Press Releases
06/01/2021
Governance and Sustainability System
Governance and Sustainability System
The Board of Directors of Avangrid, Inc. (“Avangrid”) oversees the management of Avangrid and its business with a view to enhance the long-term value of Avangrid. Avangrid is a wholly-owned subsidiary of Iberdrola. S.A. and a member of the group of companies controlled by Iberdrola, S.A. (the “Iberdrola Group”). The Board of Directors of Avangrid has approved a governance and sustainability system to assist in exercising its responsibilities to Avangrid and its stakeholders. The governance and sustainability system is subject to periodic review and modification by the Board of Directors from time to time. Avangrid’s certificate of incorporation, by-laws, corporate governance guidelines and other policies pertaining to corporate governance and regulatory compliance, risk, and social responsibility form the framework of governance of Avangrid and its subsidiaries.
Avangrid’s governance and sustainability system is inspired by and based on a commitment to ethical principles, transparency and leadership in the application of best practices in good governance and is designed to be a working structure for principled actions, effective decision-making and appropriate monitoring of both compliance and performance. The governance and sustainability system aligns with and further develops the principles contained in the Purpose and Values of the Iberdrola Group, the Foundations for the Definition and Coordination of the Iberdrola Gorup, and the Ethical and Basic Principles of Governance and Sustainability of the Iberdrola Group approved by the Board of Directors of Iberdrola, S.A. from time to time.
Avangrid Governance and Sustainability System [pdf], adopted April 9, 2025.
The Governance and Sustainability System of Avangrid, Inc. is formally structured into three books:
Book One – Corporate Organization
The corporate organizational documents are the fundamental components of Avangrid’s Governance and Sustainability System by which the Board of Directors governs and directs the affairs of Avangrid.
The following links provide access to the full text of the organizational documents in effect:
- Avangrid Restated Articles of Incorporation
- Avangrid Amended and Restated By-Laws
- Corporate Governance Guidelines
- Audit and Compliance Committee Charter
- Foundations for the Definitions and Coordination of the Iberdrola Group
Book Two – Corporate Policies
The policies outlined in book two serve the purpose of connecting ideas and values into modes, patterns, and standards of conduct. They provide a basis for management decisions in different areas and address issues as required by their specific characteristics.
Part I. Transparency and Good Governance
The transparency and good governance policies, developed in line with leading best practices, are applicable to the company's structure, organization and its overall character and scale.
Part II. Human and Social Credit
Avangrid, Inc.'s human and social credit policies are key to its sustainable development strategy. These include respecting human rights, ensuring equal opportunities, preventing harassment, promoting talent, supporting knowledge management, encouraging professional growth, and helping employees balance work and personal life.
- Human Rights Policy
- Sustainable Human Capital Management and Anti-Harassment Policy
- Equal Opportunity Policy
- Environmental, Health and Safety Policy
Part III. Natural Capital
Avangrid, Inc.'s natural capital policies showcase its leadership in sustainable energy through renewable sources, smart grids, electrification, efficiency, emission reduction, and digital transformation, all guided by a commitment to nature.
Part IV. Sustainable Value Chain
The policies related to the sustainable value chain include the fundamental pillars for the value chain to continue creating competitive advantages in the long-term that result in a greater contribution to society.
- Competition Policy
- Purchasing Policy
- Operational Resiliency Policy
- Iberdrola Brand Policy
- Corporate Reputation Policy
- Security Policy
- Personal Data Privacy Policy
- Policy on the Responsible Development and Use of Artificial Intelligence Tools
- Innovation Policy
- Quality Policy
- Digital Technology Policy
Book Three – Internal Audit, Risks and Compliance
As an essential element of the sustainable development strategy of Avangrid, Inc., the Governance and Sustainability System contains a robust regulatory framework relating to internal audit, the management of risks and corporate control and compliance, which responds to the most advanced requirements in these areas.
Part I. Corporate Risks and Control
The General Risk Control and Management Foundations of the Iberdrola Group establish a system to identify, prevent, and mitigate risks affecting Iberdrola, S.A. and its affiliates.
Avangrid, Inc.'s Basic Internal Audit Regulations, part of its Governance and Sustainability System, define the structure and responsibilities of the Internal Audit and Risk Division.
For consolidated financial and non-financial reporting, Iberdrola, S.A. follows subsidiarity and decentralized management principles. The Audit and Risk Supervision Committee's policy ensures auditor independence through clear rules on selection and qualifications.
- General Risk Control and Management Foundations of the Iberdrola Group
- Basic Internal Audit Regulations
- Iberdrola Group Financial and Non-Financial Information Preparation Policy
Part II. Compliance
Avangrid, Inc. has a solid and innovative track record in compliance, which it develops on the basis of regulatory requirements and best practices.
About Avangrid: Avangrid, Inc. is a leading energy company in the United States working to meet the growing demand for energy for homes and businesses across the nation through service, innovation, and continued investments by expanding grid infrastructure and energy generation projects. Avangrid has offices in Connecticut, New York, Massachusetts, Maine, and Oregon, including operations in 23 states with approximately $48 billion in assets, and has two primary lines of business: networks and power. Through its networks business, Avangrid owns and operates eight electric and natural gas utilities, serving more than 3.4 million customers in New York and New England. Through its power generation business, Avangrid owns and operates 80 energy generation facilities across the United States producing 10.5 GW of power for over 3.1 million customers. Avangrid employs approximately 8,000 people and has been recognized by JUST Capital as one of the JUST 100 companies – a ranking of America’s best corporate citizens – in 2025 for the fifth consecutive year. The company was named among the World’s Most Ethical Companies in 2025 for the seventh consecutive year by the Ethisphere Institute. Avangrid is a member of the group of companies controlled by Iberdrola, S.A. For more information, visit www.avangrid.com.
About Iberdrola: Iberdrola is one of the world's biggest energy companies and a leader in renewables, spearheading the energy transition to a low carbon economy. The group supplies energy to almost 100 million people in dozens of countries. With a focus on renewable energy, smart networks and smart solutions for customers, Iberdrola’s main markets include Europe (Spain, the United Kingdom, Portugal, France, Germany, Italy and Greece), the United States, Brazil, Mexico and Australia. The company is also present in growth markets such as Japan, Taiwan, Ireland, Sweden and Poland, among others.
With a workforce of nearly 40,000 and assets in excess of €141.7 billion, across the world, Iberdrola helps to support 400,000 jobs across its supply chain, with annual procurement of €12.2 billion. A benchmark in the fight against climate change, Iberdrola has invested more than €130 billion over the past two decades to help build a sustainable energy model, based on sound environmental, social and governance (ESG) principles.
