Investor Presentation - MAY/JUNE 2021 - National Bank Resource Library
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Investor Presentation M AY/ J U N E 2 0 2 1
FORWARD LOOKING INFORMATION AND NON -GAAP MEASURES
Forward-Looking Information other factors that could cause actual results to differ pandemic; market energy sales prices; labour relations;
This document contains “forward-looking information” materially from historical results or results anticipated and availability of labour and management resources.
statements which reflect management’s current view by the forward-looking information. Factors that could Readers are cautioned not to place undue reliance on
with respect to the Company’s expectations regarding cause results or events to differ from current forward-looking information as actual results could
future growth, results of operations, performance, expectations include without limitation: regulatory risk; differ materially from the plans, expectations, estimates
carbon dioxide emissions reduction goals, business operating and maintenance risks; changes in economic or intentions and statements expressed in the forward-
prospects and opportunities, and may not be conditions; commodity price and availability risk; looking information. All forward-looking information in
appropriate for other purposes within the meaning of liquidity and capital market risk; future dividend growth; this document is qualified in its entirety by the above
applicable Canadian securities laws. All such information timing and costs associated with certain capital cautionary statements and, except as required by law,
and statements are made pursuant to safe harbour investment; the expected impacts on Emera of Emera undertakes no obligation to revise or update any
provisions contained in applicable securities legislation. challenges in the global economy; estimated energy forward-looking information as a result of new
The words “anticipates”, “believes”, “budget”, “could”, consumption rates; maintenance of adequate insurance information, future events or otherwise.
“estimates”, “expects”, “forecast”, “intends”, “may”, coverage; changes in customer energy usage patterns;
Nothing in this document should be construed as an
“might”, “plans”, “projects”, “schedule”, “should”, developments in technology that could reduce demand
offer or sale of securities of Emera or any other person.
“targets”, “will”, “would” and similar expressions are for electricity; global climate change; weather;
often intended to identify forward-looking information, unanticipated maintenance and other expenditures; Non-GAAP Measures
although not all forward-looking information contains system operating and maintenance risk; derivative
Emera uses financial measures that do not have
these identifying words. The forward-looking financial instruments and hedging; interest rate risk;
standardized meaning under USGAAP and may not be
information reflects management’s current beliefs and is counterparty risk; disruption of fuel supply; country
comparable to similar measures presented by other
based on information currently available to Emera’s risks; environmental risks; foreign exchange; regulatory
entities. Emera calculates the non-GAAP measures by
management and should not be read as guarantees of and government decisions, including changes to
adjusting certain GAAP measures for specific items the
future events, performance or results, and will not environmental, financial reporting and tax legislation;
Company believes are significant, but not reflective of
necessarily be accurate indications of whether, or the risks associated with pension plan performance and
underlying operations in the period. Refer to the Non-
time at which, such events, performance or results will funding requirements; loss of service area; risk of failure
GAAP Financial Measures section of our MD&A for
be achieved. of information technology infrastructure and
further discussion of these items.
cybersecurity risks; uncertainties associated with
The forward-looking information is based on reasonable
infectious diseases, pandemics and similar public health
assumptions and is subject to risks, uncertainties and
threats, such as the COVID-19 novel coronavirus
1
EM ER A AT A G L A NC E
We’re a team of experts focused on safely delivering
EMERA
EMERA NEW
NEWFOUNDLAND
& LABRADOR
cleaner, affordable and reliable energy to our 2.5
BRUNSWICK
EMERA INC
million customers in Canada, the US and the
NOVA SCOTIA POWER
EMERA ENERGY Caribbean. With our proven strategy and portfolio of
high-quality regulated utilities, Emera is well-
positioned to continue to deliver for our customers
while also providing our shareholders with long-term
growth in earnings, cash flow and dividends.
