Pembina Pipeline Corp

Our ESG oversight starts with our Board of Directors. Our Board is composed of members from both of our owners, Pembina and KKR, and provides oversight and leadership on all strategic decisions and the future direction of the company. This includes review and oversight of any material ESG issues brought forward by management. Ultimate accountability for ESG issues is held by our President and CEO, with day-to-day responsibility and management of ESG issues owned by our Leadership Team (Figure 1). The Leadership Team interfaces with our contract operators to ensure oversight, communication of concerns and solutions, and development of ESG improvements. [...] The ESG regulatory landscape is dynamic and we continue to monitor it for developments that could impact our company, including climate-related proposals and regulations.

The governance, nominating and corporate social responsibility committee is primarily responsible for helping the board develop, implement and monitor Pembina's corporate governance practices. [...] The committee is expected to work with management and others throughout the company to make sure we have a healthy governance culture. This includes reporting and making recommendations to the board and management about corporate governance issues, best practices, compliance and the effectiveness of our governance processes and systems. The committee met four times in 2023. [...] **Key responsibilities** **Board governance** - reviewing and recommending board size and composition - overseeing director orientation, education and training - monitoring potential conflicts of interest and other board appointments - overseeing eligibility and selection criteria, including independence, financial literacy and diversity - recommending director candidates for election to the board and appointment to board chair - conducting and reviewing annual board, director and committee assessments **Compliance and disclosure** - overseeing corporate social responsibility/ESG - monitoring best governance practices and our compliance with governance related laws and regulations - approving our disclosure policy and overseeing our policies, procedures and the disclosure committee - assisting the board in establishing appropriate risk oversight functions at the board and committee levels

The Board's Role

Overseeing our sustainability strategy is a core responsibility of the Board. The Board regularly engages on ESG issues through presentations by management and third-party experts at its annual strategy sessions and quarterly meetings.

On certain key sustainability topics, the Board has delegated regular oversight to specific Committees including:

› The Governance, Nominating and Corporate Social Responsibility Committee (the "Governance Committee") assists the Board in providing oversight of our ESG strategy and makes recommendations to the Board on the integration of ESG considerations into long-term business planning, organizational structure and corporate policies and practices. The Governance Committee also reviews the enterprise risk oversight functions of the Board and Board Committees to confirm that identified risk oversight is appropriately allocated and facilitates and provides education to the Board, including on ESG matters.

› The Safety, Environment and Operational Excellence Committee oversees the development, implementation and monitoring of risks and policies related to process and occupational safety, environment, operational excellence, asset integrity management, corporate security and cyber security.

› The Human Resources, Health and Compensation Committee (the "HR Committee") oversees our approach to employee health and wellness as well as EDI strategies and programs. The HR Committee is also responsible for approving our incentive compensation programs for all employees and executives, including the incorporation of ESG metrics into those programs.

