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S&P Global's Sustainability Award The Hera Group has received a worldwide gold medal for social responsibility. S&P Global, indeed, has awarded the company its Gold Class 2021, the highest recognition reserved for companies included in the Dow Jones Sustainability Index (DJSI), the authoritative international stock market index assessing the ESG factors of roughly 3,500 listed companied with the highest capitalisation globally. This prestigious result was released with the publication of the Sustainability Yearbook 2021, a report that contains the results of analyses carried out for gaining access to the index last year, and the names of companies that achieved the highest sustainability scores. Following its inclusion in the FTSE MIB in 2019, Hera participated in the selection process for the DJSI and, in only 2 years, rapidly rose in the classification, being included in the World and European indices at the same time and ranking as “Industry leader”, i.e. the best “Multi-utility and Water” in the world, with a score of 87/100, compared to a sector average coming to 45/100. Compared to the other companies assessed by the DJSI, Hera stood out in particular for its environmental and economic sustainability, and its governance. The Sustainability Yearbook 2021 gives particular emphasis to the significant results achieved by Hera in the areas identified as most challenging for its sector, such as resource management and protection, the ability to grasp market opportunities and relations with stakeholders. In addition to Gold Class status, Hera also received special mention as “Industry mover”, that is, the company that recorded the most significant improvement, rising by no less than 19 points compared to the score of 68/100 in 2019. S&P Global's Sustainability Award 2013-08-28 For further information S&P Global's Sustainability Award The Group has received Gold Class status for ranking as “Industry leader” in the Dow Jones Sustainability Index. Hera also given special mention as “Industry mover” /group_eng/sustainability /group_eng/investors /-/hera-2021-gold-medal-in-s-p-global-s-sustainability-award null Visit "Social Reponsibility" website area Visit "Investors" website area Press release null S&P Global's Sustainability Award

The Hera Group pays close attention to gender equality and to promoting diversity and inclusion, and stands out in particular for its transparency in providing information on these issues and its harassment prevention and sanctioning policies. The Group has indeed been included this year as well – after becoming part of it for the first time in 2020 – in the Bloomberg Gender-Equality Index, which evaluates 11,700 companies worldwide committed to promoting and creating equal and inclusive workplaces. Diversity awareness is indeed an increasingly important issue for the international financial community, with investors showing growing interest towards listed companies with outstanding policies in this area. Hera’s confirmation within the Bloomberg Gender-Equality Index – achieving significant results, even compared to the average in the utility sector – bears witness to the quality of the path chosen by the Group, which over time has been enriched with new content and increased dimensions, involving a growing number of employees. Today, diversity valorisation policies are an integral part of the Group’s strategy, and are also defined in its Business Plan to 2024. Promoting diversity, inclusion and people development is central in human resource management. At Hera, equality in access to development and professional growth is reached through meritocratic systems designed and calibrated to guarantee their own concrete application. The tools used include compensation and benefits focused on performance, the complexity of one’s role and market comparisons, regardless of gender or generation, and career paths that see an increasing percentage of women with roles of responsibility, now coming to roughly 30%. Bloomberg 2021 Sede Hera 2013-08-28 For further information Bloomberg 2021 /group_eng/investor-relations/hera-overview/creation-of-shared-value /-/hera-group-part-of-the-2021-bloomberg-gender-equality-index Hera Group's Diversity & Inclusion Main Parameters Press release bloomberg_2021_110.1611654387.png

A company’s workers are the true key to its success. The Hera Group knows this well, and continues to dedicate resources, attention and commitment to its team of over 9,000 employees. And the results are clear to all, as is shown by Top Employer, an international certification of excellence in human resource management, awarded to Hera in 2021 as well, for the 12th consecutive year. This recognition comes from the Holland-based Top EmployerInstitute, which carries out research on the quality of human resource management, examining over 1,600 businesses. The Group also stands out for its organisational methods, which promote worker agility and digitalisation, with a smart working project launched in 2017 that created the bases to effectively face the emergency that struck our country, with no effect on service quality and efficiency, protecting at the same time the health and safety of its employees and customers. In 