Diverse businesses benefit from receive nearly $1 billion in contracts
SAN DIEGO, March 10, 2022 –San Diego Gas & Electric purchased nearly $1 billion in goods and services from diverse business enterprises in 2021. More than half (56%) of SDG&E’s diverse business expenditures, or $525 million, were with local companies in the San Diego region. And approximately 90% of SDG&E’s diverse suppliers are located in California, further helping to grow California’s economy, which currently is the fifth largest in the world.
Highlights from all diverse spending categories and interviews with key suppliers can be found in SDG&E’s newly released annual supplier diversity report.
“Our company’s long-standing commitment to supplier diversity is stronger than ever, particularly as we look to support an equitable economic recovery from the pandemic,” said SDG&E CEO Caroline Winn. “This commitment reflects our customers, employees and the communities we serve and truly enhances our ability to remain competitive while contributing to the local economy.”
SDG&E’s supplier diversity program is part of its broader commitment to environmental, social and governance best practices, and reflects one of the company’s core values, which is to champion people by creating opportunities through diversity, equity and inclusion.
“If more of the region’s anchors and large employers follow in SDG&E’s footsteps in adopting or expanding their supplier diversity programs—especially focused on small, local and diverse businesses—San Diego would see significant economic impact and quality job creation,” said Mark Cafferty, president and CEO of the San Diego Regional Economic Development Corporation (EDC).
Overall, SDG&E infused $2.4 billion into the economy last year, the highest level of expenditures on goods and services in the company’s 140-year history. Of that amount, $936 million went to small and diverse suppliers, representing 39.1% of the total expenditures – far exceeding the 21.5% goal set by the California Public Utilities Commission’s (CPUC).
Diverse suppliers support SDG&E’s key business areas such as electric and gas construction and operations. One reason for SDG&E’s success is its Ambassadors for Excellence program. More than 340 SDG&E employees play a significant role in seeking out, training and mentoring new diverse suppliers to ensure they are competitive and able to grow into prime roles. The goal is to expand the program to 500 employees by year end.
Here is a breakdown of SDG&E’s 2021 spending by diverse business categories:
- Minority Business Enterprise: $461.2 million or 19.3%
- Women Business Enterprise: $355.2 million or 14.8%
- Service-Disabled Veteran Business Enterprise: $110.3 million or 4.6%
- Lesbian, Gay, Bisexual, Transgender Business Enterprise: $9.3 million or 0.4%