,015 580 Income from continuing operations, net of income tax 432 429 2,255 1,999 Income from discontinued operations, net of income tax — 71 1,850 363 Net income 432 500 4,105 2,362 Losses (earnings) attributable to noncontrolling interests 29 (18) (172) (164) Preferred dividends (47) (35) (168) (142) Preferred dividends of subsidiary — — (1) (1) Earnings attributable to common shares $ 414 $ 447 $ 3,764 $ 2,055 Basic earnings per common share (EPS): Earnings $ 1.43 $ 1.57 $ 12.93 $ 7.40 Weighted-average common shares outstanding 289,009 284,649 291,077 277,904 Diluted EPS: Earnings $ 1.43 $ 1.55 $ 12.88 $ 7.29 Weighted-average common shares outstanding 290,216 288,767 292,252 282,033 SEMPRA ENERGY Table A (Continued) RECONCILIATION OF SEMPRA ENERGY ADJUSTED EARNINGS TO SEMPRA ENERGY GAAP EARNINGS (Unaudited) Sempra Energy Adjusted Earnings and Adjusted EPS exclude items (after the effects of income taxes and, if applicable, noncontrolling interests) in 2020 and 2019 as follows: Three months ended December 31, 2020: $(139) million from impacts associated with Aliso Canyon natural gas storage facility litigation and regulatory matters at Southern California Gas Company (SoCalGas) Year ended December 31, 2020: $(233) million from impacts associated with Aliso Canyon natural gas storage facility litigation and regulatory matters at SoCalGas $(100) million equity losses at RBS Sempra Commodities LLP, which represent an estimate of our obligations to settle pending tax matters and related legal costs at our equity method investment at Parent and Other $1,747 million gain on the sale of our South American businesses Year ended December 31, 2019: $45 million gain on the sale of certain Sempra Renewables assets Associated with holding the South American businesses for sale: $89 million income tax benefit from outside basis differences in our South American businesses primarily related to the change in our indefinite reinvestment assertion from our decision in January 2019 to hold those businesses for sale and a change in the anticipated structure of the sale $10 million income tax benefit to reduce a valuation allowance against certain net operating loss (NOL) carryforwards as a result of our decision to sell our South American businesses Sempra Energy Adjusted Earnings, Weighted-Average Common Shares Outstanding – Adjusted and Adjusted EPS are non-GAAP financial measures (GAAP represents accounting principles generally accepted in the United States of America). Because of the significance and/or nature of the excluded items, management believes that these non-GAAP financial measures provide a meaningful comparison of the performance of Sempra Energy's business operations to prior and future periods. Non-GAAP financial measures are supplementary information that should be considered in addition to, but not as a substitute for, the information prepared in accordance with GAAP. The table below reconciles for historical periods these non-GAAP financial measures to Sempra Energy GAAP Earnings, Weighted-Average Common Shares Outstanding – GAAP and GAAP EPS, which we consider to be the most directly comparable financial measures calculated in accordance with GAAP. SEMPRA ENERGY Table A (Continued) RECONCILIATION OF ADJUSTED EARNINGS TO GAAP EARNINGS (Dollars in millions, except per share amounts; shares in thousands) Pretax amount Income tax (benefit) expense(1) Earnings Pretax amount Income tax expense (benefit)(1) Earnings Three months ended December 31, 2020 Three months ended December 31, 2019 (unaudited) Sempra Energy GAAP Earnings $ 414 $ 447 Excluded item: Impacts associated with Aliso Canyon litigation and regulatory matters $ 180 $ (41) 139 $ — $ — — Sempra Energy Adjusted Earnings $ 553 $ 447 Diluted EPS: Weighted-average common shares outstanding, diluted – GAAP 290,216 288,787 Sempra Energy GAAP EPS $ 1.43 $ 1.55 Sempra Energy