Financial implications and other risks and opportunities for the organization’s activities due to climate change:
• description of risk /opportunity and its category (physical, regulatory, etc.)
• description of the risk /opportunity impact
• economic impact from risk or opportunity before action is taken
• approach to managing risk, opportunity
• Expenditure resulting from management
Significant and direct financial impacts concern the costs associated with the projected greenhouse gas emission allowance as the Group’s three refineries in Greece participate in the European Greenhouse Gas Emissions Trading Scheme. It is noted that the implementation of HELLENIC PETROLEUM’s main strategy for increasing energy efficiency and energy saving projects has already led its refineries (2 out of 3) to EU European benchmarking and the deficit is mainly due to the cross sectorial correction CSCF Factor implemented pursuant to Article 10a (5) of Directive 2003/87/EC (EU ETS). Annual compliance costs are estimated min. €15 million, depending on the EUAs.