ESG Brochure

Build capital plans that drive your ESG strategy

Optimizing capital plans to achieve net zero as fast and cost-effectively as possible will be critical to National Grid’s success as a company. Copperleaf provides an ideal solution to help us do exactly that.” LISA LAMBERT Chief Technology & Innovation Officer, National Grid Founder & President, National Grid Partners

Turn aspirational goals into operational plans to achieve your ESG and financial commitments Environmental, Social, and Governance (ESG) pressures Expand business cases to include ESG measures are adding complexity to investment planning and Bold ambitions need concrete plans to fund and resource decision making. The demands on organizations to the many programs that will be required to meet current operate in a more sustainable and socially-conscious and future goals. Yet organizations struggle to compare manner have been increasing for the past few decades. the multitude of funding requests in a consistent way— What was once largely a voluntary effort has now particularly investments in innovative projects where become a core expectation of any business. Whether outcomes may be less predictable. Whereas purely driven by shareholder requirements, new policies such financial objectives are easy to quantify and measure, as net-zero commitments, or increasingly conscious goals related to net zero, community development, and and demanding consumers, ESG adds complexity and climate resilience are more challenging to express in intensifies the scrutiny around internal decision making. tangible terms everyone can agree on. The bottom line: organizations must Copperleaf helps organizations expand their assessment strike a balance between meeting of project value by quantifying ESG and financial measures existing business objectives—and on a common economic scale. The Copperleaf Value Framework provides an enterprise-wide view of all the delivering on increasingly important value measures that support your strategic goals—as well ESG-driven outcomes. as the models used to calculate how individual investments or projects will contribute to those goals. This ensures all Copperleaf® has been helping companies do this for more relevant ESG criteria are accounted for, used in business than a decade. Our decision analytics software is designed cases, and valued consistently. This drives consensus and to optimize your business by leveraging your definition links day-to-day decisions with business strategy, creating of value—even when that definition is evolving as the a culture of transparency, accountability, and trust. business world progresses and expectations change. So, how can you begin to incorporate ESG into your organization’s decision making to best serve your growing pool of stakeholders?

Embed ESG in your organization’s Demonstrate the highest-value plan decision-making approach to stakeholders with confidence As ESG-minded investors and regulators push for greater Copperleaf provides a centralized, enterprise-wide transparency and disclosure of the plan to achieve net repository to capture the various options considered for zero and other targets, organizations need to strengthen every business case. Powerful optimization capabilities governance through effective risk management and make it easy to select the combination of investments robust capital planning processes. and timing that will deliver the most value—and create a When “value” is expressed in common economic terms, realistic, deliverable plan that can be executed with your different departments can align on the cost-benefit available resources. of their proposed projects. Everyone can understand Decision makers can run multiple what-if scenarios the rationale behind each decision and see how their to understand the trade-offs of different investment projects contribute to high-level ESG goals. This drives strategies, agree on a recommended plan, and adapt collaborative discussions about the best plan for the quickly to shifting priorities. With a complete audit trail for business as a whole. Decision making becomes much every decision, you’ll be able to demonstrate that the plan more transparent and consistent, rallying teams to considers all options and targets with confidence. operationalize a high-level strategy into a deliverable plan, and turn aspirational goals into everyday decisions.

