HomeMy WebLinkAboutFidelity Westlake Solar Introduction 2019-10-28FIDELITY INTERNAL INFORMATION
October 28 2019
WESTLAKE SOLAR ARRAY
Brian Daigle
Vice President, Energy and Infrastructure
Fidelity Investments
1
Working Session with Westlake Town Council
FIDELITY INTERNAL INFORMATION2
Why is the Westlake solar array important to Fidelity?
It’s a business requirement –
•Carbon neutrality is part of our broader environmental sustainability strategy which is driven by business demand.
•Our stakeholders… clients, employees, the general public and the communities that we operate in… expect us to be
responsible citizens minimizing and mitigating our impact on the environment.
Solar energy generating facilities are a friend of the Texas electricity grid (ERCOT) in times of stress -
•Solar peak output coincides with Texas electricity grid peak demand, thus easing grid stress during high demand periods.
•Summer 2019 was record year -The regional grid (ERCOT) experienced historically high demand and was stressed.
•Unlike gas-fired, coal, or nuclear generation, solar does not use water, which is an important commodity in north Texas.
It’s a good long term investment for Fidelity and the Westlake Community -
•Investing in the environment around us, including solar energy, is no different than any other investment that Fidelity
makes… we’re in it for the long haul.
•We believe that the solar array makes sense for both Fidelity and the Westlake community to foster resilience and economic
vitality with more strategic resource consumption.
•We demonstrate by example because we ask the companies that we invest in for climate related financial disclosures
because climate impacts are material to macro-economic, and therefore financial, performance.
Notes:
1 –ERCOT –Electricity Reliability Council of Texas
1
1
FIDELITY INTERNAL INFORMATION
Historical Context: Environmental Sustainability
In the context of program scope/impact evolution
GOOD
RESOURCE
STEWARD
Aligning with Kaizen
and efficiency
Water * Energy * Paper
MARKET DEMAND
Increasing business
need for sustainability
•Client RFPs for new
/ renewal business
•New graduate
“green pledges”
•Associate green
ideas in contest
FORMAL
PROGRAM
Fidelity adopts a
sustainability position
•Environmental
Sustainability Policy
•Steering Committee
•Sustainability Officer
•Internal
communications
•Benchmarking
•GHG measurement
COMMITMENT &
COORDINATION
Taking a strategic
position and planning
for the next steps
•Program priorities
•Rolling three-year
goals
•Cross-enterprise
coordination
•External reporting
and disclosure
•ISO 14001
•Investor Center
certification
•Renewable energy
pilots
•Citizenship policy
•Large-scale
renewable energy
•EV/LEV benefits
•Elimination of
styrofoam
•Innovation pilots
•Sustainability office
•UN PRI
•CSR funds
•Associate
engagement
•Social media
CORE BUSINESS
BIG PLAYS
Extending sustainability
to the core financial
business and pushing
forward new initiatives
•Progress metrics
•Scan, Try, Scale ideas
•Integrate ESG efforts
cross-enterprise
•Establish enterprise
ESG strategy
•Materiality analysis
•Enterprise resiliency
analysis
•External partnerships
•Associate
empowerment
•Integrated messaging
internally /externally
•Transparent disclosure
•Stakeholder
engagement
BUSINESS INTEGRATION
& OUTREACH
Fully integrating
sustainability into
enterprise strategy
and daily operations
up to 2005 2006-2007 2008-2010 2011-2013 2018-20202014-2017
Market Demand has driven the
need for an enterprise focus on
sustainability
FIDELITY INTERNAL INFORMATION
Context: Corporate Citizenship at Fidelity -
50 % of Fidelity’s Carbon Footprint is from Electricity Usage
Greenhouse
gas emissions
Conserving
resources
External
Partnerships
Governance
& Certification
Supply chain
Associate
experience
Diversity and
inclusion
Community
involvement
Charitable
giving
Sponsorships
Ethical
conduct
Supplier risk
Information
security
Privacy
Business
continuity
Environment
Making a positive impact for a
more sustainable future
Social
Fostering the well-being of
our communities
Governance
Conducting our business in a
responsible manner
Reporting
Industry
Collaboration
Investment
Integration
Client Choice
Points of View
Products/Services
Integrating responsible
offerings across our portfolio
FIDELITY INTERNAL INFORMATION
Sample Sustainability Program Metrics / Goals
Program performance 2007 -2018
5
Energy conservation and demand
management have played an important
role over the years, however, material
reductions in CO2 emissions now require
a commitment to renewable energy
FIDELITY INTERNAL INFORMATION
Commitment to Renewable Energy
Nearly $50M Invested in Solar –Path to 50% Renewable Not and Easy One
6
289
243
144
31 4 4 6 1 45
54
Boston Net of PPAWestlakeRhode
Island
North
Carolina
Electricity
Usage
New
Hampshire
PPAElectricity
Net of Solar
PPA
-16%-50%
Notes: 1 –Highest annual energy production
2 –PPA –Power Purchase Agreement with assets owned/operated by others
•Fidelity interest in solar energy investments is driven by the following:
•Visibly demonstrates Fidelity’s commitment to renewable energy
•Owned renewable assets play a key role in enterprise renewable energy strategy
•Positive reception of on-campus projects by the associates and the community (i.e. New Hampshire, Rhode Island)
•The Westlake solar array would be the most productive1 energy asset in Fidelity’s portfolio
Energy Usage/Production (Giga-Watt Hours)
Nearly $50M Invested Proposed
2