NRW's sustainability objective is central to our operation as a responsible business. NRW has set up its governance structures to ensure pragmatic sustainability practices are embedded within our organisation, starting with our Board. The Board delegates responsibility to the Sustainability Committee to review and set the objectives and targets of all ESG initiatives within the Company, and to monitor subsequent performance. The Sustainability Committee has determined the remit of directors and key executives with regards to the ESG matters for which they are accountable. **BOARD OF DIRECTORS** The Board is responsible for the oversight and strategic direction of NRW. The Board reviews, and as appropriate, approves the sustainability practices within NRW. **SUSTAINABILITY COMMITTEE** The Sustainability Committee is responsible for providing advice, recommendations and assistance to the Board with respect to sustainability primarily in relation to environmental, social and corporate governance matters, including climate-related risks and opportunities. **CEO & EXECUTIVE MANAGEMENT** The CEO makes recommendations to the Sustainability Committee regarding the sustainability objectives and priorities of the NRW Group. **SUPPORTING SUSTAINABILITY WORKING GROUPS** NRW has three working groups informing and recommending actions to the CEO and Executive Management team with regards to sustainability related matters. The purpose of these working groups is to embed pragmatic sustainability related practices within the businesses, as well as extract talent from the business to progress the Group's objectives. [...] In accordance with the Charter of the Sustainability Committee, the Committee must have a minimum of three members, all of which must be Non-Executive Directors and the majority of which must be independent Directors. The Committee met three times during FY22 with all members in attendance. The Committee comprises the following members: **Fiona Murdoch** Chair and Independent Non-Executive Director **Peter Johnston** Independent Non-Executive Director **Michael Arnett** Independent Non-Executive Director [...] The NRW Board is responsible for the oversight of the strategic direction across NRW. The Board has delegated responsibility for ESG matters, including climate-related topics, to the Sustainability Committee. Together, NRW's Board and Sustainability Committee oversee the governance of climate-related risks and opportunities. In accordance with the Sustainability Committee Charter (https://nrw.com.au/about-us/corporate-governance/), the Committee is responsible for making recommendations to the Board regarding the Company's climate change strategy, providing oversight to ensure both physical and transitional climate-related risks and opportunities which affect the Company's ability to achieve its objectives are identified, assessed and where relevant, mitigated, and agreeing and monitoring climate-related metrics and targets. This includes oversight of a climate change strategy that maps the Company's pathway to a practical and appropriate level of decarbonisation for the business. The Committee reports to the Board periodically throughout the year on NRW's climate-related activities. The Sustainability Committee endorses policies that are relevant to the Company's management of climate-related risk, sustainability, and other key topics. The Sustainability Committee also oversees the management of specific climate-related risks and opportunities through regular review of global best practice, internal compliance programs and relevant sustainability frameworks. [...] The NRW executive team is responsible for the strategic and operational leadership and management of the Company, which includes the management of climate-related risks and opportunities. The Executive General Manager – Health, Safety, Environment and Sustainability (EGM – HSES) is charged with coordinating and updating the Board and Committee on management's progress and activities in this regard at each Committee Meeting. Supporting the EGM – HSES is the Sustainability Working Group. This Group consists of cross-functional members and contains representation from each of our business units. The Group meets monthly. Climate-related risks and opportunities and agreed actions are discussed in these forums and escalated, when required, to the Committee via the EGM - HSES. During FY22 NRW established a second working group to further support the EGM – HSES on more climate-specific matters. The Decarbonisation Working Group is responsible for matters and activities related specifically to decarbonisation projects to reduce NRW's carbon emissions. The working group will support the integration of climate change strategy into our businesses and be pivotal in progressing internal GHG targets across operations, ensuring that these are aligned with the Board's commitments (as and when they are established). The working group is comprised of subject matter experts and meets monthly. NRW's management is responsible for reviewing and monitoring, and reporting to the Board where appropriate, on matters including: • The effectiveness of the Group's policies, systems and governance structure in identifying and managing climate–related risks that are material to the Group. • The coordination and review of climate‑related risks, strategy, and reporting. • The development and implementation of initiatives regarding emissions reduction. • The policies and systems for ensuring compliance with applicable legal and regulatory requirements associated with climate–related matters. • The Group's performance in relation to climate-related matters. • The Group's reporting regarding climate–related matters.