CenterPoint Energy Inc.
CNP.US | Electric power generation, transmission and distribution
CenterPoint Energy, Inc. is a domestic energy delivery company that provides electric and natural gas services. It operates through the following segments: Electric, Natural Gas, and Energy Services. The Electric segment includes the company's electric transmission and distribution services to the H...Show More
Better Health for All
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CenterPoint Energy's core services, electric and natural gas delivery, have a net positive health impact. The Systemwide Resiliency Plan, announced in January 2025, aims to reduce outage impacts by over 1.3 billion minutes through 2029, ensuring continuous power supply that indirectly supports public health.
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The company also aids workforce development for energy efficiency in Minnesota, promoting healthier living environments.
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Regarding health externalities, residents of Galena Park expressed concerns in August 2023 about potential health risks from a nearby substation; CenterPoint Energy responded by building a concrete wall and relocating distribution poles.
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The company's revenue is not derived from products with direct negative health impacts.
Fair Money & Economic Opportunity
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CenterPoint Energy is an energy delivery company providing electric and natural gas services, not a financial institution. The ethical value 'Fair Money & Economic Opportunity' specifically evaluates companies that lend, insure, move, or store money, and how they democratize access to fair financial services. CenterPoint Energy does not offer consumer lending, deposit, or other financial products. Its programs, such as the Customer Assistance Fund, Share the Warmth, and Gas Affordability Program, are focused on helping customers manage energy costs and weatherize homes, which are related to its core utility business. Similarly, its grants to non-profit organizations and supplier diversity initiatives, while beneficial for communities, do not fall under the scope of financial products or services as defined by this ethical value.
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Fair Pay & Worker Respect
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CenterPoint Energy's unionized employees, represented by Local 66 of the International Brotherhood of Electrical Workers, approved a new three-year contract in October 2023, effective May 26, 2023.
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The agreement includes a 6% pay increase in the first year, followed by 4% and 3.5% increases in subsequent years.
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It modified sick leave policies, introducing unpaid leave for the first five sick days annually for new employees starting January 2024, and eliminated a 3% annual bonus.
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Approximately 80% of union members voted in favor.
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The company emphasizes diversity and inclusion, with its workforce being 36% racially and/or ethnically diverse as of December 31, 2021.
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It has established Employee Resource Groups
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and promotes supplier diversity.
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In July 2024, workers faced threats and violence from the public during power restoration efforts.
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A utility worker filed a lawsuit in May 2019 alleging negligence after a fall from a company utility pole.
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A former employee filed a lawsuit in August 2018 alleging age and gender discrimination.
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Fair Trade & Ethical Sourcing
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CenterPoint Energy has implemented a Supplier Diversity Program to engage diverse suppliers, including minority-owned, women-owned, veteran-owned, and small businesses
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. The company requires major suppliers to support its supplier diversity spend goals
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. It actively promotes supplier diversity by participating in diversity councils, sponsoring trade shows, networking events, educational workshops, and scholarships for diverse suppliers
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. The company also engages in supplier mentoring and partners with prime suppliers for Tier 2 business opportunities
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. Furthermore, CenterPoint Energy has established an Ethics and Compliance Code of Conduct for consultants, contractors, suppliers, and vendors, which outlines expectations for compliance with labor, employment, and human rights laws, and a zero-tolerance policy for workplace violence
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. An Ethics and Compliance Concerns Helpline is also available
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.
Honest & Fair Business
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In November 2024, the Public Utility Commission of Texas initiated an audit of the company following criticisms
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, including allegations of overcharging customers by approximately $100 million annually
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and spending $800 million on unused mobile generators
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. Additionally, in March 2024, a company lobbyist was accused of ghostwriting public comments to promote gas appliance rebates
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. The company states it has an Ethics and Compliance Code that applies to all directors, officers, and employees
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.
Kind to Animals
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CenterPoint Energy's core business as an energy delivery company means that many animal welfare metrics, such as cruelty-free certification, animal testing, ethical ingredient sourcing, and animal agriculture practices, are not applicable to its business model. The company does not produce products requiring such assessments. However, the CenterPoint Energy Foundation partnered with the Coastal Prairie Conservancy to conserve vital coastal prairie in southeast Texas, emphasizing wildlife habitat preservation.