NEW MEXICO GAS
$31B $5.5B
Assets1 Revenues2
TAMPA ELECTRIC
GRAND BAHAMA POWER
PEOPLES GAS
68% 95%+
US earnings2 Regulated1
DOMINICA ELECTRICITY SERVICES
1 As of March 31, 2021
BARBADOS LIGHT & POWER 2 As of December 30, 2020
2
OUR ST R AT EGY
3
OUR ST R AT EGY DR I VES S HA R E HO L D E R VA LU E
Our ESG commitments are core to our strategy and our culture. Our decarbonization initiatives are
driving growth and innovation and, in turn, creating long-term value for shareholders.
Emera’s Capital Dividend Shareholder
Growth
Strategy Investments Growth Returns
• Our strategy is rooted in our ESG • Capital program of $7.4B • Capital program • Dividend growth • Track record of consistent
commitments. to $8.6B (2021-2023). expected to drive 7.5% guidance of 4% to and strong long-term
to 8.5% rate base 5% through to 2022. returns for shareholders as
• For 15 years we have been • Over 60% of Emera’s growth (2021 to 2023). compared to major indices.
focused on safely delivering capital program invested • 6% dividend CAGR
cleaner, affordable and reliable in decarbonization and • Rate base will drive EPS since 2000. • 10-year total
energy to our customers. reliability projects. and operating cash flow shareholder return
growth; EPS and cash • Attractive dividend of 11%1.
• Our business is well positioned flow growth should yield of 4.6%1.
to capitalize on industry trends track rate base growth
of decarbonization, digitalization over time.
and decentralization.
1 As of March 31, 2021 4
DEL I VER I NG A G ROW I N G A N D S U STA I N A B L E D I VI D E N D
$2.48
$2.38
$2.28
$2.13
$2.00
$1.66
$1.31 $1.36 $1.41 $1.48
4-5%
$1.16 Target
$0.84 $0.89 through
to 2022
00 05 10 11 12 13 14 15 16 17 18 19 20 21F 22F
Note: Denotes annual cash dividends paid
6% CAGR since 2000
5
OUR ES G FOC US
Our ESG commitments are core to our strategy
and our culture.
Our Sustainability Management Committee,
chaired by our CEO and comprised of senior
leaders from across the business, oversees our
ESG risk management, disclosures and focus areas.
In 2020, we increased our ESG disclosures
and governance with the addition of the
Sustainability Standard Board (SASB) Standards
and the Task Force on Climate-related Financial
Disclosures (TCFD).
6
OUR C L I M AT E COM M I T M E N T
7
C L EA R PAT H TO O U R 2 0 2 5 C O 2 G OA L
Successful execution of Emera’s strategy, which includes a focus on decarbonizing
our generation fleet through investments in renewables and lower carbon energy
sources, will reduce CO2 emission by 55% by 2025.
24.1
Tampa Electric and
Nova Scotia Power
CO2 Emissions (in Mt) 14.3 55%
10.6 reduction in
CO2 emissions
2005A 2020A 2025F
8
TRANSITIONING AWAY FROM COAL GENERATION
Nova Scotia Power and Tampa Electric1,2
% of GWh Generation3
Emera has transformed its generation
fleet since 2005 and our committed
3%
capital projects will further decarbonize
our portfolio.
Renewables
Coal • ~80% reduction in coal generation
by 20254.
48% 28% • Renewables will increase to 28% in
13%
2025 – a nearly 10x increase over
2005 levels.
15% • Natural gas will displace coal and be
9% used as a transition fuel to backstop
intermittent renewable energy.
2005A 2020A 2025F
1 Tampa Electric was acquired by Emera in 2016; 2 Reflects only currently committed projects;
3 Based on forecasted fuel prices; 4 Compared to 2005 including Tampa Electric 9JOURNEY TO WORLD CLASS SAFETY
HIGHLIGHTS
Our objective is to build an Emera where no one gets hurt.
Committed to fostering a “speak-up” culture, empowering 0.81 OSHA1
every team member to be a safety leader.
Injury Rate, a 25% decrease
Key initiatives from 2019
• Proactive safety reporting.
• Personal safety plans.
• Field safety observations.
237
• Frequent safety communications.
