PPL Corp

The report is reviewed by the Board of Director's Governance, Nominating and Sustainability Committee and the company's leadership team, including the chief executive officer. [...] PPL collaborates with utility industry partners and benchmarks its sustainability practices and environmental, social and governance performance through the Electric Power Research Institute's Sustainability Interest Group and the Edison Electric Institute's (EEI) ESG Committee. [...] Sustainability priorities related to safety, employee engagement and environmental stewardship, along with modeling of corporate values, are incorporated into individual performance evaluations and annual incentive compensation for all PPL executives. [...] GOVERNANCE, NOMINATING AND SUSTAINABILITY COMMITTEE, BOARD OF DIRECTORS Oversees the company's practices and positions to further its sustainability strategy and corporate governance, including specific environmental and corporate social responsibility initiatives. [...] CORPORATE LEADERSHIP COUNCIL AND KEY LEADERS Reviews, provides strategic input on and approves the company's sustainability strategy and priorities. Executive leadership (CEO, CFO, COO, CTIO, CLO, CHRO), business segment presidents, the sustainability officer, and chief security officer guide the development of the sustainability strategy and enable the integration of sustainability across the enterprise and in the corporate strategy. [...] CORPORATE SUSTAINABILITY COMMITTEE Provides oversight of and establishes the priorities and performance metrics. This committee is led by the senior sustainability officer and includes senior leadership membership from operating companies, human resources, compliance, risk, investor relations, controller, legal, supply chain and corporate audit. [...] PPL's Public Affairs department is in regular communication with executive leadership and provides an annual report to the board on key issues and advocacy positions, with periodic updates as key issues arise. Additionally, on an annual basis, the board's Governance, Nominating and Sustainability Committee receives a report of corporate political contributions.

**Edison Electric Institute (EEI): The full EEI Board sets the association's federal and state policy through a consensus process, and no position is taken if consensus is not reached. PPL's president and CEO is on the EEI Board and is actively engaged in the development and refinement of EEI's position on climate change. CEO policy committees and task force, comprised of company CEOs, president and COOs, oversee EEI public policy development and implementation. These policy committees are informed by executive advisory committees (EACs), which provide direction and expertise to their respective CEO policy committees. PPL is represented on all key EACs, [whose members generally are member company officers. Information on EEI lobbying disclosures can be found on EEI's website.](https://www.eei.org/-/media/Project/EEI/Documents/About/Lobby_Disclosure.pdf) [...] PPL's president and CEO is the co-chair of the CEO Policy Committee on State Policy and Engagement. PPL's VP-Public Affairs and chief sustainability officer co-chairs EEI's sustainability workgroup. PPL's VP-Federal Government Relations is on the Federal Affairs Executive Advisory Committee. [...] **American Gas Association (AGA): The AGA Board annually sets the association's advocacy priorities and adjusts them as needed throughout the year. LG&E and KU's chief operations officer is a member of the AGA Board and provides regular input on policy positions. Recommendations for these advocacy priorities come from AGA board committees and task forces as well as committees of AGA members (e.g., Operations, Legislative Affairs, State Affairs, Legal, etc.), outlined in AGA's Committee Scope book. [...] **Kentucky Chamber: LG&E and KU are represented on all relevant public policy councils, and LG&E and KU's president is a member of the Kentucky Chamber's Board of Directors. Before taking a position on a state policy, regulation or proposed legislation, the chamber works through its staff to develop a position with assistance from its six public policy councils and its Small Business Committee. These councils/committees make policy and position recommendations to the KY Chamber's board, which the board can then review, modify, adopt or ratify. The policies usually provide a clear direction on positions; however, a Board vote is sometimes needed if there is not clear direction or if there is a split or a lack of consensus. Generally, if chamber members cannot reach consensus on an issue, the chamber does not take a position. [...] To the extent it may adopt climate policies that are not consistent with PPL's policies, PPL seeks to influence its position to be more aligned with PPL's. We evaluate such policies on a case-by-case basis. [...] **Kentucky Coal Association (KCA): LG&E and KU are members of the KCA, though no employees are on its board or Executive Committee. When KCA's policy positions related to clean energy transition do not align with LG&E and KU's, LG&E and KU notifies KCA and freely advocates against the position at issue. [...] To the extent it may adopt climate policies that are not consistent with PPL's policies, PPL seeks to influence its position to be more aligned with PPL's. We evaluate such policies on a case-by-case basis. [...] **Pennsylvania Chamber: The Pennsylvania Chamber's Policy Roundtable makes recommendations on changes to the chamber's policies, which the board can review, modify, adopt or ratify. The polices are reviewed every three years. The board may vote on a regulatory or legislative issue if there is a lack of clear policy direction or if a consensus position cannot be reached. PPL is represented on committees relevant to its business interests. PPL Electric Utilities' President serves on the chamber board. If PPL is not in agreement with the final position of the Pennsylvania Chamber, that difference would be provided to the full board either in writing or verbally at a chamber board meeting. [...] To the extent it may adopt climate policies that are not consistent with PPL's policies, PPL seeks to influence its position to be more aligned with PPL's. We evaluate such policies on a case-by-case basis. [...] **Energy Association of Pennsylvania (EAP): Before taking a position on a state policy, regulation or proposed legislation, the EAP works through either its Regulatory Committee or its Legislative Committee to develop a consensus. General policy issues are discussed with the board; however, as a general rule, EAP only agrees to develop a position on a policy, regulation or proposed legislation if there is a consensus among its members. PPL Electric's president serves on the EAP Board.

