Orano - Annual Activity Report 2024 147 SUSTAINABILITY STATEMENT 4 Environmental information Transition risk The transition to a low-carbon economy involves vast political, legal and technological changes, as well as in the functioning of energy markets in order to limit the effects of climate change on human activities. Depending on the nature, speed and direction of the decisions, the impacts of the transition represent short- and medium-long-term challenges, sometimes risks but primarily opportunities that Orano must anticipate. Due to the nature of its activities, which deliver low-carbon, controllable, competitive and safe electricity, the effects of climate change are mainly opportunities for Orano, in terms of transition. The contribution of Orano’s activities to a low-carbon world is reflected in the historical choice of its strategic priorities, one of the pillars of which is Climate. This commitment is reflected today in its purpose, and concretely in the investments in Research and Development and in innovation dedicated to decarbonization and resource-saving technologies. The categories of transition risks and opportunities presented below are based on the framework proposed by the TCFD (Task Force on Climate-Related Financial Disclosures), which defines major families of climate risks and opportunities. This analysis fed into the identification and rating of climate change-related IROs. It will be updated in 2025 SUMMARY OF THE RESULTS OF THE RISK AND OPPORTUNITY ASSESSMENTS AT 10 YEARS Issue Description Policies Opportunities Increase in the price of CO2 in the various markets, favoring de facto nuclear power Decrease in borrowing costs resulting from States’ financial support for nuclear Risk Deterioration of international relations (migration of populations, tensions over strategic materials necessary for the transition) Market Opportunity Increased demand for uranium, driving up front end commodity prices Reputation Opportunities Attractiveness of nuclear energy as part of recycling, the fight against global warming and waste management Attractiveness of the sector in terms of human resources, due to greater implementation Technology Opportunities Development and implementation of new nuclear technologies: multi-recycling, reprocessed uranium, innovative new fuels, reduction of waste toxicity, molten salt reactors / Development of technologies that can replace nuclear power (solar, wind, hydrogen, batteries, etc.), but potential new business opportunities Risk Tensions on the supply of materials necessary for the activity (production stoppage, increase in costs, conflicts of use) Regulations and legal Risk Incremental regulation guided by zero risk limiting innovation To address all of the impacts identified above, Orano has envisaged, in its strategic discussions and in its risk management, responses adapted to the issues that either minimize risks or seize opportunities.
RkJQdWJsaXNoZXIy NzMxNTcx