A transparent, rigorous, and repeatable approach • Elia Group, a leading European transmission system to achieve your ESG and financial targets operator, is developing project portfolios for the When it comes to valuing potential investments through an next 10 years to address both the replacement of existing assets as well as the necessary grid ESG lens, organizations are leveraging Copperleaf solutions extensions required by the energy transition in to lead the way: Belgium and Germany • Manitoba Hydro, an electric power and natural gas • TransAlta, a leading Independent Power Producer in utility in Canada, includes the benefits of carbon Canada, has integrated sustainability into governance, reduction in its value framework, enabling trade-offs decision making, risk management, and day-to-day between risk, cost savings, and the environment business processes • Anglian Water in the UK sets carbon output limits • The Government of British Columbia established a to ensure carbon reduction targets are considered rigorous process to ensure spending decisions are during the planning of an investment portfolio to aligned with the initiatives that are most important drive sustainability performance to citizens and local businesses • Essential Energy, an Australian electricity network • National Grid, a multinational electricity and gas operator, mitigates the impacts of bush fires using utility based in the UK, relies on Copperleaf’s geographical shape files to determine the appropriate solutions to quantify the impact of replacing or spend levels for sustainable risk management repairing specific assets on environmental risk and communicate the value of plans to regulators in terms of emission reductions Copperleaf Value Framework Strategic Objectives ENVIRONMENT SOCIAL GOVERNANCE FINANCIAL How a company How a company is run, How a company delivers How a company treats its employees, including audits and reliable products impacts the planet customers, suppliers, shareholder rights and services— and local communities safely and profitably Value Measures Renewable Capacity Employee Retention Government Financial Savings Relations GHG Reduction Public Safety Regulatory Investment Cost Performance Resource Consumption Employee & Physical & Operational Efficiency Contractor Safety Cyber Security Biodiversity Community Development Investor Perception Reliability Improvement Pollution Human Capital Risk Management Revenue Increase Development This diagram provides an illustrative example of the strategic objectives and value measures that can be incorporated in a value framework to ensure investment decisions support your organization’s strategic objectives.

Turn your ESG goals into operational plans with Copperleaf today Copperleaf’s entire business is focused on helping You can expect to achieve ROI quickly. Every Copperleaf organizations respond to stakeholder pressures— client to date has recovered their investment within their with decision analytics and a proven methodology first planning cycle. Our experienced consultants, together for defining and utilizing a value framework to create with our global network of partners, provide specialized plans that optimize value and drive ESG goals. Many implementation services, training, and support, to ensure of the largest, most well-respected organizations in a timely and successful rollout across your organization. the world have partnered with us—including BC Hydro, Contact us to find out how Copperleaf’s decision Southern California Edison, Hydro-Québec, Chubu analytics solutions can help your organization achieve Electric Power, ONE Gas, Anglian Water, National your ESG and financial goals. Grid, Tennessee Valley Authority, Endeavour Energy, Network Rail, Enbridge, and other thought leaders in asset management. 100% have stayed with us. Sustainability has to be embedded into your organization and the only way to truly do that is by We take the time to understand your business so that operationalizing sustainability goals. we can deliver a solution that meets your unique needs. This sends a message from the top You’ll be up and running quickly with our Value Model that sustainability is an important part Library—an extensive and constantly evolving collection of corporate strategy and other groups of best practice models proven by organizations across need to think about that, as a matter multiple industries. The library includes more than 200 models to help clients assess the value of potential of doing business every day.” projects from a variety of different angles; 70% are related to ESG measures. MARC CAMPBELL Manager of Sustainability Policy and Programs Salt River Project (SRP) Copperleaf (TSX:CPLF) provides enterprise decision analytics software solutions to companies managing critical infrastructure. We leverage operational and financial data to empower our clients to make investment decisions that deliver the highest business value. What sets us apart is our commitment to providing extraordinary experiences, shaped by people who care deeply, products that deliver exceptional value, and partnerships that stand the test of time. Copperleaf is a patron of The Institute of Asset Management and actively participates in shaping the future of asset management standards, including ISO 55000. Headquartered in Vancouver, Canada, our solutions are distributed and supported by regional staff and partners worldwide. Together, we are transforming how the world sees value. www.copperleaf.com/esg | +1.604.639.9700 | 2920 Virtual Way, Suite 140, Vancouver, BC V5M 0C4 Canada © 2022 Copperleaf Technologies Inc. COPPERLEAF, the COPPERLEAF logo, COPPERLEAF PORTFOLIO, COPPERLEAF ASSET, and COPPERLEAF VALUE are trademarks of Copperleaf Technologies Inc. COPPERLEAF is a registered trademark in Canada, the U.S., the E.U., and other countries. The COPPERLEAF logo is a registered trademark in Canada, the U.S., and the E.U. All rights reserved.