2020, Hera immediately introduced a range of measures that ensured it would remain close to its workers: from upgrading technological tools favouring collaboration and communication among employees, to redesigning training in order to meet new obligations concerning remote work, and setting in place a Covid-19 insurance policy for its employees, with all expenses covered by the company. Hera’s most outstanding human resource policies include Hextra, the integrated corporate welfare plan intended for all Group employees, investments for which reached 4.5 million euro in 2020 alone. The Group also offers its employees campaigns aimed at awareness, prevention, cure, overall wellbeing and education. Hera has also confirmed its ranking among the leading Italian businesses that invest in their employees’ personal and professional development, with 26 hours of training per capita each year and a total of roughly 236,000 hours provided, thanks to investments coming to approximately 2 million euro. In this area, a fundamental role is played by HerAcademy, the Group’s corporate university that allows it to communicate with businesses and the main local institutions. Furthermore, through the Hera Educational set of initiatives, the Group constantly reinforces its role in the area served, consolidating its partnerships with various figures in the educational system. Lastly, a special focus goes to sustainability and guaranteeing equal opportunity, inclusion and diversity valorisation. This is proved by the Group’s presence in the 2020 Refinitiv “Diversity & Inclusion Index” (formerly Thomson Reuters) and its entrance in the 2020 “Bloomberg Gender-Equality Index”. In November 2020, as regards ESG factors, which also cover human resource management and development, Hera was recognised as “Industry leader” and included in the Dow Jones Sustainability Index World and Europe, one of the most authoritative stock market indices evaluating social responsibility, which brings together the companies showing the best sustainability performances in the world. Top employer 2021 Sede Hera 2013-08-28 For further information Top employer 2021 /group_eng/working-at-hera-group /-/hera-a-top-employer-for-the-12th-time Workers in Hera Press release top_employer_2021_110.1611329648.png

Tomaso Tommasi di Vignano, Hera Executive Chairman The reference scenario for the upcoming five years shows challenges and opportunities, which Hera has proven able to grasp in advance, by basing its strategy and its own approach to sustainability on them, well in advance. Today, with the new Business Plan, we can capitalise on the efforts made until present and increase our targets for growth to 2024. To support our goals, we have drawn up a significant investment plan which will expand our assets, at the same time making them increasingly sustainable, in line with the indications coming from international institutions. We have furthermore confirmed all of our operating-financial policies, most importantly maintaining a conservative asset profile, allowing us to finance potential investments not included in the Plan. Stefano Venier, Hera CEO Hera has always managed its activities through a sustainable approach, integrated into its business strategies. Therefore, with our new Business Plan we can promote further development, with projects dedicated to circularity, carbon neutrality and technological innovation, fully respecting the guidelines introduced by the Authority and benefiting from our past actions, in areas including premiums for service quality. We furthermore wish to report to our stakeholders, with the utmost transparency, on the Group’s commitment towards sustainability, already applying the TCFD’s recommendations to the 2020 financial year. Our future path is very clear and presents no few challenges, so much so that we have already given ourselves targets for 2030, aiming to achieve increasingly ambitious goals in sustainability. A new Plan for development and growth Today, the Hera Group’s Board of Directors, chaired by Tomaso Tommasi di Vignano, approved the Business Plan to 2024. This new five-year strategic document reflects Hera’s renewed commitment towards development and growth, with expectations increased compared to the previous Plan, and actions planned in areas including energy transition and environmental protection, technological evolution and social cohesion. The Group’s strategies for industrial and commercial reinforcement have been set out according to sustainable business models, channelling opportunities coming from innovation and digital technology, and promoting the creation of shared value for all stakeholders. Hera furthermore intends to support local communities in a recovery compliant to European strategies and the goals on the UN’s 2030 Agenda. Supported by the positive preliminary results for 2020, Hera will thus proceed along the path of uninterrupted growth it has followed since its establishment in 2002, with the aim of consolidating its leadership in all main business areas. All of this thanks to the strength of a model that over the years has proven to be winning and resilient and offers, still today, a concrete guarantee of additional future development A solid foundation in the preliminary results