Adjusted EPS $ 1.90 Year ended December 31, 2020 Year ended December 31, 2019 Sempra Energy GAAP Earnings $ 3,764 $ 2,055 Excluded items: Impacts associated with Aliso Canyon litigation and regulatory matters $ 307 $ (74) 233 $ — $ — — Losses from investment in RBS Sempra Commodities LLP 100 — 100 — — — Gain on sale of South American businesses (2,899) 1,152 (1,747) — — — Gain on sale of certain Sempra Renewables assets — — — (61) 16 (45) Associated with holding the South American businesses for sale: Change in indefinite reinvestment assertion of basis differences and structure of sale of discontinued operations — — — — (89) (89) Reduction in tax valuation allowance against certain NOL carryforwards — — — — (10) (10) Sempra Energy Adjusted Earnings $ 2,350 $ 1,911 Diluted EPS: Sempra Energy GAAP Earnings $ 3,764 $ 2,055 Weighted-average common shares outstanding, diluted – GAAP 292,252 282,033 Sempra Energy GAAP EPS $ 12.88 $ 7.29 Sempra Energy Adjusted Earnings $ 2,350 $ 1,911 Add back dividends for dilutive series A preferred stock 104 — Sempra Energy Adjusted Earnings for Adjusted EPS $ 2,454 $ 1,911 Weighted-average common shares outstanding, diluted – Adjusted (2) 305,669 282,033 Sempra Energy Adjusted EPS $ 8.03 $ 6.78 (1) Except for adjustments that are solely income tax and tax related to outside basis differences, income taxes on pretax amounts were primarily calculated based on applicable statutory tax rates. We did not record an income tax benefit for the equity losses from our investment in RBS Sempra Commodities LLP because, even though a portion of the liabilities may be deductible under United Kingdom tax law, it is not probable that the deduction will reduce United Kingdom taxes. (2) In the year ended December 31, 2020, because the assumed conversion of the series A preferred stock is dilutive for Adjusted Earnings, 13,417 series A preferred stock shares are added back to the denominator used to calculate Adjusted EPS. SEMPRA ENERGY Table A (Continued) RECONCILIATION OF SEMPRA ENERGY 2020 ADJUSTED EPS GUIDANCE RANGE TO SEMPRA ENERGY 2020 GAAP EPS GUIDANCE RANGE (Unaudited) Sempra Energy 2020 Adjusted EPS Guidance Range of $7.20 to $7.80 excludes items (after the effects of income taxes and, if applicable, noncontrolling interests) as follows: $(233) million from impacts associated with Aliso Canyon natural gas storage facility litigation and regulatory matters at SoCalGas $(100) million equity losses at RBS Sempra Commodities LLP, which represent an estimate of our obligations to settle pending tax matters and related legal costs at our equity method investment at Parent and Other $1,747 million gain on the sale of our South American businesses Sempra Energy 2020 Adjusted EPS Guidance Range is a non-GAAP financial measure. Because of the significance and/or nature of the excluded items, management believes that this non-GAAP financial measure provides a meaningful comparison of the performance of Sempra Energy's business operations to prior and future periods. Sempra Energy 2020 Adjusted EPS Guidance Range should not be considered an alternative to Sempra Energy 2020 GAAP EPS Guidance Range. Non-GAAP financial measures are supplementary information that should be considered in addition to, but not as a substitute for, the information prepared in accordance with GAAP. The table below reconciles Sempra Energy 2020 Adjusted EPS Guidance Range to Sempra Energy 2020 GAAP EPS Guidance Range, which we consider to be the most directly comparable financial measure calculated in accordance with GAAP. RECONCILIATION OF ADJUSTED EPS GUIDANCE RANGE TO GAAP EPS GUIDANCE RANGE Full-Year 2020 Sempra Energy GAAP EPS Guidance Range (1) $ 12.02 to $ 12.62 Excluded items: Impacts associated with Aliso Canyon litigation and regulatory matters 0.80 0.80 Losses from investment in RBS Sempra Commodities LLP 0.34 0.34 Gain on