It is the first organization in Canada to incorporate a Sustainability Performance Measure that is based on increasing Indigenous procurement spend
TORONTO, Jan. 17, 2022 /CNW/ - Hydro One has successfully closed amending agreements to its syndicated lines of credit to incorporate ESG targets. The agreements now include a pricing adjustment which can increase or decrease Hydro One's cost of funding based on its performance on certain Sustainability Performance Measures. These measures are related to Hydro One's sustainability goals in the priority areas of:
- Community: increase Indigenous procurement spend to 5 per cent of Hydro One's purchases of materials and services by 2026
- Planet: convert all light-duty gasoline-powered vehicles (sedans and SUVs) to electric vehicles and hybrids by 2030
- People: achieve at least 30 per cent female executives and board members
"Integrating our financing strategy with our ESG goals shows our strong commitment to standing up for people, the planet and communities across Ontario. We are especially proud to be the first organization in Canada to incorporate a Sustainability Performance Measure that is based on increasing Indigenous procurement spend. We understand that our long-term performance depends on incorporating sustainability into all aspects of our business and we are committed to becoming an industry leader in ESG," said Mark Poweska, President and CEO, Hydro One.
CIBC and RBC acted as the Co-Sustainability Structuring Agents for both of the Hydro One Limited and Hydro One Inc. lines of credit.
"CIBC is proud to partner with Hydro One as Co-Sustainability Structuring Agent to evolve their lines of credit into sustainability-linked loans, and we applaud Hydro One for its market-leading lens on Indigenous procurement and commitment to environmental, social, and corporate governance," said Eric Métivier, Head, Corporate Banking – Canada at CIBC Capital Markets. "With our strong leadership position in the Canadian market, this partnership with Hydro One is one way we're helping to enable a more sustainable and inclusive economy."
"RBC is proud to partner with Hydro One as Co-Sustainability Structuring Agent on these lines of credit, establishing a pricing structure linked to meaningful and ambitious sustainability performance targets that are aligned with Hydro One's strategic priorities," said Patti Shugart, Head of Global Corporate Banking at RBC Capital Markets. "RBC's approach to sustainability and our focus on offering clients best-in-class advice tailored to their needs are central to delivering on our stated purpose to help clients thrive and communities prosper."
Hydro One is committed to transparency in its ESG disclosures and releases an annual sustainability report. The Company is guided in its reporting by the Global Reporting Initiative (GRI) core sustainability reporting standards, the Sustainability Accounting Standards Board (SASB) and the Taskforce on Climate-related Financial Disclosures (TCFD). Hydro One announced its sustainability goals on July 28, 2021. View Hydro One's 2020 Sustainability Report for more information: https://www.hydroone.com/Sustainability
Hydro One Limited (TSX: H)
Hydro One Limited, through its wholly-owned subsidiaries, is Ontario's largest electricity transmission and distribution provider with approximately 1.4 million valued customers, approximately C$30.3 billion in assets as at December 31, 2020, and annual revenues in 2020 of approximately C$7.3 billion. Our team of approximately 8,700 skilled and dedicated employees proudly build and maintain a safe and reliable electricity system which is essential to supporting strong and successful communities. In 2020, Hydro One invested approximately C$1.9 billion in its transmission and distribution networks, and supported the economy through buying approximately C$1.7 billion of goods and services. We are committed to the communities where we live and work through community investment, sustainability and diversity initiatives. We are designated as a Sustainable Electricity Company by the Canadian Electricity Association. Hydro One Limited's common shares are listed on the TSX and certain of Hydro One Inc.'s medium term notes are listed on the NYSE. Additional information can be accessed at www.HydroOne.com, www.sedar.com or www.sec.gov.
Forward Looking Statements and Information
This press release contains "forward-looking information" within the meaning of applicable securities laws. Words such as "expect," "anticipate," "intend," "attempt," "may," "plan," "will", "can", "believe," "seek," "estimate," and variations of such words and similar expressions are intended to identify such forward-looking information. The forward-looking information in this press release includes statements regarding our sustainability goals. These statements are not guarantees of future performance or actions and involve assumptions and risks and uncertainties that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed, implied or forecasted in such forward-looking information. Some of the factors that could cause actual results or outcomes to differ materially from the results expressed, implied or forecasted by such forward-looking information, including some of the assumptions used in making such statements, are discussed more fully in Hydro One's filings with the securities regulatory authorities in Canada, which are available on SEDAR at www.sedar.com. Hydro One does not intend, and it disclaims any obligation, to update any forward-looking information, except as required by law.
SOURCE Hydro One Limited
