The Board considers Emera’s risk profile and oversees Emera’s risk management by reviewing: (a) the annual identification and assessment of the principal risks of Emera; (b) the process for ongoing monitoring and reporting of the principal risks of Emera; (c) the effectiveness of Emera’s mitigation response to its principal risks; and (d) the alignment of risk management with Emera’s risk profile, its strategy and its organizational objectives, including capital and resources allocation.