sale of South American businesses (5.96) (5.96) Sempra Energy Adjusted EPS Guidance Range $ 7.20 to $ 7.80 Weighted-average common shares outstanding, diluted (millions) (2) 293 (1) Sempra Energy's prior GAAP EPS Guidance Range for full-year 2020 has been updated to reflect additional impacts associated with the Aliso Canyon natural gas storage facility litigation and regulatory matters. (2) Weighted-average common shares outstanding does not include the dilutive effect of mandatory convertible preferred stock, as they are assumed to be antidilutive for full-year 2020. If such mandatory convertible preferred stock were dilutive for the full year, the 2020 GAAP EPS Guidance Range would differ from the range presented above. SEMPRA ENERGY Table B CONSOLIDATED BALANCE SHEETS (Dollars in millions) December 31, 2020 2019 ASSETS Current assets: Cash and cash equivalents $ 960 $ 108 Restricted cash 22 31 Accounts receivable – trade, net 1,578 1,261 Accounts receivable – other, net 403 455 Due from unconsolidated affiliates 20 32 Income taxes receivable 113 112 Inventories 308 277 Regulatory assets 190 222 Greenhouse gas allowances 553 72 Assets held for sale in discontinued operations — 445 Other current assets 364 324 Total current assets 4,511 3,339 Other assets: Restricted cash 3 3 Due from unconsolidated affiliates 780 742 Regulatory assets 1,822 1,930 Nuclear decommissioning trusts 1,019 1,082 Investment in Oncor Holdings 12,440 11,519 Other investments 1,388 2,103 Goodwill 1,602 1,602 Other intangible assets 202 213 Dedicated assets in support of certain benefit plans 512 488 Insurance receivable for Aliso Canyon costs 445 339 Deferred income taxes 136 155 Greenhouse gas allowances 101 470 Right-of-use assets – operating leases 543 591 Wildfire fund 363 392 Assets held for sale in discontinued operations — 3,513 Other long-term assets 753 732 Total other assets 22,109 25,874 Property, plant and equipment, net 40,003 36,452 Total assets $ 66,623 $ 65,665 SEMPRA ENERGY Table B (Continued) CONSOLIDATED BALANCE SHEETS (CONTINUED) (Dollars in millions) December 31, 2020 2019 LIABILITIES AND EQUITY Current liabilities: Short-term debt $ 885 $ 3,505 Accounts payable – trade 1,359 1,234 Accounts payable – other 154 179 Due to unconsolidated affiliates 45 5 Dividends and interest payable 551 515 Accrued compensation and benefits 446 476 Regulatory liabilities 140 319 Current portion of long-term debt and finance leases 1,540 1,526 Reserve for Aliso Canyon costs 150 9 Greenhouse gas obligations 553 72 Liabilities held for sale in discontinued operations — 444 Other current liabilities 1,016 866 Total current liabilities 6,839 9,150 Long-term debt and finance leases 21,781 20,785 Deferred credits and other liabilities: Due to unconsolidated affiliates 234 195 Pension and other postretirement benefit plan obligations, net of plan assets 1,059 1,067 Deferred income taxes 2,871 2,577 Regulatory liabilities 3,372 3,741 Reserve for Aliso Canyon costs 301 7 Asset retirement obligations 3,113 2,923 Greenhouse gas obligations — 301 Liabilities held for sale in discontinued operations — 1,052 Deferred credits and other 2,119 2,062 Total deferred credits and other liabilities 13,069 13,925 Equity: Sempra Energy shareholders' equity 23,373 19,929 Preferred stock of subsidiary 20 20 Other noncontrolling interests 1,541 1,856 Total equity 24,934 21,805 Total liabilities and equity $ 66,623 $ 65,665 SEMPRA ENERGY Table C CONSOLIDATED STATEMENTS OF CASH FLOWS (Dollars in millions) Years ended December 31, 2020 2019 CASH FLOWS FROM OPERATING ACTIVITIES Net income $ 4,105 $ 2,362 Less: Income from discontinued operations, net of income tax (1,850) (363) Income from continuing operations, net of income tax 2,255 1,999 Adjustments to reconcile net income to net cash provided by operating activities 1,042 1,259 Net change in other working capital components (550) (207) Distributions from investments 651 247 Insurance receivable for Aliso Canyon costs (106) 122 Wildfire fund, current and noncurrent — (323) Reserve for Aliso Canyon costs, noncurrent 294 — Changes in other noncurrent assets and liabilities, net 56 (399) Net cash provided by continuing operations 3,642 2,698 Net cash (used in) provided by discontinued operations (1,051) 390 Net cash provided by operating activities 2,591 3,088 CASH FLOWS FROM INVESTING ACTIVITIES Expenditures for property, plant and equipment (4,676) (3,708) Expenditures for investments and acquisitions (652) (1,797) Proceeds from sale of assets 19 899 Distributions from investments 761 9 Purchases of nuclear decommissioning trust assets (1,439) (914) Proceeds from sales of nuclear decommissioning trust assets 1,439 914 Advances to unconsolidated affiliates (92) (16) Repayments of advances to unconsolidated affiliates 7 3 Intercompany activities with discontinued operations, net — 8 Other 15 21 Net cash used in continuing operations (4,618) (4,581) Net cash provided by (used in) discontinued operations 5,171 (12) Net cash provided by (used in) investing activities 553 (4,593) CASH FLOWS FROM FINANCING ACTIVITIES Common dividends paid (1,174) (993) Preferred dividends paid (157) (142) Issuances of preferred stock, net 891 — Issuances of common stock, net 11 1,830 Repurchases of common stock (566) (26) Issuances of debt (maturities greater than 90 days) 6,051 4,296 Payments on debt (maturities greater than 90 days) and finance leases (5,864) (3,667) (Decrease) increase in short-term debt, net (1,759) 656 Advances from unconsolidated affiliates 64 155 Proceeds from sale of noncontrolling interests, net 26 5 Purchases of noncontrolling interests (248) (30) Contributions from noncontrolling interests, net 1 98 Intercompany activities with discontinued operations, net — (266) Other (50) (49) Net cash (used in) provided by continuing operations (2,774) 1,867 Net cash provided by (used in) discontinued operations 401 (392) Net cash (used in) provided by financing activities (2,373) 1,475 Effect of exchange rate changes in continuing operations — — Effect of exchange rate changes in discontinued operations (3) 1 Effect of exchange rate changes on cash, cash equivalents and restricted cash (3) 1 Increase (decrease) in cash, cash equivalents and restricted cash, including discontinued operations 768 (29) Cash, cash equivalents and restricted cash, including discontinued operations, January 1 217 246 Cash, cash equivalents and restricted cash, including discontinued operations, December 31 $ 985 $ 217 SEMPRA ENERGY Table D SEGMENT EARNINGS (LOSSES) AND CAPITAL EXPENDITURES, INVESTMENTS AND ACQUISITIONS (Dollars in millions) Three months ended December 31, Years ended December 31, 2020 2019 2020 2019 (unaudited) Earnings (Losses) Attributable to Common Shares SDG&E $ 191 $ 185 $ 824 $ 767 SoCalGas 79 204 504 641 Sempra Texas Utilities 121 109 579 528 Sempra Mexico (43) 39 259 253 Sempra LNG 113 (19) 320 (6) Sempra Renewables — — — 59 Parent and other (47) (132) (562) (515) Discontinued operations — 61 1,840 328 Total $ 414 $ 447 $ 3,764 $ 2,055 Three months ended December 31, Years ended December 31, 2020 2019 2020 2019 (unaudited) Capital Expenditures, Investments and Acquisitions SDG&E $ 619 $ 451 $ 1,942 $ 1,522 SoCalGas 498 420 1,843 1,439 Sempra Texas Utilities 423 347 648 1,685 Sempra Mexico 168 204 611 624 Sempra LNG 72 39 272 222 Sempra Renewables — — — 2 Parent and other 6 5 12 11 Total $ 1,786 $ 1,466 $ 5,328 $ 5,505 SEMPRA ENERGY Table D (Continued) RECONCILIATION OF CAPITAL DEPLOYED (Dollars in millions) Years ended December 31, 2020 2019 (unaudited) Sempra Energy Expenditures for property, plant and equipment $ 4,676 $ 3,708 Expenditures for investments and acquisitions 652 1,797 Total Capital Expenditures, Investments and Acquisitions (On Balance