Your CDP Climate Change Questionnaire 2020 C0. Introduction

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Welcome to your CDP Climate Change Questionnaire 2020

C0. Introduction

C0.1

(C0.1) Give a general description and introduction to your organization. EnBW Energie Baden-Württemberg AG – our name refers to our roots and our engagement in the region. Our predecessor companies started delivering electricity – and thus as a consequence industry and growth – to Baden-Württemberg over one hundred years ago. Today, we are one of the largest energy supply companies in Germany and Europe. With a workforce of over 23,000 employees, we supply electricity, gas, water and energy-related products and services to 5.5 million customers. As a result of our origins and the fact that the State of Baden-Württemberg and the Oberschwäbischen Elektrizitätswerken (OEW) – a municipal association of regional and local authorities in Southern Germany – are EnBW's majority shareholders, we have special links to Baden-Württemberg. Our primary goal is to provide a reliable supply of energy to our home market and to act as a partner in supporting the efforts of citizens, local authorities and companies to develop a decentralised and autonomous energy supply. As an integrated energy company, EnBW operates along the entire energy industry value chain in four segments: Sales, Grids, Renewable Energies, and Generation and Trading. We draw on a variety of resources – from finances to area expertise – for our corporate activities. As a result of the efficient application of these resources, we create value for ourselves and our stakeholders. In 2013, we realigned our company under the motto: “Energiewende. Safe. Hands on.” We have been driving the Energiewende (energy system transformation) in Germany forward since then and have streamlined the structure of the Group so that we can react quickly and flexibly on the market. We earn the trust of our customers – households, industry and local authorities – by being their first point of contact for energy issues. We honour this commitment by utilising our experience and innovative abilities, as well as through listening and engaging in stakeholder dialogue. By being in close proximity to our customers, we are able to open up new opportunities for growth by offering new products and decentralised solutions for sustainable energy provision and greater energy efficiency. In the coming years, we will make additional investments totalling billions of euros to become the “engine room of the Energiewende” ("Maschinenraum der Energiewende"): We are accelerating our expansion of renewable energies – primarily wind and hydropower – and, at the same time, securing the supply of energy through our modern conventional power stations. By expanding the grids and utilising intelligent technology, our grid subsidiaries (Netze BW - distribution grid; TransnetBW - transmission grid) are laying the foundations for integrating the ever increasing amount of renewable energies into the grids and smart energy networks. EnBW supports global efforts to protect the climate and is committed to ambitious climate protection targets. These should be in accordance with the reduction path of greenhouse gases

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

necessary for the achievement of the Paris Goals "2 degrees target" on the basis of the scientific recommendations of the Intergovernmental Panel on Climate Change (IPCC).

Further strategic development of EnBW beyond 2020: We will place the strategic focus of our company increasingly on the infrastructure aspect of existing business areas and also open up new growth opportunities based on the core expertise of EnBW beyond the energy sector. The core expertise of EnBW – what we can do well and better than many others – are the safe and reliable operation and management of critical energy infrastructure. These distinctive core competencies can also be transferred to other infrastructure areas where initial topics have already been identified and worked on (e.g. broadband business, urban neighbourhood development, or the expansion of charging infrastructure as the basis for electromobility). EnBW is transforming itself into a sustainable and innovative infrastructure partner with three focal points: •The further expansion of low-CO2 generation (i.e. renewable energies), the active shaping of decarbonisation, and the phasing out of nuclear energy will create a sustainable generation infrastructure. •The main topic of system-critical infrastructure comprises the expansion and operation of transport networks, the upgrading of distribution networks, and network-related services. •In the third focal point Intelligent Infrastructure for customers, we will develop, launch, and scale new digital business models. EnBW concentrates on growth and innovation for the markets of the future. The digital transformation of EnBW is an integral part of the company’s development. C0.2

(C0.2) State the start and end date of the year for which you are reporting data. Start End date Indicate if you are Select the number of past date providing emissions data reporting years you will be for past reporting years providing emissions data for Reporting January December Yes 3 years year 1, 2019 31, 2019 C0.3

(C0.3) Select the countries/areas for which you will be supplying data. Czechia France Germany Sweden Switzerland C0.4

(C0.4) Select the currency used for all financial information disclosed throughout your response. EUR

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

C0.5

(C0.5) Select the option that describes the reporting boundary for which climate- related impacts on your business are being reported. Note that this option should align with your chosen approach for consolidating your GHG inventory. Financial control C-EU0.7

(C-EU0.7) Which part of the electric utilities value chain does your organization operate in? Select all that apply.

Row 1

Electric utilities value chain Electricity generation Transmission Distribution

Other divisions Gas storage, transmission and distribution Smart grids / demand response C1. Governance

C1.1

(C1.1) Is there board-level oversight of climate-related issues within your organization? Yes C1.1a

(C1.1a) Identify the position(s) (do not include any names) of the individual(s) on the board with responsibility for climate-related issues. Position of Please explain individual(s) Chief Executive CEO Dr. Frank Mastiaux. (Responsibility for corporate development and Officer (CEO) sustainability).

The CEO of EnBW is responsible for the topics of corporate development and sustainability (remit CEO). This also means that he is intensively involved in climate protection - for example in the context of EnBW's strategic development (sustainability is an integral part of the EnBW group strategy - fields of action, measures and objectives are prioritised and operationalised) . Dr Frank Mastiaux

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

has stated that “the infrastructure and energy world of the future will be sustainable and green, decentralised and digital, urban and cooperative. We are already well on the way towards getting there.”

Ecological issues are discussed on all hierarchical levels, from the board of directors (including CEO, CFO and CTO), to the operational levels, such as the CSR Committee, the Environmental Steering Committee, which is headed by the CTO as well as the Corporate Environment Committee which brings together all responsible environment protection officers of all business units. Other C-Suite Chief Technical Officer Dr. Hans-Josef Zimmer (Head of Environment Steering Officer Committee).

Ecological issues are discussed on all hierarchical levels, from the board of directors (including CEO and CTO), to the operational levels, such as the Environmental Steering Committee, which is headed by the CTO as well as the Corporate Environment Committee which brings together all responsible environment protection officers of all business units. Chief Financial Chief Financial Officer Thomas Kusterer (active involvement with TCFD and TEG). Officer (CFO) Sustainable Finance/ Sustainable Economic Development: We endeavour to conduct all of our activities in a sustainable way, from the responsible procurement of raw materials through to the provision of smart energy solutions for our customers. In addition, we are actively involved in the area of sustainable finance, which is exemplified by, amongst other things, the membership of the EnBW Chief Financial Officer, Thomas Kusterer, on the EU Technical Expert Group on Sustainable Finance (TEG) that was founded in June 2018 and on the Task Force on Climate related Financial Disclosures (TCFD). As part of his work in the climate protection initiatives named above, he has reported on a regular basis to internal bodies on the climate-related opportunities and risks. EnBW has also issued its first Green Bond in 2018, and since then on a continuous basis additional Green Bonds. C1.1b

(C1.1b) Provide further details on the board’s oversight of climate-related issues. Frequency with Governance Please explain which climate- mechanisms into related issues which climate-related are a scheduled issues are integrated agenda item Scheduled – some Reviewing and guiding EnBW & climate related issues (governance meetings strategy mechanisms) - examples: Reviewing and guiding major plans of action - Reviewing and guiding strategy/major plans of action: The strategy being followed by strategy EnBW

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Reviewing and guiding 2020/2025 of concentrating investment on renewable risk management energies, expanding the grids and developing new and policies increasingly digitalised business models works Reviewing and guiding towards the achievement of the 2015-Paris Goals/ annual budgets COP 21, while the strategy itself is being validated by Reviewing and guiding the international efforts for climate protection. business plans We safeguard the implementation of our strategy by Setting performance means of a holistic goal and performance objectives management system. This system reflects the overall Monitoring performance of the company and strengthens implementation and integrated thinking within it. performance of

objectives - Reviewing and Guiding Risk management policies: Overseeing major The structures and processes of the iRM (integrated capital expenditures, Risk Management) are well-known throughout the acquisitions and group. The central risk management & ICS functional divestitures unit is responsible for specifying methods, processes Monitoring and and systems for the whole group, determining the overseeing progress opportunity and risk position of the group and for against goals and reporting. The central steering body is the risk targets for addressing committee, which – with the involvement of specially climate-related issues selected units / companies – is responsible for clarifying relevant issues from various group perspectives, as well as for determining selected top opportunities / risks. In order to identify and categorise opportunities and risks, the opportunity and risk map that is well-known throughout the group is utilised. The risk map is used to explicitly consider possible opportunities and risks that affect the sustainable orientation of our company. As well as focusing on the fulfillment of the requirements for a non-financial declaration, the recommendations of the Task Force on Climate- related Financial Disclosures (TCFD) are also taken into account.

- Setting performance objectives / Monitoring implementation and performance of objectives: Since 2013, corporate management has been continually expanded through the addition of non- financial and strategic goals, so that it encompasses the dimensions of strategy, customers and society, employees and environment. The key performance indicators of EnBW in the environment goal dimension are the installed output of renewable energies (RE)

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

and the share of the generation capacity accounted for by RE and CO2 intensity. Targets until 2025 were published in the EnBW Integrated Annual Report 2019.

- Overseeing major capital expenditures, acquisitions and disinvestments: Investment decisions will take climate goals into account to a greater extent in the future. In this context, the investment guidelines were adapted in the 2018/2019 financial year: For significant investment projects, their influence on the environmental and climate protection targets and figures – in the sense of the TCFD recommendations – will be illustrated in the future. This additional information will provide a basis for the approval by the investment committee. C1.2

(C1.2) Provide the highest management-level position(s) or committee(s) with responsibility for climate-related issues. Name of the position(s) Responsibility Frequency of reporting to the and/or committee(s) board on climate-related issues Risk committee Both assessing and managing Quarterly climate-related risks and opportunities Other, please specify Both assessing and managing More frequently than quarterly Head of Strategy & climate-related risks and Energy Economics opportunities Corporate responsibility Both assessing and managing Quarterly committee climate-related risks and opportunities Other, please specify Both assessing and managing Quarterly Corporate Environment climate-related risks and Committee opportunities Other committee, please Both assessing and managing More frequently than quarterly specify climate-related risks and Investment committee opportunities Chief Financial Officer Both assessing and managing Quarterly (CFO) climate-related risks and opportunities

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Other, please specify Both assessing and managing Quarterly Chief Technical Officer climate-related risks and (CTO) opportunities C1.2a

(C1.2a) Describe where in the organizational structure this/these position(s) and/or committees lie, what their associated responsibilities are, and how climate-related issues are monitored (do not include the names of individuals). - Risk Committee: The Committee belongs to the functional unit Controlling & Risk Management. Among other things, an important activity is the identification and management of climate-related opportunities and risks based on an established and proven process for risk management. As EnBW is an electrical utility our business is very closely related to the climate driven transition of the power sector. Furthermore, also physical climate change aspects considerly impact our business. Both aspects lead to substantial risks and opportunities. This also explains the importance of the Committee vis-à-vis the management of climate- related issues. One essential member is the CFO which has also a major part in the Taskforce for climate-related financial disclosure. Further members are the CTO and the leading management for each business unit. The role of the CFO and of the CTO on the Committee is to approve the risk report for the board of management of EnBW every three month. Important aspects relating to climate protection are coordinated at the meeting and tracked by the responsible persons/units. - Head of corporate development, strategy and energy economics: Sustainability and climate protection are taken into account in the further development of EnBW's strategy. - CSR(Corporate Social Responsibility) Committee/Sustainability Committee: The Committee belongs to the functional unit corporate development, strategy and energy economics. Coordination beween the functional units of EnBW on CSR-related topics is handled by the CSR-Committee, that is organised by the sustainability team, including key performance indicators (KPIs). - Corporate Environment Committee: The Committee belongs to the functional unit "occupational safety & preventive fire protection, crisis management, environment". The focus of the committee is on environmental aspects of the individual units, companies and participations of EnBW. Climate-related issues are monitored and evaluated qualitatively and quantitatively. - Investment committee: Investment decisions will take climate goals into account to a greater extent in the future. In this context, the investment guidelines were adapted in the 2018/2019 financial year: For significant investment projects, their influence on the environmental and climate protection targets and figures – in the sense of the TCFD recommendations - will be illustrated in the future. This additional information will provide a basis for the approval by the investment committee of the board of management. C1.3

(C1.3) Do you provide incentives for the management of climate-related issues, including the attainment of targets?

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Provide incentives for the management of climate-related issues Comment Row 1 Yes C1.3a

(C1.3a) Provide further details on the incentives provided for the management of climate-related issues (do not include the names of individuals). Entitled to Type of Activity Comment incentive incentive inventivized Board/Executive Monetary Emissions -Introduction: The remuneration in the reporting year board reward reduction comprises basic remuneration, target one-year and multi-year variable remuneration, as well as contributions as part of the company pension scheme. The ratio of single-year to multi-year variable remuneration is approx. 40% to 60%, depending on the individual target income for the member of the Board of Management, so that multi-year variable remuneration significantly outweighs single- year variable remuneration. In general, the variable remuneration components have a multi-year measurement basis in accordance with section 4.2.3 sentence 4 DCGK (in the version from 7 February 2017). The single-year variable remuneration component is described below as the Short Term Incentive (STI) while the multi-year variable remuneration component is described as the Long Term Incentive (LTI). - LTI and sustainability: The LTI value appreciation bonus according to the old remuneration system consisted of a basic LTI, a competition component and a sustainability component. The goal of the sustainable growth of the company in its strictest sense is also taken into account through the LTI sustainability component. In this component, the impact of the sustainable growth of the company on the areas of customers, employees and environment / society is taken into account.

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

- Remuneration System: The regulations for the Board of Management remuneration system that were valid up to 31 December 2017 apply for the long-term variable remuneration in the measurement periods 2015 to 2017, 2016 to 2018 and 2017 to 2019, whereby the Supervisory Board of EnBW Energie Baden-Württemberg AG passed a resolution on 12 July 2018 that a remuneration cap for the total LTI of 110% of the total target remuneration will be introduced for the measurement periods 2016 to 2018 and 2017 to 2019.

C2. Risks and opportunities

C2.1

(C2.1) Does your organization have a process for identifying, assessing, and responding to climate-related risks and opportunities? Yes C2.1a

(C2.1a) How does your organization define short-, medium- and long-term time horizons? From To Comment (years) (years) Short-term 0 1 Deviations are checked and counteracted during the year. Medium- 1 3 Opportunities and risks are considered within medium-term term planning. Long-term 3 50 Opportunities and risks are coordinated with the strategy division. C2.1b

(C2.1b) How does your organization define substantive financial or strategic impact on your business? EnBW defines risks with a substantive financial or strategic impact as followed: Risks with class 6 in category strategic/sustainability are considered substantive strategic. Risks with class 5 or 6 in category financial are substantive financial. Therefore we use a so called relevance filter

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

for classifying opportunities and risks. The relevance filter is categorized in six classes. Class one is the lowest, class six the highest impact. For example: Is a risk at least class five in our category strategic/sustainability this means, one key strategic/sustainability target for the EnBW group is not achieved. Is a risk ranked at least class five in our category financial this means, the financial impact include at least €250 on adjusted EBITDA or Net Debt. Category strategic sustainability: Achievement of strategic targets, sustainability targets, e.g. climate protection, environmental protection, reputation. Category financial: Achievement of financial targets, generally in accordance with medium-term planning (relevance class 5: ≥ €50 million on our adjusted EBITDA or Net Debt (relevance threshold for functional units and EnBW group); relevance class 6: ≥ €250 million on our adjusted EBITDA or Net Debt).

The integrated opportunity and risk management system (iRM) of EnBW is based on the internationally established COSO II framework as a standard for risk management systems that spans the entire company. The iRM aims, through a holistic and integrated approach, to effectively and efficiently identify, evaluate and manage opportunities and risks (including monitoring) and report on the opportunity / risk position, as well as to ensure the appropriateness and functionality of related processes. For this purpose, we define an opportunity / risk as an event that might cause a potential over- attainment / non-attainment of strategic / sustainability, operational, financial and compliance goals in the future. The iRM is tested annually by the group auditing department with a focus on different main themes each year and the results of the test are then presented to the supervisory board in the form of a so-called effectiveness report.

All opportunities and risks are firstly assessed with the help of the iRM relevance filter before and after consideration has been taken of both implemented and envisaged management instruments. In the process, they are allocated to one of seven relevance categories on the basis of quantitative and qualitative criteria for each of the four dimensions: strategic / sustainability, operational, financial and compliance. From relevance class 5 and above and with a probability of occurrence of over 50%, the opportunities and risks are generally included in the group report on opportunities and risks. This corresponds to €50 million within the medium-term planning period. The top risks / opportunities and the long-term opportunities and risks that are of particular importance are then added. The reports are submitted on a quarterly basis in standardised form. In the case of any significant changes, a special report is immediately issued. Those opportunities or risks relevant to the group report on opportunities and risks are generally evaluated in relation to the current planning period using quantitative methods (e.g. scenario techniques and distribution functions) for the purpose of stochastic modelling. Any possible effects on the adjusted EBITDA, the adjusted EBIT and the capital employed, the retained cash flow or the adjusted retained cash flow, the net investment or the adjusted net investment and the net debt are considered. Alongside these financial effects, opportunities and risks can also have impacts on the other KPIs , which are discussed with those responsible in the specialist areas. Any opportunities and risks with a probability of occurrence of up to 50% are subject to an individual review to determine whether they should be taken into account in the next planning session. Opportunities and risks with a probability of occurrence of over 50% are generally taken into account in the planning process and, as far as possible, appropriate accounting measures are taken in the consolidated financial statements

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

in accordance with IFRS. Alongside the top opportunities / risks, there are a wide variety of other opportunities and risks facing the EnBW Group that are allocated to relevant risk categories on the opportunity and risk map and evaluated with the aid of the iRM relevance filter. Alongside the key performance indicators in the finance and strategy goal dimensions, these effects can also have an impact on the key performance indicators in the customers and society, employees and environment goal dimensions. Any impact on the areas of compliance, social engagement and procurement is also examined in the process. C2.2

(C2.2) Describe your process(es) for identifying, assessing and responding to climate- related risks and opportunities.

Value chain stage(s) covered Direct operations Upstream Downstream

Risk management process Integrated into multi-disciplinary company-wide risk management process

Frequency of assessment More than once a year

Time horizon(s) covered Short-term Medium-term Long-term

Description of process Identifying, assessing and responding to climate-related risks and opportunities: The integrated opportunity/risk management system iRM aims, through a holistic, integrated approach, to effectively and efficiently identify, evaluate and manage opportunities/risks and report on opportunity/risk position, as well as to ensure appropriateness and functionality of related processes. The iRM involves measures for avoiding, reducing or transferring risk through adequate accounting provisions, as well as measures for managing risk tolerance. For this purpose, EnBW defines an opportunity/risk as an event that might cause a potential over-attainment/non-attainment of strategic/sustainability, operational, financial and compliance goals in the future. Our process used to determine which risks/opportunities could have a substantive financial or strategic impact consist of 2 steps: First, the identification process and second, the consecutive assessment process.

1) Identification process (company and asset level): In order to identify and categorise opportunities/risks, the opportunity and risk map that is anchored throughout the group is utilised. The map explicitly considers possible opportunities/risks that affect the

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

sustainable orientation of EnBW. Risk managers hold discussions with the group-wide specialist departments within the framework of quarterly risk inventories. The inventory focuses on questions relating to climate protection and sustainability. In this context, issues identified by central risk management, e.g. environmental protection or specific issues, are also specifically addressed. If a risk is identified, it is assigned precisely to a risk officer who is responsible for the risk within the framework of the processm which is carried out on a quarterly basis. Following the survey, risks are reported to central risk management, reviewed and verified accordingly. The risks are then reported to the management board and supervisory board. The risks get qualified by specific parameters like description, cause, effect, sustainability impact, measures for risk reduction, financial key figures, etc. The risks get quantified by probability scenarios and financial risk bandwidths by scenario method. With the quantification of risk the board decides which risk are substantive.

2) Assessement process (company and asset level): The iRM is regularly checked by the group auditing department and results of the audit are presented to the supervisory board. For the purposes of evaluation, all opportunities/risks are firstly assessed with the help of the iRM relevance filter before and after consideration has been taken of both implemented and envisaged management instruments. A financial evaluation is possible, this corresponds to a value of €50 million within the medium-term planning period. Long-term opportunities and risks that are of particular importance are then added. The reports are submitted quarterly in standardised form. In the case of any significant changes, a special report is immediately issued. Those opportunities or risks relevant to the group report on opportunities and risks are generally evaluated in relation to the current planning period using quantitative methods (e.g. scenario techniques and distribution functions) for the purpose of stochastic modelling. Any possible effects on the adjusted EBITDA, the adjusted EBIT and the capital employed (with any associated impact on the ROCE) and the retained cash flow or net investment (with any associated impact on the internal financing capability) are considered. Alongside these financial effects, opportunities and risks can also have impacts on other key performance indicators, which are discussed with those responsible in specialist areas.

In general we differentiate between a) physical and b) transitional risk, following the TCFD-rationale.

Case study of physical risk: Increasing wind, weather extremes can increasingly lead to the shutdown of wind turbines. By means of measuring instruments and weather forecasts, the wind conditions and their effect on the wind turbines are permanently monitored. In addition, specific technical measuring equipment is used to check the individual components of the wind turbines for irregularities in the course of operation. The wind turbines can be switched off if necessary.

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Extreme weather events are taken into account in the long-term plan generation and provide potential damage to the plants is typically covered by machinery breakdown insurance or comparable contracts with OEMs; in some cases, lost generation is also covered. Where no insurance against business interruption has been taken out, the plants insure each other (portfolio effect), as such events typically do not occur across the board. Since there is no direct influence on the risk, it is covered by the safety devices. The plants are monitored 365/7 by the control room and in case of deviating environmental influences the necessary measures are taken. In addition, the responsible plant managers use KPIs to control production and availability in addition to maintenance measures. All relevant operating parameters are additionally monitored via a traffic light logic monitoring system in addition to the standard warning and alarm systems. At regular intervals plants are inspected by our own or commissioned employees and independent experts.

Case study of transitional risk: We already made the decision in 2013 to adapt our strategy in accordance with the Energiewende. And to ensure that we are equipped to meet the expected changes in the energy market, we have fundamentally realigned our business model: We are countering the decline in energy generation from nuclear power and coal by expanding renewable energies, extending the stable grids business and offering our customers innovative products and new services.

Phase-out of coal power: early decommissioning of power plants: The version of the Coal Phase-out Act adopted by the German cabinet and its framework parameters (plans for operators regarding replacement power plants and decommissioning) are open to varying interpretations with respect to the phase-out path. In general, the later decommissioning of brown coal power plants will mean that hard coal power plants are shut down more quickly and thus even new hard coal power plants will be removed from the grid earlier. The German government does not plan to provide compensation for any power plants decommissioned after 2027. We currently identify an increased level of risk in this area. To be considered: In the longer term, conventional power plants will be indispensable for the success of the energy transformation. Since 2014, Block 8 at the coal-fired power plant RDK has been a flexibly deployable system for supplying electricity and heat. It closes the gaps caused by volatility of wind and sun. Innovative technology of the new block leads to a significant increase in efficiency to over 46%. C2.2a

(C2.2a) Which risk types are considered in your organization's climate-related risk assessments? Relevance & Please explain inclusion

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Current Relevant, Inclusion of risk type: regulation always The opportunities and risk map known throughout the group must be included used to identify and classify opportunities and risks. With the help of the map, possible opportunities and risks relating to the sustainable orientation of our company are explicitly examined. In addition to the focus on meeting the requirements for a non-financial statement, the recommendations of the Task Force on Climate related Financial Disclosures are also taken into account. The query of current regulation risks is part of the risk map.

Relevance: The energy industry is one of the most heavily regulated economic sectors along the entire value chain. Specifications come from EU, federal and state levels. The trend to influence the development and future of energy policy and thus the energy industry through legislation and regulation remains unbroken. The fields of generation (conventional and renewable) grids, e-mobility and broadband expansion are particularly affected. International framework conditions continue to play an increasingly important role.

Example: There is both the risk and the opportunity that legal and sub-legal requirements relating to EnBW may change. This applies both in a positive and negative sense. The reasons for this include the future of subsidies for renewable energies, grid expansion, electromobility, the future of the gas infrastructure, broadband expansion, possible minimum CO2 prices and future regulation periods. These different aspects have direct positive or negative impact to the business activities and to Adjusted EBITDA of EnBW.

