Appendix – Taskforce on Climate related Financial Disclosure (TCFD)

Threats: International agreements and national, regional and state legislation and regulatory measures or other restrictions on emissions of greenhouse gases could affect our clients. Such legislation or restrictions could increase the costs of projects for us and our clients or, in some cases, prevent a project from going forward, thereby potentially reducing the need for our services that could in turn have a material adverse effect on our operations and financial condition. We cannot predict when or whether any of these various legislative and regulatory proposals may become law or what their effect will be on us and our customers.

Mitigation: We maintain a watching brief across all our sovereign areas of our operations using a number of electronic trackers, search alerts and professional institutional briefings to anticipate and respond to emerging Regulation and Policy changes related to Sustainability, Compliance and Climate Related matters. Active and passive measures are in place to support legal changes. Climate activities by competitors are gathered and analyzed. Relevant developments are highlighted and escalated to the Sustainability Manager within Corporate as a common single source of truth.

Opportunities: Alternatively, these regulatory measures could also increase market and existing customer demand for our sustainable solutions, such as energy efficiencies, energy transition, decarbonization and climate and sustainability advisory services.

Threats: Continued attention to issues concerning climate change or other environmental matters may result in the imposition of additional environmental regulations that seek to restrict, or otherwise impose limitations or costs upon, the emission of greenhouse gases. International agreements and national, regional and state legislation and regulatory measures or other restrictions on emissions of greenhouse gases could affect our clients. Such legislation or restrictions could increase the costs of projects for us and our clients or, in some cases, prevent a project from going forward, thereby potentially reducing the need for our services that could in turn have a material adverse effect on our operations and financial condition. Additionally, emerging regulations and legislative changes may affect us directly and impose significant operational costs. We cannot predict when or whether any of these various legislative and regulatory proposals may become law or what their effect will be on us and our customers.

Mitigation: as above

Opportunities: Alternatively, these regulatory measures could also increase market and existing customer demand for our sustainable solutions, such as energy efficiencies, energy transition, decarbonization and climate and sustainability advisory services.

Threats: Litigation could be brought about by clients, insurers, investors or shareholders for our potential failure to mitigate climate change and or provide insufficient or inaccurate details on our climate related disclosures.

Mitigation: Development of robust data collection systems and controls to ensure accurate and auditable climate related disclosures across the value chain.

Threats: Changing customer behavior

Mitigation: We are addressing market risk by continuing to advance our planned core strategic focus bringing clean tech innovation and solutions to market through our Sustainable Technology and Government Solutions.

Opportunities: We are supporting and guiding our customers’ decarbonization, emission reduction and energy transition objectives with capital from these markets.

Threats: Investor and societal expectations with respect to environmental, social and governance matters have been rapidly evolving and increasing. We risk damage to our reputation if we do not act responsibly in key areas including environmental stewardship. A failure to adequately meet stakeholders’ expectations may results in loss of business, diluted market valuation, an inability to attract and retain customers and talented personnel, increased negative investors sentiment toward us and/or our customers, and the diversion of investment to other industries, which could have a negative impact on our stock price and our access to and costs of capital.

Threats: Climate change related events, such as increased frequency and severity of storms, floods, wildfires, droughts, hurricanes, freezing conditions and other natural disasters, may have an immediate impact on our business, financial condition and operations. We are proactively seeking measures to mitigate our business risks associated with climate change, as we recognize that there are innate climate related risks regardless of where and how we conduct our businesses. As such, a potential disruption to our and our customer's businesses from a natural disaster may cause us to experience work stoppages, project delays, financial losses and additional costs to resume operations such as increased insurance costs or loss of coverage, legal liability and reputational damage.

Mitigation: We currently measure climate and weather-related impacts on our operations by sector and by country. These are rolled up into an overall Health, Safety, Security and Environment (HSSE) dashboard with trend analysis being performed by at least two areas of our business. This provides increased visibility for forecasting potential issues by geography and industry type.