Efficient Financing & Incremental Investment Opportunities slide image

Efficient Financing & Incremental Investment Opportunities

POLICY LANDSCAPE Constructive Regulatory Environment Rate Base CPUC Authorized Equity Layer 10% Projected 5-Year CAGR | $19.3B¹ 52.00% Common Equity² California GHG Emissions by Sector³ Transportation emissions are the single largest contributor to GHG emissions 7% 5% 8% SDG&E 6% 10.20% CPUC | 10.60% FERC Authorized Return on Equity (ROE) SoCalGas 10.05% CPUC From electricity + gas sales which Decoupled mitigates commodity exposure consistent with our infrastructure strategy 9% 24% 41% Transportation Electricity (Imports) Residential Industrial Agriculture & Forestry Electricity (In State) Commercial California's regulatory environment, rooted in the state's clean energy leadership and ambitious clean energy policies, helps drive future infrastructure investment opportunities Projected rate base CAGR from 2020 - 2025. Rate base figure represents SDG&E and SoCalGas combined 13-month weighted-average, excluding CWIP as of 12/31/2020. Actual amounts/results may differ materially. Federal Energy Regulatory Commission (FERC) authorized equity layer is based on its SDG&E's actual capital structure as 20 1. 2. of 12/31/2020. 3. CARB. California Greenhouse Gas Emission Inventory - 2020 Edition. SEMPRA
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