Another example - expansion of renewable energies in Germany: Risks generally exists for EnBW in the approval and auction process. These risks can result in delays to the further expansion of renewable energies. Due to the fact that the auctions are held on equal terms, we continue to expect a high level of competition. We measure the expansion of renewable energies with our KPIs “installed output of renewable energies (RE) and the share of the generation capacity accounted for by RE”. Emerging Relevant, Inclusion of risk type: regulation always The opportunities and risk map known throughout the group must be included used to identify and classify opportunities and risks. With the help of the map, possible opportunities and risks relating to the sustainable orientation of our company are explicitly examined. In addition to the focus on meeting the requirements for a non-financial statement, the

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

recommendations of the Task Force on Climate related Financial Disclosures (TCFD) are also taken into account. The query of emerging regulation risks is part of the risk map.

Relevance – Coal Exit Act: At the time of writing this report there was the risk, that the German cabinet version of the Coal Exit Act and the framework parameters (plans of the operators regarding replacement plants and decommissioning) allow different interpretations of the exit path. In general, the late decommissioning of lignite-fired power plants leads to the fact that hard coal-fired power plants are shut down more quickly and thus new hard coal-fired power plants are also taken off the grid earlier. This would lead to unexpected loss of revenue. The German government does not plan to compensate for all decommissioning after 2027.

Example: For EnBW, the energy sources coal and gas are an essential component of a reliable energy supply. In view of the rapid expansion of renewable energies, flexible coal-fired and gas-fired power plants play a central role in ensuring reliable performance in times of low regenerative supplies. EnBW operates conventional power plants with an installed electrical capacity of around 7,200 MW – both directly and through its subsidiaries. Our plants are characterized not only by their good availability and cost-effectiveness but also by high efficiencies. The main locations are on the Rhine and Neckar rivers and are supplemented by long-term electricity purchase agreements and shareholdings outside the home market of the state of Baden- Württemberg. In 2014, we commissioned a new hard coal-fired unit in Karlsruhe (RDK8). The technical innovations set a new benchmark for efficient and environmentally-friendly energy production. Due to the fact that EnBW operates several of these hard coal-fired power plants (for example Rheinhafen-Dampfkraftwerk Karlsruhe (RDK)) this would have direct impact on the KPI Adj. EBIDTA. Technology Relevant, Inclusion of risk type: always The opportunities and risk map known throughout the group must be included used to identify and classify opportunities and risks. With the help of the map, possible opportunities and risks relating to the sustainable orientation of our company are explicitly examined. In addition to the focus on meeting the requirements for a non-financial statement, the recommendations of the Task Force on Climate related Financial Disclosures (TCFD) are also taken into account. The query of technology risks is part of the risk map.

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Relevance: In addition to the regulatory requirements, the economic operation of plants in the energy sector also depends largely on the maturity of the technology used. It is therefore important to observe, accompany and ideally even participate in technological developments. As a result of the energy turnaround, this applies in particular to developments in renewable energy producers and the turnaround in electromobility.

Example: EnBW has been awarded the contract for the He Dreiht wind farm. The economic viability of the project depends largely on whether wind turbines are available by the time the project is implemented, as assumed at the time of the tender. However, serious negative changes in the political and regulatory framework, the price and supply situation in the manufacturer market for offshore components and services, negative deviations from the planned electricity prices and permit or site-related causes in particular can lead to project abandonment. The approach thus assumes that projects will be discontinued even if unforeseeable developments make them uneconomical. In particular, the achievement of the milestones specified in the contract award represents a risk for termination. In addition to purchase price payments already made, the damage value includes the capitalized expenses of the projects and the guarantee provided. In the maximum loss scenario, the North Sea project He Dreiht would no longer be realised by EnBW. If the wind farm project were to be abandoned, this would possibly result in the write-off of purchase price payments already made and project development and investment costs already initiated and capitalised. This could have an impact on the performance indicator EBIT. No value can be given due to competition risks. Legal Relevant, Inclusion of risk type: always The opportunities and risk map known throughout the group must be included used to identify and classify opportunities and r isks. With the help of the map, possible opportunities and risks relating to the sustainable orientation of our company are explicitly examined. In addition to the focus on meeting the requirements for a non-financial statement, the recommendations of the Task Force on Climate related Financial Disclosures (TCFD) are also taken into account. The query of legal risks is part of the risk map.

Relevance: Legal issues are of particular importance due to a large number of legal conditions. in addition to the regulatory requirements, which must be complied with, the expansion of the sustainable energy mix plays an

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

important role. in particular, the expansion of wind and solar plants in the onshore sector influences the lives of citizens and is increasingly becoming a matter of public interest and thus a risk for legal issues.

Example: Photovoltaics is becoming a much more important pillar in the planning of EnBW AG. A distinction is made here between the ramp-up of classic EEG projects <10 MW with remuneration surcharges from the auctions of the BNetzA and the ramp-up of large projects that are not subsidised. In the segment of large-scale projects, mainly concrete projects in the planning period are deposited. Due to various citizens' initiatives and environmental associations, there is an increased risk of lawsuits against the planning and construction of new onshore wind farms during expansion and operation. In contrast to the wind onshore segment, there are no fundamental problems with obtaining approvals in the Photovoltaic segment. This regularly leads to significant oversubscription of the tender volume at auctions. However, due to the special quantities currently being tendered and the resulting high tender volume until 2021, the oversubscription does not lead to extreme price competition. From an economic point of view, there are therefore no concrete risks for the implementation of the projects in the pipeline at the present time. This could have an impact on the KPI Adj. EBITDA. No value can be given due to competition risks. Market Relevant, Inclusion of risk type: always The opportunities and risk map known throughout the group must be included used to identify and classify opportunities and risks. With the help of the map, possible opportunities and risks relating to the sustainable orientation of our company are explicitly examined. In addition to the focus on meeting the requirements for a non-financial statement, the recommendations of the Task Force on Climate related Financial Disclosures (TCFD) are also taken into account. The query of market risks is part of the risk map.

Relevance: Market environment: There is a risk that the continued tense market- and competitive situation for all companies (transformation of the energy sector; digitalization) in the electricity, gas and energy solutions business could have a negative effect on the customer base, sales volumes and price levels. In the future, there will still be pressure on prices and a willingness amongst customers to switch suppliers.

Example: The EnBW 2020 strategy also covers the development and expansion of system solutions and complete solutions that are specifically tailored

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

to the various customer segments. Alongside the traditional supply of electricity and gas, we see good opportunities here also for offering our customers innovative energy solutions in the areas of energy technology in the home, e.g. with products such as photovoltaic storage systems, the area of corporate energy efficiency and also electromobility. The EnBW subsidiaries Plusnet and NetCom BW should grow together and play an even stronger role on the market in the future. We believe that this is also an important step in the expansion of sustainable infrastructure and should achieve corresponding earnings contributions for our company. This could have negative impact on the key performance indicator adjusted EBITDA in 2020 and 2021 and thus an indirect impact on the key performance indicator internal financing capability via the adjusted retained cash flow and on the KPI ROCE via the Adj. EBIT. We currently identify a low Level of risk in this area. Reputation Relevant, Inclusion of risk type: always The opportunities and risk map known throughout the group must be included used to identify and classify opportunities and risks. With the help of the map, possible opportunities and risks relating to the sustainable orientation of our company are explicitly examined. In addition to the focus on meeting the requirements for a non-financial statement, the recommendations of the Task Force on Climate related Financial Disclosures (TCFD) are also taken into account. The query of reputation risks is part of the risk map.

Relevance - reputation: A strong reputation is an important factor for the sustainable success of a company. The good social reputation of a company reflects the trust placed by the general public and relevant Stakeholders in the competent and responsible actions of a company. We assume our responsibilities for the economy and society and aspire to be a driver of the Energiewende. In the process, we want to gain social acceptance and improve our reputation. A good reputation signals the willingness of society and its different stakeholder groups to cooperate with and invest in the company.

We aim to continuously improve our reputation. The focal point of this concept is the stakeholder team, which was set up on the initiative of the Board of Management in 2017. It consists of representatives from all important areas of the company. The stakeholder team communicates and maintains dialogue with relevant stakeholder groups both directly and indirectly.

Example - expansion wind onshore: Basically but not in specific the expansion strategy of the EnBW Group

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

is the expansion of the wind onshore parks. With increasing expansion of such onshore parks the risk increases that citizens get a negative view on EnBW, because onshore parks could negatively affect the landscape. This can lead to a loss of reputation due to negative reporting, citizens' initiatives, etc. and thus have a negative impact on the sustainable success of the company and projects. The lack of objective or subjective acceptance for individual project developments - local, regional or national - leads to cost increases due to possible expert opinions or a deterioration in efficiency due to possible official requirements. The risk therefore remains that certain projects cannot be implemented for reputational reasons. This could have a financially unspecified impact on the performance indicator Adj. EBIDTA. Acute Relevant, Inclusion of risk type: physical always The opportunities and risk map known throughout the group must be included used to identify and classify opportunities and risks. With the help of the map, possible opportunities and risks relating to the sustainable orientation of our company are explicitly examined. In addition to the focus on meeting the requirements for a non-financial statement, the recommendations of the Task Force on Climate related Financial Disclosures (TCFD) are also taken into account. The query of acute physical risks is part of the risk map.

Relevance: Energy utilities faces potential risks due to the ongoing process of climate change. For example, more frequent extreme weather conditions leading to highly fluctuating water levels or limits being placed on emissions locally could have a negative impact especially on the operation of power plants and thus the security of supply (electricity grids). The operation of hydropower plants can be restricted by both a lack of or also an abundance of water. Increasing volatility in the availability of wind, water and sun presents challenges in terms of planning certainty for the operation of power plants and the sale of volumes of electricity.

Example - Fluctuations in wind energy yield: There is a general risk for wind power plants due to wind energy yield fluctuations because the amounts of electricity generated by them are subject to variations in the mean annual wind speed. These fluctuations naturally grow as we acquire more and more wind turbines. In order to take these wind fluctuations into account in our planning, wind reports were created. In addition, measurement campaigns are being carried out up to the end of 2020 to evaluate wind speeds. Nevertheless, these wind fluctuations could naturally have negative impact on the KPIAdj.

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

EBITDA in 2020 and 2021 and thus an indirect impact on the key performance indicator internal Financing capability via the adjusted retained cash flow and on the KPI ROCE via the Adj. EBIT. Following the expansion of our wind portfolio with the addition of the wind turbines at EnBW Hohe See and EnBW Albatros, we currently identify an increasing level of opportunity and risk in this area. Chronic Relevant, Inclusion of risk type: physical always The opportunities and risk map known throughout the group must be included used to identify and classify opportunities and risks. With the help of the map, possible opportunities and risks relating to the sustainable orientation of our company are explicitly examined. In addition to the focus on meeting the requirements for a non-financial statement, the recommendations of the Task Force on Climate related Financial Disclosures (TCFD) are also taken into account. The query of chronic physical risks is part of the risk map.

Relevance: Energy utilities faces potential risks due to the ongoing and future process of climate change. The output from thermal power plants that must be cooled could possibly be impacted by temperature limits on discharged water. If the inflow of water is extremely low, the engine / power plant which need water for cooling or running may have to be switched off due to danger of lack of water. As this is below the permissible engine throughput. In case of switch off, the plant can not produce any power. This leads to a lower production and as a result of this to a lower revenue.

Example – EnBW nuclear power plant (2020): Operation of nuclear power plants - low water and hot water in the river Neckar caused by high temperatures and no rain: Germany has decided to phase out nuclear energy by 2022. Our subsidiary EnBW Kernkraft GmbH (EnKK) is responsible for the operation and post-operation, as well as the decommissioning and dismantling of nuclear power plants. We still produce electricity at one plant (Neckarwestheim II); however, we have already applied to dismantle it. Power generation with nuclear power plants requires a cooling system for the production facilities. There is a comprehensive concept for the functioning of this cooling system. The resource water is used for cooling. At the nuclear power plant, water is taken from the river Neckar (Neckarwestheim)). With regard to the cooling process, two conditions must be fulfilled: There must be sufficient water in the rivers (water level) and the water temperature must not exceed a specified temperature (maximum cooling water temperature). If a condition is not met bacause of high temparature and no rain, this can lead to power

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

limitations, interruptions in power generation or shutdown of the power plant. The consequence is a negative impact on the KPI Adj. EBIDTA. C2.3

(C2.3) Have you identified any inherent climate-related risks with the potential to have a substantive financial or strategic impact on your business? Yes C2.3a

(C2.3a) Provide details of risks identified with the potential to have a substantive financial or strategic impact on your business.

Identifier Risk 1

Where in the value chain does the risk driver occur? Direct operations

Risk type & Primary climate-related risk driver Acute physical Increased severity and frequency of extreme weather events such as cyclones and floods

Primary potential financial impact Other, please specify Decreased Adjusted EBITDA due to reduced energy generation.

Company-specific description Risk 1: Fluctuations in wind energy yield: There is a general economic risk for wind power plants due to wind energy yield fluctuations because the amounts of electricity generated by them are subject to variations with regard to the mean annual wind speed. This fluctuation risk grows as we acquire more and more wind turbines in the field of offshore and onshore wind.

Explanatory note: A wind power plant starts up automatically from approximately 3 - 5 m/s (wind force 3). It achieves its maximum capacity of 2 MW to 7 MW (nominal output; depending on the technology of the wind power plant) from a wind speed of approximately 13 - 14 m/s (wind force 6). The output is then held at a constant level by adjusting the rotor blades (pitch system). In the partial-load range, the rotor speed and the pitch angle of the rotor blades is continuously adjusted in order to achieve a maximum level of aerodynamic efficiency. At wind speeds greater than 25 m/s (from wind force 10), the wind power plant is automatically switched off by adjusting the rotor blades. If the wind speed falls below the restart value, the safety system is automatically reset. The rotor blades are set to their operating position and the turbine is restarted.

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Offshore wind farms/ energy: EnBW became one of the pioneers of wind energy at sea (offshore) through our first offshore wind farm EnBW Baltic 1 – the first commercial offshore wind farm in Germany in the Baltic Sea in 2011. It was then followed by EnBW Baltic 2 in 2015. We thus have 330 megawatts of installed output in the Baltic Sea and are on course for further growth in the North Sea and beyond: the joint project involving EnBW Hohe See and Albatros has been already connected to the grid in 2019 and will provide around 609 megawatts of clean electricity. And the construction of our third North Sea wind farm – EnBW He Dreiht – is due to start in 2023.

Onshore wind farms/ energy: When it comes to wind farms on land (onshore), we have been concentrating so far on high-yield sites across Germany and currently operate wind turbines with a capacity of around 500 MW here. To supplement our core market of Germany, we have expanded our onshore wind energy activities into France and Sweden via our subsidiaries “VALECO” and “EnBW Sverige AB”respectively. We aim to increase the installed output in Germany and selected foreign markets to around 2,500 MW by 2025.

Time horizon Short-term

Likelihood About as likely as not

Magnitude of impact Medium

Are you able to provide a potential financial impact figure? Yes, a single figure estimate

Potential financial impact figure (currency) 10,000,000

Potential financial impact figure – minimum (currency)

Potential financial impact figure – maximum (currency)

Explanation of financial impact figure In order to take these wind fluctuations into account in our corporate planning, wind reports are created on a regular basis. In addition, measurement campaigns are being carried out up to the end of 2020 to evaluate wind speeds. Nevertheless, these wind fluctuations could naturally have negative impact in the double-digit million euro range (at least 10.000.000 €) on the financial key performance indicator adjusted EBITDA in 2020 and 2021. Following the expansion of our wind portfolio with the addition of the wind turbines at EnBW Hohe See and EnBW Albatros, we currently identify an increasing level risk in offshore wind.

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Cost of response to risk 0

Description of response and explanation of cost calculation Business case: Use of knowledge, experience and technology to optimize service/maintenance of wind power plants by strengthening cooperation between EnBW and the subsidiary Connected Wind Services (CWS) since 2019. This reduces the risk of wind yield fluctuations and increases the rentability of its own plants via optimized maintenance at the right time.

1. Situation: On days with less wind, electricity generation from wind farms is by definition lower than on windy days. Regular maintenance/service activities must be carried out at wind turbines - for this purpose respective turbines must also be switched off - in this case no electricity is generated. To ensure highest possible electricity Generation, work on wind turbines should be carried out in times of low wind. Maintenance/service is required for all offshore (e.g. Baltic 1 and Baltic 2) and onshore wind farms (e.g. Langenburg). 2. Task: An intelligent maintenance/service strategy should reduce effort made - and ensure that plants generate optimum yields. Cooperation and knowledge transfer between EnBW and CWS will therefore be further intensified in future. There are various tasks and requirements for the planning and realisation of an optimal maintenance and service. 3. Action: EnBW carries out maintenance/service of its wind turbines in cooperation with the subsidiary CWS (with more than 50 service-teams, more than 30 years experience). CWS does not only carry out maintenance /service at its own plants, but also offers this services to third parties and can therefore continouosly improve its service (best- practice approach) EnBW works intensively on optimising operational management of its own wind farms, thus increasing rentability of wind farms: - Application and use of knowledge, as well as experience of CWS for its own wind power plants - New concepts: Better weather forecasts for planning maintenance; evaluation of service/maintenance work from the past; digital, evaluable documentation in the future - Innovative technology: in order to be competitive as service provider, EnBW and CWS use innovative technologies/ tools (used also for EnBW turbines). 4. Result: Minimal downtime and lower costs; higher flexibility; high level performance; better international wind yields: The knowledge and also the technical equipment for customers is used for the own wind farms. For this reason, no additional costs are reported here - synergy effects are used.

Comment

Identifier Risk 2

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Where in the value chain does the risk driver occur? Upstream

Risk type & Primary climate-related risk driver Current regulation Other, please specify the current legal framework allows a variety of intervention options for different stakeholders, which slows down procedures

Primary potential financial impact Other, please specify Decreased Adjusted EBITDA due to construct and operate wind onshore power plants

Company-specific description Risk 2: Challenges and difficulties for EnBW in expanding wind onshore capacity in Germany as planned and expected: In 2019, the growth in onshore wind power capacity in Germany slowed down considerably due to difficult approval conditions and tedious permitting processes. Only around 700 MW of new capacity was put into operation, which is around 75% less than in 2018. In the federal auctions held in 2019, only about half of the output available in the auctions was covered by projects. In order to achieve the target of 65% generation from renewable energies by 2030, around 4,000 MW of new capacity have to be added every single year. The climate action package was presented by the German Government in October 2019 and passed of the German Bundestag in December 2019, it is not expected to accelerate the current slow expansion in onshore wind Energy in Germany. In contrast, actual political discussions on the federal level about an opt-in clause for the federal states (Bundesländer) to introduce an uniform distance regulation between wind turbines and buildings stimulate uncertainty and make a further extension of onshore wind more difficult. Despite the challenging conditions, we will continue to push forward the expansion of wind power with other planned onshore and offshore projects. Between 2020 and 2025, we want to increase our wind power capacities up to 4,500 MW (cp. 2019: Wind Onshore – 1.522 MW, Wind Offshore – 1.806 MW).

Time horizon Medium-term

Likelihood More likely than not

Magnitude of impact High

Are you able to provide a potential financial impact figure? No, we do not have this figure

Potential financial impact figure (currency)

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Potential financial impact figure – minimum (currency)

Potential financial impact figure – maximum (currency)

Explanation of financial impact figure Due to confidential information, no disclosures on financial effects are made here.

Cost of response to risk 0

Description of response and explanation of cost calculation Business case: Application of expertise across the wind value chain in order to explore new markets also internationally. This reduces the risk of ot being able to increase the wind portfolio.

1) Situation: actual political discussions on the federal level about an opt-in clause for the federal states (Bundesländer) to introduce an uniform distance regulation between wind turbines and buildings as a result, there is a risk that a certain portion of the secured project pipeline may no longer be approved and the potential for future acquisition of approvable areas will decrease over time. 2) Task: The uncertainty regarding the legal implementation of the planned measures will also lead to further delays in ongoing approval procedures. The risk that only limited wind onshore capacities can be built up in Germany in the future must be reduced. EnBW is therefore striving for selective internationalisation - and thus the development and market entry of wind onshore in other countries, including construction and operation (e.g.Sweden, France, and other markets). 3) Action: EnBW has gathered valuable expertise in the planning, construction, operation, maintenance, servicing of wind turbines as well as in direct marketing of generated electricity over the last few years. We aim to use these skills to open up new markets and exploit opportunities for potential growth internationally. The acquisition of Valeco, a French project developer and operator of wind farms and solar parks in June 2019 was an important step in deepening our strategy of selective internationalisation in the realm of renewable energies. We are also represented by our subsidiaries EnBW Sverige in Sweden. In Turkey, we are active in the renewable energies sector with our Turkish partner Borusan. Our first activities for offshore wind in Taiwan and the USA round off our strategy for selective internationalisation. 4) Result: We are strong supporters of the energy transition (Energiewende) and will continue to use our expertise as an investor, developer and operator of wind and photovoltaic power plants even under these difficult conditions. Today, we are already the third-largest project developer for onshore wind power in Germany and we want to increase our engagement in offshore wind power. We are working together with selected international partners to target new growth opportunities. This strategy of selective internationalisation has already shown initial success in France and Sweden.

Comment

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Identifier Risk 3

Where in the value chain does the risk driver occur? Direct operations

Risk type & Primary climate-related risk driver Acute physical Increased severity and frequency of extreme weather events such as cyclones and floods

Primary potential financial impact Other, please specify Decreased Adjusted EBITDA due to reduced energy generation.

Company-specific description Risk 3: The operation of hydropower plants can be restricted by both a lack of or also an abundance of water - this leads to significantly lower electricity generation.

The use of domestic hydropower has a long tradition at EnBW. In many of our plants, the turbines have been rotating for more than a hundred years. With around 1000 MW of installed capacity from run-of-river power plants (for example on the Rhine, the Iller, and the Neckar, as well as smaller rivers throughout Baden-Württemberg), an important contribution is made to climate-friendly electricity generation.

EnBW faces potential risks due to the ongoing dynamics of climate change. For example, more frequent extreme weather conditions leading to highly fluctuating water levels could have a negative impact especially on the operation of power plants and thus the security of supply (electricity grids).

Run-of-river power plants belong to the category of “base load power plants” alongside coal-fired and nuclear power plants. They provide virtually uninterrupted power day and night – even when storms hit or when there is no wind. And even if the listed rivers do not carry enough water, which can happen in the case of prolonged drought or severe flooding, does this also lead to a decline in production.

Run-of-river power plants are usually built on rivers with a slight gradient but large flow rates, usually following the same pattern: A weir with several lockable gates can dam the river water. To produce electricity, the water from this reservoir is fed through turbines. These in turn drive generators in the engine house. Control devices in front of the impeller ensure that the optimum amount of water is directed onto the impeller blades. A screen in front of the water inlet protects the turbines from twigs, branches, and refuse.

Time horizon Short-term

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Likelihood More likely than not

Magnitude of impact Medium

Are you able to provide a potential financial impact figure? Yes, a single figure estimate

Potential financial impact figure (currency) 1

Potential financial impact figure – minimum (currency)

Potential financial impact figure – maximum (currency)

Explanation of financial impact figure Regarding potential financial impact figure: EnBW takes into account the risk of low water and flooding, which can lead to lower electricity production - with negative effects for Adjusted EBITDA (deviation from plan >1). The calculation of deviations is based on previous experience and derived estimates (among other things by taking into account short/medium-term climatic). Example: Own generation by run-of-river power plants (1006 MW) - 9988 GWh in 2019, 8414 GWh in 2018. This illustrates for example the fluctuations in electricity generation with run-of-river power plants.

Cost of response to risk 0

Description of response and explanation of cost calculation Business Case A: Diversification of generation Portfolio 1. Situation: EnBW has about 1000 MW run-of-river power plants. In the solar energy field, EnBW has less than 225 MW. So there is a climate dependency with regard to low water and high water. 2. Task: To reduce dependence on water, investments can be made in other generation technologies (portfolio diversification). 3. Action: From a strategic perspective, solar energy has become significantly more important for EnBW in 2019. We are strongly committed to solar energy. alongside wind power and hydropower, it is the third pillar in the area of RE, and an important part of the Energiewende. We are striving to expand solar energy to an output of around 600 MW by 2025 in Germany. 4. Result: With expansion of solar energy, we achieve greater diversification of the generation portfolio and reduce negative effects of low, high water and reduce negative impact regarding Adjusted EBITDA.