Proactive injury reporting,
• Emera-wide Safety Management System. a 20% decrease from 20192
• Hazard risk registers.
We’re proud of our progress, but this work is never done.
We are relentlessly focused on keeping our customers,
0.28 LTI3
communities and each other safe.
Rate, a 32% decrease
from 2019
1 Occupational Health and Safety Administration;
2 Decrease largely due to the shift in the workforce working from home, and 10
pandemic travel/field restrictions
3 Lost time injury frequencyBUILDING STRONG RELATIONSHIPS
HIGHLIGHTS
Emera has a strong history of supporting
our communities.
$16 million
Our Community Investment Program focuses on
investments in organizations that promote inclusion invested in our
and diversity, innovation, safety leadership and communities in 2020
opportunities for youth.
Key initiatives 40,470
• $16M invested in our communities, including $6M in
response to COVID-19 pandemic. hours volunteered by Emera
employees
• Established an inclusion and diversity fund.
• Large scale investments in innovation and
entrepreneurship. $5 million
Emera Inclusion and
Diversity fund
11INVESTING IN OUR TEAMS
HIGHLIGHTS
Our resilience comes from the strength of our teams.
One of Canada’s
We strive to be an employer of choice everywhere
we work by focusing on our talent-management
Top 100
practices, leadership development and succession employers in 2021 for a
planning in alignment with our inclusion and third consecutive year
diversity objectives.
Key initiatives 41%
• Annual talent reviews and succession planning.
of senior leaders at Emera Inc.
• Learning and Development Strategy, are women; 34% across Emera1
grounded in our leadership competencies.
• Employee-lead inclusion and diversity networks One of Canada’s
throughout the business
Top 100 employers
• Employee programs focused on mental and physical
health and wellbeing
for youth
in 2021
1 Defined as directors and above
12A TRACK RECORD OF STRONG GOVERNANCE
HIGHLIGHTS
We are committed to the highest standard of corporate
governance at all levels of our business. 45%
Key initiatives of external Directors on largest
subsidiary boards are women;
• Risk oversight, including material ESG risks, at the Emera
30% are Black, Hispanic or
and operating company boards.
Indigenous1
• Annual Board effectiveness evaluation.
• Commitments at Emera and operating company 98%
boards to diversity and inclusion.
shareholder support for
• Annual say-on-pay vote. 2021 Say on Pay vote
• Emera Cyber Incident Readiness and Response Protocol.
• Annual Code of Conduct training for employees and the
Board.
36%
of Emera’s Board of Directors
are women, including the Chair;
44% of independent Directors
are women
1 Boards of Nova Scotia Power, Tampa Electric, Peoples Gas
13
and New Mexico GasINVESTING BETWEEN $ 7.4 B TO $8.6 B IN RATE BASE
Forecasted Capital Spend1
$0.4
$0.6
$0.2
Opportunities Under
Development
Baseline Forecast
$2.7
$2.3 $2.4
2021F 2022F 2023F
1 In
billions of Canadian dollars. US dollar denominated capex is translated at a forecasted average
USD/CAD exchange rate of 1.28 in 2021 and 1.33 in 2022-2023. Capital spend forecast by affiliate 14
can be found in the appendix.CAPITAL PROGRAM DRIVES FUTURE RATE BASE GROWTH
Forecasted Base Rate1 $26.9
$25.1
$22.6
$21.3
$19.4
Opportunities
Under Development
7.5% to 8.5%
Baseline Rate Base
rate base CAGR
2019A 2020F 2021F 2022F 2023F
1 2019 actuals exclude Emera Maine. Average total rate base in billions of Canadian dollars. U.S. dollar denominated rate base is
15
translated at a forecasted exchange rate of 1.28 in 2021 and 1.33 in 2022-2023. Details by affiliate can be found in the appendix.INVESTING IN CLEANER, MORE RELIABLE ENERGY
Capital Projects (2021 to 2023) Total
Renewable and
Infrastructure Upgrades, Grid Modernization, etc. $1,330
Solar Investments – Tampa Electric 810 Cleaner Energy
Storm Hardening – Tampa Electric 540
Big Bend Modernization – Tampa Electric 350
Reliability Projects & CIBS/PP2 Investments – PGS & NMGC 515 Modernization of
RNG, CNG & LNG Projects
Hydro Renewal – Nova Scotia Power
340
290
Infrastructure
Transmission Investment – Labrador Island Link 240
Smart Meters & LED Streetlights 190
Customer-Focused
Total 4,605
% of Baseline Capital Program 62%
Technologies
1 In millions of Canadian dollars; US dollar denominated capex is translated at a forecasted average
USD/CAD exchange rate of 1.28 in 2021 and 1.33 in 2022-2023; 2 Cast iron/bare steel and
problematic plastic 16OPPORTUNITIES BEYOND 2023
Our strategy will continue to be relevant for the
foreseeable future.
