For these reasons, we also do not expect alignment of our economic activities with the delegated act on climate objectives to change significantly in the future. However, a small increase in CAPEX and OPEX alignment may be expected in eligible economic activities such as construction of new buildings and production facilities (CCM/CCA 7.1), building renovation measures (CCM/CCA 7.2), energy efficiency initiatives at our facilities (CCM/CCA 7.3), installation of onsite renewable energy capacity (CCM/CCA 7.6) and electrification of our car fleet (CCM/CCA 7.4) which are actions we will take to ensure we meet our near- and long-term climate targets.

Impact GN has a material impact on climate change through the emission of GHGs from activities in our own operations and in our value chain. For a quantification of this impact, refer to our GHG accounting under ESRS E1-6 on pages 74-75. While we have identified several climate-related physical and transition risks to our business, we do not assess any of these to be material from a financial perspective. None of our assets or business activities are considered incompatible with or need significant efforts to be compatible with a transition to a climate-neutral economy, for example due to significant locked-in GHG emissions or the requirements for alignment to the EU Taxonomy requirements.