At a corporate level we have developed a workstream assessing the implications of megatrends, including a number of climate-related trends such as the transition to a zero-carbon economy, the growth of renewable energy, electric and autonomous vehicles. Each of our sites also assesses its risks on a quarterly basis. The outcomes of these processes come together in the development of a five-year rolling strategy at segment level.

Overall, our assessment is that our biggest risk is not carbon itself – we have developed a number of technologies to reduce our carbon emissions – but carbon policy that does not incentivise investment in long-term solutions. We consider the EU Emissions Trading Scheme (ETS) an example of a system that is not delivering the climate change progress for which it was designed – as discussed below.