Clean, green growth is our province’s way forward. Hydro One enables that growth, delivering electricity that is approximately 94%¹ carbon emission-free.

I am proud to see the Hydro One team carry its resilience, hard work and dedication to customers and communities in Ontario through another challenging year. Mark and his leadership team have continued to adapt to meet the changing needs of our employees, customers, communities and industry while ensuring safe and resilient power and infrastructure is in place to face the challenges of this pandemic.

The Board recognizes the role Hydro One plays in energizing life for Ontarians and we embrace Hydro One’s focus on people, the planet and communities. We are proud that this past year, Hydro One demonstrated its commitment to sustainability by publicly announcing its environmental, social and governance (ESG) goals, including a commitment to achieve net-zero greenhouse gas (GHG) emissions by 2050 with a target of a 30% GHG reduction by 2030. We will continue to work with the executive team to ensure it has an integrated plan and the resources necessary to make meaningful progress along the pathway to net-zero, greater workplace diversity and reconciliation with Indigenous peoples. The Board is also pleased Hydro One started the journey to align its annual sustainability report with the recommendations on the Task Force on Climate-related Financial Disclosures (TCFD) in 2021.

Hydro One has also committed to diversifying talent at the Board level with 30% female representation as a signatory to the Catalyst Accord and 3.5% Black representation by 2025 as part of signing the BlackNorth Initiative Pledge in 2020. Our genderbalanced Board already surpasses our Catalyst Accord commitment and we are confident we will meet our BlackNorth Initiative commitments.

By 2026, Hydro One has also committed to increasing its Indigenous procurement spend to 5% of the company’s purchases of materials and services and to direct 20% of its community investment donations and sponsorships to Indigenous communities and organizations. Using the reach of its network, Hydro One will continue to leverage its unique position in the province to further reconciliation and nurture respectful, positive and mutually beneficial relationships with Indigenous people, businesses and communities.

On behalf of the Board, I want to commend Mark and his team for their steady leadership and execution of the company’s strategic plan this past year. In particular, they led one of the most comprehensive public consultations ever undertaken by our company in support of Hydro One’s 2023-2027 Joint Rate Application to the Ontario Energy Board for our transmission and distribution businesses. This application includes a five-year Investment Plan that will deliver a more resilient, reliable and sustainable electricity system that is prepared for the impacts of climate change and the future of Ontario.

Lastly, but central to everything we do, I want to thank Hydro One’s 9,300 team members, particularly those who continue to work on the frontlines to support our customers and communities in the province. We enter 2022 stronger than ever to build a better and brighter future for generations to come.

Timothy Hodgson

Chair of the Board of Directors

1 The Canadian Energy Regulator has historically been used as the data source for this indicator. Going forward, Hydro One will report on this metric using data provided directly from the Independent Energy System Operator for Ontario.

Message from Mark Poweska  

Hydro One is in the business of providing more than safe and reliable power — we are responsible for energizing life for people and communities across Ontario.

Through the passion, determination and ingenuity of our employees, we were able to be there for communities and customers during another challenging year. As an essential service, we proudly maintained the critical supply of electricity to the benefit of all Ontarians — keeping loved ones safe, hospitals running and protecting the most vulnerable in communities.

We are a company that puts people first, listening and taking action to meet the evolving needs of our customers, employees, communities and industry. We will play a critical role in Ontario’s economic recovery and the shift to electrification, which represents a historic opportunity to decarbonize and meet our collective net-zero targets. By delivering on our strategy, we are positioned to support greater customer choice and sustainable economic growth for years to come.

Energizing Life for People and Communities: At this unique point in history, Hydro One remains committed to our vision of a better and brighter future for all through our focus on people, the planet and communities. Connected for Life is our promise to keep our customers connected to safe and reliable power while we help them find the right relief programs. Since the start of the COVID-19 pandemic in 2020, we proudly supported families and small business owners in their time of need. We helped more than 16,800 customers access financial relief. We also stood ready to support communities across the province by partnering with Feed Ontario to distribute nutritious food to more than 1,200 hunger-relief organizations in more than 130 communities. We also supported local organizations that are working to keep their communities safe and healthy.

Looking forward, our 2023-2027 Investment Plan will energize life for future generations by investing in a resilient, reliable and sustainable electricity grid to significantly reduce the impacts of power outages for our distribution customers and prepare for climate change. Every dollar we invest comes at a cost to our customers and the people of Ontario, which is why we are committed to controlling costs and improving productivity.

Taking action now to build a sustainable future: We are a sustainable company and we are taking action now to build a better and brighter future for Ontarians. As a transmission and distribution company, Hydro One is uniquely positioned to facilitate the transition towards a low-carbon economy. In addition to our commitment to achieve net-zero emissions by 2050, with a 30% reduction by 2030, we are diversifying our talent, creating an equitable and inclusive environment, adapting to the impacts of climate change on our business and increasing our procurement with Indigenous businesses.

Building on our commitment to Indigenous businesses, communities and organizations: In partnership with the Canadian Council for Aboriginal Business (CCAB), we created the Hydro One Business Grant to provide direct financial support to 28 Indigenous-owned businesses impacted by the pandemic. We remain committed to working with Indigenous businesses and increasing spend in that category every year. In 2021, we had our highest spend to date at $58.3 million.

Becoming the safest utility: While we continue on our journey to becoming the safest and most efficient utility, we remember the tragic loss of our teammate in 2021 due to a third-party motor vehicle accident. Our leadership team remains committed to transforming our safety culture and implementing the concrete recommendations made by our employee-led Safety Improvement Team to eliminate serious injuries to ensure our entire team’s safety in the workplace.

At Hydro One, our people are the heart of this great company and they are responsible for energizing life for Ontarians. On behalf of our executive team, I want to thank each and every member of our team for their hard work and dedication this year. Together, we will continue to build momentum and build a better and brighter future for all Ontarians.

Mark Poweska

President and Chief Executive Officer

Message from Timothy Hodgson