Cleco Corporate Holdings LLC

Climate Impact & Sustainability Data (2020, 2021)

Near top-decile safety performance
Strong talent development program aimed at organizational stability
Diversity and Inclusion Council and an Employee Resource Group champion issues for under-represented groups
Diversity Scholars Program and Power of a Promise Scholarship program educates and employs underrepresented groups
Continuing to recruit from historically black colleges
Long history of philanthropy and Louisiana economic development; $14 million contributed since 2016
$1 million contribution to Louisiana community colleges
Top-quartile JD Power ranking

Financial Code of Conduct applies to principal executive officer, financial officer, accounting officer, and treasurer
Ethics, Conflict of Interest, and Related Policies applicable to all employees
Boards of Managers has independent chair and compensation committee
Risk Management Policy drives recurring strategic review, evaluation and ranking of risks
Boards of Managers has dedicated ESG oversight responsibility
Cybersecurity reviewed under DOE’s Cybersecurity Capability Maturity Model
Annual review by GRESB

Long-term Goals:

Coordinating Integrated Resource Plan with LPSC with potential for expanding renewable footprint
Storm cost securitization
Interim storm cost relief recovery
Application for securitization of $342 million of storm restoration and associated securitization costs

Frameworks Used: GRESB

Dolet Hills Power Station lignite plant slated to retire at year end 2021
Teche 3 slated to retire by year end 2022
Net zero carbon St. Mary Clean Energy Center plant online
Commitment to end solid fuel use at Cleco Cajun Big Cajun II Unit 1 by April 2025
Retired Cleco Cajun’s Sterlington Plant year end 2020
$7MM in annual recoverable spending for the energy efficiency program

Strong talent development program aimed at organizational stability
Diversity and Inclusion Council and an Employee Resource Group champion issues for under-represented groups
Diversity Scholars and Power of a Promise scholarships educates and employs under-represented groups
Cleco continues to recruit from historically black colleges
Long history of philanthropy and Louisiana economic development; $14 MM contributed since 2016
$1 MM contribution to Louisiana community colleges
Top-quartile JD Power ranking

Financial Code of Conduct applies to executive officer, financial officer, principal accounting officer, and treasurer
Ethics, Conflict of Interest, and Related Polices applicable to all employees
Boards of Managers has independent chair and compensation committee
Enterprise Risk Management Policy drives recurring strategic review, evaluation, and ranking of risks
Boards of Managers has dedicated ESG oversight responsibility
Cybersecurity reviewed under DOE’s Cybersecurity Capability Maturity Model
Established ESG Steering Committee

Long-term Goals:

Cleco’s largest investor committed to managing portfolio companies to target net zero carbon emissions by 2040

Short-term Goals:

Commitment to end solid fuel use at Cleco Cajun Big Cajun II Unit 1 by April 2025

Transitioning away from fossil fuels
Managing customer affordability given storm restoration costs and anticipated Dolet Hills Power Station cost recovery
Responding to Non-Renewal of DEMCO Contract
Multiple RFPs are underway for Louisiana Co-ops to procure long-term supply; Cleco Cajun was not selected in two RFPs (~1 GW)

Coordinating Integrated Resource Plan with LPSC with potential for expanding renewable footprint
Cost savings initiative launched and executed in 2021
Intervened at LPSC; alternate selection is higher risk for DEMCO customers
Pursuing potential load replacement; alternate recovery mechanism through retail rates
Cleco Cajun is actively evaluating other opportunities to market its generation beyond 2025
Cleco Cajun is in active negotiations with Co-ops running third RFP process to provide long-term, full-requirements solution

Frameworks Used: GRESB