These activities in the field of solar energy do not generate any direct costs in relation with run-of-river power plants.

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Business case A: Service/Maintenance of power plants on days with low water or high water 1. Situation: Operation of hydropower plants can be restricted by both a lack of or also an abundance of water. This can even lead to a complete shutdown of the plants. As a result, less electricity is generated, which leads to negative economic effects. Maintenance/service activities must be carried out at the power plants - for this Purpose power plants must also be switched off. In order to ensure the highest possible electricity generation from the power plants, maintenance/service of the plants should be carried out when there is low water or floods. 2. Task: Service/maintenance at the power plants should be carried out when, due to climatic conditions (low water or high water), power generation is low. 3. Action: In order to determine the right time for service/maintenance at the power plant, professional weather analyses must be carried out. EnBW has competent experts (e.g. meteorologists) and is expanding these skills, as these are required for the entire renewable energy field (wind, solar, water). 4. Result: Intelligent planning of service/maintenance of power plants can reduce the risk of low and high water and increase rentability of power plants.

There are no additional costs, because these measures and analyses of the weather are also carried out for wind and solar power plants.

Comment

C2.4

(C2.4) Have you identified any climate-related opportunities with the potential to have a substantive financial or strategic impact on your business? Yes C2.4a

(C2.4a) Provide details of opportunities identified with the potential to have a substantive financial or strategic impact on your business.

Identifier Opp1

Where in the value chain does the opportunity occur? Direct operations

Opportunity type Products and services

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Primary climate-related opportunity driver Development and/or expansion of low emission goods and services

Primary potential financial impact Other, please specify Increased Adjusted EBITDA resulting from increased demand for productes and services.

Company-specific description Opportunity 1: Expansion and modernisation of electricity grids (transmission and distribution) - contribution to energy system transformation and a climate-friendly energy system: The transformation of the energy system is currently taking place in Germany ("Energiewende") - in particular the conversion of electricity generation from conventional to renewable. One of the driving Forces is climate protection.

The overall success of the Energiewende is closely linked to the expansion of the transmission and distribution grids. The connection of renewable energy generation Installation as well as vehicle electrification will require further construction measures at all levels of the electricity grid.

The grid segment of EnBW encompasses mainly the transmission and distribution of electricity and the provision of grid-related services (furthermore transmission and distribution of gas and supply of water). Value added in the grid segment is based on the existing infrastructure and built up process Know-how over time. Furthermore, value added is anchored in the numerous close relationships with local authorities and citizens. The grid business will be expanded further in the course of the Energiewende and will thus contribute to the central objective security of supply. At the level of the transmission grids, this includes the construction of the two north-south connections SuedLink and ULTRANET by our subsidiary TransnetBW and its partners. Partnerships will play a more important role in the distribution grid in future as our grid companies efficiently manage our customers’ grid installations and facilities and prepare them to meet the new requirements - this is mainly the business of our subsidiary Netze BW. Selected projects/activities in 2019 with important impact for the following years: - Planning/ implementation of diverse projects for the expansion and modernisation of the distribution grids in Baden-Württemberg by Netze BW - “EnBW connects” participation model offers local authorities in Baden-Württemberg the opportunity to acquire a share of Netze BW for the first time - End of the “E-Mobility Avenue” project from Netze BW to examine charging behaviour and the effects on the electricity grid; start of two follow-up projects “E-Mobility-Carré” and “E-Mobility-Chaussee” - Start of the preliminary work for ULTRANET converter station in Philippsburg - Preparations for SuedLink as part of the approval process

Time horizon Medium-term

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Likelihood Very likely

Magnitude of impact Medium-high

Are you able to provide a potential financial impact figure? Yes, an estimated range

Potential financial impact figure (currency)

Potential financial impact figure – minimum (currency) 1,300,000,000

Potential financial impact figure – maximum (currency) 1,400,000,000

Explanation of financial impact figure The Adj. EBITDA for the grids segment in 2020 (1.300.000.000 – 1.400.000.000 € Adj. EBITDA) is set to reach the same level as the 2019 financial year and it will thus continue to be the segment with the highest earnings (2019: 1.311.000.000 € Adj. EBITDA). Revenue from the use of the grids which will come from returns on the increased investment activity in projects that are included for example in the Network Development Plan Electricity is expected to remain stable in comparison to the previous year.

Cost to realize opportunity 3,780,000,000

Strategy to realize opportunity and explanation of cost calculation Business Case for our subsidiary Netze BW: 1. Situation: In Baden-Württemberg (BW) the energy transformation is visible in many places. Regenerative, decentralised generation plants such as biomass, photovoltaic and wind energy plants are representing an increasingly important part of electricity generation. As a result, considerable power flows are increasingly taking place from lower to higher grid levels. This can lead to bottlenecks in the electricity distribution networks, which must be eliminated by appropriate technical measures. Grids are thus becoming a key success factor in the energy turnaround. 2. Task: Netze BW takes on these challenges and makes the grid future-proof/ready through intelligent solutions and the conversion and expansion of the electricity networks so that Our customers can continue to benefit from the highest quality of supply. 3. Action: For this reason, Netze BW regularly draws up a grid expansion plan for its high-voltage grid (i.e. 110 kV grid), taking current technological and political developments into account, which describes and transparently presents the necessary grid expansion requirements of Netze BW in the high-voltage sector. 4. Result: Netze BW is making a significant contribution to the transformation of energy systems and mobility by expanding/ modernizing distribution networks in BW.

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Renewable energy can continue to be included and distributed on the grid, and electric mobility is made possible. Selected projects in BW are currently being planned and implemented: - Renewal of the existing 110 kV high-voltage grid between Rheinau and Leimen - Planned construction of a new 110 kV transformer station and connection to the existing 110 kV electricity grid in Burladingen

Cost calculation: In order to continue to play an active role in shaping the Energiewende, total investment of €7.0 billion is planned for the 2020 to 2022 period (EnBW investment). Around 54% of the investment will flow into the grids segment, of which around 38% will be for growth projects and 16% for existing projects. In order to make the transport of renewable energies from the north to the south of Germany possible, funds have been allocated to the transmission grid for the realisation of the two HVDC projects ULTRANET and SuedLink that involve our subsidiary TransnetBW and are part of the Network Development Plan. In addition, extensive investments in the expansion and upgrading of the existing grids is planned – for example by Netze BW.

Comment

Identifier Opp2

Where in the value chain does the opportunity occur? Downstream

Opportunity type Products and services

Primary climate-related opportunity driver Development and/or expansion of low emission goods and services

Primary potential financial impact Increased revenues resulting from increased demand for products and services

Company-specific description Opportunity 2: Steady and consistent expansion of the business field electromobility with positive effects on climate protection - Planning, construction and operation of charging infrastructure as well as offering charging solutions for different customer groups (for example private customers, business customers, municipalities)

EnBW already assumed a pioneering role in the area of charging infrastructure many years ago. The company began installing charging stations for electric vehicles in Stuttgart in 2012 and has since supplied electricity to the largest fleet of electric vehicles in a major city. In comparison to conventional AC charging stations (alternating current), DC charging stations (direct current) allow for a significantly faster charging process. This means that customers can, for example, charge their vehicle with enough electricity

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

to cover a distance of around 100 kilometres in just 3 minutes at DC charging stations with a charging capacity of 300 kilowatts (so-called “high power chargers”). EnBW is one of the market leaders for the operation of fast charging stations in Germany with currently more than 400 fast charging locations, primarily at motorway service stations and in urban areas. And the ambition is to operate 1,000 fast charging locations across Germany by the beginning of 2021. Whether electromobility is fit for everyday life is best demonstrated by how easily and intuitively it can be accessed by users. Our EnBW mobility+ app has established itself as a kind of leading smart guide in this respect. The free app offers drivers of electric vehicles a comprehensive service: an almost seamless overview of available charging stations in the immediate surroundings, full transparency with respect to tariffs and convenient payment functions.

EnBW has entered into various collaborations with renowned partners that promote, above all, the expansion of the quick-charging infrastructure in urban areas and is now the largest provider of high-power charging locations in Germany. The EnBW mobility+ app provides access to more than 100.000 publicly accessible charging points in Germany, Austria, Switzerland, France, Italy and Netherlands where e-car drivers pay the same price per kilowatt. In addition, drivers can use the app directly to pay for the electricity used to charge their e-cars at these stations.

Time horizon Long-term

Likelihood Likely

Magnitude of impact Medium-high

Are you able to provide a potential financial impact figure? No, we do not have this figure

Potential financial impact figure (currency)

Potential financial impact figure – minimum (currency)

Potential financial impact figure – maximum (currency)

Explanation of financial impact figure Electromobility is a new developing market and EnBW is investing in charging infrastructure, IT systems, business infrastructure and product development. With these investments we assume an positive annual balance by 2025. EnBW is investing massively in the infrastructure for electric mobility up to 2030 - this guarantees in future a further increase in revenues and a further increase in Adj. EBITDA, especially in the long term (after 2030).

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Cost to realize opportunity 100,000,000

Strategy to realize opportunity and explanation of cost calculation Business Case E-Mobility – Planning, construction and operation of charging infrastructure as well as offering charging solutions for different customer Groups (for example private customers, business customers, municipalities): 1. Situation: Electromobility is a rising market and EnBW is focusing on buiding a widely spread charging network by investing in charging infrastructure and offering digital services to customers. Demand for eMobility enabling new business areas: Range of electric and hybrid vehicles is growing. Vehicles from German manufacturers are today available in good quality and ready for mass production. Municipalities and municipal utilities, as well as companies, are very interested in new mobility and charging infrastructure solutions. 2. Task: Operating and establishing business in a rising market like E-Mobility is challenging and as a result all opportunities must be sorted and evaluated. Flexibility and customer orientation are very important business issues and opportunities. 3. Action: EnBW regularly studies publications on the development of electromobility. Market and competitor analyses are also carried out. Based on this, appropriate initiatives are selected and implemented. At all stages (charging infrastructure, power supply, billing/processing, value-added services), EnBW can draw on and expand its own expertise. 4. Result: In the sector electromobility, EnBW will be a fullservice provider and together with its subsidiaries cover the complete spectrum of services for the development and expansion of electromobility from the supply of electricity and the operation of a comprehensive charging infrastructure through to digital services for the consumer. Explanation of cost calculation: an investment of some 100 Mio. Euros per year until 2025 mainly in the infrastructure business. EnBW will continue to benefit from this even after 2025 with an expected increase in Adjusted EBITDA.

Comment If you are looking for a definition for electromobility, you will quickly find it, but in view of the technologies and developments involved, electromobility, or e-mobility, is more of a dynamic process and less of a static concept, which makes it even more difficult to come up with a permanently valid definition. In general, electromobility refers to the use of electric vehicles. These include electric cars as well as electric trains, electric motorcycles and scooters, battery buses, electronic trucks, electric bicycles and electric tricycles. Electric vehicles include fuel cell vehicles, battery electric and hybrid vehicles.

E-mobility is regarded as the basic building block of a sustainable transport concept using renewable energies. In summary, e-mobility describes not only the vehicles with electric drive themselves, but also the entire concept of future mobility based on modernised networks in cities, municipalities, countries and states. This includes smart technologies of traffic electronics (e.g. for traffic light switching) as well as car sharing offers that are primarily based on apps and whose operators also rely on electric vehicles in the best case.

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Identifier Opp3

Where in the value chain does the opportunity occur? Direct operations

Opportunity type Energy source

Primary climate-related opportunity driver Use of lower-emission sources of energy

Primary potential financial impact Other, please specify Increased Adjusted EBITDA resulting from increased production capacity (increased generation capacity)

Company-specific description Opportunity 3: Consequent and steady expansion of renewable energies - various renewable energy projects make an important contribution to climate protection and transformation of the energy system.

Activities in the area of power generation from renewable energies are combined Under Our Renewable Energies (RE) segment. In the upcoming years we are expanding RE significantly, above all in the areas of onshore and offshore wind energy as well as solar energy and biomass. The partnership principle plays a central role in this context and we offer potential investors such as local authorities and private citizens, whom we attract with the aid of targeted models, the chance to participate in RE projects. The value we add in this segment encompasses project development, construction and efficient operation, as well as the repowering of the plants and installations in the future.

Selected projects in 2019: » Completion and commissioning of the offshore wind farm EnBW Hohe See with an output of 497 MW » Completion of the offshore wind farm EnBW Albatros with an output of 112 MW; commissioning in January 2020 » Acquisition of the French project developer and operator of wind farms and solar parks Valeco » Opening of a representative office in Taiwan for developing offshore wind farm projects as part of selective internationalisation » Opening of two offices in Jersey City and Boston in the USA to participate in the expansion of offshore wind power on the East Coast of the USA

Selected projects in future: » Investment decision for the Weesow-Willmersdorf solar park with an output of more

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

than 180 MW Without EEG funding - Construction and commissioning of the project in 2020. The company plans to develop a solar energy portfolio of 600 MW across Germany by 2025 (2019: less than 225 MW). In addition, we are also looking at sites abroad. »Despite the challenging conditions, we will continue to push forward the expansion of wind power with other planned onshore and offshore projects. Between 2020 and 2025, we want to increase our wind power capacities to 4,500 MW. We are planning, for example, to construct the EnBW He Dreiht wind farm in the North Sea with an output of 900 MW – for the first time without state subsidies.

Time horizon Medium-term

Likelihood Very likely

Magnitude of impact Medium-high

Are you able to provide a potential financial impact figure? Yes, an estimated range

Potential financial impact figure (currency)

Potential financial impact figure – minimum (currency) 825,000,000

Potential financial impact figure – maximum (currency) 925,000,000

Explanation of financial impact figure The Adj. EBITDA for the Renewable Energies segment will increase significantly in 2020 (2020: 825 Mio. € - 925 Mio. € Adj. EBITDA; 2019: 483 Mio. € Adj. EBITDA). Our offshore wind farms EnBW Hohe See and EnBW Albatros – which were commissioned in autumn 2019 and at the beginning of 2020, respectively – will make full-year earnings contributions. In addition, the expansion and acquisition of onshore wind farms and photovoltaic power plants realised during the course of 2019 and planned in 2020 will make a positive contribution to earnings. Our forecasts are generally based on wind yields that correspond to the long-term average. As the wind conditions were slightly below the long-term average in 2019, this will result in slightly higher earnings in 2020 in comparison to the previous year.

Cost to realize opportunity 1,890,000,000

Strategy to realize opportunity and explanation of cost calculation

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Business Case EnBW Segment Renewable Energies - tasks and initiatives: Project development and management; construction and operation of renewable energy power plants.

1. Situation: The installed output of renewable energies (RE) and the share of the generation capacity accounted for by RE are measures of the expansion of renewable energies and refer to the installed output of the power plants. We aim to double the share of the generation capacity accounted for by renewable energies by 2020 compared to 2012 (19%) and increase this figure further by 2025 (>50%). 2. Task: Massive investments will be necessary in the coming years to ensure that the EnBW targets will be achieved. Investments will be made especially in power generation with wind and solar. 3. Action (cost calculation): Investment over a three-year period: In order to continue to play an active role in shaping the Energiewende, total investment of €7.0 billion is planned for the 2020-2022 period (EnBW invest). Around 27% of the total investment will be attributable to the Renewable Energies segment (1.890.000.000 €) – of which 26% will be for growth investment. This includes funds for the realisation of further offshore wind farms after 2019. In addition, funds have been allocated for the construction of onshore wind farms both at home and abroad to achieve the 1,000 MW target by 2020 and for solar parks (including three large photovoltaic parks with a total output of around 460 MW) from our comprehensive project pipeline. 4. Result: With these investments, renewable energies will be gradually expanded over time. This will make an important contribution to climate-friendly electricity generation. Example for 2020: EnBW is constructing its “Weesow-Willmersdorf” solar park with an installed output of 187 megawatts on an area covering 164 hectares. The solar park is located almost 26 kilometres northeast of Berlin in Werneuchen, Brandenburg. The park will be able to supply around 50,000 households with environmentally friendly energy through its annual yield of 180 million kilowatt hours of electricity, saving about 129,000 tonnes of CO2 each year. The entire project is due to be commissioned before the end of 2020.

Comment

C3. Business Strategy

C3.1

(C3.1) Have climate-related risks and opportunities influenced your organization’s strategy and/or financial planning? Yes, and we have developed a low-carbon transition plan

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

C3.1a

(C3.1a) Does your organization use climate-related scenario analysis to inform its strategy? Yes, qualitative and quantitative C3.1b

(C3.1b) Provide details of your organization’s use of climate-related scenario analysis. Climate-related Details scenarios and models applied IEA 450 Identification process: IEA Sustainable We have been analysing the robustness of our business model for many development years – with an increasing focus on the recommendations issued by the Task scenario Force on Climate-related Financial Disclosures (TCFD) in the last few years. BNEF NEO We take account of the special requirements of the Energiewende and the international climate protection targets. To obtain a robust scenario setting we Other, please specify incorporate external scenarios in our internal scenarios. The following Further information scenarios are of particular interest for our internal scenario composition: IEA regarding our own model see details. 450, IEA Sustainable Development scenario, BNEF NEO as well as scenarios from THEMA or Aurora. We use these scenarios as a reflection of the results of the calculations of our own model. In addition, external studies provide additional information or provide answers to specific questions.

Time horizon(s): In the context of energy system transformation long-term investments are necessary. This applies various areas, e. g. expansion of renewable energies with lifetimes of around 25 years or the further development of the gas infrastructure with depreciation periods of up to 50 years. Therefore, our models consider a period from today until 2050 in order to take long-term developments into account.

Areas considered: We draw up consistent future internal scenarios based on different aspects of the Energiewende e.g. phasing out of fossil fuels, expansion of renewable energies (PV, wind, ...) or conversion to eMobility or heat pumps for the heating of buildings. Major drivers of these scenarios are how much economic growth there will be in the long term and the political and corporate ambitions for protecting the climate in the energy markets. The various risks associated with the transition to a low-carbon economy are reflected within the scenarios.

Summary of the results : We analyse possible future paths for the long-term development of the energy market. As result we get amongst other things, the wholesale market prices

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

for electricity and gas as well as CO2 prices. The simulations also take into account physical risks such as uncertainties about meteorological influences on the electricity market in the future due to the availability of wind and sunlight. The results are a component of our business activities, e.g. investment decisions like the construction of an Offshore wind farm.

Informed business objectives and strategy: The knowledge gained from the simulations is taken into account in the Group's strategic orientation. Following a focus on an energy value chain with four segments - Sales, Networks, Renewables, Generation and Trading - EnBW will in future be organised along three strategic business areas: Smart infrastructure for customers, System critical infrastructure and Sustainable generation infrastructure. EnBW is transforming into a sustainable and innovative infrastructure partner also beyond the traditional energy business.

Case study/example: Situation: In addition to onshore and offshore, PV is the third pillar of our strategy to expand renewable energy. EnBW therefore wants to further expand its PV portfolio. However, projects that can be submitted in a PV CfD (contracts for difference) auction are limited in size. They can have a maximum size of 10 MW. In order to realize larger PV projects, another source of revenue had to be developed.

Task: Based on the electricity price expectations for the future, EnBW has decided to realize a PV project not supported by the EEG but to cover their cost by alternative routes to market such as PPAs.

Action: In October 2019 EnBW take the investment decision for the first subsidy-free 180 MW Solar PV project Weesow-Willmersdorf in Brandenburg. We based the internal valuation on a bundle of scenarios that best reflect our expectation in future market development.

Result: Construction of the solar park will start in 2020 and the park will produce approx. 180 million kWh of renewable energy and thus save 129,000 t CO2. C3.1d

(C3.1d) Describe where and how climate-related risks and opportunities have influenced your strategy. Have climate-related Description of influence risks and opportunities influenced your strategy in this area?

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Products and Yes 1. Strategy & influence: services As a result of Paris Climate Protection Agreement, framework conditions for renewable energies (RE) in various countries are being shaped positively by politics. Incentives are being created for investments by companies. Conventional generation is thus losing importance. Today, RE and the Grids Segments account for a combined share of over 70% of the operating result. In contrast, earnings from conventional generation have fallen by 80% between 2012 and 2020. We have thus successfully completed the desired transformation of our portfolio in the last few years. We decided to continue to focus on expansion of RE and will invest more than 5 billion euros in corresponding activities in Germany and selected foreign markets up to 2025 (EnBW 2025 Strategy). Selective internationalisation: We can generate value through growth abroad – above and beyond the potential offered by our home market of Germany. This internationalisation is “selective” in the sense that we choose our target markets very deliberately so that we will be able to take up a prominent position on these markets. 2. Time horizon & strategy: The strategic direction is based on the EnBW 2025 strategy. 3. Case study - Selective internationalisation: Situation: The foundations for our growth in the area of RE certainly lie in the significant upgrading of this business field as part of our EnBW 2020 strategy. Further growth in RE is targeted. Task: Following initial success in Germany, the decision to extend our business activities and teams geographically is the logical continuation of our aspiration to achieve further growth through the expansion of RE using the expertise we have gained (EnBW2025 Strategy). Action: - USA: Our own representative offices in Jersey City and Boston will ensure close contact with local cooperation Partners (opened 2019). In Morro Bay (California), the team is developing the world’s first floating offshore wind farm in a joint venture. - Taiwan: In cooperation with Australian investor Macquarie Capital and Taiwanese industrial company Swancor, we have been developing three offshore wind farm projects since the beginning of 2018. The projects involve construction of wind turbines with a potential total output of

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

up to 2,000 MW. Result: We believe that these new markets offer great opportunities for the expansion of offshore wind energy. Supply chain Yes 1. Strategy and influence: Against the background of climate and/or value change and its corresponding challenges for the global chain society EnBW has set the vision in its strategy 2025 to transform into a sustainable and innovative infrastructure partner. Sustainable development of EnBW’s central procurement is one component of this strategy. 2. Time horizon: 2020 - 2023 ( ongoing transition of EnBW’s procurement) 3. Case study: Situation: It is proven that in most cases the biggest negative impact of a company on environment, climate and human rights is generated within the supply chain. Therefore, EnBW started in 2019 with planning a project (to be implemented in 2020) to establish a sustainable supply chain management in central procurement. Since climate protection and carbon reduction are focal points of EnBW’s overall sustainability strategy these aspects are addressed within this project. The project will be implemented by the end of 2020 and is seen as a starting point for an ongoing transition of EnBW’s procurement. It is envisaged that within 3 years EnBW has implemented an ambitious supply chain management. The project consists of two main parts: On the one hand the development of a supplier code of conduct (binding to all suppliers) addressing specifically climate protection and reduction of polluting emissions, on the other hand the project focuses on implementing the sustainability criteria defined in the supplier code of conduct into the procurement process. Regarding climate protection/ reduction of polluting emissions our business partners must reduce climate damaging emissions continuously. Therefore, suppliers are asked to define and document clear carbon reduction goals. Further, our business partners shall contribute to developing climate friendly products and processes. The compliance with these requirements will be monitored on a regular base. In case a supplier does not meet the requirements, EnBW will start a process of dialogue about corrective action measure to further develop the supplier. Additionally, in order to gaining a better overview of climate and environmental risks (as well as social risks) along the supply chain EnBW will use from 2020 onwards risk score cards for every product category. This enables purchasers at

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

EnBW to know about the potential impact on climate and environment before a project or tendering process is started. Investment in Yes As a result of Paris Climate Protection Agreement, R&D framework conditions for renewable energies in various countries are being shaped positively by politics. Incentives are being created for investments by companies - e.g. in the field of wind energy . Conventional generation is thus losing importance. A key success factor in the field of wind energy is the use of innovative technologies to generate electricity. 1. Strategy & Influence: Despite the challenging conditions, we will continue to push forward expansion of wind power with onshore and offshore projects. Between 2020 and 2025, we want to increase our wind power capacities to 4,500 MW. We are planning, for example, to construct EnBW He Dreiht wind farm in the North Sea with an output of 900 MW. Innovative technologies for power generation from wind power are an important element in our approach to research and development. The goal of our research and development is to identify technological trends at an early stage, assess their economic potential and build up expertise in business units. For this purpose, we carry out pilot, demonstration projects together with partners/customers directly at the site of their subsequent application. This ensures that successful research projects deliver innovations for our company. 2. Time horizon(s) & Strategy: R&D activities in the field of wind power are ongoing within the strategy EnBW 2025. 3. Case study Wind Energy: Situation: Offshore wind power plants with fixed foundations are limited to shallow waters with water depths of up to around 50 m. Task: Floating platforms could be used to exploit the wind power potential in deeper waters. Thus, respective concepts have to be investigated. Action: In cooperation with partners, we are investigating different concepts for floating offshore wind farm projects that would be suitable for opening up new international offshore wind energy regions. We signed a technology partnership agreement with engineering company aerodyn based in northern Germany at the end of 2019. Result:

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Together, the partners will realise a novel design for floating wind turbines that offers the potential for cost savings because of the way it is constructed. The small-scale test that began in 2020 in Germany has immediately led to a test under real conditions, which will be carried out by Chinese renewable technologies company Ming Yang. Operations Yes 1. Strategy & influence: The climate action package introduced by the German government includes the phaseout of coal power, the introduction of charges for CO2 emissions in the transport and heating sectors and numerous other measures, such as subsidies to promote electromobility - according to politics, CO2 emissions in transport sector are to be significantly reduced over the next years. Incentives for the purchase of electric vehicles are created. Positive conditions are being created for companies with regard to business activities in the field of electromobility. Strategy EnBW 2025: In the strategic business field Smart infrastructure for customers, we will develop new and digital business models, launch them onto the market and scale them up – even beyond traditional energy industry value chain. The main focus will be placed here amongst others on electromobility, for example on the expansion of the quickcharging infrastructure, 2. Time horizon(s) & strategy: Activities in the field of electromobility are ongoing within the strategy EnBW 2025. It is planned to increase sales of electromobility gradually. 3. Case study - electromobility: Situation: As a full-service provider together with our subsidiaries, our company covers the complete spectrum of services for the development and expansion of electromobility from the supply of electricity and operation of a comprehensive charging infrastructure through to digital services for the consumer. Task: The electromobility business should be continuously expanded. Concrete projects with customers and partners should be realized. Action: In particular, the main focus was placed in 2019 on comprehensive expansion of quick-charging stations. We were the largest operator of quick-charging infrastructure in Germany at the end of 2019 with around 290 quick-charging stations and we plan to operate up to 1,000 quick-charging

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

stations across the country by the end of 2020. In addition, we offer drivers of electric cars access to more than 35,000 charging points in Germany, Austria, Switzerland via EnBW mobility+ app. Result: With e-mobility, EnBW is making an important contribution to climate protection. EnBW continues to invest massively in the electromobility business. In this way, the company intends to remain a pioneer and secure its competitiveness. C3.1e

(C3.1e) Describe where and how climate-related risks and opportunities have influenced your financial planning. Financial planning Description of influence elements that have been influenced Row Capital Capital expenditures/ CAPEX: 1 expenditures The issue of climate protection is receiving a greater and greater amount Acquisitions and of public attention in Germany and in Europe. Clear examples of this can divestments be found in the “Fridays for Future” movement and the results of the Access to capital European Parliamentary elections in 2019.