To achieve our 2050 net-zero vision we will continue to make
further decarbonization investments.
• Emera is well aligned with customers and policymakers and
well positioned to help lead the transition in a way that ensures
reliability and never loses sight of affordability for customers.
• Identified potential for accelerated CO₂ reductions through
projects such as the Atlantic Loop and Block Energy.
Our commitment to customer reliability will create opportunities
to make additional reliability investments to modernize aging
infrastructure and to harden system against increasing frequency
and intensity of weather events.
Electrification is expected to increase over the long-term
across all customer classes.
We are committed to balancing the pace of investment with
customer affordability.
17F UNDI NG P L A N S UP P O RTS O U R C R E D I T O B J EC T I VES
2021-2023 Target Sources of Funding
Credit Objectives
1. Maintain our investment grade credit ratings
15% - 25% 2. Maintain our target capital structure
Equity
2 3. Sustained cash flow-to-debt metrics > 12%
4. Sustained holdco debt-to-total debt < 40%
Net Debt Issuances
Reinvested Cash Flows
50% - 55%
Corporate Credit Ratings of Emera
25% - 35% Moody’s S&P Fitch
Baa3 BBB- 1 BBB
(Stable) (Stable) (Stable)
1 Senior unsecured issuance rating; issuer rating of BBB (stable)
2 Includes DRIP, ATM and hybrid capital 18ST EP C HA NG E I N OP E R AT I N G C A S H F LOW
Operating Cash Flow Events
Next 12-24 Months
The expected step change in
~$250 $2,000+ our operating cash flow and
$75 $25 continued execution against
$375
our funding plan will enable
$1,400 us to successfully execute on
our credit objectives:
• Maintain investment grade
credit ratings
• Hold target capital structure
• Sustained cash flow-to-debt
metrics > 12%
Q1/21 LTM Tampa Electric ENL4 Gas LDC Normal Growth 2022 • Sustained holdco debt-to-total
Operating Cash Rate Case 3 Base Rates 3 + Opportunities Operating Cash debt < 40%
Flow 1,2 Flow 1
1 Beforechanges in net working capital; 2 Normalized for US$110 million of extraordinary gas costs incurred by New Mexico Gas in
February; 3 USD cash flow is translated at a rate of 1.33; 4 Reflects dividends paid to Emera 19W HY I NVEST I N EM E R A
Consistent and Strong Regulated, Florida- Growing and Sustainable Visible
Shareholder Returns Focused Portfolio Dividend Growth Plan
11% 95%+ 4-5% $7.4B to $8.6B
total shareholder return over the of earnings derived from dividend growth target through capital investment plan to drive
last ten years1 regulated investments to 2022 rate base growth through 2023
Consistent and strong long-term
returns as compared to the PHLX
55% 6% 7.5% to 8.5%
Utility Index and the TSX Capped of rate base located in Florida rate base growth through 2023,
CAGR in dividend per share over
Utilities Index the last 20 years driven by Florida investments
68%
Representation in the TSX
Composite, TSX Capped Utilities, of earnings from US operations 4.6% 70%
TSX60 and select MSCI and FTSE dividend yield1 of capital program to be
World Indices invested in Florida
1 As of March 31, 2021 20APPENDIX
PROVEN DECARBONIZATION STRATEGY – TAMPA ELECTRIC
Reducing coal generation by investing Major Decarbonization Projects
in solar and natural gas1,2
5% 14%
• 1,255 MW of solar by 2023, currently
655 MW in-service (~US$1.6 billion)
