Over time, climate change can affect the operations of the Group and the markets it operates in, including physical risks, such as acute and chronic changes in weather and transitional risks, as well as market and economic responses. The use of laws and regulations to address climate change, such as requiring emissions reductions, can lead to economic risks and uncertainties for the Group businesses. These risks may include the cost of purchasing products or equipment, decreased profits or losses from reduced demand for the Group goods, and increased production costs resulting from the imposition of legislative or regulatory controls.