Transurban FY26 Corporate Report Section C: Strategy
Significant uncertainty relates to how investor, customer and community preferences may evolve and influence demand, pricing and access to capital; challenges in forecasting long-term changes in transport demand, modal shifts and network utilisation; interdependencies among regulatory, economic and social factors; and limitations in the availability of reliable data to support modelling of long-term transition impacts. The Group continues to monitor these risks and will refine its analysis as data availability, methodologies and external conditions evolve. Assets vulnerable to transition risks As at the reporting date, the Group's asset base, including assets held through joint ventures, is not a significant source of Scope 1 and Scope 2 greenhouse gas emissions. Most climate-related transition risk arises from upstream value chain activities, particularly hard-to- abate construction materials such as cement, steel and asphalt, as well as downstream value chain activities, including customer emissions.
The Group may face broader transition risks over time as changes in climate policy, evolving stakeholder and market expectations, and increasing decarbonisation pressures may influence its costs or revenue. These factors may affect participants across the value chain, particularly in relation to emissions-intensive materials and associated supply chain activities. 100% of the Group's concession assets, including those held through joint ventures, may be exposed to potential long-term changes in mobility patterns. Such changes are recognised as a transition risk to the extent that climate-related changes in policy, and/or consumer preferences could influence the transport system, including changes in mode share, travel demand and network utilisation. However, no differentiated transition risk profiles have been identified by asset or region at this stage, reflecting the high degree of uncertainty associated with the timing, extent and nature of any such changes.
Climate-related transition opportunities
O1 Deliver value for stakeholders through climate risk management
O2 Low carbon transport solutions enabling continued growth and operating efficiency
Time horizons 1 Short
Medium
Long-term
Short
Medium
Long-term
Climate- related
Proactive climate risk management and collaborative innovation may contribute to improved business resilience and performance, support stakeholder confidence, enhance reputation, and enable better outcomes for communities and future developments.
Investment in emissions reduction initiatives and low carbon transport solutions including smart traffic systems may support operating efficiency, innovation and future infrastructure opportunities.
opportunity description
Primary areas of climate opportunity exposure across the business model and value chain
Upstream
• Opportunity identification • Funding
• Opportunity identification • Funding • Project design, delivery and construction
Own operations
• Operations and management • Tolling and revenue collection • Technology and innovation • Sustainability and environmental management • Corporate enablement functions • Customer service and management • Stakeholder engagement • End-of-life asset management / concession handover • Improved asset and operational resilience may support service reliability, operational efficiencies and long-term asset performance. • Climate resilience requirements may create opportunities for new projects, services and infrastructure solutions. • Effective climate risk management may support access to funding, customer demand, stakeholder confidence and community trust.
• Operations and management • Tolling and revenue collection • Technology and innovation • Corporate enablement functions
Downstream
• Customer service and management • Stakeholder engagement • End -of-life asset management / concession handover • Efficiency improvements and technology adoption may reduce operating and maintenance costs. • Collaboration on low carbon technologies may support development opportunities, operational performance and emissions reduction objectives. • Climate-related capabilities may support participation in infrastructure development and concession opportunities.
Potential business impacts
1 No material financial effects have been observed in the current period or are anticipated in the short to medium-term. There is potential for anticipated financial effects to increase over the long-term.
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