• Big Bend Modernization Project, 1,090
37% MW (repowering unit 1 with natural gas
and retiring unit 2), ~US$850 million
78% 84% investment
• 30MW battery storage by 2023 to work
43% with solar investments
4% 2%
• Converted four simple-cycle combustion
turbine units into a combined cycle unit
2005A 2020A 2025F
at Polk plant
Coal Natural Gas Renewables
1 GWh total generation; 2 Based on forecasted fuel prices 22PROVEN DECARBONIZATION STRATEGY – NOVA SCOTIA POWER
Reducing coal generation by investing in hydro, wind Major Decarbonization Projects
and transmission projects1,2
• Added ~500 MW of wind (~150 MW
rate base and ~350 MW through IPPs)
9% 29% • Completed Maritime Link ($1.7 billion)
59% project which is capable of transmitting
500 MW of hydro energy in 2021
2%
17%
• Investing $850 million (minority position)
in the 900 MW Labrador Island Link
55% 9%
39%
• Refurbishment of Nova Scotia
24% Power hydro facilities (~400 MW)
will secure existing hydro capacity
2005A 2020A 2025F ($500 to $600 million)
Coal Natural Gas Renewables
1 GWh total generation; 2 Based on forecasted fuel prices 23R EG UL ATORY AC T I VI T Y
RECENTLY COMPLETED
Approved Base Allowed Equity
Affiliate Revenue Increase Allowed ROE Thickness Highlights
$58 million USD; • New rates effective January 1, 2021;
includes $24 million USD Midpoint: 9.9% • Allows for deferral if tax rates increase;
Peoples Gas 54.7%
previously recovered Range: 8.9% - 11.0% • Mechanism to reverse $34 million USD of accumulated; and
through CIBS1 rider • Rates are frozen until December 31, 2023.
• New rates effective January 1, 2021; and
New Mexico
$5 million USD 9.375% 52.0% • Base rates are frozen until December 31, 2022, unless new federal
Gas Company
tax rates are enacted, in which case NMGC can file for new rates.
UPCOMING
Requested Base Requested Requested
Affiliate Revenue Increase ROE Equity Thickness Highlights
2022: $295 million USD Midpoint: 10.75%
Tampa
2023: $102 million USD Range: 9.75% - 55.0% • Filing made on April 9, 2021.
Electric
2024: $26 million USD 11.75%
GBPC N.A. N.A. N.A. • Intend to submit a rate plan proposal in 2021.
BLP N.A. N.A. N.A. • Expect to file a general rate review in 2021.
1 Cast iron/bare steel 24TA M PA E L EC T R I C R AT E C A S E
Tampa Electric filed petition with the Florida Public
Service Commission (”FPSC”) on April 9, 2021, seeking
2022 Base Revenue Ask a base rate increase effective January 1, 2022, and a
Generation Base Rate Adjustment for 2023 and 2024.
The petition proposes the following base rate
15%
increases:
• 2022 – $295 million USD
Capital • 2023 – $102 million USD
45%
Depreciation $295 million • 2024 – $26 million USD
Other
USD
If approved as filed, Tampa Electric’s rates would
40% remain among the lowest in the state and below the
national average; 2022 residential rates would be only
5 percent higher than they were more than a decade
ago – about 17 percent lower when adjusted for
inflation.
A decision by the FPSC is expected by the end of 2021.
25ATLANTIC LOOP
Engaging with electricity sector partners
and governments to collaborate and
pursue an accelerated transition to
cleaner energy.
Involves a combination of new renewable
and capacity resources in Nova Scotia as
well as the development of new large-
scale transmission that will enable the
movement of clean energy and firm
capacity through the Atlantic region.