for 2020 The Business Plan to 2024 is based on the solid fundamentals seen in the year-end projections for 2020: the preliminary results, indeed, confirm growth in the main indicators over the previous year. Ebitda is expected to have reached 1,118 million euro in 2020, increasing compared to the 1,085 million seen in 2019, while the Net debt/Ebitda ratio shows considerable improvement, settling at 2.9x, as against 3.02x at 31 December 2019. Last year, furthermore, Hera made investments coming to roughly 540 million euro, essentially unchanged with respect to 2019. In 2020, Hera thus overcame the difficulties caused by the pandemic and guaranteed continuity, efficiency and quality in the services provided, as well as offering concrete support to all stakeholders, first and foremost customers, suppliers and employees. The framework of the new Plan: resilience, green transition and digital technology, for recovery To respond to the complex scenario seen in 2020 and limit the impact of the crisis, the European Union has projected a series of extraordinary measures – including the “Next Generation EU” program – with funding going in particular to the green transition and digital technology. Alongside these measures, mention must go to the opportunities found in our country’s particular situation, which shows room for consolidation in markets that remain overly fragmentary, tenders for service concession renewal, and a further liberalisation of electricity sales with the end of the protected customer system. Three focal points of the Business Plan to 2024: the environment, socio-economic factors and innovation The Hera Group has enhanced its strategy, following European directives while at the same time maintaining its coherence towards the 2030 Agenda, which for years has guided the Group’s commitment towards sustainable development. More specifically, the new Plan revolves around three strategic focal points – the environment, socio-economic factors and innovation – according to which all of Hera’s projects will take shape. The environmental focal points include promoting a circular economy by recovering, reusing and regenerating resources, interventions aimed at increasing infrastructural resilience so as to prevent and mitigate risks. More generally, this area also includes all actions aimed at countering climate change – an area in which Hera has been a leading figure for some time – in order to reach carbon neutrality, promoting bioenergies/green gas – such as biomethane, hydrogen and green syngas – and energy efficiency. Contributing to decarbonisation and saving resources will also come about through a drop in consumption within the Group itself: by 2024, energy consumption is expected to fall by 7% (compared to 2013) and internal water consumption by 17% (compared to 2017). The socio-economic factors, instead, involve creating “shared value” for stakeholders and the areas served, making the most of the Group’s physical and commercial assets, with new services having added value for customers, collaborations with external partners and projects for listening to local and social needs, as well as finalising integration transactions or tenders for regulated service assignments. Innovation, lastly, covers the opportunities linked to technological evolution, digitalisation, artificial intelligence and data analysis, to increase efficiency and service quality, with increasingly agile employment solutions, while maintaining the correct balance between people and technology. Investments coming to approximately 3.2 billion euro, up thanks to the Group’s financial solidity The Plan to 2024 calls for increased investments, coming to roughly 3.2 billion euro, 640 million per year on average: these figures are significantly higher (by approximately +40%) than the average seen over the last five years. In particular, an increase is expected in internal development, coming to 2.9 billion, 400 million more than in the previous Plan, with a financial commitment proportionate to Hera’s presence in the areas served and the features of the various business areas. 280 million will go to M&A operations and tenders for regulated services, with a slight drop compared to the previous Plan due to delays in a few gas tenders, partially offset by higher amount dedicated to external investments. More generally, 60% of these investments will be dedicated to projects respecting European objectives. 42% will go towards activities in line with the “Green Deal”, for reducing emissions, carbon neutrality, business resilience and circular economy. The remaining 18% will be channelled into technological evolution: from increased cybersecurity to remote control, and from “smarty” bins for sorted waste to new meters. This increase in investments was made possible not only by the positive results reached in 2020, but also by Hera’s financial solidity, which leaves room to manoeuvre with additional unforeseen investments. During the period covered by the Plan, in fact, a reduction is expected in the net debt/Ebitda ratio, reaching 2.8x by 2024. Business plan to 2024 Sede Hera 2013-08-28 For further information Business plan to 2024 /group_eng/investor-relations/hera-strategy https://investornews.gruppohera.it/en/?n=185 /-/hera-group-approves-business-plan-to-2024-1 Strategy and Business plan Newsletter: business plan to 2024 Press release bp2024_110x150.1610525461.jpg