Sheet) 5,328 5,505 Exclude: Capital contribution to Oncor for Oncor's acquisition of 100% of InfraREIT and Sempra's acquisition of a 50% indirect interest in Sharyland — (1,162) Acquisition of 1% interest in Texas Transmission Holdings Corporation (TTHC) from Hunt (16) — Total Capital Expenditures and Investments (On Balance Sheet) A 5,312 4,343 Oncor Electric Delivery Company LLC Capital expenditures (100%) 2,540 2,097 Total Capital Expenditures (Off Balance Sheet) 2,540 2,097 Sharyland Utilities Capital expenditures (100%) 5 2 Total Capital Expenditures (Off Balance Sheet) 5 2 Sempra Texas Utilities - Proportionate Ownership Share of Unconsolidated Entities 80.25% of Oncor Electric Delivery Company LLC capital expenditures 2,038 1,683 50% of Sharyland Utilities capital expenditures 3 1 Less: Sempra Texas Utilities investments and acquisitions (On Balance Sheet) (648) (1,685) Add Back: Sempra Texas Utilities acquisitions (On Balance Sheet) (1) 16 1,162 Capital Expenditures, Investments and Acquisitions - Sempra Texas Utilities (Off Balance Sheet) 1,409 1,161 Capital Expenditures - Unconsolidated Joint Ventures at Sempra LNG and Sempra Mexico (Off Balance Sheet) (2) 228 446 Total Capital Expenditures, Investments and Acquisitions of Unconsolidated Entities (Off Balance Sheet) B 1,637 1,607 Total Capital Deployed A+B $ 6,949 $ 5,950 (1) Includes Sempra Energy's acquisition of 1% interest in TTHC from Hunt in 2020 and Sempra Energy's capital contribution to Oncor for Oncor's acquisition of 100% of InfraREIT and Sempra Energy's acquisition of a 50% indirect interest in Sharyland in 2019. (2) Amounts are net of capital contributions from Sempra Energy. 2020 and 2019 includes $146 and $337, respectively, of capex funded by Sempra LNG's unconsolidated JV (Cameron LNG JV) and $82 and $109, respectively, funded by Sempra Mexico's unconsolidated JVs. SEMPRA ENERGY Table E OTHER OPERATING STATISTICS Three months ended December 31, Years ended or at December 31, 2020 2019 2020 2019 (unaudited) UTILITIES SDG&E and SoCalGas Gas sales (Bcf) (1) 98 103 355 374 Transportation (Bcf) (1) 161 149 612 573 Total deliveries (Bcf) (1) 259 252 967 947 Total gas customer meters (thousands) 6,967 6,924 SDG&E Electric sales (millions of kWhs) (1) 3,751 3,601 14,398 14,397 Direct Access and Community Choice Aggregation (millions of kWhs) 952 909 3,482 3,549 Total deliveries (millions of kWhs) (1) 4,703 4,510 17,880 17,946 Total electric customer meters (thousands) 1,483 1,471 Oncor (2) Total deliveries (millions of kWhs) 30,615 30,916 131,157 133,378 Total electric customer meters (thousands) 3,762 3,685 Ecogas Natural gas sales (Bcf) 1 1 3 3 Natural gas customer meters (thousands) 136 132 ENERGY-RELATED BUSINESSES Power generated and sold Sempra Mexico Termoeléctrica de Mexicali (TdM) (millions of kWhs) 729 1,011 2,905 3,873 Wind and solar (millions of kWhs) (3) 420 333 1,724 1,442 (1) Includes intercompany sales. (2) Includes 100% of the electric deliveries and customer meters of Oncor Electric Delivery Company LLC (Oncor), in which we hold an indirect 80.25% interest through our investment in Oncor Electric Delivery Holdings Company LLC. (3) Includes 50% of the total power generated and sold at the Energía Sierra Juárez wind power generation facility, in which Sempra Energy has a 50% ownership interest. SEMPRA ENERGY Table F (Unaudited) STATEMENT OF OPERATIONS DATA BY SEGMENT (Dollars in millions) Three months ended December 31, 2020 SDG&E SoCalGas Sempra Texas Utilities Sempra Mexico Sempra LNG Consolidating Adjustments, Parent & Other Total Revenues $ 1,337 $ 1,501 $ — $ 321 $ 119 $ (107) $ 3,171 Cost of sales and other expenses (813) (1,165) — (173) (118) 81 (2,188) Depreciation and amortization (203) (168) — (48) (2) (3) (424) Loss on sale of assets — — — — — (3) (3) Other income (expense), net 5 (49) — 134 — 25 115 Income (loss) before