Resilience in the context of climate change
Based on our climate risk analyses, we anticipate increasing climate change impacts for DB Group, are preparing intensively for more frequent and more intense extreme weather events and are continuing to further develop our climate resilience management strategically and operationally. We currently assess the climate resilience of our critical business processes as largely resilient, with a need for adaptation in selected regions with high exposure and sensitivity. The assessment is based on the climate risk analyses carried out to date, systematic analyses of business continuity management (BCM) and the ongoing monitoring of climate-related major damages and operational impacts. Results and requirements from the implementation of the KRITIS Umbrella Act, which is currently in preparation, will be taken into account in future.
Our initial Group-wide climate risk analyses carried out in 2021 and 2024 and our business-unit-specific climate risk analyses with regard to physical risks, which are continuously updated and deepened in some business units, identified the first specific adaptation requirements in DB Group. Based on the results, we have developed initial short-term, medium-term and long-term actions such as vegetation management on the tracks, the investigation of axle counters with temperature loggers and the development of climate-resilient station environments.
To strengthen our resilience to transitory risks, we have defined transformation paths for decarbonization in our Climate Transition Plan and we are reducing dependencies on emission-intensive raw materials. Our current and planned climate protection measures, such as the transition to climate-friendly technologies (including phasing out fossil fuels and the use of renewable energies), are intended to strengthen the resilience of the business model and support the focus on a decarbonized economy.
The assessment of resilience to transitory and physical risks is subject to uncertainties regarding the medium-term economic policy framework (e.g. carbon pricing, subsidies) and future climate developments. For some climate parameters, the available model data is not reliable or sufficiently high-resolution. In addition, there are uncertainties regarding the sensitivity of individual facilities due to missing or comparatively short time series of incident reports since 2018.
In the short term, business continuity plans with prioritized continuity strategies and operational measures (e.g. to strengthen structural resilience, redundancies, fallback solutions) ensure the continuation of critical processes and reduce impacts on safety and operational reliability in the event of extreme weather events. Acute physical risks (e.g. extreme weather or natural hazards) are listed in the DB hazard catalog and resilience to these risks is systematically assessed and addressed in BCM during the analysis and strategy phase. This approach is being continuously honed through exercises, key figures and reporting and will be further expanded in the coming years.
In the medium term, we want to take the financial impact of climate-related risks into account in the risk management system and our medium-term planning, and we are continuing to implement Group-wide climate resilience management as well as the overall implementation of climate-resilient rail technology and the “Climate-neutral DB” project.
In the long term, we intend to support the review and further development of standardization processes, building and vehicle standards, enhance our own guidelines, implement climate proofing, invest in climate change adaptation measures and drive forward the transformation to climate-friendly technologies in order to adapt our strategy and business model to more challenging climate conditions and changing political frameworks.