Case Study: Situation: The national climate protection targets and the international efforts for climate protection have effects on energy supply. Our strategy of concentrating investment on renewable energies, expanding the grids and developing new and increasingly digitalised business models makes a contribution to energy system transformation and CO2-reduction (EnBW strategy 2020/2025).

Task: In order to continue to play an active role in shaping the Energiewende, massive investments are needed in the next years in the generation, in the distribution and sale of climate-friendly products. A mid-term investment plan must be developed and operationalised for EnBW.

Action (Investment over a three-year period, 2020-2022): EnBW plans a total investment of €7.0 Billion for the 2020 to 2022 period. This represents on average €2.3 Billion per year. €1.6 billion (23%) of this investment will be on existing projects and €5.4 billion (77%) on growth projects. The majority of the total investment will be made in the regulated business (Renewable Energies and Grids). The

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

planned activities will contribute to climate protection.

Result (example Investment for Renewable Energies): Around 27% of the total investment will be attributable to the Renewable Energies segment – of which 26% will be for growth investment. This includes funds for the realisation of further offshore wind farms after 2019. In addition, funds have been allocated for the construction of onshore wind farms both at home and abroad to achieve the 1,000 MW target by 2020 and for solar parks (including three large photovoltaic parks with a total output of around 460 MW) from our comprehensive project pipeline.

Acquisitions and divestments: The issue of climate protection is receiving a greater and greater amount of public Attention in Germany and in Europe. Clear examples of this can be found in the “Fridays for Future” movement and the results of the European elections.

Case Study: Situation: International efforts for climate protection and climate-friendly power generation - this supports the expansion of renewable energies in various countries, for example France. France therefore is an interesting market for EnBW.

Task: EnBW has gathered valuable expertise in the planning, construction, operation, maintenance, servicing of wind turbines and photovoltaic systems over the last few years. We aim to use these skills to open up new markets and exploit opportunities for growth internationally. Acquisitions are also conceivable, taking into account the regional conditions.

Action: Investment in the Renewable Energies segment of €1.552.6 Million in 2019 was considerably higher than the figure in the previous year (restated: €478.8 million). One reason for this was the acquisition of Valeco (with an installed capacity of 276 megawatts of onshore wind power and 56 megawatts of solar power, as well as a project pipeline of 1,700 megawatts, Valeco (headquarter in Montpellier) reported an annual turnover of around 50 million euros in 2018).

Result: We successfully entered the French market for renewable energies with the acquisition of Valeco in 2019. We expect dynamic growth in renewable energies in France, both in the wind power and photovoltaic sectors. The framework conditions in France, which are mainly centred

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

around auction-based invitations to tender, guarantee continued and reliable funding for renewable energies.

Access to capital: Our business development is to be financed by retained cash flow and, if necessary, by external debt financing. Various financing instruments give EnBW flexible access to the debt capital markets. For example green bonds: EnBW sees sustainability as an integral part of its business strategy. With its Green Bonds, EnBW aims to mobilise the financial resources for the transformation targeted in that strategy.

Case Study: Situation: To implement our strategy EnBW 2020, we planned total investment of €14.1 billion (reference year of 2012) by 2020. EnBW is planning to invest around €12 billion in total between 2021 and 2025. Increasing numbers of institutional investors now prefer sustainable investments. This further enhances the strategic importance of business activities that benefit the climate. In line with our strategy of developing EnBW into a sustainable and innovative infrastructure partner, we are investing more and more in climate-friendly growth projects. Green bonds are issued exclusively to finance climate-friendly projects. The proceeds are invested in sustainable environmental and climate protection projects.

Task: The financing strategy at EnBW changed over the last few years as part of our strategic repositioning through EnBW 2020. We did not just significantly intensify the expansion of renewable energies but also focussed on other aspects of sustainable supply and sustainable business, such as restructuring and expanding the grids and investing in e-mobility. Accodingly, we also rigorously updated our financing strategy and made it more sustainable (task). For example we developed and published our first Green Financing Framework. The Green Financing Framework is the basis for sustainable finance at EnBW. Based on the Framework, a second party opinion is obtained from ISS ESG or another suitable sustainability agency. The Green Bond issues are certified by the Climate Bonds Initiative (CBI).

Action: Bonds are “green” when they finance investment in sustainability goals. There has been strong demand on the markets for this type of bond. Green bonds especially address a wider group of investors who invest in sustainable products out of conviction. Based on our Green Financing Framework, which was first published in

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

October 2018 and is regularly updated, proceeds from our green bonds must go exclusively to projects in the following categories that are eligible for support: - Renewable energy (onshore and offshore wind power and solar/photovoltaics) - Energy efficiency (such as smart meters) - Clean transportation (such as electric mobility infrastructure/ charging points)

Result: EnBW has raised 1.5 billion euros solely through the issuing of green bonds in the last two years. EnBW has launched the following green bond issues: - 24.10.2018: Green Senior Bond for €500 Million - 29.7.2019: Two Green Subordinated Bonds, each for €500 Million - 22.6.2020: Green Subordinated Bond for €500 Million

All EnBW Green Bonds have met the criteria for certification by the Climate Bonds Standard Board on behalf of the Climate Bond Initiative. Our message is clear: The majority of the bonds that we issue on the market in future will be green bonds. C3.1f

(C3.1f) Provide any additional information on how climate-related risks and opportunities have influenced your strategy and financial planning (optional). As an integrated energy company, EnBW is active in the four segments Sales, Grids, Renewable Energies and Generation and Trading. With the EnBW 2020 strategy, we have already set the course for the further development of our company in 2013. In the meantime we have fundamentally changed our business portfolio. The overall share of adjusted EBITDA accounted for by the regulated grid business and renewable energies and thus the predictable earnings has increased from around 40% (reference year of 2012) to more than 70% in 2019. We have thus already achieved the target value for 2020 and set the course for the time thereafter with the Strategy 2025. From 2021 onwards we will combine our business portfolio within three strategic business areas. And we are transforming ourselves into a sustainable and innovative infrastructure partner.

Following the successful implementation of the EnBW 2020 strategy, we will bundle our business portfolio into three strategic business areas starting in 2021 as a consistent development after 2020. We are transforming ourselves into a sustainable and innovative infrastructure partner. The central goal of the EnBW 2025 strategy is to increase adjusted EBITDA to €3.2 billion, whereby all three strategic business areas should make a significant contribution to this increase in earnings. Three strategic business areas are: a) System critical infrastructure

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Our grid subsidiaries for electricity and gas will further expand the transmission grids into an important earnings pillar alongside the distribution grids. We will upgrade the electricity distribution grids so that they are ready to meet future requirements and ensure they are optimally prepared for the demands that will be placed on them by electromobility. We want to significantly develop and expand the business involving grid-related services – the operation of grids for third parties, payment and billing services and charging networks for electromobility – especially in partnership with local authorities and public utilities. b) Sustainable generation infrastructure This business area primarily includes renewable energies, with a focus on offshore and onshore wind power. We will also continue with our strategy of selective internationalisation and the expansion of the portfolio of major photovoltaic projects. In this way, we will systematically expand low-CO2 generation. In addition, we will build on our strong position in the gas business, especially in the area of green and synthetic gases. In contrast, we will gradually withdraw from coal-based conventional generation. The last nuclear power plants operated by EnBW will be decommissioned in 2022. c) Smart infrastructure for customers We will develop new business models, launch them onto the market and scale them up – even beyond the traditional energy industry value chain. The main focus will be placed here on the expansion of the quick charging infrastructure, activities in the areas of telecommunications and broadband and other fields such as urban infrastructure.

Investments:

EnBW is planning to invest around €12 billion in total between 2021 and 2025. The main focus of the investment will be on the expansion of the grids, especially the central SuedLink and ULTRANET projects of our grid subsidiary TransnetBW for the future energy supply in Germanythe expansion of renewable energies, such as the realisation of the EnBW He Dreiht offshore wind farmthe further development of smart infrastructure for customers, for example, in the areas of broadband, telecommunications and electromobility. In accordance with the EnBW 2025 growth strategy, 80% of our overall investment will be accounted for by growth projects. This growth strategy will be financed by the retained cash flow and, where necessary, through the use of external funds. We will continue to strive to maintain a balanced financing structure, solid financial profile and thus solid investment-grade ratings. C4. Targets and performance

C4.1

(C4.1) Did you have an emissions target that was active in the reporting year? Intensity target C4.1b

(C4.1b) Provide details of your emissions intensity target(s) and progress made against those target(s).

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Target reference number Int 1

Year target was set 2015

Target coverage Business activity

Scope(s) (or Scope 3 category) Scope 1

Intensity metric Metric tons CO2e per megawatt hour (MWh)

Base year 2015

Intensity figure in base year (metric tons CO2e per unit of activity) 606

% of total base year emissions in selected Scope(s) (or Scope 3 category) covered by this intensity figure 99

Target year 2020

Targeted reduction from base year (%) 15

Intensity figure in target year (metric tons CO2e per unit of activity) [auto- calculated] 515.1

% change anticipated in absolute Scope 1+2 emissions -14.1

% change anticipated in absolute Scope 3 emissions 0

Intensity figure in reporting year (metric tons CO2e per unit of activity) 419

% of target achieved [auto-calculated] 205.7205720572

Target status in reporting year Underway

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Is this a science-based target? No, but we anticipate setting one in the next 2 years

Please explain (including target coverage) The KPIs in the environment goal dimension have been supplemented by CO2 intensity in 2016 and reflects the special importance of climate change as a social, political and also economic challenge for EnBW. The calculation basis for the KPI CO2 intensity is the amount of CO2 emissions from own generation of electricity for the Group, as well as the volume of electricity generated by the Group without the contribution made by the nuclear power plants. This performance indicator is calculated as the ratio between the emissions and the generated volume of electricity and thus specifically describes the amount of CO2 released per kilowatt hour. -> By discounting the electricity generated by nuclear power plants, the performance indicator will not be influenced by the phasing out of nuclear energy in the coming years. The goal of EnBW is to contribute actively to climate protection by successively reducing the CO2 intensity of its own generation of electricity (excluding nuclear power) by 15 to 20% by 2020 compared to 606 g/kWh in the reference year 2015. In 2019 the CO2 intensity of own generation of electricity excluding nuclear power fell in comparison to the previous year by 24% to 419 g/kWh. The target relates only to Scope 1 emissions and covers nearly 99% of the Scope 1 emissions. Thus the reduction target of -15% corresponds to a reduction of -15% of the Scope 1 emissions. The target covers nearly 96% of the Scope 1+2 emissions. Thus the reduction target of -15% corresponds to a reduction of nearly-14% of the Scope 1+2 emissions. EnBW reported this target to CDP in 2019 and are reporting progress against the same target in 2020. The reference number in 2019 was "Int1". However it is important to consider that 2019 CO2 intensity is an extraordinarily low value (-24% yoy decrease), when compared to the previous years (2016: 5% reduction; 2017: 4% reduction; 2018: 1% reduction). The drastic decrease in 2019 is mainly due to specific market conditions: - lower demand due to milder weather, leading to a lower power plant generation activity (38.788GWh in 2019 vs 46.079GWh in 2018) - windier year 2019 compared to the previous years, ensuring a higher generation of renewable energy (8.858GWh in 2019 vs 7.203GWh in 2018) These conditions are out of the company's control and might not take place in the coming years. C4.2

(C4.2) Did you have any other climate-related targets that were active in the reporting year? Target(s) to increase low-carbon energy consumption or production C4.2a

(C4.2a) Provide details of your target(s) to increase low-carbon energy consumption or production.

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Target reference number Low 1

Year target was set 2013

Target coverage Business activity

Target type: absolute or intensity Absolute

Target type: energy carrier Electricity

Target type: activity Production

Target type: energy source Renewable energy source(s) only

Metric (target numerator if reporting an intensity target) Percentage

Target denominator (intensity targets only)

Base year 2013

Figure or percentage in base year 19.1

Target year 2020

Figure or percentage in target year 40

Figure or percentage in reporting year 31.8

% of target achieved [auto-calculated] 60.7655502392

Target status in reporting year Underway

Is this target part of an emissions target?

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Yes, this target is part of the intensity target number "Int1". The expansion of the installed capacity of renewable energies is essential to reach intensity target number "Int1".

Is this target part of an overarching initiative? Other, please specify "The Foundation 2°", an initiative of chairmen, CEOs and family businesses with the aim of limiting global warming to 2 degrees.

Please explain (including target coverage) The EnBW business model is aligned to the national and international goals for climate protection, such as those defined in the Paris Agreement. Thus are increasing our generation based on renewable energies. Therefore we focus on building and commissioning offshore and onshore wind farms and photovoltaic power plants. To measure this expansion we defined the installed capacity of renewable energies as the top performance indicator. It represents the installed output of the plants using renewable energies rather than the volume of electricity produced by these facilities. Among other factors, electricity production depends on the wind and the sun and can fluctuate strongly. The advantage of the ratio we have selected is that it is measurable and doesn’t depend on the aforementioned influences. Based on the portfolio streamlining envisaged, we intend to have realised a total of 7.5 GW to 8.0 in installed renewable energy capacity in our own electricity generation by 2025. This comes along with a share of the generation capacity accounted for renewable energies at least of 50 % in the target year 2025. The installed capacity of renewable energies in the base year 2013 was 2.6 GW, with a share of the generation capacity accounted for renewable energies of 19.1 %. In the reporting year 2019 the installed capacity of renewable energies was 4.4 GW, with a share of the generation capacity accounted for renewable energies of 31.8 % . This corresponds to 74 % and 61 % achieved target in 2019. C4.3

(C4.3) Did you have emissions reduction initiatives that were active within the reporting year? Note that this can include those in the planning and/or implementation phases. Yes C4.3a

(C4.3a) Identify the total number of initiatives at each stage of development, and for those in the implementation stages, the estimated CO2e savings. Number of Total estimated annual CO2e savings in metric initiatives tonnes CO2e (only for rows marked *) Under investigation 370 To be implemented* 11 55,584

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Implementation 15 134,086 commenced* Implemented* 47 1,486,055 Not to be implemented 0 C4.3b

(C4.3b) Provide details on the initiatives implemented in the reporting year in the table below.

Initiative category & Initiative type Low-carbon energy generation Wind

Estimated annual CO2e savings (metric tonnes CO2e) 1,464,561

Scope(s) Scope 1

Voluntary/Mandatory Voluntary

Annual monetary savings (unit currency – as specified in C0.4) 36,160,010

Investment required (unit currency – as specified in C0.4) 1,549,175,194

Payback period >25 years

Estimated lifetime of the initiative 21-30 years

Comment Annual monetary savings calculated by estimated annual CO2e savings, see annual average EU-Emission Allowances price (EUA 2019); Investment required estimated by capacity installed, see average specific investment costs for wind (onshore, IEA Cost of Wind Energy Report 2019 and offshore, Wind Europe Financing and Investment Trends, 2019); Estimated lifetime is considered project specific and may be influenced by permitting, technical and energy market conditions.

Initiative category & Initiative type

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Low-carbon energy generation Solar PV

Estimated annual CO2e savings (metric tonnes CO2e) 21,360

Scope(s) Scope 1

Voluntary/Mandatory Voluntary

Annual monetary savings (unit currency – as specified in C0.4) 527,367

Investment required (unit currency – as specified in C0.4) 76,068,916

Payback period >25 years

Estimated lifetime of the initiative 21-30 years

Comment Annual monetary savings calculated by estimated annual CO2e savings, see annual average EU-Emission Allowances price (EUA 2019); Investment required estimated by capacity installed, see average specific investment costs for solar PV (ITRPV Roadmap report 2019); Estimated lifetime is considered project specific and may be influenced by permitting, technical and energy market conditions.

Initiative category & Initiative type Energy efficiency in buildings Lighting

Estimated annual CO2e savings (metric tonnes CO2e) 60

Scope(s) Scope 2 (location-based)

Voluntary/Mandatory Voluntary

Annual monetary savings (unit currency – as specified in C0.4) 32,000

Investment required (unit currency – as specified in C0.4)

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

68,000

Payback period 4-10 years

Estimated lifetime of the initiative 6-10 years

Comment Change of lightsystems from conventional to LED (in EnBW City, Stuttgart).

Initiative category & Initiative type Energy efficiency in buildings Building Energy Management Systems (BEMS)

Estimated annual CO2e savings (metric tonnes CO2e) 30

Scope(s) Scope 2 (location-based)

Voluntary/Mandatory Voluntary

Annual monetary savings (unit currency – as specified in C0.4) 24,000

Investment required (unit currency – as specified in C0.4) 65,000

Payback period 4-10 years

Estimated lifetime of the initiative 6-10 years

Comment Installation of intelligent BMS (building management system) regarding EnBW locations and buildings.

Initiative category & Initiative type Energy efficiency in buildings Heating, Ventilation and Air Conditioning (HVAC)

Estimated annual CO2e savings (metric tonnes CO2e) 45

Scope(s)

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Scope 2 (location-based)

Voluntary/Mandatory Voluntary

Annual monetary savings (unit currency – as specified in C0.4) 10,000

Investment required (unit currency – as specified in C0.4) 35,000

Payback period 4-10 years

Estimated lifetime of the initiative 6-10 years

Comment Modernisation of heating control system in one site of EnBW. C4.3c

(C4.3c) What methods do you use to drive investment in emissions reduction activities? Method Comment Dedicated We spent €54.4 Million on research, development and innovation in the 2019 budget for low- financial year. The increase was primarily due to the growth in innovation carbon product management; the corresponding sales increased to €11.1 Million. We received R&D government research grants of €0.9 million. There were 81 employees in the areas of research, development and innovation in 2019. 236 employees were involved in research and development projects as part of their operational work. A further 130 employees were involved in innovation projects.

For example: expenditure research, development and Innovation for "generation from renewables" (also includes green gases.): € 7,4 Million, for "intelligent grids"€ 7,2 Million, for "smart energy world, storage and electromobility": € 4,0 Million and for "Innovation Management": € 30,7 Million.

Further information - innovation Management: We develop new business models outside of our core business using the central innovation management department in order to quickly identify new sources of revenue and bring them to the market. The innovation strategy focuses on two main approaches: the generation and scaling up of new business models within the company in internal and external projects and investments in external start- ups by EnBW New Ventures. Alongside the development of new business models and supporting start-up projects during the incubation phase, Innovation management also accompanies

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

mature projects during their growth phase with the Company Builder. In the reporting year, the focus was primarily placed on professionalising processes and scaling up existing projects. Following the successful development of new business models, the start-up teams then face further challenges in the growth and scaling-up phase. In order to efficiently support the teams and their growth, the Company Builder provides start-ups with additional skills in the form of controlling, sales and marketing experts. EnBW New Ventures invests in start-ups that develop digital solutions for infrastructures. It focuses on companies who realise value added through scalable business models and new technologies. The aim is to use the total available investment volume of €100 million to secure minority shareholdings of between 10% and 30% in up to 20 start-ups, with an Investment period of four to eight years in each case. C4.5

(C4.5) Do you classify any of your existing goods and/or services as low-carbon products or do they enable a third party to avoid GHG emissions? Yes C4.5a

(C4.5a) Provide details of your products and/or services that you classify as low- carbon products or that enable a third party to avoid GHG emissions.

Level of aggregation Group of products

Description of product/Group of products SENEC is a wholly owned subsidiary of EnBW AG. The products "SENEC.solar", "SENEC.home", "SENEC.cloud" and "SENEC.Wallbox to go" enable customers to generate their own solar energy, store it and sell it to the energy community. Our customers are also able to integrate heating solutions into SENEC.solar and to charge their electric cars at home using self generated electricity. The SENEC products are accessible in Germany, Italy and Australia.

Are these low-carbon product(s) or do they enable avoided emissions? Avoided emissions

Taxonomy, project or methodology used to classify product(s) as low-carbon or to calculate avoided emissions Other, please specify The products avoid emissions wich would be caused by using non-renewable energies.

% revenue from low carbon product(s) in the reporting year

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Comment Further information: https://www.senec.com/ https://www.senec.it/ https://www.senec.com.au/

% revenue from low carbon product(s) in the reporting year : 0-1%

Level of aggregation Group of products

Description of product/Group of products We offer climate-friendly and affordable green electricity for everyone who cares about nature. We are the reliable green electricity supplier from Baden-Württemberg and supply customers with sustainable and clean electricity from solar and bioenergy, hydropower and wind energy.

Products: EnBW Privatstrom Natur Max 12; EnBW Privatstrom Natur Max 24; EnBW NaturWärmePro

- 100 % green electricity - With price guarantee - Mainly from regional hydropower

As a sustainable energy supplier, we operate the energy mix on a regional, consistent and future-oriented basis. The most important factor in the renewable energy mix is the ecological generation of electricity from hydropower. EnBW also relies on this inexhaustible source and supplies customers mainly with green electricity from its own hydropower plants in southern Germany.

Are these low-carbon product(s) or do they enable avoided emissions? Low-carbon product and avoided emissions

Taxonomy, project or methodology used to classify product(s) as low-carbon or to calculate avoided emissions Other, please specify The product has an CO2-Emission of 0g. German average is 421g. The products avoid emissions wich would be caused by using non-renewable energies. It includes different steps of the energy value chain such as generation and distribution.

