The Board of Directors of Avangrid, Inc. (the “Company” or “AVANGRID”) oversees the management of AVANGRID and its business with a view to enhancing the long-term value of AVANGRID for its shareholders. AVANGRID’s corporate governance 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 Company’s By-Laws, the corporate policies, the internal corporate governance rules and the other internal codes and procedures approved or adopted by AVANGRID's Board of Directors form the framework of governance of AVANGRID. AVANGRID’s corporate governance system is periodically reviewed by the Board of Directors, and is subject to modification from time to time.
AVANGRID is a member of the Iberdrola group of companies, of which Iberdrola, S.A. is the controlling member. Reflecting the Purpose and Values of the Iberdrola group, the Iberdrola corporate governance system articulates the rules and principles governing the organization, operation, and conduct of Iberdrola group. The structure of the Iberdrola group and its governance and organizational model, supervision and coordination are further defined in the Policy for Definition and Coordination of the Iberdrola Group and Foundations of Corporate Organisation approved by the board of directors of Iberdrola, S.A. Premised on a decentralized structure, Iberdrola, S.A. is responsible for the organization and strategic coordination of the Iberdrola group with the management of each Iberdrola group company vested in such company’s board of directors. The Iberdrola corporate governance system provides a special framework of strengthened autonomy for members of the Iberdrola group that are listed on a national stock exchange that empowers such companies to further develop their own corporate governance system.
AVANGRID’s corporate governance system reflects, is consistent with, and further develops the main principles and policies that constitute the corporate governance system of Iberdrola, subject to certain exceptions, additions, and modifications required for publicly listed companies in the United States.