SASOL Integrated Report 2025_Final_28 August 2025 - Flipbook - Page 87
INTRODUCTION
ABOUT SASOL
STRATEGIC OVERVIEW
BUSINESSES
ESG
REMUNERATION REPORT
DATA AND ASSURANCE / ADMINISTRATION
ENVIRONMENT continued
CLIMATE CHANGE continued
Building physical climate resilience
Sasol’s climate adaptation response focuses on changing processes and behaviours to anticipate, prepare for, and respond to climate risks.
In this way, we aim to minimise harm, maximise opportunity, and strengthen resilience for our people, communities and operations.
Adaptation position
Sasol’s position statement on climate change adaptation
As a key player in the energy and chemical sectors, Sasol recognises
the critical importance of anticipating and addressing the growing
risks posed by climate change. In 2019, we initiated the development
of our Climate Adaptation Strategy, informed by the climate-related
policies and frameworks available at the time. This strategic
foundation has since been strengthened and updated to align
with the requirements of the Climate Change Act, 2024, and the
National Climate Change Adaptation Strategy (NCCAS).
Sasol’s approach to climate change adaptation is comprehensive
and proactive, encompassing the following key elements:
• Physical climate risk assessment: We continually assess
climate-related risks, evaluating the vulnerability of our
operations, infrastructure, supply chains and assets to identify
potential impacts.
• Site and infrastructure resilience: We enhance the resilience of
our infrastructure against climate-related hazards.
• Emergency preparedness and response: Sasol maintains systems
and tools, including early warning systems and emergency
response plans, to ensure preparedness for extreme weather
events, with continuous refinement as gaps are identified.
• Supply-chain resilience: Building resilience into our supply
chains is a primary focus, involving comprehensive mapping
and prioritisation of activities.
• Collaboration and partnerships: We recognise that we
cannot address adaptation goals in isolation; we actively seek
adaptation-specific partnerships to support our overall efforts.
As climate risks escalate, expectations for
credible, data-driven disclosures grow. Sasol is
moving from high-level climate risk assessments
to detailed, site-specific disclosures aligned with
IFRS S2, requiring stronger internal capacity and
cross-functional collaboration.
OUR PROGRESS
While the NCCAS is primarily directed at the public sector, its principles
carry important implications for the private sector, guiding Sasol in
aligning our adaptation actions with national priorities. We continue
to integrate climate resilience into our planning, operations and
investment decisions, ensuring we remain responsive to evolving
scientific insights, regulatory developments, and stakeholder
expectations.
Aligning with ISSB, IFRS S1 and S2 through a
collaborative resilience journey over time
A Sasol is proactively aligning with ISSB: IFRS S2,
embedding climate risk quantification into our business
processes. This goes beyond compliance, strengthening
resilience through integration into financial planning and
strategic decision-making.
A In 2025, we began our journey to develop a
methodology to quantify physical climate risks, like
flooding and drought, at the asset level. This shift will
enable us to link extreme weather to financial impacts and
guide future investments to protect operations and
communities.
A Meeting ISSB: IFRS S2 requirements demands a
coordinated effort across risk, finance, sustainability,
operations and strategy. Success depends on a shared
understanding of material risks, ESG priorities and
long-term planning horizons.
A Our progress will be supported by strong governance,
resourcing and external partnerships. This foundation
ensures regulatory compliance, builds stakeholder
confidence and reinforces Sasol’s credibility as a
climate-resilient business in a changing world.
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