% revenue from low carbon product(s) in the reporting year 1

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Comment Further information: https://www.enbw.com/strom/produkte/oekostrom

% revenue from low carbon product(s) in the reporting year : 0-1%

Level of aggregation Group of products

Description of product/Group of products In the electromobility sector, EnBW has become a fullservice provider and together with its subsidiaries covers the complete spectrum of services for the development and expansion of electromobility from the supply of electricity and the operation of a comprehensive charging infrastructure through to digital services for the consumer. EnBW entered into various collaborations with renowned partners in 2019 that promote, above all, the expansion of the quick-charging infrastructure in urban areas across Germany. EnBW has become the biggest quick-charding provider in Germany and provides access to ober 28.000 charging points in Germany, Austria and Switzerland.

Are these low-carbon product(s) or do they enable avoided emissions? Avoided emissions

% revenue from low carbon product(s) in the reporting year 1

Comment Further information: https://www.enbw.com/elektromobilitaet (only available in english language)

% revenue from low carbon product(s) in the reporting year : 0-1%

Level of aggregation Product

Description of product/Group of products Transformers for efficiency, environmental protection and safety - transformers convert the medium voltage required for energy transmission into a voltage of 400 or 230 volts usable by end users and industry. Every transformer user has different requirements. Our three transformer lines ensure that customers always receive a mature solution that optimally meets the requirements.

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Outstanding in economy and ecology - The Eco-Line: - All power classes up to 1,600 kVA - Loss class A0-Ak - Insulating medium either mineral oil or natural ester

Are these low-carbon product(s) or do they enable avoided emissions? Avoided emissions

Taxonomy, project or methodology used to classify product(s) as low-carbon or to calculate avoided emissions Other, please specify The eco-transformer (loss class A0-Ak) is particularly efficient and low-loss, that means less energy is wasted and less CO2 emissions are emitted. Eco-transformer saves up to 200 tons of CO2 during its life cycle compared to a standard transformer.

% revenue from low carbon product(s) in the reporting year 1

Comment % revenue from low carbon product(s) in the reporting year: 0-1%

The eco-transformer (loss class A0-Ak) is particularly efficient and low-loss, which means less energy is wasted and less CO2 emissions are emitted. The eco-transformer saves up to 200 tons of CO2 during its life cycle compared to a standard transformer. The low losses also avoid costs, as additional generation and transmission capacities are no longer required. The eco-transformer pays for itself particularly quickly and is therefore very economical. Further Information: https://www.netze- bw.de/dienstleistungskunden/strom/trafo-linien#1-2

Level of aggregation Product

Description of product/Group of products A fuel cell heating as an energy-efficient and low-carbon heating solution for new and existing buildings. A fuel cell is a device that converts the chemical energy of a fuel and an oxidant into electricity. In principle, a fuel cell operates like a battery. Unlike a battery however, a fuel cell does not run down or require recharging. It will produce electricity and heat as long as fuel and an oxidizer are supplied.

Are these low-carbon product(s) or do they enable avoided emissions? Low-carbon product and avoided emissions

Taxonomy, project or methodology used to classify product(s) as low-carbon or to calculate avoided emissions Other, please specify

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

The product avoids emissions wich would be caused by using conventional energy generation like coal.

% revenue from low carbon product(s) in the reporting year 1

Comment % revenue from low carbon product(s) in the reporting year: 0-1%

Further information: https://www.enbw.com/bauen-und-modernisieren/brennstoffzelle

Level of aggregation Group of products

Description of product/Group of products Energy saving contracting products/energy network solutions for optimizing of building technology together with building operationd based on a cooperation in partnership.

A project realised by EnBW that involves an energy network solution in Waldbronn, near Karlsruhe, is one example here. Two industrial companies and two local authority facilities are supplied with heating, cooling, cooling water and electricity. The use of combined heat and power technology and the utilisation of waste heat not only result in cheaper generation costs but also avoid 680 t CO2 emissions per year.

Are these low-carbon product(s) or do they enable avoided emissions? Avoided emissions

Taxonomy, project or methodology used to classify product(s) as low-carbon or to calculate avoided emissions Other, please specify The CO2 avoidance is caused by the combined use of heat and power technology compared with single solutions

% revenue from low carbon product(s) in the reporting year 1

Comment % revenue from low carbon product(s) in the reporting year: 0-1%

Further information:

https://www.enbw.com/contracting/geschaeftskunden/produkte/energieliefercontracting

https://www.enbw.com/contracting/geschaeftskunden/produkte/einsparcontracting

https://www.enbw.com/contracting/geschaeftskunden/energieoptimierung

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

C-EU4.6

(C-EU4.6) Describe your organization’s efforts to reduce methane emissions from your activities. Specific description of methane emissions reduction efforts and activities:

- As a grid operator, we operate high-pressure gas pipelines over 1 bar in the supply area of Netze BW. - During repairs or conversions, the affected line sections must be depressurized. - For this purpose, the natural gas is discharged into the environment via blowers. - If possible, the pressure in the pipelines is lowered as far as possible via suitable pipelines before it is released into the atmosphere. - This reduces natural gas emissions (over 90% of natural gas consists of methane).

Example/case study of methane emissions reduction efforts:

1. On 05.12.2019, a leaking gate valve had to be replaced on a high-pressure gas pipeline in the southwest of Stuttgart. - For this purpose, a DN 200 high-pressure gas pipeline with an operating pressure of 18 bar had to be depressurised over a length of 6,100 metres. - Via a gas pressure control station, the gas was fed into the downstream gas network up to 3 bar. - Thus the pressure was reduced from 18 bar to 3 bar in the pipeline, 2874 m³ were diverted. - The residual pressure of 3 bar (575 m³) had to be blown out.

2. The reason for a change was a leaky condensate collector in the town of Möglingen - determined by gas leak detection. Procedure of our technical department: - Slide valves close from the blocked section. - The gas in the high-pressure pipeline was drawn off from 18 bar to 4 bar via the Gas pressure regulator and measuring station of the town Ludwigsburg. - The barrier section has a diameter of 500 mm and a length of 3000m. - Quantity expired: 10603 m³ (quantity of gas not released into the environment) - Blown out quantity: 2356 m³ C5. Emissions methodology

C5.1

(C5.1) Provide your base year and base year emissions (Scopes 1 and 2).

Scope 1

Base year start January 1, 2015

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Base year end December 31, 2015

Base year emissions (metric tons CO2e) 16,478,708

Scope 2 (location-based)

Base year start January 1, 2015

Base year end December 31, 2015

Base year emissions (metric tons CO2e) 1,059,026

Comment The location-based Scope 2 emissions are the greenhouse gas emissions through electricity grid losses. The grid losses are compensated by power purchased from the Energy Exchange. So the related Scope 2 emissions were calculated using average power generation emission factors for Germany. The market-based Scope 2 emissions includes greenhouse gas emissions mainly through electricity consumption of plants in the gas and electricity grid, water supplies and buildings. These emissions were calculated using CO2 intensity of the generators from which we purchases electricity.

Scope 2 (market-based)

Base year start January 1, 2015

Base year end December 31, 2015

Base year emissions (metric tons CO2e) 43,318

Comment As we supplemented the environment goal dimension by the new key performance indicator CO2 intensity in 2016 with 2015 as the reference year for this goal, we set 2015 in C5.1 as the base year with the corresponding CO2 emissions for 2015. The location-based Scope 2 emissions are the greenhouse gas emissions through electricity grid losses. The grid losses are compensated by power purchased from the Energy Exchange. So the related Scope 2 emissions were calculated using average power generation emission factors for Germany. The market-based Scope 2 emissions

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

includes greenhouse gas emissions mainly through electricity consumption of plants in the gas and electricity grid, water supplies and buildings. These emissions were calculated using CO2 intensity of the generators from which we purchases electricity. C5.2

(C5.2) Select the name of the standard, protocol, or methodology you have used to collect activity data and calculate emissions. The Greenhouse Gas Protocol: A Corporate Accounting and Reporting Standard (Revised Edition) C6. Emissions data

C6.1

(C6.1) What were your organization’s gross global Scope 1 emissions in metric tons CO2e?

Reporting year

Gross global Scope 1 emissions (metric tons CO2e) 10,779,212

Start date January 1, 2019

End date December 31, 2019

Comment

Past year 1

Gross global Scope 1 emissions (metric tons CO2e)

Start date

End date

Comment

Past year 2

Gross global Scope 1 emissions (metric tons CO2e)

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Start date

End date

Comment

Past year 3

Gross global Scope 1 emissions (metric tons CO2e)

Start date

End date

Comment

C6.2

(C6.2) Describe your organization’s approach to reporting Scope 2 emissions.

Row 1

Scope 2, location-based We are reporting a Scope 2, location-based figure

Scope 2, market-based We are reporting a Scope 2, market-based figure

(C6.3) What were your organization’s gross global Scope 2 emissions in metric tons CO2e?

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Reporting year

Scope 2, location-based 870,493

Scope 2, market-based (if applicable) 38,956

Start date January 1, 2019

End date December 31, 2019

Past year 1

Scope 2, location-based

Scope 2, market-based (if applicable)

Start date

End date

Comment

Past year 2

Scope 2, location-based

Scope 2, market-based (if applicable)

Start date

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

End date

Comment

Past year 3

Scope 2, location-based

Scope 2, market-based (if applicable)

Start date

End date

Comment

C6.4

(C6.4) Are there any sources (e.g. facilities, specific GHGs, activities, geographies, etc.) of Scope 1 and Scope 2 emissions that are within your selected reporting boundary which are not included in your disclosure? No C6.5

(C6.5) Account for your organization’s gross global Scope 3 emissions, disclosing and explaining any exclusions.

Purchased goods and services

Evaluation status Not relevant, explanation provided

Please explain Our main purchased goods that contribute to our Scope 3 emissions are the purchased fuels for the energy generation in our power plants (coal, nuclear, gas, oil) and gas for sales to customers. This Scope 3 emissions (extraction, production, and transportation) we report in the categories "Fuel-and-energy-related activities (not included in Scope 1 or 2)" and "Upstream transportation and distribution" respectively.

Capital goods

Evaluation status

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Not relevant, explanation provided

Please explain In 2019 EnBW did not purchase relevant capital goods that would exceed more than 1% of our scope 3 emissions.

Fuel-and-energy-related activities (not included in Scope 1 or 2)

Evaluation status Relevant, calculated

Metric tonnes CO2e 714,790

Emissions calculation methodology Amount of transported coal, gas and nuclear fuel for the energy generation in our power plants. Emission factors from Ecoinvent database and Gemis database.

Percentage of emissions calculated using data obtained from suppliers or value chain partners 100

Please explain Scope 3 emissions for upstream transportation of the purchased fuels for the energy generation in our power plants (coal, nuclear, gas, oil).

Upstream transportation and distribution

Evaluation status Relevant, calculated

Metric tonnes CO2e 2,134,225

Emissions calculation methodology Amount of transported gas. Emission factor from Gemis database.

Percentage of emissions calculated using data obtained from suppliers or value chain partners 100

Please explain Here we report the Scope 3 emissions related to the upstream transportation of gas for sales to customers. The Scope 3 emissions for the upstream transportation of our gas for the energy generation in our gas power plants is reported in the category "Fuel-and- energy-related activities (not included in Scope 1 or 2)".

Waste generated in operations

Evaluation status Not relevant, explanation provided

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Please explain EnBW calculated that CO2 emissions from waste generated in operations are accounting for less than 1% of EnBW Scope 3 emissions.

Business travel

Evaluation status Relevant, calculated

Metric tonnes CO2e 3,974

Emissions calculation methodology CO2 emission from travelling by plane, train and rented cars. Data is gained directly from suppliers or other partners.

Percentage of emissions calculated using data obtained from suppliers or value chain partners 100

Please explain

Employee commuting

Evaluation status Not relevant, explanation provided

Please explain EnBW calculated that CO2 emissions from employee commuting are accounting for less than 1% of EnBW Scope 3 emissions.

Upstream leased assets

Evaluation status Not relevant, explanation provided

Please explain EnBW calculated that CO2 emissions from upstream leased assets are accounting for less than 1% of EnBW Scope 3 emissions.

Downstream transportation and distribution

Evaluation status Not relevant, explanation provided

Please explain At EnBW the transport of our products (electricity and gas) is the focus of the analysis. The related CO2 emissions are already included in scope 1+2 emissions. Concerning electricity, CO2 emissions are already included in the grid losses reflected in the Scope

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

2 analysis. Concerning gas, CO2 emissions are already included in the operation of gas pipelines and systems reflected in the Scope 1 analysis.

Processing of sold products

Evaluation status Not relevant, explanation provided

Please explain According to the GHG Protocol Scope 3 Standard, here the end user emissions that occur from the processing of products that directly or indirectly consume energy should be disclosed. Our main product is the consumed energy. The related emissions are already accounted for our Scope 1 emissions. So this category is not relevant for our organization.

Use of sold products

Evaluation status Relevant, calculated

Metric tonnes CO2e 14,705,972

Emissions calculation methodology CO2-Emissions calculated from group gas sales with CO2-emission factor for combustion of gas.

Percentage of emissions calculated using data obtained from suppliers or value chain partners 100

Please explain According to the GHG Protocol Scope 3 Standard, here the end user emissions that occur from the use of products that directly or indirectly consume energy should be disclosed. Our main products are the consumed electricity and gas. The related emissions for the electricity are already accounted for our Scope 1 emissions. So here only the emissions related to the consumption (namly the combustion) of gas by the consumer is reported.

End of life treatment of sold products

Evaluation status Not relevant, explanation provided

Please explain Our product is energy. The product energy itself has no relevant end of life treatment.

Downstream leased assets

Evaluation status

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Not relevant, explanation provided

Please explain EnBW calculated that CO2 emissions from downstream leased assets are accounting for less than 1% of EnBW Scope 3 emissions.

Franchises

Evaluation status Not relevant, explanation provided

Please explain We do not conduct franchises.

Investments

Evaluation status Not relevant, explanation provided

Please explain We calculate and report our CO2 emissions (Scope 1, 2 and 3) for the group of consolidated companies of EnBW, including all important equity investments, subsidiaries and associate companies. Thus the related emissions are already accounted for our Scope 1 and/or Scope 2 emissions or are captured in the other disclosed sources of scope 3 emissions. So this category is not relevant for our organization.

Other (upstream)

Evaluation status

Please explain

Other (downstream)

Evaluation status

Please explain

C6.7

(C6.7) Are carbon dioxide emissions from biogenic carbon relevant to your organization? Yes

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

C6.7a

(C6.7a) Provide the emissions from biogenic carbon relevant to your organization in metric tons CO2. CO2 emissions from biogenic carbon (metric tons CO2) Comment Row 1 7,732 C6.10

(C6.10) Describe your gross global combined Scope 1 and 2 emissions for the reporting year in metric tons CO2e per unit currency total revenue and provide any additional intensity metrics that are appropriate to your business operations.

Intensity figure 0.000623

Metric numerator (Gross global combined Scope 1 and 2 emissions, metric tons CO2e) 11,688,660

Metric denominator unit total revenue

Metric denominator: Unit total 18,765,000,000

Scope 2 figure used Location-based

% change from previous year 26.3

Direction of change Decreased

Reason for change First as a result of our emissions reduction activities in power generation and distribution, mainly the expansion of renewable energies and efficiency activities in the grid, the gross global combined Scope 1 and 2 emissions decreased in comparison to the previous year by 33 %. On the other hand revenue was 9.9 % lower than the level in the previous year, which was especially due to decrease in gas sales. So our emissions reduction activities the intensity figure decreased by 26.3 %.

Intensity figure

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

0.255

Metric numerator (Gross global combined Scope 1 and 2 emissions, metric tons CO2e) 11,688,660

Metric denominator megawatt hour generated (MWh)

Metric denominator: Unit total 45,797,971

Scope 2 figure used Location-based

% change from previous year 26.2

Direction of change Decreased

Reason for change First as a result of our emissions reduction activities in power generation and distribution, mainly the expansion of renewable energies and efficiency activities in the grid, the gross global combined Scope 1 and 2 emissions decreased in comparison to the previous year by 33 %. On the other hand the power generation decreased by 9.9 %. This led to a decrease of the related emission intensity by 26.2 %. C7. Emissions breakdowns

C7.1

(C7.1) Does your organization break down its Scope 1 emissions by greenhouse gas type? Yes C7.1a

(C7.1a) Break down your total gross global Scope 1 emissions by greenhouse gas type and provide the source of each used greenhouse warming potential (GWP). Greenhouse Scope 1 emissions (metric tons of GWP Reference gas CO2e) CO2 10,523,618 IPCC Fifth Assessment Report (AR5 – 100 year) CH4 195,133 IPCC Fifth Assessment Report (AR5 – 100 year)

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

N2O 39,762 IPCC Fifth Assessment Report (AR5 – 100 year) SF6 20,699 IPCC Fifth Assessment Report (AR5 – 100 year) C-EU7.1b

(C-EU7.1b) Break down your total gross global Scope 1 emissions from electric utilities value chain activities by greenhouse gas type. Gross Scope Gross Scope Gross Scope Total gross Comment 1 CO2 1 methane 1 SF6 Scope 1 emissions emissions emissions emissions (metric tons (metric tons (metric tons (metric tons CO2) CH4) SF6) CO2e) Fugitives 47 5,826 0.87 168,686 Combustion 10,489,978 64 0 10,489,978 The total gross (Electric Scope 1 GHG utilities) emissions (metric tons CO2e) contains additional 39.760 tons CO2eq from N2O emissions. Combustion 45,538 0 0 45,538 (Gas utilities) Combustion 33,639 0 0 33,639 CO2-Emissions (Other) from fossile heating of buildings and vehicles. Emissions not 0 0 0 0 elsewhere classified C7.2

(C7.2) Break down your total gross global Scope 1 emissions by country/region. Country/Region Scope 1 emissions (metric tons CO2e) Germany 10,777,813 Eastern Europe 1,399

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

C7.3

(C7.3) Indicate which gross global Scope 1 emissions breakdowns you are able to provide. By activity C7.3c

(C7.3c) Break down your total gross global Scope 1 emissions by business activity. Activity Scope 1 emissions (metric tons CO2e) Fossil energy generation 10,531,350 CO2-Emissions from operation of gas pipelines and gas assets, of 247,862 fossil heating of buildings and vehicles. C-CE7.4/C-CH7.4/C-CO7.4/C-EU7.4/C-MM7.4/C-OG7.4/C- ST7.4/C-TO7.4/C-TS7.4

(C-CE7.4/C-CH7.4/C-CO7.4/C-EU7.4/C-MM7.4/C-OG7.4/C-ST7.4/C-TO7.4/C-TS7.4) Break down your organization’s total gross global Scope 1 emissions by sector production activity in metric tons CO2e. Gross Scope 1 Comment emissions, metric tons CO2e Electric utility 10,531,350 Includes direct CO2 emissions of our fossil fired power activities plants and the CO2eq from the CH4 and N20 emissions of our fossile fired power plants. C7.9

(C7.9) How do your gross global emissions (Scope 1 and 2 combined) for the reporting year compare to those of the previous reporting year? Decreased C7.9a

(C7.9a) Identify the reasons for any change in your gross global emissions (Scope 1 and 2 combined), and for each of them specify how your emissions compare to the previous year. Change in Direction Emissions Please explain calculation emissions of change value (metric (percentage) tons CO2e)

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Change in 30,000 Decreased 0.2 The CO2-Emissions from grid losses renewable were reduced from 920,830 tons in 2018 to energy 870,490 tones in 2019 by 50,335 tons consumption overall. One part of this reductions is a result of our emissions reduction activities such as the use of more efficient power transformer in the grid. Another part of the reduction of CO2-Emissions is due to higher renewable energy consumption due to an expanded electricity supply of our facilities with a correspondingly higher proportion of renewable energies which results in a higher renewable energy consumption. The higher renewable energy consumption i n the named area reduced in 2019 the corresponding CO2-Emissions by 30,000 tons. Our total Scope 1+2 emissions for the previous year were 17,583,100 tons. Thus the reduction of 30,000 tons CO2 corresponds to 0.2% reduction of our previous year CO2 emissions (30,000/17,583,100*100=0.2). Other 20,340 Decreased 0.1 The CO2-Emissions from grid losses emissions were reduced from 920,830 tons in 2018 to reduction 870,490 tones in 2019 by 50,335 tons activities overall. One part of this reductions is a result of our emissions reduction activities such as the use of more efficient power transformer in the grid. Another part of the reduction of CO2-Emissions is due to higher renewable energy consumption due to an expanded electricity supply of our facilities with a correspondingly higher proportion of renewable energies which results in a higher renewable energy consumption. The emission reduction activities in the named area reduced in 2019 the corresponding CO2-Emissions by 20,340 tons. Our total Scope 1+2 emissions for the previous year were 17,583,100 tons. Thus the reduction of 20,340 tons CO2 corresponds to 0.1% reduction of our previous year CO2 emissions (20,340/17,583,100*100=0.1). Divestment 0 No change 0

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Acquisitions 0 No change 0 Mergers 0 No change 0 Change in 5,639,300 Decreased 33 On the one hand the generation based on output renewable energy sources mainly increased due to the expansion of on- and offshore wind power from 8,414 GWh in 2018 to 9.988 GWh in 2019. On the other hand the generation from our fossil fuel-fired power plants decreased. As a result our Scope 1 emissions from our fossil fuel-fired power plants reduced from 16,306,750 tons in 2018 to 10,490,000 in 2019. This is equal to a reduction of 5,816,750 tons. Our total Scope 1+2 emissions for the previous year were 17,583,100 tons. Thus the reduction of 5,816,750 tons CO2 corresponds to 33% reduction of our previous year CO2 emissions (5,816,750/17,583,100*100=33). Change in 0 No change 0 methodology Change in 0 No change 0 boundary Change in 0 No change 0 physical operating conditions Unidentified 0 No change 0 Other 0 No change 0 C7.9b

(C7.9b) Are your emissions performance calculations in C7.9 and C7.9a based on a location-based Scope 2 emissions figure or a market-based Scope 2 emissions figure? Location-based C8. Energy

C8.1

(C8.1) What percentage of your total operational spend in the reporting year was on energy? More than 0% but less than or equal to 5%

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

C8.2

(C8.2) Select which energy-related activities your organization has undertaken. Indicate whether your organization undertook this energy- related activity in the reporting year Consumption of fuel (excluding Yes feedstocks) Consumption of purchased or Yes acquired electricity Consumption of purchased or Yes acquired heat Consumption of purchased or No acquired steam Consumption of purchased or No acquired cooling Generation of electricity, heat, Yes steam, or cooling C8.2a

(C8.2a) Report your organization’s energy consumption totals (excluding feedstocks) in MWh. Heating MWh from MWh from non- Total (renewable value renewable renewable and non- sources sources renewable) MWh Consumption of fuel HHV (higher 1,415,461 34,676,505 36,091,966 (excluding feedstock) heating value) Consumption of 1,511,631 695,464 2,207,095 purchased or acquired electricity Consumption of 14,282 16,230 30,512 purchased or acquired heat Consumption of self- 41,250 41,250 generated non-fuel renewable energy Total energy 2,982,625 35,388,199 38,370,824 consumption

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

C8.2b

(C8.2b) Select the applications of your organization’s consumption of fuel. Indicate whether your organization undertakes this fuel application Consumption of fuel for the generation of Yes electricity Consumption of fuel for the generation of Yes heat Consumption of fuel for the generation of No steam Consumption of fuel for the generation of No cooling Consumption of fuel for co-generation or No tri-generation C8.2c

(C8.2c) State how much fuel in MWh your organization has consumed (excluding feedstocks) by fuel type.

Fuels (excluding feedstocks) Coal

Heating value HHV (higher heating value)

Total fuel MWh consumed by the organization 24,259,044

MWh fuel consumed for self-generation of electricity 1,212,952

MWh fuel consumed for self-generation of heat 7,278

Emission factor 0.349

Unit metric tons CO2 per MWh

Emissions factor source Federal Office for Economic Affairs and Export Control

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Comment

Fuels (excluding feedstocks) Natural Gas

Heating value HHV (higher heating value)

Total fuel MWh consumed by the organization 8,445,498

MWh fuel consumed for self-generation of electricity 422,275

MWh fuel consumed for self-generation of heat 2,534

Emission factor 0.202

Unit metric tons CO2 per MWh

Emissions factor source Federal Office for Economic Affairs and Export Control

Comment

Fuels (excluding feedstocks) Other, please specify Includes oil, waste and sewage sludge

Heating value HHV (higher heating value)

Total fuel MWh consumed by the organization 3,288,260

MWh fuel consumed for self-generation of electricity 164,413

MWh fuel consumed for self-generation of heat 987

Emission factor

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

224

Unit metric tons CO2 per MWh

Emissions factor source Federal Office for Economic Affairs and Export Control

Comment

C-EU8.2d

(C-EU8.2d) For your electric utility activities, provide a breakdown of your total power plant capacity, generation, and related emissions during the reporting year by source.

