Greenhouse Gas Emission Reduction Target Announced

California Water Service Group (Group) today announced its commitment to reducing absolute Scope 1 and 2 greenhouse gas (GHG) emissions by 63% by 2035 from a 2021 base year, a target which is science-aligned and supports limiting global temperature increases to 1.5-degree Celsius above preindustrial levels.

According to Chairman, President & Chief Executive Officer Martin A. Kropelnicki, Group took a thoughtful, data-driven approach, partnering with an independent consultant to:

• Understand the target landscape and best practices.
• Analyze baseline and projected activities and emissions over the target timeframe.
• Estimate existing, planned, and potential additional emissions reduction initiatives.
• Model target scenarios and decarbonization roadmaps.
• Develop an interdisciplinary and active strategy to achieve the selected targets.

“We are committed to delivering value to customers and stockholders while pursuing our reduction targets. We project that ambitious renewable portfolio standards in the states where we operate will reduce emissions intensity of the electrical grid, which will support our targeted emissions reductions,” Kropelnicki said. “At the same time, we intend to continue to pursue a portfolio of GHG emissions reduction projects focused on fleet electrification, water conservation, onsite solar installations, and renewable electricity procurement. We plan to evolve our decarbonization strategy if warranted by changes in our industry, business, and/or operating environment.”

More information regarding Group’s ESG strategy is available at www.calwatergroup.com/esg. Group anticipates providing additional details regarding this target and related emissions reduction initiatives in its upcoming 2023 ESG Report, which it expects to publish in May 2024.