Diverse Businesses Awarded Over $972 Million in SoCalGas Contracts in 2021, 42% of Total Spending

Minority, women-owned, service-disabled veteran, and LGBT-owned business get largest share of SoCalGas’ spending ever, breaking record for the 29th consecutive year

On March 15, 2022, Southern California Gas Co. (SoCalGas) announced that the company achieved another record year of spending with over 570 diverse business enterprises in 2021—at $972.6 million, the highest in company history. SoCalGas exceeded the California Public Utilities Commission’s (CPUC) goal of 21.5% for the 29^th consecutive year by procuring over 42% of total goods and services from women, minority, service-disabled veteran, LGBT, and small disadvantaged businesses, and increased spend with African American vendors by 49%. Over the last five years, SoCalGas has spent $3.9 billion with diverse business enterprises.

“SoCalGas is proud to have worked with over 570 diverse suppliers in 2021,” said Jeff Walker, chief administrative and diversity officer, and senior vice president at SoCalGas. “Earlier this year, we released our Sustainability Strategy, which includes achieving 45% spend with diverse business enterprises by 2025. In partnership with diverse firms and community partners, we can help California implement clean energy solutions at scale and achieve our ASPIRE 2045 sustainability goals, which includes achieving net zero greenhouse gas emissions in our operations and delivery of energy by 2045.”

SoCalGas has also made a commitment to increase African American supplier participation and growth over the next five years. Key to these efforts will be working with organizations such as the Greater Los Angeles African American Chamber of Commerce (GLAAACC), which advocates for African American-owned business enterprises and provides a variety of programs and services to assist in their growth and development.

“SoCalGas creates pathways for underserved small businesses that have not traditionally had access to opportunities,” says Gene Hale, chairman of GLAAACC. “They also help guide us in removing obstacles and challenges small businesses face.”

Despite 2021’s global health and economic crisis, SoCalGas increased its focus with community-based organizations to promote its supplier diversity. In addition to spending with diverse enterprises, SoCalGas also invests in the development of these firms. Development opportunities include business boot camps, mentoring events, business assessment programs, entrepreneurship courses, organizational and operation strategy programs, mentorship, and technical assistance. The programs are designed to help diverse suppliers enhance their operations and help ensure success in their business partnerships.

“SoCalGas has been an important wind under our wings and our ability to employ more people,” said Christine Halley, president of Cornerstone Engineering, a woman-owned firm that supports SoCalGas on several engineering projects. “It’s impressive how purposeful the company is in its outreach to minority businesses. They take it seriously. The feeling we walk away with is SoCalGas is invested in our success. When others in the marketplace hear we’re a trusted supplier of SoCalGas, it heightens our reputation.”

“Congratulations to SoCalGas for another record-breaking year in diverse, business contracts,” says Elizabeth Martinez, vice president of business development at Meruelo Enterprises Inc. “As someone who works at a Latino-owned firm, I am continuously impressed by SoCalGas’ commitment to diversity. SoCalGas’ supplier diversity team holds themselves accountable to exceed goals, which translates to tangible opportunities for diverse businesses that are providing needed services. “

“Of all the companies I’ve seen, SoCalGas is the most committed to supplier diversity,” says Christine Keith, president of Elite Auto Network, an African American-owned firm, which provides auto purchasing services to SoCalGas. “The Supplier Diversity department gives us updates and invites us to educational and networking events,” adds Todd Keith chief executive officer of Elite Auto Network. “Without them, I don’t know if we would’ve been able to get these contracts. They have a huge impact.”

“Congratulations to SoCalGas for a record year of spending with Minority, women-owned, disabled veteran and LGBT-owned business.  Your continued commitment to supplier diversity helps businesses to thrive and grow, but there is much to be done to improve equity” said California State Senator Steven Bradford (D-Gardena).

Other 2021 highlights include:

• $640 million spent with minority-owned businesses (category includes both minority men and women-owned)
• 42.42% total purchases with diverse suppliers
• 105 new diverse partners added
• 13 firms among the top 25 SoCalGas suppliers are diverse firms
• 91% of suppliers are based in SoCalGas’ home state of California

In addition to its supplier diversity efforts, SoCalGas supports social impact by aiming to increase diversity, equity and inclusion in the workplace and the communities it serves. The utility is positioned to be an industry leader in racial and ethnic diversity representation in leadership roles and is taking actions to enhance the presence of women in leadership roles and the overall workforce by 2025.

SoCalGas also plans to invest $50 million to positively impact diverse and underserved communities over the next five years.

Last month, SoCalGas announced its proposal for the Angeles Link, which aims to be America’s largest green hydrogen infrastructure system. The utility plans to continue its best practices in supplier diversity and identify opportunities for diverse suppliers as it looks to achieve its net zero goals and advance California’s clean energy and climate goals. More information on the company’s mission and strategic priorities can be found at socalgas.com/mission.