Coal – hard

Nameplate capacity (MW) 3,586

Gross electricity generation (GWh) 8,758

Net electricity generation (GWh) 8,758

Absolute scope 1 emissions (metric tons CO2e) 6,875,100

Scope 1 emissions intensity (metric tons CO2e per GWh) 785

Comment Due to confidential matters we report the gross electricity generation equal to the net electricity Generation. We calculate with an EnBW-specific average Scope 1 emissions intensity for hard coal of 785 metric tons CO2 per GWh.

Lignite

Nameplate capacity (MW) 875

Gross electricity generation (GWh) 2,598

Net electricity generation (GWh) 2,598

Absolute scope 1 emissions (metric tons CO2e) 2,377,200

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Scope 1 emissions intensity (metric tons CO2e per GWh) 915

Oil

Nameplate capacity (MW) 0

Gross electricity generation (GWh) 0

Net electricity generation (GWh) 0

Absolute scope 1 emissions (metric tons CO2e) 0

Scope 1 emissions intensity (metric tons CO2e per GWh) 0

Comment The data is included in the data reported under "Other non-renewable".

Gas

Nameplate capacity (MW) 1,165

Gross electricity generation (GWh) 3,634

Net electricity generation (GWh) 3,634

Absolute scope 1 emissions (metric tons CO2e) 1,271,900

Scope 1 emissions intensity (metric tons CO2e per GWh) 350

Comment Due to confidential matters we report the gross electricity generation equal to the net electricity Generation. According to common Scope 1 emission factors for power plants , we calculate with an average Scope 1 emissions intensity for hard coal of 350 metric tons CO2 per GWh.

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Biomass

Nameplate capacity (MW) 0

Gross electricity generation (GWh) 0

Net electricity generation (GWh) 0

Absolute scope 1 emissions (metric tons CO2e) 0

Scope 1 emissions intensity (metric tons CO2e per GWh) 0

Comment The data is included in the data reported under "Other renewable".

Waste (non-biomass)

Nameplate capacity (MW) 0

Gross electricity generation (GWh) 0

Net electricity generation (GWh) 0

Absolute scope 1 emissions (metric tons CO2e) 0

Scope 1 emissions intensity (metric tons CO2e per GWh) 0

Comment The data is included in the data reported under "Other non-renewable".

Nuclear

Nameplate capacity (MW) 2,933

Gross electricity generation (GWh) 21,033

Net electricity generation (GWh) 21,033

Absolute scope 1 emissions (metric tons CO2e)

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Scope 1 emissions intensity (metric tons CO2e per GWh) 0

Comment Due to confidential matters we report the gross electricity generation equal to the net electricity generation.

Fossil-fuel plants fitted with CCS

Nameplate capacity (MW) 0

Gross electricity generation (GWh) 0

Net electricity generation (GWh) 0

Absolute scope 1 emissions (metric tons CO2e) 0

Scope 1 emissions intensity (metric tons CO2e per GWh) 0

Comment At the moment we have fossil-fuel plants which are CCS-ready, but not yet fitted with CCS.

Geothermal

Nameplate capacity (MW) 0

Gross electricity generation (GWh) 0

Net electricity generation (GWh) 0

Absolute scope 1 emissions (metric tons CO2e) 0

Scope 1 emissions intensity (metric tons CO2e per GWh) 0

Comment The data is included in the data reported under "Other renewable".

Hydropower

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Nameplate capacity (MW) 2,513

Gross electricity generation (GWh) 6,301

Net electricity generation (GWh) 6,301

Absolute scope 1 emissions (metric tons CO2e) 0

Scope 1 emissions intensity (metric tons CO2e per GWh) 0

Comment Due to confidential matters we report the gross electricity generation equal to the net electricity generation.

Wind

Nameplate capacity (MW) 1,660

Gross electricity generation (GWh) 3,328

Net electricity generation (GWh) 3,328

Absolute scope 1 emissions (metric tons CO2e) 0

Scope 1 emissions intensity (metric tons CO2e per GWh) 0

Comment Due to confidential matters we report the gross electricity generation equal to the net electricity generation.

Solar

Nameplate capacity (MW) 0

Gross electricity generation (GWh) 0

Net electricity generation (GWh) 0

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Absolute scope 1 emissions (metric tons CO2e) 0

Scope 1 emissions intensity (metric tons CO2e per GWh) 0

Comment The data is included in the data reported under "Other renewable".

Marine

Nameplate capacity (MW) 0

Gross electricity generation (GWh) 0

Net electricity generation (GWh) 0

Absolute scope 1 emissions (metric tons CO2e) 0

Scope 1 emissions intensity (metric tons CO2e per GWh) 0

Comment Not relevant for EnBW.

Other renewable

Nameplate capacity (MW) 225

Gross electricity generation (GWh) 359

Net electricity generation (GWh) 359

Absolute scope 1 emissions (metric tons CO2e) 0

Scope 1 emissions intensity (metric tons CO2e per GWh) 0

Comment Due to confidential matters we report the gross electricity generation equal to the net electricity generation. The other renewables include biomass, geothermal and solar.

Other non-renewable

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Nameplate capacity (MW) 892

Gross electricity generation (GWh) 1,796

Net electricity generation (GWh) 1,796

Absolute scope 1 emissions (metric tons CO2e) 702,300

Scope 1 emissions intensity (metric tons CO2e per GWh) 391

Comment Due to confidential matters we report the gross electricity generation equal to the net electricity generation. According to common Scope 1 emission factors for power plants , we calculate with an average Scope 1 emissions intensity for the other non-renewables of 391 metric tons CO2 per GWh. The other non-renewables include oil and waste (non-biomass).

Total

Nameplate capacity (MW) 13,849

Gross electricity generation (GWh) 47,807

Net electricity generation (GWh) 47,807

Absolute scope 1 emissions (metric tons CO2e) 11,226,500

Scope 1 emissions intensity (metric tons CO2e per GWh) 235

Comment Due to confidential matters we report the gross electricity generation equal to the net electricity generation. C-EU8.4

(C-EU8.4) Does your electric utility organization have a transmission and distribution business? Yes

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

C-EU8.4a

(C-EU8.4a) Disclose the following information about your transmission and distribution business.

Country/Region Germany

Voltage level Transmission (high voltage)

Annual load (GWh) 39,808

Annual energy losses (% of annual load) 2

Scope where emissions from energy losses are accounted for Scope 2 (location-based)

Emissions from energy losses (metric tons CO2e) 288,690

Length of network (km) 3,200

Number of connections

Area covered (km2)

Comment

Country/Region Germany

Voltage level Distribution (low voltage)

Annual load (GWh) 56,110

Annual energy losses (% of annual load) 2.1

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Scope where emissions from energy losses are accounted for Scope 2 (location-based)

Emissions from energy losses (metric tons CO2e) 538,690

Length of network (km) 147,900

Number of connections

Area covered (km2)

Comment

C9. Additional metrics

C9.1

(C9.1) Provide any additional climate-related metrics relevant to your business.

C-EU9.5a

(C-EU9.5a) Break down, by source, your total planned CAPEX in your current CAPEX plan for power generation. Primary power CAPEX planned Percentage of End Comment generation for power total CAPEX year of source generation from planned for CAPEX this source power plan generation Other, please 1,855,000,000 75 2022 In order to continue to play an active specify role in shaping the Energie wende, Renewable total investment of €7.0 billion is Energies planned for the 2020 to 2022 period. (especially Capex for renewable energies (2020- wind and solar) 2022; €1,855,000,000 - 26,5% of the total Investment of €7,0 Billion; 75% RE of CAPEX plan for power generation): This includes funds for the realisation of further offshore wind farms after 2019. In addition, funds have been allocated for the

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

construction of onshore wind farms both in Germany and other countries to achieve the 1,000 MW target by 2020 and for solar parks (including three large photovoltaic parks with a total output of around 460 MW) from our comprehensive Project Pipeline. C-EU9.5b

(C-EU9.5b) Break down your total planned CAPEX in your current CAPEX plan for products and services (e.g. smart grids, digitalization, etc.). Products and Description of CAPEX planned Percentage of End of services product/service for total CAPEX year product/service planned CAPEX products and plan services Other, please CAPEX (2020-2022) 735,000,000 10.5 2022 specify expecially for the expansion of Electromobility electromobility, as well as for and energy the development of Energy solutions Solutions.

In order to continue to play an active role in shaping the Energie wende, total investment of €7.0 billion is planned for the 2020 to 2022 period. Capex for products/services (2020-2022; €735,000,000 - 10,5% of the total Investment of €7,0 Billion). C-CE9.6/C-CG9.6/C-CH9.6/C-CN9.6/C-CO9.6/C-EU9.6/C- MM9.6/C-OG9.6/C-RE9.6/C-ST9.6/C-TO9.6/C-TS9.6

(C-CE9.6/C-CG9.6/C-CH9.6/C-CN9.6/C-CO9.6/C-EU9.6/C-MM9.6/C-OG9.6/C-RE9.6/C- ST9.6/C-TO9.6/C-TS9.6) Does your organization invest in research and development (R&D) of low-carbon products or services related to your sector activities? Investment in low-carbon R&D Comment Row 1 Yes

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

C-CO9.6a/C-EU9.6a/C-OG9.6a

(C-CO9.6a/C-EU9.6a/C-OG9.6a) Provide details of your organization's investments in low-carbon R&D for your sector activities over the last three years. Technology area Stage of Average % R&D Comment development in of total R&D investment the reporting investment figure in the year over the last reporting 3 years year (optional) Other, please Full/commercial- ≤20% 4,000,000 Expenditure on research, specify scale development and Innovation Smart energy demonstration (EnBW Report 2019, page world and 58): storage and electromobility We spent €54.4 million (previous year: €40.6 million) on research, development and innovation in the 2019 financial year. The increase was primarily due to the growth in innovation management; the corresponding sales increased to €11.1 million (previous year: €6.4 million). We received government research grants of €0.9 million (previous year: €2.3 million). There were 81 employees (previous year: 63) in the areas of research, development and innovation in 2019. 236 employees (previous year: 169 employees) were involved in research and development projects as part of their operational work. A further 130 employees (previous year: 110) were involved in innovation projects. Renewable Full/commercial- ≤20% 7,400,000 Expenditure on research, energy scale development and Innovation demonstration (EnBW Report 2019, page 58):

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

We spent €54.4 million (previous year: €40.6 million) on research, development and innovation in the 2019 financial year. The increase was primarily due to the growth in innovation management; the corresponding sales increased to €11.1 million (previous year: €6.4 million). We received government research grants of €0.9 million (previous year: €2.3 million). There were 81 employees (previous year: 63) in the areas of research, development and innovation in 2019. 236 employees (previous year: 169 employees) were involved in research and development projects as part of their operational work. A further 130 employees (previous year: 110) were involved in innovation projects. Smart grids Full/commercial- ≤20% 7,200,000 Expenditure on research, scale development and Innovation demonstration (EnBW Report 2019, page 58):

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

€2.3 million). There were 81 employees (previous year: 63) in the areas of research, development and innovation in 2019. 236 employees (previous year: 169 employees) were involved in research and development projects as part of their operational work. A further 130 employees (previous year: 110) were involved in innovation projects.

C10. Verification

C10.1

(C10.1) Indicate the verification/assurance status that applies to your reported emissions. Verification/assurance status Scope 1 Third-party verification or assurance process in place Scope 2 (location-based or market-based) Third-party verification or assurance process in place Scope 3 Third-party verification or assurance process in place C10.1a

(C10.1a) Provide further details of the verification/assurance undertaken for your Scope 1 emissions, and attach the relevant statements.

Verification or assurance cycle in place Annual process

Status in the current reporting year Complete

Type of verification or assurance Reasonable assurance

Attach the statement

LE_EnBW_CDP Letter_31.12.2019_Kurzversion_Seite_1_2_inkl E_T.pdf

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Page/ section reference Complete document (see attached document).

Relevant standard Other, please specify EY (Ernst & Young GmbH) issued an unqualified auditor´s report (uneingeschränkter Bestätigungsvermerk) in accordance with German General Accepted Auditing Standards, in particular § 322 German Commercial Code (Handelsgesetzbuch).

Proportion of reported emissions verified (%) 100 C10.1b

(C10.1b) Provide further details of the verification/assurance undertaken for your Scope 2 emissions and attach the relevant statements.

Scope 2 approach Scope 2 location-based

Verification or assurance cycle in place Annual process

Status in the current reporting year Complete

Type of verification or assurance Reasonable assurance

Attach the statement

LE_EnBW_CDP Letter_31.12.2019_Kurzversion_Seite_1_2_inkl E_T.pdf

Page/ section reference Complete document (see attached document).

Proportion of reported emissions verified (%) 100

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Scope 2 approach Scope 2 market-based

Verification or assurance cycle in place Annual process

Status in the current reporting year Complete

Type of verification or assurance Reasonable assurance

Attach the statement

LE_EnBW_CDP Letter_31.12.2019_Kurzversion_Seite_1_2_inkl E_T.pdf

Page/ section reference Complete document (see attached document).

Proportion of reported emissions verified (%) 100 C10.1c

(C10.1c) Provide further details of the verification/assurance undertaken for your Scope 3 emissions and attach the relevant statements.

Scope 3 category Scope 3: Fuel and energy-related activities (not included in Scopes 1 or 2)

Verification or assurance cycle in place Annual process

Status in the current reporting year Complete

Type of verification or assurance Reasonable assurance

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Attach the statement

LE_EnBW_CDP Letter_31.12.2019_Kurzversion_Seite_1_2_inkl E_T.pdf

Page/section reference Complete document (see attached document).

Proportion of reported emissions verified (%) 100

Scope 3 category Scope 3: Upstream transportation and distribution

Verification or assurance cycle in place Annual process

Status in the current reporting year Complete

Type of verification or assurance Reasonable assurance

Attach the statement

LE_EnBW_CDP Letter_31.12.2019_Kurzversion_Seite_1_2_inkl E_T.pdf

Page/section reference Complete document (see attached document).

Proportion of reported emissions verified (%) 100

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Scope 3 category Scope 3: Business travel

Verification or assurance cycle in place Annual process

Status in the current reporting year Complete

Type of verification or assurance Reasonable assurance

Attach the statement

LE_EnBW_CDP Letter_31.12.2019_Kurzversion_Seite_1_2_inkl E_T.pdf

Page/section reference Complete document (see attached document).

Proportion of reported emissions verified (%) 100

Scope 3 category Scope 3: Use of sold products

Verification or assurance cycle in place Annual process

Status in the current reporting year Complete

Type of verification or assurance Reasonable assurance

Attach the statement

LE_EnBW_CDP Letter_31.12.2019_Kurzversion_Seite_1_2_inkl E_T.pdf

Page/section reference Complete document (see attached document).

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

Proportion of reported emissions verified (%) 100 C10.2

(C10.2) Do you verify any climate-related information reported in your CDP disclosure other than the emissions figures reported in C6.1, C6.3, and C6.5? Yes C10.2a

(C10.2a) Which data points within your CDP disclosure have been verified, and which verification standards were used? Disclosure Data verified Verification Please explain module standard verification relates to C0. Other, please specify Independent At the Annual General Meeting of EnBW Introduction About this report auditing and Energie Baden-Württemberg AG on 8 May (EnBW Report Evaluation 2019, Ernst & Young GmbH 2019, p. 27-29) (EY): Wirtschaftsprüfungsgesellschaft was elected We underline as the new auditor and Group auditor. The the high level condensed financial statements for the 2019 of integration financial in the year that form part of the Integrated Annual whole Report do not include the notes to the reporting consolidated financial statements or the process with (Group) declaration of corporate management the audit of the 2019 which includes the corporate complete governance report 2019. The full set of Integrated consolidated financial statements – including Annual Report the notes to the consolidated financial 2019 with statements – and the Management report for reasonable the company and the Group are included in assurance. the extended version of the Integrated Annual Report 2019 and were all audited by Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft for the 2019 financial year. As in the previous year,

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

a complete audit of the non-financial declaration was carried out in accordance with an extension of the auditing Mandate made by the Supervisory Board. Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft arrived at the overall conclusion that the entire audit did not lead to any reservations and issued an unqualified audit opinion. The high level of integration in the whole reporting process is underlined by this audit of the complete Integrated Annual Report with reasonable assurance. Further Information: www.enbw.com/report2019-downloads and EnBW report 2019, page 130 (result of the Audit...).

1, 2 C1. Other, please specify Independent At the Annual General Meeting of EnBW Governance Corporate auditing and Energie Baden-Württemberg AG on 8 May Governance Evaluation 2019, Ernst & Young GmbH (EnBW Report (EY): Wirtschaftsprüfungsgesellschaft was elected 2019, p. 48-50) We underline as the new auditor and Group auditor. The the high level condensed financial statements for the 2019 of integration financial in the year that form part of the Integrated Annual whole Report do not include the notes to the reporting consolidated financial statements or the process with (Group) declaration of corporate management the audit of the 2019 which includes the corporate complete governance report 2019. The full set of Integrated consolidated financial statements – including Annual Report the notes to the consolidated financial 2019 with statements – and the Management report for reasonable the company and the Group are included in assurance. the extended version of the Integrated Annual Report 2019 and were all audited by Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft for the 2019 financial year. As in the previous year, a complete audit of the non-financial declaration was carried out in accordance with an extension of the auditing Mandate made by the Supervisory Board. Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

arrived at the overall conclusion that the entire audit did not lead to any reservations and issued an unqualified audit opinion. The high level of integration in the whole reporting process is underlined by this audit of the complete Integrated Annual Report with reasonable assurance. Further Information: www.enbw.com/report2019-downloads and EnBW report 2019, page 130 (result of the Audit...).

1, 2 C2. Risks and Other, please specify Independent At the Annual General Meeting of EnBW opportunities Report on auditing and Energie Baden-Württemberg AG on 8 May opportunities and Evaluation 2019, Ernst & Young GmbH risks (EnBW (EY): Wirtschaftsprüfungsgesellschaft was elected Report 2019, p. 100-109) We underline as the new auditor and Group auditor. The the high level condensed financial statements for the 2019 of integration financial in the year that form part of the Integrated Annual whole Report do not include the notes to the reporting consolidated financial statements or the process with (Group) declaration of corporate management the audit of the 2019 which includes the corporate complete governance report 2019. The full set of Integrated consolidated financial statements – including Annual Report the notes to the consolidated financial 2019 with statements – and the Management report for reasonable the company and the Group are included in assurance. the extended version of the Integrated Annual Report 2019 and were all audited by Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft for the 2019 financial year. As in the previous year, a complete audit of the non-financial declaration was carried out in accordance with an extension of the auditing Mandate made by the Supervisory Board. Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft arrived at the overall conclusion that the entire audit did not lead to any reservations and issued an unqualified audit opinion. The high level of integration in the whole reporting process is underlined

EnBW Energie Baden-Württemberg AG CDP Climate Change Questionnaire 2020 Monday, August 31, 2020

by this audit of the complete Integrated Annual Report with reasonable assurance. Further Information: www.enbw.com/report2019-downloads and EnBW report 2019, page 130 (result of the Audit...).

1, 2 C3. Business Other, please specify Independent At the Annual General Meeting of EnBW strategy Strategy (EnBW auditing and Energie Baden-Württemberg AG on 8 May Report 2019, p. Evaluation 2019, Ernst & Young GmbH 41-47) (EY): Wirtschaftsprüfungsgesellschaft was elected We underline as the new auditor and Group auditor. The the high level condensed financial statements for the 2019 of integration financial in the year that form part of the Integrated Annual whole Report do not include the notes to the reporting consolidated financial statements or the process with (Group) declaration of corporate management the audit of the 2019 which includes the corporate complete governance report 2019. The full set of Integrated consolidated financial statements – including Annual Report the notes to the consolidated financial 2019 with statements – and the Management report for reasonable the company and the Group are included in assurance. the extended version of the Integrated Annual Report 2019 and were all audited by Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft for the 2019 financial year. As in the previous year, a complete audit of the non-financial declaration was carried out in accordance with an extension of the auditing Mandate made by the Supervisory Board. Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft arrived at the overall conclusion that the entire audit did not lead to any reservations and issued an unqualified audit opinion. The high level of integration in the whole reporting process is underlined by this audit of the complete Integrated Annual Report with reasonable assurance. Further Information: www.enbw.com/report2019-downloads and

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EnBW report 2019, page 130 (result of the Audit...).

1, 2 C4. Targets Other, please specify Independent At the Annual General Meeting of EnBW and Goals and auditing and Energie Baden-Württemberg AG on 8 May performance performance Evaluation 2019, Ernst & Young GmbH management (EY): Wirtschaftsprüfungsgesellschaft was elected (EnBW Report 2019, p. 43-47) We underline as the new auditor and Group auditor. The the high level condensed financial statements for the 2019 of integration financial in the year that form part of the Integrated Annual whole Report do not include the notes to the reporting consolidated financial statements or the process with (Group) declaration of corporate management the audit of the 2019 which includes the corporate complete governance report 2019. The full set of Integrated consolidated financial statements – including Annual Report the notes to the consolidated financial 2019 with statements – and the Management report for reasonable the company and the Group are included in assurance. the extended version of the Integrated Annual Report 2019 and were all audited by Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft for the 2019 financial year. As in the previous year, a complete audit of the non-financial declaration was carried out in accordance with an extension of the auditing Mandate made by the Supervisory Board. Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft arrived at the o verall conclusion that the entire audit did not lead to any reservations and issued an unqualified audit opinion. The high level of integration in the whole reporting process is underlined by this audit of the complete Integrated Annual Report with reasonable assurance. Further Information: www.enbw.com/report2019-downloads and EnBW report 2019, page 130 (result of the Audit...).

1, 2

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C5. Emissions Other, please specify Independent At the Annual General Meeting of EnBW performance Environment goal auditing and Energie Baden-Württemberg AG on 8 May dimension (EnBW Evaluation 2019, Ernst & Young GmbH Report 2019, p. (EY): Wirtschaftsprüfungsgesellschaft was elected 87-90) We underline as the new auditor and Group auditor. The the high level condensed financial statements for the 2019 of integration financial in the year that form part of the Integrated Annual whole Report do not include the notes to the reporting consolidated financial statements or the process with (Group) declaration of corporate management the audit of the 2019 which includes the corporate complete governance report 2019. The full set of Integrated consolidated financial statements – including Annual Report the notes to the consolidated financial 2019 with statements – and the Management report for reasonable the company and the Group are included in assurance. the extended version of the Integrated Annual Report 2019 and were all audited by Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft for the 2019 financial year. As in the previous year, a complete audit of the non-financial declaration was carried out in accordance with an extension of the auditing Mandate made by the Supervisory Board. Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft arrived at the overall conclusion that the entir e audit did not lead to any reservations and issued an unqualified audit opinion. The high level of integration in the whole reporting process is underlined by this audit of the complete Integrated Annual Report with reasonable assurance. Further Information: www.enbw.com/report2019-downloads and EnBW report 2019, page 130 (result of the Audit...).

1, 2 C6. Emissions Other, please specify Independent At the Annual General Meeting of EnBW data Environment goal auditing and Energie Baden-Württemberg AG on 8 May dimension (EnBW Evaluation 2019, Ernst & Young GmbH Report 2019, p. (EY): Wirtschaftsprüfungsgesellschaft was elected 87-90) We underline as the new auditor and Group auditor. The

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the high level condensed financial statements for the 2019 of integration financial in the year that form part of the Integrated Annual whole Report do not include the notes to the reporting consolidated financial statements or the process with (Group) declaration of corporate management the audit of the 2019 which includes the corporate complete governance report 2019. The full set of Integrated consolidated financial statements – including Annual Report the notes to the consolidated financial 2019 with statements – and the Management report for reasonable the company and the Group are included in assurance. the extended version of the Integrated Annual Report 2019 and were all audited by Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft for the 2019 financial year. As in the previous year, a complete audit of the non-financial declaration was carried out in accordance with an extension of the auditing Mandate made by the Supervisory Board. Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft arrived at the overall conclusion that the entire audit did not lead to any reservations and issued an unqualified audit opinion. The high level of integration in the whole reporting process is underlined by this audit of the complete Integrated Annual Report with reasonable assurance. Further Information: www.enbw.com/report2019-downloads and EnBW report 2019, page 130 (result of the Audit...).