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CenterPoint Energy has also collaborated with Great River Greening since 2000, donating $150,000 for land restoration projects, including converting lawns to pollinator gardens to support biodiversity.
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In 2021, the foundation contributed $1 million to environmental organizations for initiatives like restoring the Mississippi River and planting 9,000 trees.
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In 2016, the company addressed an incident where a contractor struck a family's dogs by apologizing, covering veterinary costs, and reinforcing safety protocols.
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No War, No Weapons
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CenterPoint Energy's core business is electric and natural gas services.
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The company explicitly states it does not manufacture weapons or engage directly in military contracts.
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However, it has been involved in supplying natural gas to U.S. military installations through contracts, including a $17.68 million contract in April 2019
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, an $11.8 million contract in 2017
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, and an Indefinite Delivery Contract with a ceiling value of $28.9 million in July 2023.
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These activities are considered minor defense-adjacent services. There is no evidence of the company having exposure to controversial or banned weapons.
Planet-Friendly Business
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CenterPoint Energy has set a target to achieve net-zero greenhouse gas emissions by 2035
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, supported by an Integrated Resource Plan to phase out coal-fired generation by 2027
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. Regulators approved a $106 million clean energy plan in Minnesota
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, which includes 17 pilot projects like renewable natural gas procurement and green hydrogen blending
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, projected to reduce or avoid 1.2 million tons of carbon emissions
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. Additionally, the company received approval for 335 MW of solar energy projects in Indiana
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. However, CenterPoint Energy was fined $125,000 for a violation related to carbon monoxide handling
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.
Respect for Cultures & Communities
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CenterPoint Energy implements a Biodiversity Management Policy that includes assessing proposed facility locations to identify sensitive areas and avoiding culturally sensitive areas when feasible
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. The company also maintains a supplier diversity program, engaging with advocacy organizations to support minority business enterprise development
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. Its Community Relations program supports educational, civic, social, and environmental initiatives
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, with employees contributing approximately 100,000 volunteer service hours annually
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. However, in 2023, residents of Southwest Crossing, Houston, reported that a gas storage plant and proposed pipeline disrupted their community
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, leading to mental health struggles and environmental justice concerns
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. Residents also expressed worries about the lack of adequate consultation regarding this infrastructure development
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.
Safe & Smart Tech
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CenterPoint Energy experienced a significant data breach in May 2023, with 3 million customer names and addresses potentially leaked and posted on a cybercriminal forum.
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An investigation into this incident began in January 2025.
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This breach and the ongoing investigation contribute to a score of -80 for data breach severity and -80 for regulatory compliance, indicating potential compliance gaps. For AI ethics, the company has an AI Steering Committee providing strategic direction and oversight
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, and its Audit Committee oversees AI risks
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, with employees receiving regular training on AI.
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All employees and contractors are required to complete annual privacy and information security training
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, which includes monthly phishing simulations, remedial response steps for failures, and phishing campaign results tied to incentive programs.
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Users have strong data control options, including rights to access, correct, delete, transmit, and opt out of targeted advertising, profiling, or data sale.
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The company retains personal information as long as needed for its purposes
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and maintains records retention policies and schedules
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, aligning with standard data minimization practices.
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Zero Waste & Sustainable Products
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CenterPoint Energy has implemented multiple waste reduction initiatives, including comprehensive waste management and recycling programs across its operations for various waste streams such as paper, plastic, electronic waste, and scrap metal.
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The company has recycled nearly 80% of fly ash generated since 2010 and nearly 100% of synthetic gypsum produced since 1996 at its generation facilities.
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A significant initiative involved recycling over six million tons of coal ash for cement manufacturing.
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In March 2023, a pilot project was launched to capture carbon dioxide emissions from natural gas water heaters and boilers, converting them into potassium carbonate for soap production.
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Additionally, a subsidiary's Waste Heat-to-Power project eliminates 12,700 tons of CO2 emissions annually.
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The company has set company-wide targets to reduce emissions by 70% from 2005 levels by 2035, with further reductions in customer-related emissions by 2040.
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