Phoenix Energy Responsible Business Report 2026

Scenarios Analysis Phoenix engaged with a specialist provider of climate change scenario analysis to help understand the resilience of our business to different climate change scenarios and the impact of different scenarios on our products and investment strategies. 7KH VFHQDULRV XWLOLVHG ZHUH EDVHG RQ WKH 1HWZRUN IRU *UHHQLQJ RI WKH )LQDQFLDO 6\VWHP 1*)6 UHIHUHQFH VFHQDULRV ZLWK DGGLWLRQDO GHWDLO IRU WKH QDWXUDO JDV GLVWULEXWLRQ VHFWRU WKH 8. DQG 1RUWKHUQ ,UHODQG VSHFLILFDOO\ Together with the specialist advisors, Phoenix used qualitative analysis to develop 3 potential scenarios for Phoenix for the period to 2050. A narrative was created for each of the following scenarios: 1. No Additional Policy Action UHVXOWLQJ LQ WHPSHUDWXUH ULVH JUHDWHU WKDQ o C; 2. Late Policy Action 'LVRUGHUO\ DIWHU D SHULRG RI LQDFWLRQ D VKDUS WUDQVLWLRQ LV QHHGHG UHVXOWLQJ LQ WHPSHUDWXUH rise of below 2 o C; and 3. Early Policy Adoption/Steady Progress 2UGHUO\ UHVXOWLQJ LQ WHPSHUDWXUH ULVH RI EHORZ o C.

Quantitative Scenario Analysis 7R IXUWKHU XQGHUVWDQG WKH ILQDQFLDO LPSDFW WKDW FOLPDWH FKDQJH ULVNV SK\VLFDO DQG WUDQVLWLRQDO DQG RSSRUWXQLWLHV FRXOG KDYH RQ RXU EXVLQHVV ZH KDYH XQGHUWDNHQ DGGLWLRQDO GHWDLOHG TXDQWLWDWLYH FOLPDWH FKDQJH VFHQDULR DQDO\VLV XVLQJ RXU LQ KRXVH VFHQDULR DQDO\VLV PRGHO 7KH TXDQWLWDWLYH DQDO\VLV XQGHUWDNHQ FRQWLQXHG WR XWLOLVH WKH 1*)6 UHIHUHQFH scenarios, which include plausible pathways to net zero, and has built upon the qualitative analysis previously performed. 7KH LQ KRXVH VFHQDULR DQDO\VLV PRGHO ZDV XWLOLVHG WR DVVHVV WKH SRWHQWLDO SRVLWLYH DQG negative implications of each climate change scenario on company valuation, the GLVWULEXWLRQ SULFH FKDUJHG WR FRQVXPHUV DQG EXVLQHVV DFWLYLWLHV DQG VSHQGLQJ RSHUDWLQJ H[SHQGLWXUH DQG FDSLWDO H[SHQGLWXUH 7KH TXDQWLWDWLYH VFHQDULR DQDO\VLV PRGHOOLQJ LQFOXGHG FRQVLGHUDWLRQ VKRUW \HDUV PHGLXP EHWZHHQ Ƀ \HDUV DQG ORQJ WHUP Ƀ \HDUV WLPH KRUL]RQV The quantitative analysis demonstrated that Phoenix’s operations are resilient to, and have a key role to play in, all scenarios. Phoenix is well positioned to mitigate the risks associated with climate change and to avail of the significant opportunities that arise, most notably the potential role Phoenix can play in the decarbonisation of heating in Northern Ireland. Phoenix acknowledges the material risk to our business associated with climate change and the implementation of net zero carbon emissions. &OLPDWH UHODWHG ULVNV SK\VLFDO DQG WUDQVLWLRQDO DUH PDQDJHG WKURXJK RXU embedded risk management framework and across our governance and reporting processes. Our approach ensures the identification, assessment and management of climate change risks to reduce the impact and likelihood and maximise opportunities. Phoenix utilise climate change workshops to identify and assess climate change risks and opportunities relevant to Phoenix’s operations. The workshops are attended by senior Phoenix personnel, including the Executive Management Team, and include the performance of a specific climate related risk assessment process to identify and assess relevant climate risks and opportunities under the climate change scenarios utilised for Phoenix’s qualitative and quantitative climate change scenarios analysis: 1. No Additional Policy Action – resulting in temperature rise greater than 2°C; 2. Late Policy Action (Disorderly) after a period of inaction, a sharp transition is needed, resulting in temperature rise of below 2°C; and 3. Early Policy Adoption/Steady Progress (Orderly Ƀ UHVXOWLQJ LQ WHPSHUDWXUH rise of below 1.5°C. The outputs of the workshops are utilised to review and update the Net Zero & Climate Change Risks & Opportunities Register. RISK MANAGEMENT

The three scenarios are shown below, arranged by the level of physical and transition risk that exists in each.

Late Policy Action Disorderly <2°C Scenario After a 10 year delay, a highly disruptive transition begins, sufficient to meet climate goals. 1.5°C achieved in 2100, but overshoots towards 2°C before then.

Early Policy Action Orderly <1.5°C Scenario We start reducing emissions now in a measured way to meet climate goals, limiting temperature rise to less than 1.5°C

No Additional Policy Action >2°C Scenario We continue to increase emissions doing very little, if anything to prevent physical Climate Change

Increasing Transitional Risk

Increasing Physical Risk

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Responsible Business Report 2026

Responsible Business Report 2026

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