Endesa SA

Transparency in institutional Relations

Endesa manages relations with the institutions according to the principles established in the regulatory provisions and its Code of Ethics, providing its vision or positioning and offering comprehensive, transparent information for making the most appropriate decisions.

In this regard, particularly and as established in its Code of Ethics: "Endesa does not finance parties, their representatives or candidates in Spain or abroad, nor does it sponsor congresses or parties whose sole purpose is political propaganda. It does not exert any type of direct or indirect pressure on political exponents (for example, through public concessions to Endesa, acceptance of suggestions for hiring, consultancy contracts, etc.)". Endesa participates in business and employers' associations which, among other things, represent their members in public regulatory processes and, in general, within the framework of the consultation processes of energy and business policy initiatives developed by public institutions. In 2019, annual contributions paid to the organisations referred to in the form of membership fees totalled Euros 3.09 million. In particular, the three most important contributions corresponded to "Association of Electric Power Companies- AELEC" (Euros 1.97 million), "Nuclear Forum" (Euros 0.28 million) and "Spanish Confederation of Business Organisations - CEOE" (Euros 0.21 million).

The institutional dialogue with the business and employer associations in which Endesa participated in 2019 focused on supporting the consultation and regulatory development processes in the following areas:

* Policy development: aimed at promoting a sustainable energy model, including, among other topics, energy efficiency, the growth of renewable energy, the development of smart grids and digitisation. The contribution in 2019 was Euros 2.65 million.
* Business regulation: related to increasing business competitiveness, including, among other topics, industrial legislation, tax regulation and labour law issues. The contribution in 2019 was Euros 0.45 million. The following table shows the amounts by type of contribution made between 2016 and 2019.

Contributions and Other Expenses (millions of euros)

| | 2016 | 2017 | 2018 | 2019 |
| --- | --- | --- | --- | --- |
| | | | | |
| --- | --- | --- | --- | --- |
| Lobbying, interest representation or similar | 0 | 0 | 0 | 0 |
| | | | | |
| --- | --- | --- | --- | --- |
| Political parties or political associations | 0 | 0 | 0 | 0 |
| | | | | |
| --- | --- | --- | --- | --- |
| Business and employers associations | 4.00 | 3.71 | 3.44 | 3.09 |
| | | | | |
| --- | --- | --- | --- | --- |
| Other | 0 | 0 | 0 | 0 |
| | | | | |
| --- | --- | --- | --- | --- |
| Total | 4.00 | 3.71 | 3.44 | 3.09 |

In Europe, the supervision of this type of activities is carried out through voluntary registration on the platform created for this purpose by the European Commission - (http://ec.europa.eu/transparencyregister), with which Endesa has been registered since 2011. The registry aims to provide citizens with a single, direct point of access to information about who carries out activities aimed at influencing the EU decision-making process, the interests pursued and the resources invested in these activities.

Describe the process(es) your organization has in place to ensure that your engagement activities are consistent with your overall climate change strategy[…]Endesa proactively participates in various forums and associations aimed at promoting sustainable development. Participation in these types of organisations allows Endesa to show its commitment to sustainability, interact with the main agents of change generating shared value between the company and its environment, learn and share good practices, as well as strengthening relationships with stakeholders . Many of the associations with which Endesa collaborates are related to climate change, in accordance with its sustainability strategy that involves action against climate change. One example is The Spanish Green Growth Group.
In addition, Endesa via Enel (see attachment) is committed to ensuring that the various industry associations, business networks and think tanks of which it is a member operate in full compliance with the objectives of the Paris Agreement and the decarbonisation roadmap established by the company. Thus, systematically verifies the consistency of the associations' positions with the climate policies. This verification process is carried out in two stages: (i) before joining the association, through an in-depth analysis of the body's by-laws; (ii) after joining the association, by actively contributing to its work and/or taking positions of responsibility within it or promoting the Endesa's position within working groups.

Does your organization have a public commitment or position statement to conduct your engagement activities in line with the goals of the Paris Agreement?[…]Yes