As a multidisciplinary consultancy providing sustainable solutions to meet the planning, engineering design and project delivery needs of the property, infrastructure, environment and energy markets, the impacts of climate change and the transition to a net zero economy pose a wide variety of risks to our clients.
Consequently, Waterman can assess these physical and transitional climate-related risks through our Climate Scenario Analysis Tool. This represents a strategic tool to consider the potential future outcomes and modelled scenarios that are different from business as usual, and how these might affect ability to enact our strategy. It offers a multidimensional perspective that examines how inter-related social, technological, economic, environmental, political and business factors can drive highly divergent outcomes.
As part of the Qualitative Climate Scenario Analysis Tool, we consider two contrasting scenarios for comparative purposes. The scenarios are:
The Scenario Analysis reveals a range of transitional and physical risks a client is exposed to. It can also identify climate-related opportunities, including further investment in renewable energies.
A comprehensive list of a client's material transitional and physical climate risks is available on their Climate Risk Register.
The identification, management and ability to respond to climate-related transitional and physical risks represents a huge challenge for all businesses. However, this is essential in the transition to Net Zero to be better able to absorb the disturbance of unavoidable changes that are inevitably coming our way.
