Climate-related scenarios CSL’s business resilience under this scenario Scope of scenario analysis CSL used a mix of quantitative climate data and qualitative narrative to support its scenario analysis. Quantitative physical climate data (predicted temperature highs, maximum rainfall, windspeed, etc) across the short-, medium- and long-term horizons was used for a total of 17 operational sites2. Qualitative narrative was used to assess the wider value chain, beyond the 17 operational sites assessed by physical data. Qualitative narrative was used to identify how climate change might impact CSL’s wider value chain, including sourcing of key inputs and its wider logistics network. Climate-related scenarios are subject to uncertainty and are not predictions of future outcomes nor do they indicate the likelihood of any scenario eventuating. The scenarios used are based on a range of assumptions regarding future climate pathways, policy responses, technological developments, macroeconomic conditions and stakeholder behaviours, all of which may evolve over time. Climate models are generally designed to provide macro-level insights but may be influenced by factors beyond those considered in the scenarios, including changes in regulation, market conditions and broader economic developments. As a result, variations in assumptions or scenario inputs could lead to different financial or strategic outcomes over time, and actual results may differ materially from those reflected in the scenario analysis. CSL will continually monitor whether the assumptions made, both from a business and climate scenario perspective, are still applicable, and will refine the assumptions where necessary. Changes to CSL’s operations, value chain, climate-science, strategic responses and controls may see the materiality of some climate-related risks and opportunities change, and may potentially introduce new climate-related risks and opportunities. Metrics and Targets CSL’s near-term climate reduction targets CSL has Company-wide near-term absolute GHG emissions3 reduction targets that take into account the objectives of the Paris Agreement and global commitments to limit the effects of climate change. CSL is committed to reducing absolute Scope 1 and 2 greenhouse gas emissions by 42% by FY2030 against an FY2021 baseline4. This is a gross market-based Scope 1 and 2 emissions target validated by the Science Based Targets initiative (SBTi). CSL has used cross-industry standards to derive its target, as no decarbonisation target standards or frameworks have been identified for its sector. As CSL has applied the transitional reliefs for reporting Scope 3 emissions, please refer to the section Healthier Environment on page 34, to read more about CSL’s Scope 3 target. Climate targets monitoring and performance CSL has a defined pathway to meeting its Scope 1 and 2 emissions target by implementing and prioritising five key abatement levers supporting our transition plan: • New site design: CSL seeks to develop best-in-class facility greenfield sites and new buildings, embedding sustainable design principles upfront for construction and operation. Where applicable, CSL is aligning with best-practice frameworks, for example the Australian Green Star rating system (CSL recently achieved 5-Star Green Star rating at our new Tullamarine facility; please see page 37 for details). • Electrification: Where practical and cost-effective, CSL seeks to replace plant and equipment at its end-of-life with electric alternatives powered by renewables. • Energy efficiency: CSL is modifying its manufacturing processes and manufacturing sites for increased efficiency, reducing total energy and associated emissions. • Renewable energy: CSL is increasing the use of renewable electricity through onsite generation (such as solar) and procurement of renewable electricity through market-based mechanisms, such as our power purchase agreements for our Australian assets. • Fuel switch: CSL seeks to switch fuels to less carbon-intensive energy sources. CSL recognises that some abatement levers are more impactful and easier to implement than others. Therefore, CSL does not anticipate a linear emissions reduction between now and its near-term Scope 1 and 2 target deadline of 2030. Emissions reductions seen through renewable energy agreements in Australia and Europe have already resulted in considerable reductions in the Company’s overall Scope 2 emissions. Abatement levers targeting Scope 1 emissions, such as fuel switch, new site design and the upgrade of plant/equipment, are undertaken in consideration of wider factors, such as cost, return on investment and engineering constraints. These wider considerations are expected to see Scope 1 emissions reductions lag Scope 2 emissions reductions. In line with CSL’s commitment to the SBTi, CSL is focused on reducing emissions over the near term by implementing its emissions abatement levers and is not relying on any form of carbon offsets or carbon credits for the short term (2030). This excludes the use of renewable energy credits, such as renewable energy certificates, which validate CSL’s renewable energy abatement lever. 3. CSL refers to the following greenhouse gases when referring to GHG emissions: carbon dioxide (CO2), methane (CH4), nitrous oxide (N2O), hydrofluorocarbons (HFCs), sulphur hexafluoride (SF6) and perfluorocarbons (PFCs), as defined in the Kyoto Protocol. 4. CSL’s near-term target applies to assets and operations captured in its ‘Operational Control’ boundary. 151 CSL Limited Annual Report 2025/26
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