Cheniere Energy Inc

Lobbying Governance

AI Extracted Evidence Snippet Source

###### Cheniere Energy | 2020 Corporate Responsibility Report Table of Contents Introduction Features Climate Environment Team Health and Safety Communities Governance Appendix

#### ENGAGING IN LINE WITH OUR MISSION

###### Our bipartisan PAC regularly assesses criteria for contributions to ensure they support our business priorities. Cheniere was disturbed and disheartened by the violent and deadly siege of the U.S. Capitol on January 6, 2021. In response, we temporarily paused donations from our PAC to individual candidates. A five-member PAC committee oversees the PAC and either approves or denies each PAC contribution. Any direct political corporate contributions that Cheniere makes must be approved by an internal compliance officer and comply with local laws. For detailed data on political contributions, see the Key Performance Data table.

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Read more in our ESG Metrics and Disclosure Appendix:

Political engagement and lobbying

Cheniere supports the Congressional Review Act effort in the United States to restore federal regulation of methane emissions.

###### POLITICAL ENGAGEMENT

We align our political engagement efforts with our mission: to provide clean, secure and affordable energy to the world. Our political engagement efforts include participation in industry associations, lobbying and, at times, contributions made through the Cheniere Energy, Inc. Political Action Committee (Cheniere PAC) or direct contributions to political candidates.

Key issues and initiatives

Engagement on ESG topics: We believe that sound environmental policies support the development and role of natural gas in a lower-carbon world. We support efforts and regulations that reduce methane emissions and create a level playing field with all operators domestically and internationally, including the Congressional Review Act[43] effort in the United States to restore federal regulation of methane emissions, as well as the European Union's efforts to improve transparency and develop a global methane measurement, reporting and verification (MRV) framework. We also actively engage with U.S. regulators on other topics relevant to the LNG industry, such as safety.

###### Trade associations and memberships: We engage with industry, trade and business associations as a matter of strategic priority. At times, our official position on certain issues may differ from positions or views advocated by such organizations. For a list of major associations and memberships, see Cheniere Energy memberships and industry associations.

Political contributions and lobbying: We expect employees to conduct all political advocacy activities in compliance with applicable state and federal laws, as well as company policies. As part of our annual compliance training, employees are required to review the Code of Conduct, which outlines our expectations on political contributions and activities. In 2020, 100% of eligible employees completed this training. We disclose all political contributions and lobbying expenses as required by state and federal laws which can be accessed at the Federal Lobbying Database and at the Texas and Louisiana state databases. Cheniere employees can make voluntary contributions to the Cheniere PAC.

https://www.cheniere.com/pdf/governance-section-final.pdf

#### Our bipartisan PAC regularly assesses criteria for contributions to ensure they support our business priorities. Cheniere was disturbed and disheartened by the violent and deadly siege of the U.S. Capitol on January 6, 2021. In response, we temporarily paused donations from our PAC to individual candidates. A five-member PAC committee oversees the PAC and either approves or denies each PAC contribution. Any direct political corporate contributions that Cheniere makes must be approved by an internal compliance officer and comply with local laws. For detailed data on political contributions, see the Key Performance Data table. [...] Political contributions and lobbying: We expect employees to conduct all political advocacy activities in compliance with applicable state and federal laws, as well as company policies. As part of our annual compliance training, employees are required to review the Code of Conduct, which outlines our expectations on political contributions and activities. In 2020, 100% of eligible employees completed this training. We disclose all political contributions and lobbying expenses as required by state and federal laws which can be accessed at the Federal Lobbying Database and at the Texas and Louisiana state databases. Cheniere employees can make voluntary contributions to the Cheniere PAC.

https://www.cheniere.com/pdf/Political-engagement.pdf

The board's governance and nominating committee maintains formal review of our climate change strategies and policies. The full board received quarterly updates on climate and sustainability initiatives throughout 2020. At our board's request, we held a board climate strategy session in 2020. Senior leaders engaged the board on emerging climate-related risks and opportunities, business unit plans, responses and overall company performance. [...] Under the formal oversight of our board of directors, our executive leaders are directly responsible for identifying, assessing and managing climate-related risks and opportunities, and implementing our climate strategy. The SVP of corporate development and strategy and SVP of policy, government and public affairs (PGPA) lead the development of alignment with each recommendation.

https://cheniere.com/pdf/Climate-section-final.pdf

The Board of Directors exercises oversight over Cheniere's sustainability considerations, including overseeing the management of significant ESG issues. Although the full Board actively engages with climate issues, the Governance and Nominating Committee of our Board has been delegated responsibility for reviewing the company's climate and sustainability policies, strategies, performance and progress. The Audit Committee oversees Cheniere's Enterprise Risk Assessment process, which includes consideration of climate-related and other sustainability risks. A senior and executive-level CR Steering Committee updates the Board on these matters at every regular Board meeting, at a minimum. Company-wide Accountability All of our employees play a role in advancing Cheniere's corporate responsibility efforts. To emphasize and reward that commitment, 30% of the annual performance scorecard compensation for all employees and executives was tied to ESG metrics.[5]

https://www.cheniere.com/pdf/2023-CR-Report.pdf

My fellow board members and I believe strong governance and management oversight on climate and sustainability are vital to Cheniere's success. Since 2018, the governance and nominating committee that I chair has overseen management's response and readiness on climate and sustainability issues. The board is aligned with management in our focus to improve our climate risk disclosure and management, and to integrate climate considerations into Cheniere's business strategies. [...] Sustainability — including the management of relevant ESG issues — is overseen by our board of directors. The governance and nominating committee of our board is responsible for reviewing the company's climate change and sustainability policies and strategies. Executive-level managers oversee all of our major ESG focus areas, including climate, environment, human capital, safety, community and governance, and brief the board on these topics regularly. [...] In 2020, the board received updates from Cheniere management on climate and sustainability efforts quarterly, including a session on climate risks, opportunities and strategies. As an outcome of this session, we launched a corporate-wide effort to further integrate climate into our long-term strategy. [...] Our bipartisan PAC regularly assesses criteria for contributions to ensure they support our business priorities. Cheniere was disturbed and disheartened by the violent and deadly siege of the U.S. Capitol on January 6, 2021. In response, we temporarily paused donations from our PAC to individual candidates. A five-member PAC committee oversees the PAC and either approves or denies each PAC contribution. Any direct political corporate contributions that Cheniere makes must be approved by an internal compliance officer and comply with local laws. [...] Political contributions and lobbying: We expect employees to conduct all political advocacy activities in compliance with applicable state and federal laws, as well as company policies. As part of our annual compliance training, employees are required to review the Code of Conduct, which outlines our expectations on political contributions and activities. In 2020, 100% of eligible employees completed this training. We disclose all political contributions and lobbying expenses as required by state and federal laws which can be accessed at the Federal Lobbying Database and at the Texas and Louisiana state databases. Cheniere employees can make voluntary contributions to the Cheniere PAC.

https://www.cheniere.com/pdf/Cheniere_CR_report.pdf