1, 2 C7. Emissions Other, please specify Independent At the Annual General Meeting of EnBW breakdown Environment goal auditing and Energie Baden-Württemberg AG on 8 May dimension (EnBW Evaluation 2019, Ernst & Young GmbH Report 2019, p. (EY): Wirtschaftsprüfungsgesellschaft was elected 87-90) We underline as the new auditor and Group auditor. The the high level condensed financial statements for the 2019 of integration financial in the year that form part of the Integrated Annual whole Report do not include the notes to the reporting consolidated financial statements or the

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process with (Group) declaration of corporate management the audit of the 2019 which includes the corporate complete governance report 2019. The full set of Integrated consolidated financial statements – including Annual Report the notes to the consolidated financial 2019 with statements – and the Management report for reasonable the company and the Group are included in assurance. the extended version of the Integrated Annual Report 2019 and were all audited by Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft for the 2019 financial year. As in the previous year, a complete audit of the non-financial declaration was carried out in accordance with an extension of the auditing Mandate made by the Supervisory Board. Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft arrived at the overall conclusion that the entire audit did not lead to any reservations and issued an unqualified audit opinion. The high level of integration in the whole reporting process is underlined by this audit of the complete Integrated Annual Report with reasonable assurance. Further Information: www.enbw.com/report2019-downloads and EnBW report 2019, page 130 (result of the Audit...).

1, 2 C8. Energy Other, please specify Independent At the Annual General Meeting of EnBW Environment goal auditing and Energie Baden-Württemberg AG on 8 May dimension (EnBW Evaluation 2019, Ernst & Young GmbH Report 2019, p. (EY): Wirtschaftsprüfungsgesellschaft was elected 87-90) We underline as the new auditor and Group auditor. The the high level condensed financial statements for the 2019 of integration financial in the year that form part of the Integrated Annual whole Report do not include the notes to the reporting consolidated financial statements or the process with (Group) declaration of corporate management the audit of th e 2019 which includes the corporate complete governance report 2019. The full set of Integrated consolidated financial statements – including Annual Report the notes to the consolidated financial

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2019 with statements – and the Management report for reasonable the company and the Group are included in assurance. the extended version of the Integrated Annual Report 2019 and were all audited by Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft for the 2019 financial year. As in the previous year, a complete audit of the non-financial declaration was carried out in accordance with an extension of the auditing Mandate made by the Supervisory Board. Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft arrived at the overall conclusion that the entire audit did not lead to any reservations and issued an unqualified audit opinion. The high level of integration in the whole reporting process is underlined by this audit of the complete Integrated Annual Report with reasonable assurance. Further Information: www.enbw.com/report2019-downloads and EnBW report 2019, page 130 (result of the Audit...).

1, 2 C9. Additional Other, please specify Independent At the Annual General Meeting of EnBW metrics Total investment auditing and Energie Baden-Württemberg AG on 8 May 2020–2022 Evaluation 2019, Ernst & Young GmbH (EnBW Report (EY): Wirtschaftsprüfungsgesellschaft was elected 2019, p. 96) We underline as the new auditor and Group auditor. The the high level condensed financial statements for the 2019 of integration financial in the year that form part of the Integrated Annual whole Report do not include the notes to the reporting consolidated financial statements or the process with (Group) declaration of corporate management the audit of the 2019 which includes the corporate complete governance report 2019. The full set of Integrated consolidated financial statements – including Annual Report the notes to the consolidated financial 2019 with statements – and the Management report for reasonable the company and the Group are included in assurance. the extended version of the Integrated Annual Report 2019 and were all audited by Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft

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for the 2019 financial year. As in the previous year, a complete audit of the non-financial declaration was carried out in accordance with an extension of the auditing Mandate made by the Supervisory Board. Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft arrived at the overall conclusion that the entire audit did not lead to any reservations and issued an unqualified audit opinion. The high level of integration in the whole reporting process is underlined by this audit of the complete Integrated Annual Report with reasonable assurance. Further Information: www.enbw.com/report2019-downloads and EnBW report 2019, page 130 (result of the Audit...).

1, 2 C11. Carbon Other, please specify "ETS The relevant data were verified according to pricing Verification" the ETS Standard.

1, 2 C12. Other, please specify Independent At the Annual General Meeting of EnBW Engagement Customers and auditing and Energie Baden-Württemberg AG on 8 May society goal Evaluation 2019, Ernst & Young GmbH (EnBW Report (EY): Wirtschaftsprüfungsgesellschaft was elected 2019, p. 81-83); In dialogue with our We underline as the new auditor and Group auditor. The stakeholders the high level condensed financial statements for the 2019 (EnBW Report of integration financial 2019, p. 51-55); in the year that form part of the Integrated Annual whole Report do not include the notes to the reporting consolidated financial statements or the process with (Group) declaration of corporate management the audit of the 2019 which includes the corporate complete governance report 2019. The full set of Integrated consolidated financial statements – including Annual Report the notes to the consolidated financial 2019 with statements – and the Management report for reasonable the company and the Group are included in assurance. the extended version of the Integrated Annual Report 2019 and were all audited by Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft for the 2019 financial year. As in the previous

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year, a complete audit of the non-financial declaration was carried out in accordance with an extension of the auditing Mandate made by the Supervisory Board. Ernst & Young GmbH Wirtschaftsprüfungsgesellschaft arrived at the overall conclusion that the entir e audit did not lead to any reservations and issued an unqualified audit opinion. The high level of integration in the whole reporting process is underlined by this audit of the complete Integrated Annual Report with reasonable assurance. Further Information: www.enbw.com/report2019-downloads and EnBW report 2019, page 130 (result of the Audit...).

1, 2 1LE_EnBW_CDP Letter_31.12.2019_Kurzversion_Seite_1_2_inkl E_T.pdf 2EnBW integrated-annual-report-2019.pdf C11. Carbon pricing

C11.1

(C11.1) Are any of your operations or activities regulated by a carbon pricing system (i.e. ETS, Cap & Trade or Carbon Tax)? Yes C11.1a

(C11.1a) Select the carbon pricing regulation(s) which impacts your operations. EU ETS C11.1b

(C11.1b) Complete the following table for each of the emissions trading schemes you are regulated by.

EU ETS

% of Scope 1 emissions covered by the ETS 95

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% of Scope 2 emissions covered by the ETS 0

Period start date January 1, 2019

Period end date December 31, 2019

Allowances allocated 234,031

Allowances purchased 10,015,446

Verified Scope 1 emissions in metric tons CO2e 10,249,477

Verified Scope 2 emissions in metric tons CO2e 0

Details of ownership Facilities we own and operate

Comment CO2 certificates are used to offset the emissions generated during the production process (electricity generation). C11.1d

(C11.1d) What is your strategy for complying with the systems you are regulated by or anticipate being regulated by? EnBW is a member of the European Emissions Trading System (EU-ETS). Within the EU-ETS it is defined that every ton of emitted CO2 must be balanced out by a CO2 certificate. The EU- ETS is following the principle of “cap and trade”. The cap (upper limit) is defining the maximum CO2 amount allowed to be emitted into the system. This upper limit is reduced by time, and will be 21% below the amount of 2005 by 2020. Following, the reduction in the amount of certificates in the EU-ETS over time, leads to a total decrease of the emissions of all participating businesses. The preliminary determined decrease in the amount of certificates is harmonized with the European goal to reduce greenhouse gas emissions.

EnBW is obliged to balance the amount of CO2 emitted by power generation with emission certificates. Since January 2013 there are no more certificates allocated at no charge. Therefore, EnBW has to offset all emissions that arise in the course of electricity and heat generation by EnBW in own power plants by purchasing an equivalent quantity of certificates. The certificates (1 EUA (European Allowance) corresponds to 1 t CO2eq emitted) needed are bought at the stock exchange. Consequently, the market price of CO2 certificates has direct influence on the profitability of power plants and is one point of influence for the power plant deployment planning. The level of the CO2 certificate price thus has an indirect influence on the

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wholesale market price and is therefore a key parameter for EnBW. EnBW endeavours to provide the amount of energy sold at a reasonable price. In order to make this possible, a close coordination of wholesale market prices, CO2 prices and power plant deployment planning is necessary. The strategy of EnBW is that there are always enough certificates purchased on the market to meet the compliance requirements. For this purpose the “concept of close consultation” is used. This enables a close adjustment between the holding of CO2 certificates and adjustments in electricity generation through our own power plants to market changes. It ensures that there are sufficient amounts of certificates bought at the market at all times to fulfill compliance requirements.

Since electricity is sold long in advance, it is necessary to optimize power plant scheduling agian and again in line with changes in the market. Therfore, the quantity of CO2-certificates must also be constantly adjusted. A task of EnBW Trading is to ensure the compensation between generated emissions and certificates procured on the stock exchange.

The quantity of certificates required depends on the use of the power plants. This changes, for example, through on the amount of renewable electricity fed into the grid into the grid on the one hand or the electricity demand on the other. Power plant deployment planning determines the cost-optimal use of the power plants. The higher the operating hours of the power plant, the higher the emissions for which certificates have to be obtained to compensate. This process is ongoing until the real operating data and thus also the required amount of certificates is known after end of every year.This process ensures that the amount of certificates is always adapted to the current deployment of the power. C11.2

(C11.2) Has your organization originated or purchased any project-based carbon credits within the reporting period? Yes C11.2a

(C11.2a) Provide details of the project-based carbon credits originated or purchased by your organization in the reporting period.

Credit origination or credit purchase Credit purchase

Project type Hydro

Project identification EnBW uses CERs for various purposes. Among other things, the certificates are used to sell a green gas product. Gas from the North Sea is used for this product. We compensate all CO2 emissions released during

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the extraction, transport and combustion of the gas by supporting UN climate protection projects.. Certificates are produced from the Qinghai Maqin Gequ Level 2 Hydropower Station (CN 7507) project .This is a hydropower project in China. The electricity generated by the hydroelectric power plant is substituted by fossil fuels, and the electricity generated by coal-fired power plants. As a result, annual emissions of 177.166 t CO2e can be saved in the Project.

Verified to which standard CDM (Clean Development Mechanism)

Number of credits (metric tonnes CO2e) 55,315

Number of credits (metric tonnes CO2e): Risk adjusted volume 55,315

Credits cancelled Yes

Purpose, e.g. compliance Compliance

Credit origination or credit purchase Credit purchase

Project type Forests

Project identification In addition, CO2 emissions are offset by events organised by the Energie&Klimaschutz foundation. Certificates from a reforestation project in Ethiopia are used for this purpose. Local communities have developed the reforestation project in Soddo about 300 kilometres southwest of the capital Addis Ababa together with the non-governmental organisation World Vision. The members of the five communities that live here in the high mountain region of Southern Ethiopia in the vicinity of Mount Damota are directly vicinity of Mount Damota are directly responsible for project implementation. The aim is to protect the severely degraded forest on the slopes of Mount Damota and to plant new trees, thus contributing to the long-term regeneration of the ecosystem in the region. The project is not only an outstanding example of local co-determination, but also achieves numerous positive effects for biodiversity, climate protection and regional development.

Verified to which standard Gold Standard

Number of credits (metric tonnes CO2e) 28

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Number of credits (metric tonnes CO2e): Risk adjusted volume 28

Credits cancelled Yes

Purpose, e.g. compliance Voluntary Offsetting C11.3

(C11.3) Does your organization use an internal price on carbon? Yes C11.3a

(C11.3a) Provide details of how your organization uses an internal price on carbon.

Objective for implementing an internal carbon price Navigate GHG regulations Stakeholder expectations Change internal behavior Drive low-carbon investment

GHG Scope Scope 1

Application The CO2 price is applied throughout the Group in the departments concerned. The price is particularly important in the trading department and in the dispatching, in the strategy department, as well as in all commercial departments. The CO2 price also plays an important role in the department of M&A.The development of the CO2 price in relation to political activities is of importance. EnBW is publicly committed to a carbon price floor. This makes the switch from coal to gas more attractive and supports the expansion of renewable energies.

Actual price(s) used (Currency /metric ton)

Variance of price(s) used For time period beyond liquid market quotations EnBW uses assumptions regarding market prices for CO2-certificates that our part of EnBW´s Scenarios. These assumed market prices form the Basis for Evaluation for Long term assets such as power plants and contracts as well as Investments. Given the considerable uncertainty on the effectiveness of climate regulation there are big differences between the CO2-prices in EnBW´s Scenarios. Scenarios with rising CO2-prices have a higher importance amongst EnBWs Scenarios than assumptions of low CO2-prices.

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Under the European emissions trading system, proof must be provided of CO2 allowances for CO2 emissions from power plants. In 2019, the price of EU allowances (EUAs) fluctuated between EUR 20 and almost EUR 30. In the second half of the year, the price levelled off around 25 EUR/EUA. In comparison, compensation certificates are much cheaper in some cases. However, certificates from certified projects with high demands on social standards are also in this price range.

Type of internal carbon price Other, please specify Own price forecast

Impact & implication The internalisation of the EU-ETS carbon price on business activities impacts the full range of company activities from the dispatch decisions of power plants that incorporate the carbon price as a part of the operational costs to the valuation of assets where the future earnings are calculated based on quantitative premises on market prices and prices for carbon to the strategic assessment of risks and chances of the portfolio and its planned expansion with renewable energies under different scenarios with associated carbon prices. C12. Engagement

C12.1

(C12.1) Do you engage with your value chain on climate-related issues? Yes, our suppliers Yes, our customers C12.1a

(C12.1a) Provide details of your climate-related supplier engagement strategy.

Type of engagement Compliance & onboarding

Details of engagement Included climate change in supplier selection / management mechanism Code of conduct featuring climate change KPIs Climate change is integrated into supplier evaluation processes

% of suppliers by number 100

% total procurement spend (direct and indirect) 1

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% of supplier-related Scope 3 emissions as reported in C6.5 84

Rationale for the coverage of your engagement EnBW is highly committed to the responsible procurement of hard coal. Therefore, EnBW has adopted a supplier code of conduct for the responsible procurement of hard coal and other raw materials. This supplier code of conduct asks direct coal suppliers to reduce environmentally polluting emissions and to use environmentally friendly technologies (added value for climate protection). The supplier code of conduct is a binding part of all EnBW business contracts with coal suppliers. In regular business partner checks EnBW monitors the compliance. The evaluation follows the streetlight logic (green, yellow, red). Critical suppliers (yellow) will be asked to follow a corrective action plan set out by the EnBW sustainability department. Since climate protection and environmental protection are focal parts of EnBW’s sustainability strategy these aspects have more weight than other in the evaluation result. If a supplier falls into the lowest compliance category (red) EnBW reserves the right to suspend or as a last resort cancel the contract.

Impact of engagement, including measures of success 1. Impact of climate-related supplier engagement: - Part of EnBW’s supplier review process is a regular (at least annually) update of the sustainability registry (data base that collects a comprehensive set of sustainability data as set out and demanded in the supplier code of conduct) covering all major coal producers worldwide from whom EnBW directly sources hard coal. Inter alia, EnBW asks all coal suppliers if climate protection is part of their overall business strategy and if evidencing KPIs can be provided. Critical suppliers must provide at least every six months a progress report according to a corrective action plan which is defined by the sustainability department. - Further Information: The supplier code of conduct is a central part of all EnBW business contracts with coal suppliers and in regular business partner checks EnBW monitors the compliance. The evaluation follows the streetlight logic . Critical suppliers (yellow) will be asked to follow a corrective action plan set out by the EnBW sustainability department. Since climate protection and environmental protection are focal parts of EnBW’s sustainability strategy these aspects have more weight than other in the evaluation result. If a supplier falls into the lowest compliance category (red) EnBW reserves the right to suspend or as a last resort cancel the contract.

2. Description of measures of success - 100% of EnBW’s direct coal suppliers are committed to the supplier code of conduct for coal and other raw materials. Suppliers must provide evidence on a regular base that they have taken appropriate measures to assure the compliance with the code of conduct. This has an impact on the suppliers’ environmental management system including aspects of climate protection and carbon reduction since these are focal points of the code of conduct and EnBW’s evaluation system for its coal suppliers (sustainability registry). - All coal suppliers EnBW currently sources coal from are rated green or yellow. Which

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means that all coal suppliers measure their emissions at least annually and have climate protection targets integrated into their environmental management policy.

Comment - % of Suppliers by number: Responsible raw materials procurement in the coal sector - % total procurement spend: The procurement volume of the EnBW Group in 2019 (without ITOs) amounted to around €2.8 Billion. A total of 3.16 million t of coal was delivered to our power plants in 2019. This corresponds to a procurement volume of €170 Million .

Type of engagement Compliance & onboarding

Details of engagement Other, please specify Supplier Prequalification process (beyond raw materials)*

% of suppliers by number

% total procurement spend (direct and indirect)

% of supplier-related Scope 3 emissions as reported in C6.5

Rationale for the coverage of your engagement Sustainable procurement begins with the careful selection of business partners. Central purchasing at EnBW AG uses a standardised pre-qualification process for this purpose. Different thresholds are set depending on the product Group and internal risk classification. Suppliers are required to provide a self-assessment via the EnBW supplier portal on whether they practise certain sustainable measures. Inter alia, they have to provide information about their general concept of environmental protection including aspects CO2 reduction. Centralised documenting of certificates enables us to ensure that all the necessary prerequisites for awarding a contract are fulfilled. In general, the information is checked every three years on the basis of a renewed self- assessment.

Impact of engagement, including measures of success Only suppliers who pass the prequalification process can take part in EnBWs bidding processes.

Comment * This related to central procurement and goes beyond hard coal.

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C12.1b

(C12.1b) Give details of your climate-related engagement strategy with your customers.

Type of engagement Education/information sharing

Details of engagement Run an engagement campaign to educate customers about the climate change impacts of (using) your products, goods, and/or services

% of customers by number 100

% of customer - related Scope 3 emissions as reported in C6.5 1

Please explain the rationale for selecting this group of customers and scope of engagement We primarily sell electricity and gas, as well as solutions and digital services related to energy, to retail and commercial customers throughout Germany through the Yello brand. Yello is a subsidiary of EnBW (https://www.yello.de/).

We want to make our customers' lives more sustainable. That's why we offer a reliable and inexpensive supply of electricity and gas from a single source as well as innovative products and services. That's why we not only offer climate-friendly electricity and gas tariffs, but also products that make it possible to use solar power or discover electromobility for yourself. At the same time, we help you to keep an eye on your own electricity consumption and costs. Whether 100 % green electricity from German hydropower or gas with a share of 10 % biogas, our climate tariffs enable our customers to contribute to climate protection by promoting selected climate protection projects. Example: Our tariffs with 100% green electricity guarantee that the green electricity generated in Europe from 100% renewable energy sources is fed into the power grid in the amount of the electricity you consume. In addition, the conclusion of our "Strom Klima Basic tariff" automatically makes an important contribution to the climate. This is because we invest a fixed amount in a climate protection project for each of our customers. We are currently supporting a project to protect the rainforest.

Impact of engagement, including measures of success Impact of engagement: What does sustainability mean for Yello? For Yello, the energy system transformation also means promoting sustainability. As a company and energy provider, we do this together with our employees, the management and our customers. We want to become sustainable as a company. Climate protection, renewable energy

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for our customers, the conscious use of resources (energy, water, but also paper) and a sustainable corporate culture are the main areas we are working on. Yello not only wants to become more sustainable, it also wants to show how this can be done: On the website and in the YouTube channel, we therefore inspire people with entertaining articles on the subject of climate protection, and in the Yello magazine we give customers a tip on how to make being sustainable easier.

Measures of success: We work regularly on improving our website to provide current and potential new customers with the best possible information about Yello and sustainability. In addition, we check the extent to which our website is successful (number of clicks etc.).

*% of customers by number : 100% of Yello customers *regarding % of customer - related Scope 3 emissions as reported in C6.5 : 0-1 %

Type of engagement Education/information sharing

Details of engagement Share information about your products and relevant certification schemes (i.e. Energy STAR)

% of customers by number 100

% of customer - related Scope 3 emissions as reported in C6.5 1

Please explain the rationale for selecting this group of customers and scope of engagement Energy saving tips for EnBW customers on the EnBW Webpage - Saving electricity in lighting and multimedia (https://www.enbw.com/energiesparen/beleuchtung-und- multimedia): Whether ceiling lamps, floor lamps or table lamps, there is a wide variety of artificial light sources in every house. They create a great homely atmosphere and put things in the right light. Lamps account for up to 15% of a household's total electricity consumption. Yet lighting has more savings potential than almost any other area of the household. And even with televisions, laptops and the like, which have become an indispensable part of today's digital life, a few tips will help customerns save electricity and protect the environment.

Impact of engagement, including measures of success Impact of Engagement: EnBW has numerous offers in the field of electricity tariffs for its customers. In addition EnBW gives energy saving tips for EnBW customers on the EnBW webpage - saving electricity in lighting and multimedia (https://www.enbw.com/energiesparen/beleuchtung-

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und-multimedia): - In everyday life we often forget to pay conscious attention to lighting. The result can be surprisingly high energy consumption. To prevent this from happening, we have collected useful tips on this topic for our customers. Example: With LED lights, you save up to 85% electricity compared to classic light bulbs with the same brightness. The slightly higher purchase costs are worthwhile thanks to the electricity cost savings and a long service life of approx. 25,000 hours. Depending on the model, LEDs emit bundled, all-round or indirect light. This makes them suitable not only as room or orientation light, but also as LED table lights for workplace lighting. Many models of LED lighting are dimmable and available in different light colours. Simply choose between cosy warm white, functional neutral white and realistic cold white. - Consumer electronics account for over 10% of private electricity consumption. Televisions, home cinema, computers and the like are used almost daily in many households. This is also reflected in electricity consumption. With a few tricks, our customers can easily save energy and enjoy music, films or computer games without any worries. Example: Select high energy efficiency class: Look for the energy efficiency label when buying new multimedia devices. As with other devices, energy efficiency class A stands for high energy efficiency and correspondingly low electricity costs, while models with class D are less efficient. Furthermore, our customer service is in regular contact with customers.

Measures of success: We work regularly on improving our website to provide current and potential new customers with the best possible information about EnBW and sustainability. In addition, we check the extent to which our website is successful (number of clicks etc.).