interest and tax (1) 326 119 — 234 (1) (7) 671 Net interest (expense) income (106) (39) — (24) 12 (86) (243) Income tax (expense) benefit (29) (1) (1) (218) (33) 93 (189) Equity earnings (losses), net — — 122 (63) 134 — 193 Losses attributable to noncontrolling interests — — — 28 1 — 29 Preferred dividends — — — — — (47) (47) Earnings (losses) attributable to common shares $ 191 $ 79 $ 121 $ (43) $ 113 $ (47) $ 414 Three months ended December 31, 2019 SDG&E SoCalGas Sempra Texas Utilities Sempra Mexico Sempra LNG Consolidating Adjustments, Parent & Other Total Revenues $ 1,259 $ 1,383 $ — $ 317 $ 83 $ (99) $ 2,943 Cost of sales and other expenses (705) (847) — (153) (112) 51 (1,766) Depreciation and amortization (189) (153) — (47) (3) (3) (395) Other (expense) income, net (21) (73) — 70 — (2) (26) Income (loss) before interest and tax (1) 344 310 — 187 (32) (53) 756 Net interest expense (99) (36) — (10) (1) (111) (257) Income tax (expense) benefit (60) (70) — (111) 9 67 (165) Equity earnings (losses), net — — 109 (19) 5 — 95 Earnings attributable to noncontrolling interests — — — (8) — — (8) Preferred dividends — — — — — (35) (35) Earnings (losses) from continuing operations $ 185 $ 204 $ 109 $ 39 $ (19) $
Sempra Engineers are Shaping the Future
Across the Sempra family of companies, our strategic focus on technology and innovation powers progress. This is due to the hard work of Sempra engineers whose creativity and work ethic positively impact the communities we serve and help us lead the global energy transition. This National Engineers Week, meet three engineers whose work with hydrogen, liquefied natural gas ( LNG) and community service projects connects communities and empowers the next generation of thoughtful innovators. May Kwan, SoCalGas Engineer on the renewable natural gas and hydrogen engineering strategy team at SoCalGas, May Kwan has played an integral role in building the framework for how hydrogen blending technology will be integrated into existing natural gas systems in California. “Hydrogen blending is one of the clean energy pathways to help California achieve its climate goals,” said Kwan. “Our team is currently working on one of the first residential hydrogen blending demonstration in the country and research projects that will fill knowledge gaps.” Because of the importance of wind and solar energy resources to a lower carbon energy system, SoCalGas is exploring alternative ways to store the energy. A technology known as power-to-gas (P2G) is being deployed throughout the world as a complementary storage solution to batteries. P2G works by taking the electricity generated from solar and wind, combining it with a small amount of water and running it through electrolysis. This process converts the electrical energy into chemical energy, splitting the water molecule into pure hydrogen and oxygen. The hydrogen can either be used as a fuel or it can be blended with natural gas and delivered to customers through the natural gas system. “I am proud to contribute towards SoCalGas’ mission to build the cleanest, safest, and most innovative energy company in America,” said Kwan. Involvement with one of the most innovative corners of the energy industry isn’t without its difficulties. However, finding solutions to difficult questions is what Kwan loves most about her role. “I enjoy performing data analysis and using the results to solve problems and make improvements,” said Kwan. “Using data to collaborate with others to drive improvements makes engineering a fulfilling career for me.” Rob Webber, Sempra Infrastructure Robert Webber is LNG engineering manager for Sempra Infrastructure, responsible for the Phase 1 Energía Costa Azul (ECA) LNG export project in Mexico. Prior to joining the ECA LNG project, Robert was the lead process engineer for the Cameron LNG export facility in Hackberry, Louisiana. “The project