In our DMA, we have identified and assessed our impacts on the environment and society as well as the sustainability-related financial risks that we are exposed to and the opportunities we leverage. In total, 40 impacts, risks, and opportunities (IROs) have been assessed as material, comprising of 7 positive impacts, 23 negative impacts, 8 risks, and 2 opportunities. A high-level outcome of our DMA is shown in the matrix, aggregated per ESRS topic. Seven ESRS topics are material to Ørsted, with six of these topics having 'double materiality', i.e. they have both material impacts and financial risks or opportunities. Climate change (E1), biodiversity and ecosystems (E4), resource use and circular economy (E5), and affected communities (S3) are our most material sustainability matters, and the IROs within these topics are closely linked to our strategic aspiration to be the world’s leading green energy major.

Our material sustainability-related impacts, risks, and opportunities (IROs) across our full value chain include:

Positive impacts:

1. Renewable energy deployment (E1)
2. Local jobs and educational opportunities (S3)

Negative impacts:

1. Natural resources exploitation and land-use and freshwater-use change (E4)
2. Habitat loss from land degradation (E4)
3. Species population size decrease, and extinction risk increase (E4)
4. Use and depletion of virgin materials (E5)
5. Pollution from mining may affect communities’ health (S3)
6. Indigenous Peoples’ rights and livelihoods possibly disrespected or disrupted by suppliers (S3)

Sustainability-related risks:

1. Climate-related transition risks due to changes in political support (E1)
2. Climate-related physical risks (E1)
3. Dependence on scarce critical raw materials (E5)
4. Increased voluntary turnover (S1)
5. Possible supplier misconduct concerning forced labour (S2)
6. Local communities’ resistance and concerns (S3)
7. Increasing local content and social impact requirements in tender processes (S3)
8. Consent of Indigenous communities (S3)

Sustainability-related opportunities:

1. Renewable energy deployment (E1)
2. Biodiversity restoration, research, and innovation initiatives (E4)