Transurban Corporate Report FY25 Governance and risk
Change in threat within FY25
Threat
Trend
Example management responses
Ensuring the safety and wellbeing of employees and contractors Due to the nature of some of (including significant weather events), employees, workers and other stakeholders could be exposed to harm or suffer wellbeing issues if business controls fail to be adequate. our work activities and operating environment
Positive HSE performance for FY25, roll out of enhanced wellbeing and psychosocial initiatives.
• Safety reporting and management systems that enable detailed analytics • Implementation of procedures for occupational violence and aggression and exposure to potentially traumatic events • Psychosocial Risk Steering Group and other HSE review meetings and forums • Contractor management and engagement to ensure implementation of Transurban critical risk minimum requirements • Ongoing development and implementation of the Transurban HSE culture including delivery of psychosocial working group, wellbeing initiatives and support services • HSE training and awareness including practical exercises • Proactive HSE observation and HSE Action Plan activities linked to employee performance KPI • Roll out of initiatives to foster a physically and psychologically healthy workplace • Regular internal and external HSE reviews of our HSE frameworks and management system • Implementation of CCAPs • Strategically prioritising talent growth and development opportunities • Workforce planning • Regular talent reviews and succession planning • Employee engagement, belonging and wellbeing initiatives • Strategic sourcing for agreed roles • Tactical strategies including resourcing, retention, performance and remuneration to support acquisition and retention of critical skills • Key industry partnerships/memberships • Annual pay equity reviews to identify and address any gaps in pay • Rating protections through Transurban’s predictable cash flow from established concessions, which are supported by embedded tariff escalations • Regular reporting of funding activities, performance against key metrics, compliance, operational issues/breaches • Annual review and approval of the Treasury Frameworks, Treasury Policy and Charter by the Board • Capital Strategy and annual review of the Funding Plan • Monthly reporting of compliance against debt limits, targets and covenants to ensure compliance with risk appetite • Debt book management • Stress testing of debt exposure based on market assumptions • Disciplined approach to opportunities • Effective management of costs, debt and balance sheet • Framework to prioritise our capital allocation and refreshing our Distribution Policy • Enhanced management of relationships, projects and obligations • Regular reviews to consider potential issues, identify/evaluate the likelihood of disputes emerging and adopt appropriate risk mitigation strategies • Maintain collaborative and proactive engagement with stakeholders
Inability to attract and retain the workforce capability required by the organisation for critical roles An inability to attract best talent as well as ensure that we retain the key critical people necessary to drive and grow Transurban’s business could lead to the unavailability of critical key roles or capabilities. Balance sheet management Volatility in interest rates, hedging and refinancing could impact financial exposure and funding for new projects.
Risk has reduced based on economic conditions.
Risk remains a focus in light of economic conditions to ensure that the existing business’ funding and market risks are appropriately identified and managed, as well as ensuring that the balance sheet is positioned to deliver on Transurban’s growth strategy.
Litigation challenges We may be adversely impacted by ongoing and potential court proceedings, disputes and claims arising from claims, including in relation to its construction projects. These types of matters are often highly complex with uncertain outcomes, and may take time to resolve or reach a final determination.
New Risk included to reflect recent litigation
outcomes and risk of potential future claims against or involving Transurban
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