MANAGEMENT’S REPORT ON FINANCIAL INFORMATION

Hydro-Québec’s consolidated financial statements and all the information contained in this Annual Report are the responsibility of Management and are approved by the Board of Directors. The consolidated financial statements have been prepared by Management in accordance with United States generally accepted accounting principles and take into account the decisions handed down by the Régie de l’énergie of Québec with respect to the transmission and distribution of electricity. They include amounts determined based on Management’s best estimates and judgment. Financial information presented elsewhere in the Annual Report is consistent with the information provided in the consolidated financial statements.

Management maintains an internal control system whose objective is to provide reasonable assurance that financial information is relevant and reliable and that Hydro-Québec’s assets are appropriately recorded and safeguarded. In particular, this system includes Hydro-Québec’s policies and directives, as well as the Code of Ethics applicable to all Hydro-Québec employees, which aim to ensure the proper management of resources and the orderly conduct of business, in compliance with the applicable laws and regulations. An internal audit process assists in evaluating the sufficiency and effectiveness of controls. Recommendations ensuing from this process are submitted to Management and the Audit Committee.

The Board of Directors approves the corporate governance rules. It assumes its responsibility for the consolidated financial statements through its Audit Committee, composed solely of independent directors, who do not hold full-time positions within Hydro-Québec or in one of its subsidiaries. The Audit Committee is responsible for recommending the consolidated financial statements to the Board of Directors for approval. The Audit Committee meets with Management, the independent auditors and the Vice President – Internal Audit to discuss the results of their audits and the resulting findings with respect to the integrity and the quality of Hydro-Québec’s financial reporting as well as its internal control system. The independent auditors and the Vice President – Internal Audit have full and unrestricted access to the Audit Committee, with or without Management present.

The 2022 and 2021 consolidated financial statements have been audited jointly by the Auditor General of Québec, KPMG LLP and Ernst & Young LLP.

/s/ Jacynthe Côté

/s/ Sophie Brochu

/s/ Jean-Hugues Lafleur Chair of the Board President and Chief Executive Officer Executive Vice President and Chief Financial Officer