California Updates & ESG Initiatives slide image

California Updates & ESG Initiatives

Key Investment Highlights Growth Capital and Customers • . Invested $272M in water/wastewater infrastructure in 2023 Announced $230M CapEx estimate for per- and polyfluoroalkyl substances (PFAS) remediation, subject to regulatory approval Texas customer base quadrupled between 2006 and 2022, operations in three of the five fastest-growing counties in the U.S., and in 2023 outstanding development units (potential connections) increased 47%. Geographic and Regulatory Diversity • • Diversity of operations in four-state regulatory and weather environments that help balance risk Achieved constructive regulatory outcome in California Cost of Capital proceeding that provides for return on equity increases, including maintained use of the Water Cost of Capital Mechanism System improvement charge in Texas, and general rate cases and infrastructure investment surcharges in Connecticut and Maine Commitment to ESG • Strong Dividend • Progress in carbon emissions reduction - science-based target to reduce Scope 1 and 2 carbon emissions 50% by 2030 Fostering environmental stewardship – nonrevenue water performance at 10.4% in 2023 Recognized for excellence in supplier diversity - $63M, or 21%, of addressable spend in 2023 support supplier responsibility through Vendor Code of Conduct, and committed to diversity, equity and inclusion Track Record • Dividend growth exceeding 6% over the past five years Paid a dividend for 80 consecutive years, with increases in the past 56 consecutive years SJW Group LO 5
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