26CONSISTENT LONG -TERM SHAREHOLDER RETURNS
16.5%
3 year 17.1%
12.7%
7.9%
5 year 12.3%
9.4%
Emera
TSX Utilities Index
10.6%
PHLX Utility Index
10 year 8.7%
11.0%
11.1%
20 year 9.5%
8.3%
27
Note: Total shareholder return as of March 31, 2021TAMPA ELECTRIC
Utility Type Capex
Vertically integrated electric utility $3.1 billion USD (2021-2023)
Regulator Capacity Mix
Florida Public Service Commission 78% Natural Gas | 12% Coal | 10% Solar
Regulatory Construct Transmission and Distribution
9.25-11.25% approved ROE | 54% approved equity 2,165 km of transmission | 19,250 km of distribution
$7.8 USD billion rate base
Customers
792,500
Regulatory Arrangements
Petition to increase base rates filed April 9, 2021; a
decision by the FPSC is expected later this year and
new base rates expected to be effective January 2022.
Note: All figures as of December 31, 2020, and in USD, unless otherwise noted. 28NOVA SCOTIA POWER
Utility Type Capex
Vertically integrated electric utility $1.1 billion (2021-2023)
Regulator Capacity Mix
Nova Scotia Utility and Review Board 43% Coal | 28% Natural Gas and/or Oil
22% Renewable | 7% Petcoke
PPAs to purchase renewable energy with 456MW of capacity
Regulatory Construct
8.75-9.25% approved ROE | 40% allowed equity
$4.2 billion Rate Base Transmission and Distribution
5,000 km of transmission | 27,000 km of distribution
Regulatory Arrangements
Fuel rate stabilization agreement in place through 2022 Customers
529,000
Note: All figured as of Dec ember 31, 2020, and in CAD, unless otherwise noted. 29EMERA NEWFOUNDLAND & LABRADOR
Maritime Link Labrador Island Link
Utility Type Utility Type
Transmission Transmission
Regulator Regulator
Nova Scotia Utility and Review Board Newfoundland and Labrador Board of Commissioners of Public
Utilities
Regulatory Construct
8.75-9.25% approved ROE | 30% approved equity Regulatory Construct
$1.8 billion rate base 8.50% approved ROE
$629 million equity investment
Regulatory Arrangements
UARB approved NSPML’s 2021 interim cost assessment for Further Equity Investment
recovery from NSPI of Maritime Link costs of approximately $0.2 billion in 2022
$172 million subject to a holdback and possible reduction in
depreciation expense
Note: All figures as of December 31, 2020, and in CAD, unless otherwise noted. 30EMERA CARIBBEAN
Utility Companies Regulatory Arrangements
Barbados Light & Power Company (BLP) | Grand Bahama Power GBPC and BLP have notified their respective regulators
Company (GBPC) | Dominica Electricity Services (Domelc) of their intent to file base rate applications in 2021.
Utility Types Capex
Vertically integrated electric utilities $0.3 billion (2021-2023)
Regulators Capacity Mix
BLPC: Fair Trade Commission| GBPC: The Grand Bahama Port 96% Oil-fired | 4% Renewables
Authority | Domlec: Independent Regulatory Commission
Transmission and Distribution
Regulatory Construct 797 km of transmission | 4,369 km of distribution
BLP: 10.0% approved return on rate base (US$360M rate base)
GBPC: 8.37% approved return on rate base (US$260M rate base) Customers
Domlec: 15.0% approved return on rate base (US$60M rate 184,000
base)
Note: All figures as of December 31, 2020, and in USD, unless otherwise noted. 31GAS LDCS
Peoples Gas
Utility Type Regulatory Arrangements
Natural gas distribution system New base rates were effective January 1, 2021
Regulator Capex
Florida Public Service Commission $0.8 billion (2021-2023)
Regulatory Construct Transmission and Distribution
8.9-11.0% approved ROE | 54.7% approved equity 22,200 km of main lines | 12,600 km of service lines
$1.3 billion rate base
Customers
426,000
Note: All figures as of December 31, 2020, and in USD, unless otherwise noted. 32GAS LDCS
New Mexico Gas
Utility Type Regulatory Arrangements
Natural gas transmission and distribution system New base rates were effective January 1, 2021
Regulator Capex
$0.3 billion (2021-2023)
New Mexico Public Regulation Commission
Regulatory Construct Transmission and Distribution
2,443 km of transmission | 17,243 km of distribution
9.375% approved ROE | 52% approved equity
$0.6 billion rate base
Customers
540,000
Note: All figures as of December 31, 2020, and in USD, unless otherwise noted. 33OTHER INVESTMENTS
Emera Energy Pipelines
EMERA ENERGY SERVICES EMERA NEW BRUNSWICK
• $15-30 million USD annual adjusted earnings • Regulated by the National Energy Board.
