The scenarios are assessed across three different time horizons; short-term 2030 (2021-2040), mid-term 2050 (2041-2060), and long-term 2070 (2061-2080). The time horizons are different from the ESRS. Although the risk of drastic environmental changes is most significant in the long term, they average lifetime of our assets, our strategic planning horizon, and our capital allocation plans do not stretch beyond the mid-term. Therefore, assessing physical risks in the short and mid-term is most strategically relevant. The materiality of the acute and chronic physical risks is determined based on the potential impact on Vestas using a consequence/likelihood scale.