20 The company shall disclose its stated Targets related to Water and Marine resources.

21 The purpose of this disclosure requirement is to provide an understanding of the targets the company has set to support its policies related to Water and Marine resources and to address the Impact materialities, Risks and Opportunities in this context.

22. the description of Targets shall include the information required under ESRS 2 MDR-T Tracking the effectiveness of Policies and Actions through Targets.

23. the disclosure required by paragraph 20 shall include whether and to what extent the company's Targets relate to the following:

24 In addition to the ESRS 2 MDR-T, the company shall disclose whether Ecological thresholds and company-specific apportionments have been considered in setting the Targets. If this is the case, the company may explain the following:

25 The company shall indicate as part of the background information whether the Targets it has set and disclosed are mandatory (in accordance with legislation) or voluntary.

AR 22 If the company refers to Ecological thresholds when setting targets, it may refer to the preliminary guidance (Initial Guidance for Business, September 2020) of the Science-Based Targets Initiative for Nature (SBTN). In addition, it may also rely on other guidance with a scientifically recognized methodology that enables the setting of science-based Targets by identifying Ecological thresholds and, where appropriate, organization-specific apportionments. Ecological thresholds can be local, national and/or global.

AR 23 The company may set Targets in relation to the following:

AR 24 If the company sets targets for abstraction, it may include abstraction of water from contaminated Soil and aquifers and water abstracted and treated for remediation purposes.

AR 25. if the company sets targets for Discharges, it may also include discharges of water to Groundwater, e.g. re-injection to aquifers or water returning to a Groundwater source via a soakaway or sink.

AR 26 Targets may cover the company's own activities and/or its upstream and downstream Value chain.

AR 27. the company may indicate whether the Targets address shortcomings related to the criteria for significant contribution to Water and Marine resources as set out in delegated acts adopted in accordance with Article 12(2) of Regulation (EU) 2020/852. Where the criteria for avoiding significant harm to water and marine resources set out in the delegated acts adopted in accordance with Article 10(3), Article 11(3), Article 13(2), Article 14(2) and Article 15(2) of Regulation (EU) 2020/852 are not met, the company may indicate whether the Targets include addressing deficiencies related to those criteria.

Water as a resource

We have set ourselves the goal of minimizing the impacts of our activities on the natural and limited resource of water. We adhere to strict environmental protection requirements to ensure that the extraction of raw materials does not endanger local water bodies and the groundwater balance. All direct Water withdrawals worldwide are subject to strict official regulations and are monitored. At each of our sites, the withdrawal and return of water is regulated by a local operating permit. The responsible use of water is a central component of our sustainability strategy until 2030.

By 2030, we want to implement water management plans and water recycling systems at all sites in water scarcity regions. To this end, we have systematically categorized our plants using a water stress assessment tool. A water reporting system based on international standards is used in all our production facilities. We are continuously working to reduce our fresh water consumption, for example by using closed cooling circuits and recycling systems. We have also already introduced measurement systems and Metrics for water reporting in the aggregates and cement divisions.