Again in 2020, for the tenth year running, the Hera Group has been included among the top ten Italian companies in online communication and this year, for the first time, it also appears in the top ten European ranking. The study, published today in Corriere Economia, is conducted by Lundquist and the Swedish company Comprend, the two expert digital communication companies that annually examine the corporate websites of major Italian companies listed on the stock exchange, evaluating their communication strategies on the web ina ranking at national and European level. This year, the survey includes122 companies. In the 19th edition report, Hera placed 6th, in the category "5 Stars" in web communication, with a score of 82.2/100and ahead of large corporations such as Italgas, ERG, Mondadori and Intesa Sanpaolo. All results are available for viewing at this link. Among the strengths listed of the multi-utility company, the study names the detailed presentation of "Corporate Governance" and the "Careers" section, which are deemed particularly effective in communicating with the target audience. The Group was also recognised for its excellent performance in terms of transparencyof digital communication, which earned the Group's admission for the first time into the European ranking (Top 500), straight in at seventh place. Not only that: this edition of Webranking also included the "Palmares" ranking, which lists all the best-performing companies in the field between 2011 and 2020: here theHera Group comes in fifth with three silver and four bronzes in ten years. Regarding the question of sustainability, according to the study by Lundquist and Comprend, the Hera Group website offers "an interesting discussion dedicated to the importance of developing an Environmental, Social and Governance approach (ESG) in the financial sector, based on the results of dialogue with its stakeholders. Ample space is also given to sustainability issues within the section 'Investing in Hera', complete with links to pages for specific in-depth analysis". The health crisis triggered by the Covid-19 virus has also put corporate communication to the test, both in terms of its ability to react to the emergency itself and to recalibrate its vision of business for the future. For both these abilities, the Hera Group has been mentioned by Lundquist as ranking among the companies "to follow" with its dedicated area "Together to overcome this time of crisis", which keeps users constantly updated on all the initiatives put in place by the multi-utility company aimed at its customers and employees. Between the final phase of the lockdown and the first reopenings, the second edition of ".Trust" got well underway - Lundquist's research study which is actively focused on measuring how communication can generate trust and be an effective tool for business growth. This year, the Hera Group was mentioned (from among the 112 major Italian companies listed on the stock exchange that were analysed) in the section "Substance", which evaluates the ability to provide a unified view of the company and its purpose. Hera Group stands out in the detailed view of the company and its activities and for the completeness of the sections dedicated to sustainability. Download Whitepaper Webranking 2020-2021 Italy listed Webranking 2020 Sede Hera 2013-08-28 For further information Webranking 2020 In the Lundquist Webranking 2020 report on digital communication, the multiutility enters the European ranking for the first time, ranking seventh, and confirms itself among the top ten in Italy distinguishing itself for the detailed vision of the company and its activities, as well as for completeness and transparency in the communication field https://www.comprend.com/webranking/webranking-results/2020-2021/ https://lundquist.it/wp-content/uploads/2020/11/Webranking_Italy_2020_White_paper.pdf https://www.comprend.com/webranking/webranking-results/2020-2021/italy-2020-2021/ https://www.comprend.com/webranking/webranking-results/2020-2021/europe-500-2020-2021/ https://lundquist.it/trust/trust-italy-listed-2020/ To see the full results Download Whitepaper Italy listed 2020-2021 Take a look at the Italian ranking Take a look at the European ranking Read more about ".Trust" webranking2020_110.1606808028.png

The Hera Group has successfully placed a bond for qualified investors on the Eurobond market, with a nominal amount coming to 500 million euro and a 10-year maturity. This new issue immediately met with strong interest from investors in all main European countries. In a single day, orders were indeed received for 4 times the offer. Due to the quantity and quality of the orders received, the price was set at an excellent rate, equal to the Mid Swap Rate +60 basis points, and a coupon coming to 0.25%, the lowest amount for an Italian corporate bond with an equal length to maturity. The notes will be issued as part of the Euro Medium Term Notes Programme (updated on 24 November 2020 increasing to 3.5 billion euro the maximum principal amount of notes that may be simultaneously outstanding) and will be listed on the regulated