More information about SoCalGas’ commitment to supplier diversity can be found in the newly released 2021 Supplier Diversity Annual Report. SoCalGas invites diverse businesses to engage and learn more about the Supplier Diversity Program at socalgas.com/for-your-business/supplier-diversity.

SoCalGas to Start Construction of Electric Vehicle Chargers in Support of Zero Emissions Fleet Goal

The utility plans to convert much of its light-duty fleet to electric vehicles and install 1,500 EV chargers

March 30, 2022 – Southern California Gas Co. (SoCalGas) took another major step toward its ASPIRE 2045 sustainability goals today, announcing plans to install more than 240 electric vehicle (EV) chargers this year at nine company locations. SoCalGas also pledged to install EV chargers at 67 company facilities by the end of 2024, for a total of 1,500 new chargers over the next three years. A year ago, SoCalGas became the largest gas distribution utility in North America to set a net zero emissions target, consistent with California’s climate goals and the Paris Agreement. To help reach that goal, the company aims to replace 50% of its over-the-road fleet with clean fuel vehicles by 2025 and operate a 100% zero-emission fleet by 2035.

“Today’s announcement is the latest example of SoCalGas making critical investments in the infrastructure that California will need to reach net-zero emissions by mid-century,” said Sandra Hrna, vice president of supply chain and operations support at SoCalGas. “Whether they’re powered by cutting edge batteries or hydrogen fuel cells, electric vehicles will be a big part of helping SoCalGas and California reach our shared climate and air quality goals. And thanks to our use of renewable electricity, the vehicles charged at most of these locations will be powered almost exclusively by solar and wind energy.”

“It’s no secret the transportation sector is the largest contributor of greenhouse gases in California,” said Assemblymember Miguel Santiago. “Electric vehicles will help reduce our state’s carbon footprint, and SoCalGas’ installation of EV chargers is one of many steps the utility is taking to help California decarbonize faster.”

“Southern California Edison is excited to help fleet owners, including fellow energy companies like SoCalGas, make the transition to zero-emission electric vehicles,” said Lisa Cagnolatti, SCE senior vice president of customer service. “All of our customers will benefit from lower greenhouse gas emissions and cleaner air.”

SoCalGas is applying for SCE’s Charge Ready program, which provides assistance with installing electrical infrastructure for EV charging stations.

To help reach its goal of replacing 50% of the company’s over-the-road fleet with clean fuel vehicles by 2025, SoCalGas recently purchased 50 Toyota Mirai hydrogen fuel cell vehicles (HFCEV), making SoCalGas among the first utilities in the nation to start transitioning to hydrogen-powered vehicles. And last year, SoCalGas converted 200 new Ford F-250 service pickup trucks to run on renewable natural gas. The service trucks are outfitted with the newest Landi Renzo Eco Ready™ equipment, a California Air Resource Board certified ultra-low emissions vehicles system.

The company plans to purchase Ford F-150 Lightning electric trucks to be serviced by the new chargers. A full charge on one of the trucks provides a driving range of up to 300 miles. Since fleet charging typically occurs overnight, employees can charge their personal vehicles during the day to support a clean commute.

Currently, a third of SoCalGas’ fleet already operates on clean fuels and the company is on track with replacing 50% of its over-the-road fleet with alternative fuels by 2025 and operating a 100% zero-emissions fleet by 2035.

This year SoCalGas announced its ASPIRE 2045 sustainability strategy to further integrate sustainability across our business. This strategy builds upon our climate commitment to achieve net zero greenhouse gas emissions in our operations and delivery of energy by 2045. The company is the largest North American gas distribution utility to set an ambitious net-zero goal that includes scopes 1, 2 and 3 GHG emissions. Read more at socalgas.com/mission.

SoCalGas Champions Restaurant Recovery with Additional $525,000 in Support for the Restaurants Care Resilience Fund

Grants will support equipment upgrades, employee retention, and deferred maintenance, for local-owned restaurants

April 11, 2022 – SoCalGas today announced a second $525,000 donation to the California Restaurant Foundation’s (CRF) Restaurants Care Resilience Fund. Last year, SoCalGas co-founded the Fund to help small businesses recovering from the Covid-19 pandemic and was also a leading donor, committing $525,000 in 2021. Qualifying restaurants throughout SoCalGas’ service area are encouraged to apply for a $3,000 grant starting April 15^th. These grants aim to support equipment upgrades, employee retention, and deferred maintenance, allowing small restaurants to recover after nearly two years of incurring debt, losses, and shouldering rising costs.

The application period closes on April 30.

“Restaurants and the families and employees that run them showed incredible resilience and strength as they adapted their businesses to serve all of us during the pandemic,” said David Barrett, vice president and general counsel at SoCalGas and California Restaurant Foundation board member. “Last year’s grants provided essential support to local restaurants as they struggled to keep their doors open. This year, grant funds will provide support for kitchens or crews, while overall supporting restaurant resiliency.”