($45-70 million USD of margin).
• 145 km long natural gas pipeline.
• Earnings dependent on market conditions.
• Firm service agreement with Repsol Energy
• Low-risk operations with minimal commodity expiring in 2034.
exposure.
MARITIMES AND NORTHEAST PIPELINE
BEAR SWAMP
• Regulated by the National Energy Board.
• 50% joint venture.
• 1,400 km long natural gas transmission line.
• 600 MW hydro pumped storage capacity
located in western Massachusetts. • 12.9% equity investment.
• Attracts ISO – NE capacity revenue.
SEACOAST
• Regulated by the Florida Public Service
Commission
• Intrastate natural gas transmission company
offering services in Florida
Note: All data as of December 31, 2020 34CAPITAL FORECAST BY AFFILIATE
Capital Forecast (CAD millions)1 2021F 2022F 2023F Total
Tampa Electric $ 1,360 1,370 1,360 4,090
Peoples Gas 380 390 350 1,120
Seacoast 10 80 40 130
New Mexico Gas 130 140 140 410
Nova Scotia Power 395 365 380 1,130
Emera Caribbean 70 100 100 270
Emera Newfoundland 10 240 - 255
Other 5 20 10 40
Subtotal - Baseline Forecast $ 2,360 2,705 2,380 7,445
Add: Opportunities Under Development 170 440 590 1,200
Capital Forecast (CAD millions) $ 2,530 3,145 2,970 8,645
1 Average total rate base in billions of Canadian dollars. U.S. dollar denominated rate base is translated at a forecasted exchange rate of 1.28 in 2021 and 1.33 in 2022-2023.
35RATE BASE FORECAST BY AFFILIATE
2019-2023
Rate Base Forecast (CAD millions)1 2019A 2020A 2021F 2022F 2023F CAGR
Tampa Electric2 $ 9,225 10,400 10,895 12,215 13,015 9.0%
Peoples Gas2 1,450 1,760 2,095 2,490 2,765 17.5%
Seacoast3 85 185 185 235 270 33.5%
Emera New Brunswick3 460 450 445 435 430 -1.7%
New Mexico Gas 775 855 960 1,015 1,060 8.1%
Nova Scotia Power 4,100 4,225 4,430 4,580 4,770 3.9%
Emera Caribbean 950 970 985 1,035 1,040 2.3%
Maritime Link 1,825 1,840 1,825 1,785 1,725 -1.4%
Labrador Island Link4 550 605 655 880 880 12.5%
Subtotal - Baseline Forecast $ 19,420 21,290 22,475 24,670 25,955 7.5%
Opportunities Under Development - - 90 390 910
Rate Base Forecast (CAD millions) 19,420 21,290 22,565 25,060 26,865 8.5%
1 Average rate base; US dollar denominated rate base is translated at a forecasted average USD/CAD exchange rate of 1.28 in 2021 and 1.33 in 2022-2023; 2 Capital structures that
support the rate base include deferred tax liabilities (DTL), a zero cost-of-capital component of the capital structure in Florida; 2019 and 2020 capital structures included DTLs of
$1,200 million at Tampa Electric and $200 million at Peoples Gas; 3 Reflects the capital asset values of the regulated pipeline investments; 4 Reflects Emera’s equity investment in 36
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