market of the Irish Stock Exchange (Euronext Dublin) with a return set at 0.348%. The settlement is scheduled for 3 December 2020. The notes are expected to have the same rating as the Hera Group: Moody’s rating Baa2 with a stable outlook and Standard & Poor’s rating BBB with a positive outlook. The proceeds of the bond will be used to finance the Group’s investments in the waste management, water and energy sectors, which will introduce innovative interventions that follow up on the attention towards sustainability that has always characterized the Group’s activities. Sede Hera Sede Hera 2013-08-28 For further information Sede Hera Strong interest shown by investors towards a bond financing the Group’s projects, with orders amounting to over 2 billion. This positive reaction was fuelled by the Group’s solidity and its high sustainability profile, as recognised by its recent inclusion in the Dow Jones Sustainability Index /en/-/hera-new-500-million-euro-bond Press release sede_hera_110.1592478681.jpg

Dow Jones Sustainability Index The Hera Group has received yet another important recognition, rewarding a corporate strategy that brings growth in economic results together with sustainability and the shared value created for all stakeholders. Hera is the first Italian multi-utility to be included in the Dow Jones Sustainability Index (DJSI), one of the world’s most authoritative stock indexes that evaluates social responsibility. Managed by S&P Global, it selects the largest companies in the world based on the best sustainability performances in all areas of ESG (environment, social, governance). This achievement is all the more considerable considering that Hera has simultaneously become part of the worldwide (Dow Jones Sustainability World Index) and European (Dow Jones Sustainability Europe Index) indices, and especially its position as “Industry leader” out of the approximately 3,500 companies with the highest capitalisation across the world evaluated by the DJSI (of which only 10%, on average, succeeds in being included in the index). In particular, in this year’s ranking, announced Friday 13 November 2020 and effective as of 23 November 2020, Hera reached an overall score of 87/100, a result that ranks it as the best multi-utility globally. Compared to other companies in the index, Hera stood out above all for environmental and economic dimensions, and for its governance. Being included in the DJSI proves once again the quality of the approach taken by Hera since its establishment, 18 years ago. Sustainability is, indeed fully integrated in the Group’s strategies, as can be seen in its Business plans, which clarify the range of sustainability goals – circularity, decarbonisation and risk management – defined within each business area, through innovation, investments in asset resilience, marketing strategies, digitalisation, artificial intelligence and big data. Hera’s attention towards ESG factors, as seen in the continuous improvement of its management sustainability parameters, is accompanied by continuous growth in operating and financial results, a solid and constant cash generation, and a stability in governance unique in its sector, with top management confirmed by the Shareholders Meeting last April. All of these factors, even in this difficult year marked by the ongoing health emergency, have allowed Hera to continue creating value, benefitting all stakeholders and local areas served, guaranteeing efficiency and resilience and finding innovative solutions to sustain those experiencing difficulty, protect the environment and defend natural resources. Increased attention towards the Group’s sustainability came in March 2019, when Hera was included in the FTSE MIB. Considering the rising sensitivity to these issues shown by the financial community and many institutions, this year Hera stock was included in the FTSE4Good Index Series (a series of ethical indices conceived by FTSE Russell, to identify the world’s companies most committed to sustainable development) and the Refinitiv Thomson Reuters “Diversity & Inclusion Index”, coming in 12th worldwide and ranking as the first multi-utility overall. Dow Jones Sustainability Index 2013-09-25 For further information Dow Jones Sustainability Index Inclusion in one of the world’s most important stock market indices dedicated to evaluating social responsibility, as the leader of its own sector, comes as recognition for the Group’s attention towards sustainability and creating shared value for all stakeholders, pursued since its establishment documents/1928267/5647205/Press+release+Hera+best+multi+utility+in+DJSI.pdf/245fbe0b-0382-94a1-0601-da3fddbdeac5?t=1605618228680 /documents/1514726/4185843/DJSIComponentsWorld_2020_1_.1605518691.pdf/137624ef-4907-2953-da1a-4d951038968b?t=1605627821954 /documents/1514726/4185843/DJSIComponentsEurope_2020_1_.1605518692.pdf/9267933b-5b44-c30c-185b-09cbd44d3df5?t=1605627821514 /group_eng/investors /group_eng/sustainability/social-responsibility Press release See the list of companies included in the Dow Jones Sustainability World Index See the list of companies included in the Dow Jones Sustainability Europe Index Visit "Investors" area Visit "Social Responsibility" area centrata Dow Jones Sustainability Index