The affected communities in scope of this disclosure are limited to (i) communities living or working around the wind farms which are impacted directly or indirectly through our construction and development operations and (ii) communities of indigenous peoples. These impacts affect communities near our wind power project development and construction activities and are all systemic in nature due to our business model.

The affected communities in scope of this disclosure are limited to (i) communities living or working around the wind farms which are impacted directly or indirectly through our construction and development operations and (ii) communities of indigenous peoples. These impacts affect communities near our wind power project development and construction activities and are all systemic in nature due to our business model.

Building and maintaining a sound relationship with affected communities is important to Vestas. We strive to reduce our material impacts on communities with which we may be involved and seek to enhance positive opportunities.

We identify and manage any material actual or potential impacts on affected communities through our human rights based approach. On a corporate level, we conduct our Corporate-Wide Human Rights Assessment, while Vestas conducts project-level social due diligence on certain projects in scope. Our 2024 double materiality assessment identified two key impacts related to affected communities: negative land-related impacts and negative impacts on the right to Free, Prior, and Informed Consent of indigenous and tribal peoples.

The affected communities in scope of this disclosure are limited to (i) communities living or working around the wind farms which are impacted directly or indirectly through our construction and development operations and (ii) communities of indigenous peoples. These impacts affect communities near our wind power project development and construction activities and are all systemic in nature due to our business model.

We identify and manage any material actual or potential impacts on affected communities through our human rights based approach. On a corporate level, we conduct our Corporate-Wide Human Rights Assessment, while Vestas conducts project-level social due diligence on certain projects in scope. Our 2024 double materiality assessment identified two key impacts related to affected communities: negative land-related impacts and negative impacts on the right to Free, Prior, and Informed Consent of indigenous and tribal peoples.

The primary use of water in Vestas' operations is for domestic purposes, with a low environmental impact compared to other industrial companies. Despite this, operational presence in water-scarce regions may stress local water resources. Using third-party software and geospatial mapping, Vestas identified water consumption in eight manufacturing facilities in regions facing high or extreme water stress, with 18 sites exposed to such stress. In total, 86.3 percent of water consumption is from areas with high or extreme water stress, impacting own operations in the short term. Climate change can lead to water scarcity, but renewable energy helps reduce fossil fuel dependence and mitigate climate change effects.

Vestas' primary water consumption is for domestic purposes, with a low environmental impact. However, presence in water-scarce regions may stress local resources. Using geospatial mapping, Vestas identified water consumption in eight manufacturing facilities in regions with high or extreme water stress, and 18 sites exposed to such stress. 86.3 percent of total water consumption is from these areas, impacting own operations in the short term. Climate change can lead to water scarcity, but renewable energy helps reduce fossil fuel dependence and mitigate climate change effects.

During 2024, Vestas initiated the implementation of new water management systems and continued to raise awareness of water conservation across manufacturing sites. A water management system will be implemented at all Vestas locations where Vestas is responsible for water management. The systems are to be evaluated and revised with significant changes in water consumption or wastewater generation. Vestas also focuses on water leakage management to reduce wastage and overall consumption, especially in water-stressed areas, to minimize impact on people and nature. The impact is hard to quantify, and overall water consumption does not directly remediate local populations or nature in these areas.

Vestas' water consumption primarily stems from domestic use, with a low environmental impact. However, presence in water-scarce regions may stress local water resources, negatively impacting local populations and nature. Climate change, through higher temperatures and altered precipitation patterns, can lead to water scarcity. Renewable energy, like wind power, helps reduce fossil fuel dependence and mitigate climate change effects, playing a crucial role in mitigating global water scarcity.