Hydro One Inc. Prices Offering of $750 Million Medium Term Notes under Sustainable Financing Framework

Hydro One Inc., Ontario's largest electricity transmission and distribution company, has priced an offering of $750 million Medium Term Notes under its Sustainable Financing Framework. This move aligns with the company's commitment to sustainability and net-zero emissions by 2050. Let's delve into the details of this offering and its potential impact on Ontario's carbon footprint and sustainability goals.

Hydro One Inc. has priced an offering of $750 million Medium Term Notes under its Sustainable Financing Framework, with proceeds allocated to finance and/or refinance eligible green and social projects. The eligible categories include clean energy, energy efficiency, clean transportation, biodiversity conservation, climate change adaptation, socio-economic advancement of Indigenous peoples, and access to essential services. This offering represents a significant step towards Hydro One's sustainability goals and commitment to a low-carbon economy.

The allocation of funds across these categories is expected to have a substantial impact on Ontario's carbon footprint and sustainability goals. By investing in clean energy projects, Hydro One can help reduce Ontario's reliance on fossil fuels and lower greenhouse gas emissions. Energy efficiency projects can further decrease energy consumption and costs, while clean transportation initiatives can promote sustainable mobility. Additionally, investing in Indigenous communities fosters socio-economic advancement, contributing to a more equitable and sustainable future.

While Hydro One has not specified the exact projects to be funded, it is expected that a significant portion will fall under the clean energy category. This includes the construction, operation, and maintenance of electricity transmission and distribution infrastructure and equipment. These projects are likely to contribute to several UN Sustainable Development Goals (SDGs), including SDG 7 (Affordable and Clean Energy), SDG 9 (Industry, Innovation, and Infrastructure), and SDG 13 (Climate Action).

Hydro One's commitment to full allocation within 24 months of issuance and 24 months of the look-back period for refinancing activities demonstrates its dedication to sustainability. By adhering to this strict timeline, Hydro One minimizes the risk of unallocated funds being invested in non-sustainable projects, thereby maintaining its commitment to environmental and social responsibility.

In conclusion, Hydro One Inc.'s offering of $750 million Medium Term Notes under its Sustainable Financing Framework is a significant step towards a more sustainable future. By allocating funds to eligible green and social projects, Hydro One is demonstrating its commitment to reducing Ontario's carbon footprint, enhancing energy efficiency, and promoting sustainable transportation. This investment aligns with the company's sustainability goals and contributes to the achievement of several UN Sustainable Development Goals. As Hydro One continues to invest in sustainable projects, it is poised to play a crucial role in Ontario's transition to a low-carbon economy.