Company: SREA
Filing Date: 2025-03-28
Form Type: DEF 14A
Source: 0001140361-25-010983
Chunk: 21

Company: SEMPRA
Filing Date: 2025-03-28
Form: DEF 14A
Chunk 21
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 every level of government, among other factors. Consequently, with participation and input from the board, Sempra has evaluated and updated its climate aspirations to reflect the changing policy, regulatory, commercial and technological landscape, including stakeholders’ evolving focus on reliability, resiliency and affordability and the pace and impact of climate and other public policies. Following this evaluation, Sempra now aims to have net-zero scope 1 and 2 greenhouse gas (GHG) emissions by 2050 with an interim target of 50% scope 1 and 2 GHG emissions reductions by 2035 relative to a 2019 baseline. (1)Our environmental policy codifies these principles and helps us manage our implementation of these goals. Further, while the company no longer has a specific goal to achieve net-zero scope 3 GHG emissions by 2050, the board will continue to take an active role through its Safety, Sustainability and Technology Committee to review and oversee efforts in building capabilities through our energy transition action plan that could support the reduction of certain scope 3 GHG emissions and help meet regulatory, consumer and market demand for lower- and zero-carbon energy. A portion of named executive officer compensation is linked to achieving milestones in this area. Transparency

| The board recognizes the importance of transparent communication around the key sustainability risks and opportunities that we believe are most relevant to our shareholders and other stakeholders. Periodic assessments that solicit input from our stakeholders, including an update conducted in 2023 that was published in 2024, inform the topics on which we report. In many cases, our disclosures surpass the standards of our peers or expectations for our industry. The Safety, Sustainability and Technology Committee oversees many of these disclosures, including our annual corporate sustainability report, which addresses risks, opportunities, activities, targets and progress in the areas of employee, contractor and public safety; affordability and reliability of our services; employee recruitment and |

retention; labor standards and employment conditions; stakeholder engagement; community giving, responsible lobbying and advocacy; GHG emissions; climate adaption and resilience; water stewardship; biodiversity; and others. In our most recent corporate sustainability report, we included a section for

| (1) | Even in a state of “net-zero,” GHG emissions may still be generated, but with innovation and continued development of new technology and solutions, it could allow an equal amount of carbon dioxide or its equivalent to be removed from the atmosphere, resulting in a zero increase in overall net emissions. For this purpose, we expect that achievement of net