Climate Change Scenario Analysis Based on the TCFD Recommendations

「Among the items assigned a high importance rating in the assessment of identified risks and opportunities, the Company quantitatively estimated the business impact within the “scope” of society in 2030 for items for which objective forecasts under temperature-rise scenarios were publicly available. No significant change from the previous year's estimate was identified.」

「In FY2023, the Company identified and assessed the importance of potential climate-related risks and opportunities for its railway, real estate and distribution businesses, as well as for the tram business of 阪堺電気軌道㈱, the bus businesses of 南海バス㈱, 関西空港交通㈱ and 南海ウイングバス㈱, and the shipping business of 南海フェリー㈱, in addition to the businesses of the Company, 泉北高速鉄道㈱, 南海不動産㈱ and 南海商事㈱.」

「Taking into account the scale of business impact and other factors, the Company assigned a high importance rating to “carbon prices and carbon-emission targets and policies in each country” and “electricity and fuel prices and changes in the energy mix” as transition risks and opportunities associated with the transition to a decarbonized society. It also assigned a high importance rating to “increasing severity of extreme weather events” as a physical climate-related risk and opportunity. The analysis was conducted under 1.5–2°C and 4°C scenarios.」