Slide 1: Q2 Retail Presentation
Q2 RETAIL PRESENTATION May 2022
Slide 2: Forward-Looking Information
FORWARD-LOOKING INFORMATION Fortis includes forward-looking information in this presentation within the meaning of applicable Canadian securities laws and forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (collectively referred to as "forward-looki
Slide 3: A Premium Energy Delivery Business
A PREMIUM ENERGY DELIVERY BUSINESS 93% Transmission & Distribution Assets HIGH QUALITY PORTFOLIO 10 Regulated Utility Businesses 3.4M Electric & Gas Customers 9,100 Employees 99% Regulated Utility Assets ~$29B Market Capitalization(1) ~13% Average Annual 20-Year Total Shareholder Return(1) $31.1B 20
Slide 4: Driving Sustainable Growth
OUR VISION & STRATEGY A PREMIUM NORTH AMERICAN UTILITY DELIVERING A CLEAN ENERGY FUTURE DRIVING Operational Excellence Financial Strength SUSTAINABLE Diversified Regulated Portfolio GROWTH Substantially Autonomous Business Model Strong Governance 4
Slide 5: Building on Our Commitment to a Clean Energy Future
PATHWAY TO NET-ZERO BUILDING ON OUR 2019 COMMITMENT TO A Achieved 20% GHG Emissions Reduction Since 2019 CLEAN ENERGY 2021 FUTURE WITH A 2050 50% GHG Emissions Reduction NET-ZERO TARGET 2030 2032 Coal-Free Generation Mix 2035 Net-Zero Target (Scope 1) 75% GHG Emissions Reduction Target by 2035 2050
Slide 6: ESG Leadership
ESG LEADERSHIP ENVIRONMENTAL SOCIAL GOVERNANCE • 93% energy delivery assets • Strong safety culture and commitment to • Independent chair; 12 of 13 directors are employee well-being independent • GHG emissions reduction target of 75% by 2035 compared to 2019 levels and net zero by 2050 • More than $
Slide 7: Highly Executable Capital Plan Supports Low-Risk Rate Base Growth of ~6%
HIGHLY EXECUTABLE CAPITAL PLAN SUPPORTS LOW-RISK RATE BASE GROWTH OF ~6% CAPITAL PLAN RATE BASE $41.6B 30% $31.1B 7% $20B 2022-2026 6% $3.8B 33% Capital Plan 6% Cleaner Energy Investments(1) 4% 5% 9% Distribution Transmission Transmission supporting cleaner energy RNG/LNG Clean Generation Traditiona
Slide 8: Long Capex Runway
LONG CAPEX RUNWAY Responding to stakeholder expectations Business development in existing footprint Connect more renewable generation Prepare grid for additional to the grid electrification Build more renewable generation Invest in technology to ensure security and improve service and efficiency Pro
Slide 9: Update on Opportunities to Expand & Extend Growth
UPDATE ON OPPORTUNITIES TO EXPAND & EXTEND GROWTH MISO LONG-RANGE TRANSMISSION PLAN • In Q1 2022, MISO announced first tranche of projects, with total associated transmission costs estimated at ~US$10B • ITC estimates investments through 2030 in the range of US$1.0-1.5B of the proposed tranche 1 pro
Slide 10: Funding Plan Supports Investment-Grade Credit Ratings
FUNDING PLAN SUPPORTS INVESTMENT-GRADE CREDIT RATINGS FUNDING PLAN CREDIT RATINGS • Capital plan funded primarily with cash from operations and debt at regulated utilities A-(1) • Equity funding mainly through DRIP Baa3 ▪ No discrete equity required to fund capital plan • Capital structure expected
Slide 11: Dividend Guidance Supported by Long-Term Growth Strategy
DIVIDEND GUIDANCE SUPPORTED BY LONG-TERM GROWTH STRATEGY 6% Average Annual Dividend Growth Guidance through 2025 48 YEARS of Consecutive Dividend Increases 73 75 77 79 81 83 85 87 89 91 93 95 97 99 01 03 05 07 09 11 13 15 17 19 21 11
Slide 12: Why Invest in Fortis?
WHY INVEST IN FORTIS? Focused on Geographic & 6% DIVIDEND WELL-RUN ENERGY DELIVERY Regulatory DIVERSITY Growth Guidance Local Utilities LOW-RISK Virtually ESG Growth Profile All REGULATED INNOVATIVE Leader 12
Slide 13: Q2 Retail Presentation
Q2 RETAIL PRESENTATION May 2022