Climate Change Data

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Unanticipated increases in raw material prices or disruptions in supply could increase production costs and adversely affect our profitability.
• Restrictive loan covenants and/or our ability to repay or refinance debt under our credit facilities could limit our future financing options and liquidity position and may limit our ability to grow our business.
• Strikes or labor disputes with our employees may adversely affect our ability to conduct our business.
• A significant portion of our revenue and expenditures are derived or spent in Canadian dollars. However, we report our financial condition and results of operations in U.S. dollars. As a result, fluctuations between the U.S. dollar and the Canadian dollar will impact the amount of our revenues and net loss.
• Material weaknesses in internal controls.

Mitigation Strategies

• We attempt to minimize the effect on our profit margins of unanticipated changes in the prices of raw materials by including index clauses in our customer contracts that allow us to increase or reduce our prices if the costs of raw materials unexpectedly rise or decrease.
• On March 28, 2018 we executed amendments to the credit agreements which provided for an extension of our Canadian and United States credit facilities from the Bank of Montreal to April 1, 2020.
• To our knowledge, we are in substantial compliance with all federal, state, provincial and local environmental protection provisions, and believe that the future compliance cost should not have a material adverse effect on our capital expenditures, net income or competitive position.
• We have various insurance policies, covering risks in amounts that we consider adequate.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

Climate Goals & Targets

Environmental Challenges

• Loss of Verizon contract (13% and 15% of net sales in 2019 and 2018 respectively).
• Uncertainty regarding CleanSpark contract extension (18% of net sales in 2019).
• Reduced business operations and limited revenue sources following the Equity Transaction.
• Historically generated operating losses and negative cash flows.
• Potential loss or departure of key personnel.
• Risks associated with acquisitions.
• Difficulty in generating internal growth.
• Fluctuations in raw material prices and supply.
• Inability to fully realize revenue from backlog.
• Pricing pressure from larger customers.
• Deterioration in credit quality of major customers.
• Reliance on third parties for key business elements.
• Adverse effects from disease outbreaks (e.g., coronavirus pandemic).
• Cybersecurity risks.
• Inability to attract and retain qualified employees.
• Risks associated with collective bargaining.
• Potential for unidentified or unanticipated risks.
• Impact of regulatory, environmental, and governmental policies.
• Risks associated with litigation and claims.

Mitigation Strategies

• Seeking alternative business sources and expense reduction to mitigate Verizon contract loss.
• Anticipating negotiation of CleanSpark contract extension.
• Using proceeds from Equity Transaction to support remaining business operations.
• Implementing strategies for internal growth (operating efficiencies, new product development, customer focus, etc.).
• Maintaining insurance policies.
• Improving manufacturing efficiency and increasing prices where feasible.
• Actively monitoring the global situation and implementing mitigation efforts for the COVID-19 outbreak.
• Maintaining various insurance policies to cover risks.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Energy Sustainability
• EV Charging Infrastructure
• Decarbonization

Environmental Achievements

• Developed E-Bloc, a 'Grid-on-a-Skid' solution for distributed generation, reducing reliance on the traditional grid and potentially lowering emissions from engine-generators.
• Developed E-BOOST mobile EV charging solutions, offering alternative charging options that can utilize green fuels.

Social Achievements

• Addressing employee demand for EV charging at office parks.
• Targeting new customer base with EV charging solutions.

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Grid interruptions representing significant business risks.
• Need to control energy access, price, source, and carbon footprint.
• Existing microgrid solutions being costly and slow to deploy.

Mitigation Strategies

• Developed E-Bloc, a quick, affordable microgrid solution.
• Developed E-BOOST mobile EV charging solutions to address the need for alternative charging options.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Grid interruptions

Transition Risks

• Not disclosed

Opportunities

• Development of energy-efficient products (E-Bloc, E-BOOST)

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• SDG 7 (Affordable and Clean Energy)
• SDG 9 (Industry, Innovation, and Infrastructure)
• SDG 13 (Climate Action)

Pioneer's E-Bloc and E-BOOST solutions contribute to these goals by promoting renewable energy integration, sustainable infrastructure development, and reducing carbon emissions.

Sustainable Products & Innovation

• E-Bloc
• E-BOOST

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Energy Sustainability
• EV Charging Infrastructure

Environmental Achievements

• Developed E-Bloc, a 'Grid-on-a-Skid' solution for distributed generation and energy resilience, reducing reliance on the traditional grid and potentially lowering carbon footprint through integration of renewable energy sources.
• Developed e-Boost mobile EV charging solutions, offering off-grid charging options and reducing reliance on the existing grid infrastructure.

Social Achievements

• Targeting new customer base with EV charging solutions, potentially creating jobs and contributing to economic growth.
• Addressing employee demand for EV charging at workplaces through product offerings.

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Increased power demand taxing the grid.
• Inefficient and expensive building of EV charging facilities.
• Need to gain scale quickly in EV charging infrastructure development.

Mitigation Strategies

• Developed E-Bloc and e-Boost solutions to address the challenges of grid strain, high capital expenditure, and scalability in EV charging infrastructure.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Development of energy-efficient products and solutions

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 9 (Industry, Innovation, and Infrastructure)
• Goal 13 (Climate Action)

Pioneer's products and solutions contribute to these goals by promoting renewable energy integration, efficient energy use, and the development of sustainable infrastructure for EV charging.

Sustainable Products & Innovation

• e-Boost mobile EV charging solutions
• E-Bloc 'Grid-on-a-Skid' solution

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Clean Energy
• Sustainability

Environmental Achievements

• Developed E-Bloc, a solution facilitating the transfer, protection, and control of energy within a microgrid, ensuring efficient and reliable power distribution and contributing to grid independence and 'greener' solutions.

Social Achievements

• Not disclosed

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Reconfiguring the L.A. facility to expand production and meet demand.
• Competition from large integrated electrical equipment manufacturers (E-Bloc) and fuel cells, battery-based charging systems (e-Boost).

Mitigation Strategies

• Efficient management of engine procurement for e-Boost.
• Sufficient cash on hand to execute the 2023 plan.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• E-Bloc
• e-Boost

Awards & Recognition

• Not disclosed