*% of customers by number : 100% of EnBW customers *regarding % of customer - related Scope 3 emissions as reported in C6.5 : 0-1 % C12.3

(C12.3) Do you engage in activities that could either directly or indirectly influence public policy on climate-related issues through any of the following? Direct engagement with policy makers Trade associations Funding research organizations Other C12.3a

(C12.3a) On what issues have you been engaging directly with policy makers? Focus of legislation Corporate Details of engagement Proposed legislative position solution

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Cap and trade Support EnBW still considers the EU Focus on the ETS cap and trade system as introduction of a carbon the cornerstone of EU climate price floor in the ETS – if policy. Since 2013, we not at EU level, at least continued to engage in in a coalition of willing discussions at EU level on the Member States. need of an ambitious ETS-cap EnBW suggests a and the relevance of a reliable general, consistent and strong CO2-price signal to target price for fossil stimulate the necessary CO2 of 25 €/ton (2020) investments for the foreseen and 30 €/ton (2025) carbon emissions reduction across all sectors. path. Also in 2019, an essential Support of the legislative focus was still on the further proposal for a binding strengthening of the ETS cap. climate-neutrality target EnBW not only underlined that for 2050 and adaptation the finally endorsed higher of the 2030 climate targets for renewables and target and thus the linear energy efficiency for 2030 at reduction factor. EU-Level in the context of the Clean Energy Package would already trigger higher THG emission reductions of 43 – 45%. We also very much welcomed the review of the Climate Pathway 2050 – analyses of the European Commission including net-zero scenarios and especially the Green Deal strategy with the proposal of a climate law, making the 2050 net zero objective legally binding as well as adapting the 2030-target to 50-55%. EnBW advocated for these policies and an early reform of the related climate legislation, especially the ETS directive. In this context, we continue to advocat for the introduction of a price floor at EU- or national level. EnBW continuous to advocate for a comparable CO2 price signal in all sectors but considers in

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integration of other sectors in the ETS – while possibly to be envisaged from 2030 onwards – as not efficient at this stage due to the still very different CO2 abatement costs. We maintained the exchange on these topics, especially the legislative proposal on the 2050 target and the adaptation of the 2030 framework with representatives of the European institutions, German ministry officials, politicians, and NGO’s and participated to consultations as e.g. recently in the framework of the EU consultation on the adaptation of the 2030 framework. EnBW participated also actively in the positioning of different associations (BDEW/EURELECTRIC, WindEurope, BDI etc.) on investment frameworks to underline the need of an adequate CO2-pricing and a robust ETS ( including the adaptation of the 2030 target) and continued the exchange in networks at EU level and cooperated closely with NGOs like German Watch and Stiftung 2° (exchange of information, lobbying activities like e.g. open letter etc.). Carbon tax Support Although the price of allowances Within the national (EUA) has increased after the legislative process for adoption of the new EU ETS the introduction of directive, it does not create domestic CO2 pricing in enough investment security for the heating and market participants. As the transport sectors, EnBW Corona crises showed, external advocated an increase shocks will continue to happen in energy taxes linking and the MSR in its current the taxes to the given design seems not to be CO2 content. EnBW

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sufficient to counter-balance suggested a general, these sudden and substantive consistent target price demand-supply unbalances. for fossil CO2 of 25 €/ton Also, the heavy charges and (2020) and 30 €/ton levies on the electricity prices (2025) across all prevent for more sector sectors, (ETS and Non- coupling/electrification of other ETS). However, in the sectors. legislative process the Therefore, EnBW supports not Federal Government has only the carbon floor price on decided to introduce a top of the ETS but also a national fuel emissions restructuring of the energy trading system (BEHG). taxation system – to start at From 2021 to 2025, the national level but preferentially trading system has a also on EU level- to be CO2 fixed price per ton of based. CO2 which will increase Also, through a rearrangement annually at a of the taxation system, predetermined rate. additional burdens for From 2026 onwards a consumers are to be avoided, i. trading system with a e. additional costs ought to be fixed cap and certificates covered by the polluters. will be introduced Through a fixed carbon price the avoidance of carbon emissions Those placing fuels and would become economically combustibles on the relevant, leading to increasing market for transport and hours of operation for plants that heating purposes are are more climate friendly. subject to the levy. The Federal Government Within the national legislative intends to use the process for the introduction of revenue from the BEHG domestic CO2 pricing in the to reduce electricity heating and transport sectors, prices. EnBW advocated an increase in Even though EnBW energy taxes linking the taxes to considers the BEHG- the given CO2 content. EnBW system to be suggested a general, consistent unnecessarily complex, target price for fossil CO2 of 25 it supports the €/ton (2020) and 30 €/ton (2025) fundamental introduction across all sectors, (ETS and of CO2 pricing in the Non-ETS).At EU level, EnBW heating and transport welcomes the suggestion of the sectors. It also European Commission to welcomes the tightening change the rules for decisions in of the price path decided taxation issues, especially by a working group of concerning energy taxation, the Federal Government

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from unanimity to qualified and the federal states at majority. EnBW participated the end of 2019, starting actively in the positioning of at 25 euros per ton in different associations (BDEW / 2021. BEE, BDI etc.) but also in the exchange in networks with other companies and cooperated closely with NGOs like German Watch and Stiftung 2°. Clean energy generation Support In 2017/18, 89% of subsidized In Germany, EnBW with minor wind turbines in Germany were supports a minimum exceptions located North of the Main river. capacity of 25 % of the The problem is still existant, allowances within the combined with a lack of EEG (wind onshore) to permissions granted in the be assigned to locations whole country. This south of the Main river. If concentration in the expansion the government prefers exacerbates the existing grid a bonus system, this congestion in Germany and has bonus should at least a negative impact on the amount to 0,5 ct/kWh to acceptance of the reach an incentive Energiewende. Therefore, effect. Regarding EnBW advocated in favour of a offshore wind energy, regional control management in we plead for an order to reach additional wind additional short term turbine capacities south of the tender, to use free Main river. We also plead for converter capacities. better and faster regulation EnBW supports the idea concerning permissions for of financial support for onshore wind. Regarding local communities, that German offshore wind energy in build WTG on their the Baltic sea and North Sea community space, to (objectives at least 20 GW until address the lack of 2030, 40 GW until 2040). acceptance of new windfarms. In general On the PV side, we aim to EnBW tries to tackle the remove the ca p of 52 GW, which problems of missing was finally decided beginning of space, permissions and July 2020. Keeping the cap, acceptance for wind would most likely lead to job onshore, as we have cuts within the company since high targets of onshore we expect to reach a capacity of wind in our strategy for 52 GW in 2020. Additional to the 2025. EnBW advocates short-term special tenders for for older small-scale wind and PV within the EEG we rooftop PV to stay in

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advocate for a concrete operation. We trajectory for renewables in introduced the idea of Germany for the years after direct marketing for 2022. This is essential for small scale PV, to keep reaching the goal of 65% at least 180000 small renewables within the power rooftop-plants in sector in Germany. operation till 2025, by using existing regulation At EU level EnBW followed combined with digital closely the implementation of processes. the Clean Energy for all Europeans Package on the At EU level, in the Electricity Market Design context of the directive and regulation, as well implementation of the as the Renewables directive, Clean Energy Package Energy Efficiency directive and and possible adaptations the Governance regulation. In of this framework in view the re-opened discussions on of the Green Deal and the adaptation of the 2030- climate neutrality by framework in view to a 2050 2050, EnBW supports a climate neutrality target, EnBW positive framework asks also for a higher RES- towards further Target of at least 40%. We call development of for an adequate political support renewables while and more efficient authorisation integrating them procedures on national level as subsequently into the well as a firm implementation market. In the absence monitoring especially in the of national targets for framework of the national renewables, EnBW energy and climate plans by the advocated for a strong EU COM. We engaged also on governance system to issues like auctioning designs in allow for more investor the context of zero bids, new certainty. EnBW sees offshore EU COM strategy the outcome of the necessary adaptations for hybrid package overall rather projects etc. positive but supports more ambitious targets On the EU level the focus is in view to the possible however more on the the adaptation of the preparation of the Energy framework in 2021 System integration package and However, key is the especially the decarbonization of effective implementation. the gas sector. On the basis of EnBW supports also the an extensive internal project on objectives of the EU pathways to climate neutral gas biodiversity strategy but system, we engaged in would welcome a truly

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discussion on options to achieve integrated approach with climate neutrality for the energy policies to avoid electricity sector by 2040. possible conflicts as far as possible. EnBW also supports the decarbonisation of the gas sector and is running /planning pilot projects to detect challenges and potentials (grid integration etc.) for the gas grid infrastructure. EnBW supports a stronger energy system integration and the planned EU strategy as well as the national and EU strategy for a hydrogen economy. These last ones should follow a sector open approach considering hydrogen use also in electricity generation and to a certain extend in the heat sector.

Energy efficiency Support EnBW fully supports the energy Focus on the with minor efficiency objective and implementation of the exceptions supporting policies. However, Energy Efficiency we are against obligation Directive and the Energy schemes in this context as they Efficient Buildings are not stimulating the most directive and Goverance (cost) efficient solutions. EnBW regulationOn the reform is actively following the of the Energy Efficiency legislative and regulatory Directive, EnBW favors developments on national and further efforts towards regional level also in view to the more energy efficiency, implementation of the Energy however advocates for Efficiency directive and Energy the need to maintain Efficiency of Buildings directive alternative options to an EnBW was especially active in obligation scheme as the positioning of the different chosen in Germany. stakeholder groups and More push towards the

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associations EnBW is a member use of renewables in the (BDEW, BDI) On regional level heating and cooling, as there have been and still well as the transport continue to be many discussions sector as decided are specifically in the context of the welcome. A conflict integrated climate and energy between absolut energy concept. saving requirements and partially reduction of efficiency in the sake of higher flexibility should be avoided. Other, please specify Support EnBW is very active in the roll EnBW supports Decarbonising Transport out of e-charging infrastructure ambitious rules and Sector (E-Mobility) in Germany as we see e-mobility limits for CO2 emissions as a very important mean of of passenger cars and decarbonizing the transport light duty vehicles at EU sector. Specifically, we aim to level. We also call for an install 1.000 fast-charging expansion of the funding stations (DC) at motorway of charging infrastructure service stations and traffic (public and private) and junctions until the end of 2020. additional measures at We are very much engaged in a national level. close dialogue with policy makers, communes and stakeholders to favor the further up-take of e-mobility. At European level EnBW engaged in the preparation of the review of the Alternative Fuels infrastructure (AFI) Directive and competitive and practical solutions for data handling between Automotive industry and car users or charging infrastructure operators.It engaged with the representatives of the European Commission and European Parliament as well as in the working groups /in the positioning of different Associations (BDEW, EURELECTRIC) And extended cross-sectoral cooperation in

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view to fostering e-mobility deployment. Other, please specify Support EnBW (on the level of the CFO) EnBW supports carbon Sustainable Financing with minor participated to the G20 TF CFD disclosure rules in non (Support for the EU exceptions on non-financial disclosure and financial reporting Sustainable Finance is implementing the obligations at Action Plan and climate related non financial recommendations in our own international and EU disclosure with minor reporting. level and is fully in line exceptions) with the At EU level, EnBW was and still recommendation of the is actively involved in the respective TEG implementation of the EU Action Subgroup. Plan on Sustainable Finance by being member of the EnBW also fully Commission’s Expert Group, supports the EU with a focus on non-financial Sustainable Finance reporting/carbon disclosure Action Plan and the rules. Thus, EnBW was principles of the draft following very closely the Taxonomy regulation. legislative procedures, However, EnBW would especially on the Taxonomy prefer definitions where regulation via exchanges with the quick and representatives of the European subsequent uptake of Parliament, the Commission and the market for the Council (German Permanent sustainable financial Representation/ Ministry for products is fostered and Finance) and other therefore advocates for Stakeholders, also by a broader approach. participating in the working Especially the groups and in the positioning of investments in the different Associations (BDEW, urgently needed EURELECTRIC). transition activities EnBW was also actively should be recognized. engaged in the concrete implementation preparatory work of the TEG Taxonomy subgroup organizing exchanges between the leading energy sector associations (EURELECTRIC, Eurogas) and TEG members to enhance understanding on the challenges for the energy sector in a transition Phase.

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Other, please specify Support The German Government has EnBW advocates for Klimaschutzgesetz/ set the German Climate Action high ambitions but puts Klimaschutzprogramm Plan 2050 at the end of 2016. a strong emphasis on 2030/ The Plan sets national not only declaring Kohleausstiegsgesetz/ EU Decarbonisation objectives for a CO2 reduction targets but urgently Pathways 2050/Green (target years 2030/40), defines putting the enabling Deal/Climate Law 2050 quantitative sectoral targets for regulatory framework in 2030 to lay down a timetable for place allowing for the step-by-step decarbonisation substantial progress in of all sectors. The government all sectors. also defined within the climate EnBW promotes the protection program 2030 climate neutrality by concrete measures and actions 2050-objective and the for reducing GHG-emissions in alignment of the 2030 all sectors (e.g. measures to framework, especially achieve a 65% share of RE in the ETS directive but electricity consumption, to also the stronger introduce national CO2 pricing in electrification and the heating and transport decarbonization of the sectors, including a reduction in heating and transport electricity prices, to promote sectors. A stringent CO2 electromobility and to expand pricing system should be the charging infrastructure). the starting point. EnBW supports the project, but considers many of the measures to be inadequate, e.g. in the area of expansion of renewable energies, where numerous obstacles, for example in the area of land allocation or in planning and approval law, have not been removed.

EnBW supports the climate protection targets for 2050 set by the government in the new Climate Protection Act, according to which the goal of greenhouse gas neutrality is pursued, as well as the setting of sector targets for 2030, including annual emission budgets. If the allocated emission budgets are not met, the responsible ministers should

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submit readjustment measures within fixed time periods.

The German Government has set up the Commission on Growth, Structural Change and Employment to develop proposals for ending coal-fired power generation and developing support mechanisms to assist affected coal regions. In its final report (Feb 2019) tTo meet the climate protection targets, residual capacities of coal-fired power plants in the years 2023 and 2030 have been defined, and coal-fired power generation is to be terminated by 2038 at the latest. At EU level, the Commission presented the reviewed 2050 decarbonisation pathways which stimulated the debate on a climate neutrality objective by 2050 (cp. Green Deal strategy). EnBW supports very much the wholistic approach of the Green Deal, specifically the climate - neutrality objective, the adaptation of the 2030 framework and further initiatives to decarbonize the energy sector (i.a. Smart sector integration strategy, hydrogen strategy, offshore-strategy, renovation wave) and contributed intensively in the respective positioning of the associations EnBW is a member of. C12.3b

(C12.3b) Are you on the board of any trade associations or do you provide funding beyond membership? Yes

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C12.3c

(C12.3c) Enter the details of those trade associations that are likely to take a position on climate change legislation.

Trade association BDEW (Bundesverband der Energie- und Wasserwirtschaft), German Energy and Water Association (BDEW)

Is your position on climate change consistent with theirs? Mixed

Please explain the trade association’s position The BDEW is committed to the decarbonisation of the energy sector until 2050. BDEW is in favor of an ambitious binding CO2-target for 2030 and also of strengthening the ETS via structural reforms. BDEW was also in favor for an ambitious binding renewables target including its break-down in national targets. Besides that, BDEW rejects a carbon price floor within the EU-ETS. Regarding the financing of new projects of renewables within the German EEG, the BDEW calls for a contract for difference model instead of the existing sliding market premium.

How have you influenced, or are you attempting to influence their position? EnBW actively participates in the different committees and Task Force (participation to meetings/discussions, commenting on draft position paper, bilateral exchange with other member companies, efforts to find viable but strong compromises). We have focused our engagement on issues concerning the positioning on strengthening the ETS but also on the general 2030-Framework. Contrary to the position of the BDEW, EnBW is committed to a carbon price floor within the ETS. Additionally EnBW pleads on keeping the sliding market premium that has been successful within the German market so far.

Trade association BWE (German Wind Energy Association)

Is your position on climate change consistent with theirs? Mixed

Please explain the trade association’s position BWE the German wind energy association is lobbying for good investment and planning conditions for wind energy projects in Germany and Europe.

How have you influenced, or are you attempting to influence their position? EnBW actively participates in the associations working Group.

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Trade association BDI (Bundesverband der deutschen Industrie)

Is your position on climate change consistent with theirs? Inconsistent

Please explain the trade association’s position The BDI provides political support for the opening up of international markets and provides information and economic policy advice on all topics relevant to industry including energy and climate policy. Concerning climate policy issue, like for example a quicker fix of the ETS and more ambitious targets for 2020 and 2030, BDI's position is much more reluctant than EnBW's position. Following the BDI, the ambitions of the EU climate agenda should depend on the international climate negotiations and further burden for energy intensive industry /carbon leakage sectors have to be avoided. They were in favor of the introduction of the MSR, but always linked to a strong protection against carbon leakage, a 2030 target depending on the outcome of the international negotiations.

How have you influenced, or are you attempting to influence their position? EnBW actively participates in relevant committees, focusing on the positioning on ETS- Reform/MSR and 2030 Framework.

Trade association WindEurope (European Wind Energy Association)

Is your position on climate change consistent with theirs? Consistent

Please explain the trade association’s position A strong Climate agenda (strong 2030 target – especially on GHG and renewables-, strong ETS) helps to make wind a competitive energy source.

How have you influenced, or are you attempting to influence their position? EnBW actively participates in the working groups of the association. It contributes with information and participates in the exchange on the positioning and lobbying strategies.

Trade association BNE - Energy efficiency and metering

Is your position on climate change consistent with theirs? Consistent

Please explain the trade association’s position Bundesverband Neue Energiewirtschaft e.V. (bne / Association of Energy Market Innovators) represents the interests of grid-independent energy suppliers and energy service companies in Germany. The main focus of the association lies on fair conditions

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for all electricity and gas suppliers, new and innovative business models and demands a competitive and modern metering and energy efficiency market in the context of the German „Energiewende“.Therefore, different measures are taken and promoted in a political context.

How have you influenced, or are you attempting to influence their position? Yello Strom (subsidiary of EnBW) is heavily engaged in the BNE. C12.3d

(C12.3d) Do you publicly disclose a list of all research organizations that you fund? No C12.3e

(C12.3e) Provide details of the other engagement activities that you undertake. In general, EnBW is engaged in a continuous dialogue also with stakeholders and clients regarding all aspects of energy and climate policy - at the local, regional, national and European level. The engagement also encompasses advice for the development of national and regional climate mitigation and adaptation strategies. EnBW also looks actively in options and challenges for the greening of the gas sector and follows actively the preparation of the gas package at EU Level. On the European level, EnBW continued to take actively part in Associations, especially WindEurope and EURELECTRIC (via BDEW) and in cross-sectoral stakeholder networks (e.g. Friends of ETS, 2030 Network), ) to organize an united voice from industry and NGOs towards politicians. This also allows for the exchange of positions between stakeholders in favour of an ambitious regulatory framework, specifically in the context of legislative process on the ETS reforms as well as the 2030 implementation legislation including the governance framework. On the national level, EnBW has also initialized a “Network Energy Efficiency”, to foster exchange of ideas and innovative solutions in the field of energy efficiency, accompanied by the yearly attribution of innovation award. By organizing energy policy related events (such as EnBW Event formats in Berlin: Energie- und Wirtschaftsclub, Mitarbeiterfrühstück/ Employee Breakfasts) EnBW discusses with parliamentary representatives and assistants, representatives of various associations, civil society and other corporations, about current legislative proposals and present EnBW's positions and views. In 2018 we started supporting the “Foundation 2° - German Companies for Climate Protection (“Stiftung 2° - Deutsche Unternehmen für Klimaschutz”. The organization is named after its major aim: To keep the average global temperature increase well below 2 degrees celsius. It supports long term entrepreneurial engagement for climate protection as well as the sustainable use of natural resources and the ecosystem. Looking for tangible and ambitious solutions, the foundation works together with scientific, societal and political stakeholders. Companies ought to work actively together to find solutions for cross-sector climate protection. One of its features is the so-called CEO-Initiative, i. e. the personal commitment of CEO’s to climate protection. In addition, EnBW supports the Foundation Energy & Climate Protection (Stiftung Energie & Klimaschutz). The Foundation, established by EnBW in 2007, is recognized as a non-profit

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entity and aims to promote environmental and climate protection. By stimulating an open and broad discussion with all stakeholders, it wants to contribute to a better understanding of the interaction between the energy industry and climate protection, as well as the promotion of young scientists. Therefore, the Foundation organizes conferences and debate evenings, mainly in Baden- Württemberg, to current items like about the effects of the climate change on each of us or about the further expansion of wind offshore as also about the digital infrastructure as a big solution or paradise for hacker attack (). Further issues are the necessary of renewable heating climate protection as job engine. The discussions are free of ideological restraints and take place between speakers who stand for different viewpoints, coming from various stakeholder organizations, starting with blogger, scientists, members of ministries or parliaments on regional or federal level, journalists , representatives from local or federal agencies, NGOs, Think Tanks etc.. At the organization of the debates, the Foundation aims to avoid CO2 emissions, e.g. renouncing paper invitations, offering seasonal and regional snacks and always choosing locations close to public transport facilities. The non-avoidable CO2 emissions are compensated by recognized Gold Standard certificates for the benefit of an Ethiopian reforestation project, issued by CO2OL Forest Finance. Apart from this established discussion format, the Foundation has initiated a series of Bar Camp-like panel workshops aimed towards students, startup founders and young professionals up to 30 years, handling subjects such as the mobility of the future, as new mobility in Germany, new business models, the future mobility in Baden-Württemberg. Every year, the Foundation organizes a contest for Ph.D. students to stimulate innovations on the field of renewable energie. The Foundation gives also students the possibility to become an “Energy Reporter” during their exchange semester abroad and report on topics of energy and climate protection in their host country via video or text (e.g. Clean Development Mechanism in Mexico or the air pollution in Valencia/Spain, bitcoin mining on Iceland, plastic recycling in the Netherlands, a solar panel roof for a craft vocational school center in Tanzania, Australian bush fires or load shedding in Durban/South Africa.) C12.3f

(C12.3f) What processes do you have in place to ensure that all of your direct and indirect activities that influence policy are consistent with your overall climate change strategy? One EnBW internal working group on climate issues (“working-group climate management”), encompassing representatives from all relevant sections of the company, meeting on quarterly basis to discuss current topics and prepare positions. Their activities include the preparation of concrete positioning with regard to relevant climate change issues in smaller drafting working groups as well as the Coordinating of engagement activities regularly in weekly meetings of the policy and sustainability team, thus ensuring consistency in all activities that influence policy.

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C12.4

(C12.4) Have you published information about your organization’s response to climate change and GHG emissions performance for this reporting year in places other than in your CDP response? If so, please attach the publication(s).

Publication In mainstream reports, incorporating the TCFD recommendations

Status Complete

Attach the document

EnBW integrated-annual-report-2019.pdf

Page/Section reference For example: Environment goal Dimension (EnBW Integrated Report 2019, page 87-90)

Content elements Governance Strategy Risks & opportunities Emissions figures Emission targets Other metrics

Comment In this Integrated Annual Report 2019 – as in previous years – we also take ecological and social aspects of the company’s activities into account as well as economic aspects. We have published an Integrated Annual Report based on the recommendations of the International Integrated Reporting Council (IIRC) since the 2014 financial year, with the aim of achieving a holistic representation of the performance of the company. Based on the concepts behind integrated reporting, we strive for the comprehensive integrated management of the company through the implementation of the EnBW 2020 strategy and the subsequent EnBW 2025 strategy. By presenting financial and non-financial corporate goals in the dimensions of finance, strategy, customers and society, employees and environment, we are seeking to promote integrated thinking within the company and emphasise the importance of being comprehensively oriented towards performance and our stakeholders. We measure the achievement of our goals using key performance indicators. Our ambitions are underlined by the work and membership of Thomas Kusterer, member of the Board of Management of EnBW, in the IIRC as well as in the EU Technical Expert Group on Sustainable Finance (TEG). The “Building Public Trust Award 2019”, which we received from PricewaterhouseCoopers GmbH

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Wirtschaftsprüfungsgesellschaft for the Integrated Annual Report in 2018, confirms our commitment in this area. More about integrated reporting at EnBW can be found at www.enbw.com/integrated-reporting.

Publication In voluntary communications

Status Complete

Attach the document

EnBW_investor_factbook_2019.pdf

Page/Section reference EnBW Investor Factbook 2019 - for example page 4 (e.g. key non-financials indicators).

Content elements Governance Strategy Risks & opportunities Emissions figures Emission targets Other metrics

Comment

Publication Other, please specify EnBW Green Bond Impact Report 2019

Status Complete

Attach the document

enbw-green-bond-impact-report-2019_CDP2020.pdf

Page/Section reference Impact report, page 4.

Content elements Strategy Emissions figures

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Comment Increasing numbers of institutional investors now prefer sustainable investments. This further enhances the strategic importance of Business activities that benefit the climate. In line with our strategy of developing EnBW into a sustainable and innovative infrastructure partner, we are investing more and more in climate-friendly growth projects. C15. Signoff

C-FI

(C-FI) Use this field to provide any additional information or context that you feel is relevant to your organization's response. Please note that this field is optional and is not scored. Sustainable economic development: We endeavour to conduct all of our activities in a sustainable way, from the responsible procurement of raw materials through to the provision of smart energy solutions for our customers. In addition, we are actively involved in the area of sustainable finance, which is exemplified by, amongst other things, the membership of our Chief Financial Officer, Thomas Kusterer, in the Technical Expert Group on Sustainable Finance (TEG) and his position on the Task Force on Climate-related Financial Disclosures (TCFD). As part of the cooperation in these climate protection initiatives, he regularly reports to internal bodies on climate-related opportunities and risks. C15.1

(C15.1) Provide details for the person that has signed off (approved) your CDP climate change response. Job title Corresponding job category Row Member of the Board of Management of EnBW Energie Baden- Chief Financial Officer 1 Württemberg AG / Chief Financial Officer. (CFO)

Submit your response

In which language are you submitting your response? English

Please confirm how your response should be handled by CDP I am submitting to Public or Non-Public Submission I am submitting my response Investors Public

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Please confirm below I have read and accept the applicable Terms

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