##### Public policy engagement

PPL actively encourages public policy that furthers our ability to
safely provide reliable and affordable energy to our customers
and supports our growth and innovation in ways that benefit
our company and our stakeholders. Our active participation in
the public policy arena helps to ensure that public officials are
kept informed of key issues that affect the interests of our
stakeholders.

PPL's Public Affairs department is in regular communication with
executive leadership and provides an annual report to the board
on key issues and advocacy positions. Additionally, on an annual
basis, the board's Governance, Nominating and Sustainability
Committee receives a report of corporate political contributions.

Details regarding PPL's approach to public policy engagement,
including our corporate climate principles and federal policy
views, compliance, trade association membership, political
action committees and contributions to certain tax-exempt
[organizations are available online on the company's website.](https://www.pplweb.com/who-we-are/public-policy-2/)

The company's transparent reporting has earned a trendsetter
ranking by the CPA-Zicklin Index, which benchmarks the political
disclosure and accountability policies and practices of leading
U.S. public companies.

Describe the process(es) your organization has in place to ensure that your engagement activities are consistent with your overall climate change strategy[…]At PPL, we are committed to our mission to provide safe, affordable, reliable, and sustainable energy to our customers as we pursue our ambitious goal to achieve net-zero carbon emissions by 2050. As we transition to a clean energy future, we measure all proposed climate policies against three core principles: Customer Focus, Sustainability, and Effectiveness. Specifically, we ask whether the policy will:

Customer Focus
1. Promote Reliability and Resilience. Policies we support will preserve and enhance the reliability and resiliency of energy networks at every step of the clean energy transition. Our focus is on ensuring 24/7 service to our customers.

2. Keep Energy Affordable. Policies we support will keep energy affordable for our customers, for whom our services are indispensable for everyday quality of life and economic growth. Sound climate policy must consider the costs to customers and ensure energy affordability and economic competitiveness – short, mid, and long-term.

Sustainability
3. Advance PPL's Carbon Reduction Goals. Policies we support will have the practical effect of advancing PPL's ability to reach its carbon reduction goals. To reach these ambitious climate goals, policies must enable PPL to sustainably manage its energy resource portfolio for the greatest carbon reduction along the whole course of the net-zero trajectory - short, mid, and long-term.

4. Help Others Meet Their Climate Goals. Policies we support will enable our customers and others to contribute to economy-wide carbon reduction. The electric and natural gas sectors alone cannot deliver a net-zero carbon future, and policies that leverage our industry's unique ability to facilitate decarbonization reliably and affordably are key to achieving deep, economy-wide impacts.

Effectiveness
5. Enable Compliance Feasibility. Policies we support will have a realistic pathway for implementing the proposed rules and requirements. Compliance must be feasible and reasonable. Good policy considers the relevant technological, economic, legal and regulatory dynamics and addresses barriers to effective implementation.

6. Maintain Operational Excellence. Policies we support will promote operational efficiency and avoid unnecessary complexity and risk. Operational excellence creates value. Sound policy will recognize and enable us to take advantage of our operational expertise, skilled labor force, and advanced technology deployments as we deliver the utilities of the future.

Describe the process(es) your organization has in place to ensure that your external engagement activities are consistent with your climate commitments and/or climate transition plan?[…]As indicated in our Climate Policy Principles (https://www.pplweb.com/wp-content/uploads/2022/08/PPL_Climate-Policy-Principles.pdf), PPL is committed to our mission to provide safe, affordable, reliable, and sustainable energy to our customers as we pursue our ambitious goal to achieve net-zero carbon emissions by 2050. The company measures all proposed climate policies against the core principles of sustainability, customer focus, and effectiveness detailed in our Climate Policy Principles.

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

PPL's Governance, Nominating and Sustainability Committee ("Committee"), comprised of external directors, has oversight over ESG and sustainability matters, including oversight of the Company's corporate political activity. All corporate sustainability disclosures and ratings, including those related to corporate public policy disclosures, are reviewed with the Committee. The Committee receives on an annual basis a report of political contributions, including:

The non-deductible portion of dues and other payments made to trade associations that are in excess of $50,000.
Independent expenditures in connection with campaigns or to influence ballot measures.
Contributions to tax-exempt organizations covered under this policy, such as 501(c)(4) and 527 organizations.

PPL Corporation and its affiliates do not contribute to candidates or political parties