Texas HB 5247 signed; Oncor (Sempra sub) UTM to improve ROE 50-100 bps

SEMPRA

Texas HB 5247 signed June 20, 2025; establishes unified tracker mechanism (UTM) for qualified ERCOT electric utilities.
Oncor (80.25% owned by Sempra) expects to qualify; UTM allows annual interim rate adjustments for T&D capital costs.
UTM expected to improve Oncor's earned annual ROE by approximately 50 to 100 basis points compared to existing trackers.
Oncor plans first UTM filing in H1 2026; will immediately begin recognizing accrued revenues and regulatory asset for eligible costs placed in service after Dec 31, 2024.
Sempra affirms 2025 and 2026 GAAP and adjusted EPS guidance ranges; impact expected within those ranges.

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