MENU PLACES PEOPLE PARTNERS PERFORMANCE PERFORMANCE (ENVIRONMENT) (ECONOMIC) Governance Strategy Risk Management Metrics and Targets Heat map showing the estimated annual impact of climate-related risks and opportunities under different climate scenarios in 2030 Risks Opportunities Risk / Opportunity Driver 1.5°C 2°C 3°C 1.5°C 2°C 3°C Scenario Scenario Scenario Scenario Scenario Scenario Tightened building energy codes and guidelines Introduction of carbon pricing in operating markets More stringent public disclosure requirements Increased market demand for climate resilient properties Increased market demand for green and energy efficient properties Increased tenant demand for energy efficiency and data transparency Growing investor demand for green and low- carbon finance and investment Potential increase in insurance premiums Increased exposure to reputation and litigation risks Greater adoption of low-carbon construction materials Utility supply and cost Increased adoption of green and low-carbon technology Increased adoption of renewable energy Risk level Lower risk Moderate risk Higher risk Lower opportunity Moderate opportunity Higher opportunity Not applicable Analysis shows that our current business and sustainability strategies will allow us to effectively manage the identified transition risks and capture opportunities from the transition to a net-zero economy. These strategies include: • Our 1.5°C-aligned science-based targets to drive aggressive near-term decarbonisation across our global portfolio, paving the way to achieve net-zero emissions before 2050. • Investment in and development of certified green buildings with best-in-class energy efficiency and climate resilience. • Investment in renewable energy adoption throughout our portfolio. • Wide application of innovative green and low-carbon technologies. • Commitment to green financing. • Engaging our supply chain, tenants and relevant stakeholders in climate resilience and sustainability. SUSTAINABLE DEVELOPMENT REPORT 2022 236