Mobico Group PLC

Through our strong relationships we have also been able to influence policy at both local and national level. For example the partnership approach model in our UK Bus business helped to shape the National Bus Strategy's Bus Service Improvement Plan model (BSIP). The West Midlands will benefit from £88m of BSIP funding over the next three years. We also worked closely with TfWM and the Mayor to secure Coventry as the first electric bus city in the UK. [...] The Group carries out appropriate lobbying and communication, highlighting especially the importance of public transport to central and local government.

Through our strong relationships we have also been able to influence policy at both local and national level. For example the partnership approach model in our UK Bus business helped to shape the National Bus Strategy's Bus Service Improvement Plan model (BSIP). The West Midlands will benefit from £88m of BSIP funding over the next three years. We also worked closely with TfWM and the Mayor to secure Coventry as the first electric bus city in the UK. [...] The Group carries out appropriate lobbying and communication, highlighting especially the importance of public transport to central and local government [...] The Group has steering Groups to oversee and lead the ZEV transition. This includes a new Global Sustainability Steering Group (GSSG), which was incorporated during the year and has the Group CFO and the Group Human Resources and Communications Director as the Executive sponsors.

Governance\n\nBoard's Oversight and Review of Climate-Related Risks and Opportunities\nThe Board is charged with governance of oversight of climaterelated risks and opportunities is through its dedicated\nSustainability Committee, with a remit to cover the governance\nof all applicable environmental and sustainability matters. The\nSustainability Committee met three times during 2024. The\nterms of reference can be found on the Company's website at\nhttps://www.mobicogroup.com/about-us/corporate-governance/\ncommittees/, of which the responsibilities are reflected in section\n7. The key activities of the Sustainability Committee during 2024\ncan be found on page 110. On behalf of the Board, the Committee\nis informed about climate-related risks and opportunities, and also\nmonitors progress against our climate-related goals and targets,\nprimarily through monitoring and reviewing a KPI dashboard\nwhich is presented at each Committee meeting.\n\nOne of the key outcomes of the Group's Evolve strategy is to be\nan Environmental Leader, by delivering our fleet transition to Zero\nEmission Vehicles (ZEVs). To monitor operational progress against\nthis strategy, decisions on major transactions, and the related\nfinancial impact, the Board performs an annual review of both the\nlong-term strategic plan, of which the latest runs until 2029, and the\nannual budget, the most recent of which is for FY25. Both exercises\nconsider the transition to a low-carbon economy and the potential\nimpact of physical risks from climate change, which are discussed\nin detail in the Strategy section of this disclosure. These strategic\ndecision processes also compare against other significant trade\nchoices, and customer demands in order to make decisions. Please\nrefer to the risk management section for how the Board exercises\noversight regarding incorporating climate-related issues into the\nrisk management processes.\nBoard Reporting\nThe Sustainability Committee reports to the Board of Directors with\nthe Committee Chairs providing updates to the Board after each\nCommittee meeting on the matters discussed. Climate risks and\nopportunities form part of the Group's overall risk management\nprocess which the full Board is specifically updated on, as described\nin the Risk Management section. The Sustainability Committee\nalso provides a report which details their activities each year to the\nCompany's shareholders, which is approved by the Board, which is\nset out on pages 110 and 111 of this Annual Report.\nBoard Training and Development\nThe skills and competences of the Committee are monitored by\nthe Board every year, and can be found on page 107. To assist\nthem in both discharging their oversight responsibilities on the\nGroup's Environmental Leader strategy and having the ability\nto give direction and raise challenges, the Committee receives\npresentations from external ESG specialists as necessary on\ncurrent climate-related topics. During 2024, the Committee\nChair presented the key takeaways from a Board Sustainability\nStewardship session by Egon Zehnder. Committee members can\nalso access climate-related resources, including Chapter Zero.\n\nManagement's Role in Assessing, Managing and Overseeing Climate-Related Risks and Opportunities\nThe Company's Executive Directors are responsible for the delivery of the Group's "Environmental Leader" strategy (see page 60 for\nmore information) and are the sponsors of its overall 2040 ambitions to achieve net zero for Scope 1 and 2 emissions. During the year,\nthe Group implemented a new Environmental Policy, available at https://www.mobicogroup.com/about-us/our-policies/. Everyone in the\norganisation has a role to play in achieving the environmental targets and, because the Evolve strategy is rolled out across the businesses,\nthe Group aims to ensure that the ambition to be the 'Environmental Leader' in the industry is communicated and seen as both an\nindividual and shared responsibility.\n\nThe below diagram explains the role both Board Committees and different senior leaders play in having oversight of assessing and\nmanaging climate-related risks and opportunities:\n\nDivisional Executive Management (Divisional CEOs & CFOs)\n\n- Build climate-related risks and opportunities into divisional\nbusiness plans, allocate resources for their delivery, and\nmanage and track their delivery\n\n- Build the financial implications of climate-related risks and\nopportunities into divisional budgets and track these through\nforecasts\n\nDivisional Commercial & Operations/Service Delivery Managers\n\n- Develop and implement contingency plans to mitigate\nphysical risks\n\n- Deliver commercial arrangements to capitalise on climaterelated opportunities, for example, by arranging road\nservices to cover disruption caused by physical risks to rail\ninfrastructure\n\n- Assist in identifying new climate-related risks and opportunities\n\nDivisional ZEV Steering Groups\nMembership: Divisional CEOs, Divisional ZEV Leads, Divisional\nProcurement Directors, Divisional Commercial Directors for ALSA,\nUK and North America.\n\nClimate-related activities:\n\n- Develop and track progress against divisional ZEV transition\nplans and financial impact of ZEV initiatives\n\n- Review customer (passenger and contract counterparty)\ndemand for ZEVs, ZEV supply chain relationships, ZEV funding\noptions, technological advancements\n\nDivisional Risk Owners\n\n- Assists in identifying and reporting climate-related risks and\nopportunities

Describe the process(es) your organization has in place to ensure that your engagement activities are consistent with your overall climate change strategy[…]National Express' dialogue with local and national politicians and other interested stakeholders is conducted by representatives of the company that are familiar with its climate change strategy at Divisional and Group level.

The Group Property and Environment Department's role is to drive change towards a more sustainable emission reducing low carbon company and to forge Divisional and transport sector leadership.

Each Division within the Group has a board director with an environmental remit to develop and implement a sustainable climate change development strategy.

The Sustainability Committee is responsible for setting the strategic direction of National Express Group's climate change approach.

The Audit Committee also has responsibility for reviewing the effectiveness of the Group's internal control and risk (including climate change) management systems.

The Board supported by both committees help to set the Group's strategic direction and long-term objectives for sustainability, including responding to both the effects and impacts of climate change.

Senior Management executives have presented to international stakeholders. Examples include:

-Innovate UK, is an executive, non-departmental, public body sponsored by the Department for Business, Innovation and Skills (BIS).

-Sustainable Innovation Forum

National Express has now set up a new Group Sustainability Steering Group which includes the environmental and communication leads from each division from May 2022.

Does your organization have a public commitment or position statement to conduct your engagement activities in line with the goals of the Paris Agreement?[…]No, and we do not plan to have one in the next two years