I am most proud of is the Cameron LNG project,” said Webber. “It was a very large and complex project and I was fortunate enough to be involved from the very first phase of design all the way through to start-up and performance testing. It was extremely satisfying to see many years of design and planning successfully come to fruition.” Cameron LNG began commercial operations in 2019 and was developed to meet the growing demand for energy around the world with three liquefaction trains to safely process and load LNG supplies onto ships. With many countries still reliant on polluting energy sources such as coal, LNG presents a lower-carbon alternative to aid in the overall global energy transition. With 12 years of professional experience dedicated to the LNG industry, Webber has served in various engineering roles in all phases of project development and construction of natural gas liquefaction plants—giving Webber the chance to make a widespread impact. “My favorite thing about engineering is the constant opportunity to learn new things and work with cutting edge technology to make a genuine impact in the world and on people’s lives. The projects I work on provide energy to thousands, if not millions, of people around the world, which gives me a genuine sense of purpose in what I do.” Jamie Padilla, SDG&E A second-generation Sempra employee, Jamie Padilla is an engineer on the technical analysis team with SDG&E. Her passion for her work not only makes a positive impact toward building SDG&E’s transmission infrastructure, but her positive attitude embodies Sempra’s value of shaping the future. “The word ‘engineering’ naturally gives off feelings associated with difficulty and intensity to the average person,” said Padilla. “Don’t get me wrong, I think engineering can be both those things, but at the end of the day, I believe engineering is just problem solving. My biggest goal in life is to make a positive impact on the world and in the lives of the people I meet, and being an engineer allows me to do that for a living.” Padilla is making a positive impact by mentoring and encouraging young women to pursue STEM (science, technology, engineering and math) careers. “I think it is my responsibility as a successful woman engineer to be a role model for my community. Over the past four-plus years of working at SDG&E, I have done countless outreach events to share my story and to encourage our youth, specifically females, to pursue STEM careers. I have sat on discussion panels and have given presentations to 7-year-olds, 21-year-olds and almost every age group in between. It’s been a very rewarding experience thus far and I am truly grateful to work for a company that is supportive of such an important initiative.” Padilla attests that her mother, Leslie, who worked for SDG&E for 14 years and Sempra Renewables for 20 years as an engineer, served as that positive role model for her — a legacy she is proud to continue. “My mother not only left a lasting impact on the company but, more importantly, on the lives of her co-workers. Sometimes I am nervous to fail, but I am mostly determined to work hard and bring the same passion to my job like she did day in and day out for 34 years.”

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The media relations phone numbers are for working, credentialed news media only. For non-media-related requests and information, please call (619) 696-2000. For investor or shareholder information, please call (877) 736-7727.

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*As of December 31, 2025. Numbers may be approximate.

Sempra Infrastructure Partners and its subsidiaries, and the Sempra Texas utilities (Oncor and Sharyland Utilities) are not the same companies as the Sempra California utilities, SDG&E or SoCalGas, nor are they regulated by the California Public Utilities Commission (CPUC).