“We are honored that SoCalGas has returned as a partner for this year’s Resilience Fund, and extremely grateful they identified the program as being worthy of one of their largest charitable donations planned for this year,” said Alycia Harshfield, Executive Director of California Restaurant Foundation. “SoCalGas’ generous contribution will help independent restaurant owners across central and southern California invest in their people, their equipment and ultimately, the long-term health and success of their business.”

This year, the Restaurants Care Resilience Fund will award nearly $1.5 million in grants to small businesses in 2022. Last year, 318 restaurants statewide received grants including Rajas con Crema, in the City of Maywood, run by wife-and-husband team Alicia and Javier Solorzano, who opened their dream Mexican restaurant after more than 16 years in the catering business. The dishes are inspired by Alicia’s travels, recipes from friends, and family, while adding her own touch.

“We are extremely thankful to the California Restaurant Fund and SoCalGas for the grant, and for creating this fund to help local restaurants,” said Javier Solorzano, owner of Rajas con Crema. “Our concern was to survive, and the grant helped us give back to our community in a time of need. We were able to donate warm meals to local families while paying for our employee’s time. I highly encourage other restaurants to apply for this grant, it can make all the difference.”

“We are grateful to SoCalGas for their ongoing commitment to community and small businesses through this grant opportunity and many other efforts, including their food distributions in the City of Maywood and Southeast Los Angeles during the pandemic,” said Maywood Mayor Heber Marquez.

Another grant recipient from 2021, Natalia Pereira of Woodspoon, a Brazilian restaurant in downtown Los Angeles said, “The Resilience Fund is such a special program on so many levels-the people and the program are wonderful, and this initiative has such an incredible impact on the restaurant community throughout the region!” Woodspoon recently received the MICHELIN Bib Gourmand award that recognizes restaurants with “value for money.”

The Zagat-rated Shiro Restaurant in South Pasadena has been serving French food over 34 years and received a grant award last year. According to Shiro owner Irene Yokoi, “There are no words to express our gratitude for receiving your funds during our turmoil to cope with Covid-19 closures. It has helped us great deal especially for covering the cost of payroll.”

In addition to providing financial support to restaurants, SoCalGas offers programs and services for selecting energy-efficient equipment for any commercial customer. Restaurant owners can schedule a “try before you buy” equipment demo to test-drive gas cooking equipment before making a purchase, sign up for an energy survey by a utility expert, and receive information on rebates and incentives on qualified gas cooking equipment, water heating, heat recovery products and installation of eligible energy-efficient upgrades.

Restaurants Care Resilience Fund applications will be open from April 15-30, 2022 and can be found at www.restaurantscare.org/resilience. Grants will be available to all California-based restaurant owners with less than three units and less than $3 million in revenue. Priority will be given to restaurants owned by women and people of color. Last year, the Resilience Fund awarded 318 grants to independent restaurant owners, 65 percent of which were women-owned and 83 percent person of color-owned.

SoCalGas’ partnership with the California Restaurant Fund is part of the company’s ASPIRE 2045 sustainability goals, which includes a commitment to invest $50 million to drive positive change in diverse and underserved communities over the next five years. In addition to supporting the Restaurant Care Resilience Fund, in 2021, SoCalGas contributed $9.6 million in total community investment, $4.8 million to support health & human services, and $2.3 million to education causes. In 2021, SoCalGas’ Fueling Our Communities program provided over 9,800 free meals, over 2,600 grocery bags, and 2,520 restaurant gift cards totaling $60,400 in support of 25 local restaurants.

About SoCalGas

Headquartered in Los Angeles, SoCalGas® is the largest gas distribution utility in the United States. SoCalGas delivers affordable, reliable, and increasingly renewable gas service to 21.8 million consumers across 24,000 square miles of Central and Southern California. Gas delivered through the company’s pipelines will continue to play a key role in California’s clean energy transition—providing electric grid reliability and supporting wind and solar energy deployment.

SoCalGas’ mission is to build the cleanest, safest and most innovative energy company in America. In support of that mission, SoCalGas is committed to the goal of achieving net-zero greenhouse gas emissions in its operations and delivery of energy by 2045 and to replacing 20 percent of its traditional natural gas supply to core customers with renewable natural gas (RNG) by 2030. Renewable natural gas is made from waste created by dairy farms, landfills, and wastewater treatment plants. SoCalGas is also committed to investing in its gas delivery infrastructure while keeping bills affordable for customers. SoCalGas is a subsidiary of Sempra (NYSE: SRE), an energy services holding company based in San Diego.

For more information visit socalgas.com/newsroom or connect with SoCalGas on Twitter (@SoCalGas), Instagram (@SoCalGas) and Facebook.