Sempra is a holding company operating regulated utility businesses in California and Texas, plus infrastructure investments internationally. Through San Diego Gas & Electric and Southern California Gas Company, it provides electric and natural gas service to millions of customers in Southern California; through equity investments in Oncor and Sharyland, it participates in regulated electric distribution in Texas. The company also holds interests in liquefied natural gas infrastructure projects and natural gas operations in Mexico and South America. Sempra generates revenue primarily through cost-based rate regulation, where utilities recover operating costs and earn regulated returns on capital invested in serving residential, commercial, and industrial customers, as well as from LNG export and pipeline transportation services.