The Board's Role Overseeing Pembina's sustainability strategy is a core responsibility of the Board. The Board regularly engages on ESG issues through presentations by management and third-party experts at its annual strategy sessions and quarterly meetings. On certain key sustainability topics, the Board has delegated regular oversight to specific Committees including: › The Governance, Nominating and Corporate Social Responsibility Committee (the "Governance Committee") assists the Board in providing oversight of Pembina's ESG strategy and makes recommendations to the Board on the integration of ESG considerations into long-term business planning, organizational structure and corporate policies and practices. The Governance Committee also facilitates and provides education to the Board, including on ESG matters. › The Safety, Environment and Operational Excellence Committee oversees the development, implementation and monitoring of risks and policies related to safety, environment, operational excellence and responsible asset management programs, such as integrity management and cyber security. › The Human Resources, Health and Compensation Committee (the "HR Committee") oversees Pembina's approach to employee health and wellness as well as EDI strategies and programs. The HR Committee is also responsible for approving Pembina's incentive compensation programs for all employees, including the incorporation of ESG metrics into those programs. › The Audit Committee maintains oversight of the integrity of Pembina's financial statements, the reporting process and the internal audit function. [...] Management's Role Management plays a critical role in advancing Pembina's sustainability objectives. Each member of our senior executive team is responsible for components of sustainability including employee and contractor safety, environment and process safety, assessing climate-related risks and opportunities, overseeing the development of strategic opportunities, enhancing organizational culture and diversity of our employee base and reporting to the Board on Pembina's ESG-related actions. Chief Executive Officer Responsible for providing oversight and coordination of sustainability-related matters (CEO) and for ensuring timely and effective reporting to the Board and our stakeholders. Chief Financial Officer Responsible for overall financial stewardship, including assessing climate-related (CFO) risks and opportunities, financial reporting as well as providing timely, accurate and transparent information to our stakeholders. Chief Operating Officer (COO)[6] Responsible for business development and commercial services, operationalizing our ESG objectives, including through engineering and construction, and supporting our various Operating Management System ("OMS") strategies and programs. Senior Vice President, Marketing Responsible for initiatives associated with extending Pembina's value chain and and New Ventures & Corporate exploration of new opportunities centred around a lower carbon economy, including Development Officer new energies. Senior Vice President, External Responsible for overseeing Pembina's ESG strategy, including oversight and Affairs and Chief Legal and monitoring of sustainability issues, risks, trends, and Pembina's performance as well as Sustainability Officer making recommendations to the executive team and Board on sustainability matters. Senior Vice President, Corporate Responsible for the advancement of Pembina's ESG objectives, including through Services Officer supporting our various OMS strategies and programs, enhancing organizational culture and diversity of our employee base and strategic supply chain management. Teams across all of Pembina's business and service units collaborate and support the advancement of our ESG priorities.

The Board's Role [...] Overseeing our sustainability strategy is a core responsibility of the Board. The Board regularly engages on ESG issues through presentations by management and third-party experts at its annual strategy sessions and quarterly meetings. On certain key sustainability topics, the Board has delegated regular oversight to specific Committees including: [...] › The Governance, Nominating and Corporate Social Responsibility Committee (the "Governance Committee") assists the Board in providing oversight of our ESG strategy and makes recommendations to the Board on the integration of ESG considerations into long-term business planning, organizational structure and corporate policies and practices. The Governance Committee also reviews the enterprise risk oversight functions of the Board and Board Committees to confirm that identified risk oversight is appropriately allocated and facilitates and provides education to the Board, including on ESG matters. [...] › The Safety, Environment and Operational Excellence Committee oversees the development, implementation and monitoring of risks and policies related to process and occupational safety, environment, operational excellence, asset integrity management, corporate security and cyber security. [...] › The Human Resources, Health and Compensation Committee (the "HR Committee") oversees our approach to employee health and wellness as well as EDI strategies and programs. The HR Committee is also responsible for approving our incentive compensation programs for all employees and executives, including the incorporation of ESG metrics into those programs. [...] Management's Role [...] Management plays a critical role in advancing our sustainability objectives. Each member of our senior executive team is responsible for components of sustainability, including employee and contractor safety, environment and process safety, assessing climate-related risks and opportunities, overseeing the development of strategic opportunities, enhancing organizational culture and diversity of our employee base and reporting to the Board on our ESG-related actions. [...] Teams across our entire business collaborate and work cross-functionally to support the advancement of our ESG priorities.

Pembina's public policy engagement work and government advocacy is overseen by the Senior Vice President External Affairs, Chief Legal Counsel and Chief Sustainability Officer. Pembina's Vice President of External Affairs and a specialized team of senior government relations professionals are responsible for leading the company's public policy engagement as well as for providing strategic policy and government relations counsel to Pembina business units.

Describe the process(es) your organization has in place to ensure that your engagement activities are consistent with your overall climate change strategy[…]Pembina's External Affairs unit is responsible for ensuring that all engagement with government and public sector stakeholders on matters of legislative, regulatory, or policy development related to climate change is conducted in a manner that is aligned to our business's overarching climate change strategy. We develop robust engagement plans on an annual basis with all priority stakeholder groups and identify issues upon which we can engage to advance of our climate change strategy.

Does your organization have a public commitment or position statement to conduct your engagement activities in line with the goals of the Paris Agreement?[…]No, and we do not plan to have one in the next two years