At Hydro, we manage operational costs while continuing to deliver safe, reliable electricity. In a complex and evolving energy environment, this means finding more efficient ways to operate without compromising service or safety.

A key part of this work includes leveraging partnerships and continuing to invest in key technology. By enhancing how we monitor, maintain and operate our system, we are improving performance while reducing long-term costs for customers.

Leveraging Partnerships to Reduce Costs

Hydro works with government and industry partners to secure better value through procurement. Joint purchasing initiatives and centralized agreements deliver savings across services, equipment and operations, while improving consistency and reducing administrative costs.

In 2025, Hydro:

• Participated with Government in an Atlantic Canadian consortium to secure better rebates and interest rates on purchasing cards.
• Utilized a centralized business account with wholesalers to realize cost savings through discounts, rebates and reduced shipping costs.
• Partnered with the federal government to leverage better rates and contractual terms on security contracts for Hydro facilities.
• Participated in a strategic purchasing initiative for Managed Print Services led by the Newfoundland and Labrador Public Procurement Agency, resulting in lower costs on device acquisition, supplies, and service agreements.
• Partnered with Government and other entities to leverage better rates and contractual terms for general procurement and fleet management activities.

Our teams are always working with our customers in mind.

Working Smarter

Technology is a core investment. In recent years, we have expanded secure remote access and digital collaboration tools, enabling employees to support operations from virtually anywhere. Many field and control functions can now be monitored, assessed and adjusted remotely.

For example, we have an on-going pilot where teams can access generation assets in Labrador in real time, reducing travel, response times and associated costs. These capabilities also support earlier issue detection, helping prevent minor concerns from escalating.

Safer, More Efficient Processes

Our teams are always looking for ways to improve the way we work. To assess assets more efficiently and safely, we’re modernizing some of our inspections using remotely operated and autonomous technologies, such as drones and inspection vehicles.

These tools reduce costs, limit personnel exposure to challenging conditions. They also enable faster inspections, even in remote or harsh weather conditions, while improving data collection.

This improved data supports better decision-making, allowing our crews to carry out proactive maintenance to avoid costly emergency repairs, reduces outage risk and extends asset life.

Overall, investments in digital tools and processes are improving our system visibility, coordination and workforce efficiency, supporting faster responses and better decisions.

Together, these efforts are making a significant impact on our efficiency and long-term sustainability. By investing wisely today, we’re managing costs while strengthening our ability to deliver reliable, least-cost service now and into the future.

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