Sydney WATER Our plan for net zero carbon emissions A letter from Roch Cheroux, Managing Director Sydney Water has recently upgraded its climate change response to reflect our commitment to this important objective, including setting ambitious targets for our Net Zero Carbon Plan. Acting on feedback from our valued customers, we have committed to reach net-zero carbon emissions in our business by 2030 and across our supply chain by 2040. To meet these targets, we must take bold action. From the boardroom to our field operations, we are integrating this commitment into our daily activities — but we can't do it alone, These ambitious targets require close collaboration with our people, stakeholders, customers — and you, ‘our contractors and suppliers. Since two-thirds of carbon emissions at Sydney Water come from our supply chain — both goods and services -- we're counting on you, our valued contractors and suppliers, to join us on the path to net-zero carbon emissions by 2040, Many of you are already responding within your own businesses to the threat of climate change. We would like to work with you to identify opportunities to reduce carbon emissions in the supply chain and, in so doing, achieve this important goal together. Through products provided, services, modes of transport or other aspects of our supply chain, opportunities exist to decrease embedded carbon and increase renewable energy use. We may also need to change our materials specifications standards to help achieve our goals. ‘As an example, we're developing a new electricity procurement strategy — adapting to a two- sided energy market that will deliver low-cost energy and support the grid transition to renewable supply. The holistic approach to electricity, a major source of operational carbon emissions, will include a mix of renewable generation, adoption of new technology and agreements for energy. There are many more examples and opportunities, given the extent of our commitment, which now involves accountability on a global scale. Sydney Water has joined 13 Australian and New Zealand water utilities, along with the Water Services Association of Australia, as signatories to Race to Zero. This United Nations-backed, global campaign is committed to reaching net-zero emissions by 2050 or earlier. For us, it's earlier. We've also signed the UN Global Compact and its Sustainable Development Goals, an urgent call to action to protect the planet and all of us who live here. Sydney Water looks forward to finding bold, innovative ways to reduce carbon emissions in our supply chain by 2040. ‘Sydney Water Corporation ABN 49 776 225 038 1 Smith St Paramata 2160 | PO Sox 399 Parramatta 2124 | DX 14 Sydney [T 19 2092 | sydheywatarcom.au Fellow us onSydney WATER We look forward to working with you as we take this journey together, To assist us in our journey and how we can assist you with yours, we would like to hear about your organisation's plans and activities related to carbon-emissions reduction Please take our short survey sent via Ariba. Many thanks, Roch Cheroux Managing Director, Sydney Water