SERVICES

Physical Climate Risk Assessment

10 hazards, multiple scenarios, high-resolution models — location-based quantitative risk analysis from single assets to portfolios of 851+ assets.

WHAT WE OFFER

Location-Based, Quantitative Physical Risk Analysis

SERVICE SCOPE

CIRRUS's physical climate risk assessment uses IPCC AR5/AR6 scenarios and high-resolution regional climate models to quantify your assets' exposure to current and future climate hazards.

Prepared with the same scientific rigor for a single facility or an 851+ asset portfolio, our physical climate risk reports support investment decisions, insurance strategies, and adaptation planning.

KEY FEATURES
✓
Climate data and regional models
✓
10 distinct climate hazards, with acute + chronic separation
✓
Multiple scenarios: RCP4.5, RCP8.5, SSP1-2.6, SSP5-8.5
✓
Very Low → Very High (1–5) risk scale
✓
TCFD, TSRS 2, IFRS S2-compliant output format
✓
Includes adaptation & mitigation action recommendations

HAZARDS COVERED

10 Hazards Covered by Physical Climate Risk

Acute (sudden-onset) and chronic (long-term) hazards are assessed separately. Priority hazards are identified based on your sector.

🌡️
Temperature Rise
CHRONIC

Rising average temperatures, an increasing number of hot days, and higher cooling demand. The most common chronic hazard indicator in physical climate risk assessment. Periodic projections through 2100.

🌊
Extreme Precipitation & Flooding
ACUTE

Extreme rainfall frequency, flood risk, and probability of infrastructure damage. Coastal and basin-based assessment.

🔥
Drought & Water Stress
CHRONIC

Drought duration, severity, and frequency using drought indices. Physical climate risk analysis models the impact of water scarcity on agricultural, industrial, and urban water demand.

🌪️
Extreme Wind
ACUTE

Maximum wind speed and intensity. Risk of damage to energy infrastructure and structures.

🔥
Wildfire
ACUTE

Fire hazard mapping. Particularly critical for energy and tourism assets.

🌊
Sea Level Rise
CHRONIC

Flood and erosion risk for coastal assets. SLR projections combined with storm surge.

🏔️
Landslide
ACUTE

Ground movement on sloped terrain driven by intense rainfall. Critical for mining, transport, and energy infrastructure.

❄️
Cold Wave
ACUTE

Frequency and duration of extreme cold events. Critical for agriculture, logistics, and the energy sector.

☀️
Heat Wave
ACUTE

Heat wave indices and the number of extreme-temperature days. Risk to worker health, energy demand, and production disruption.

💧
Water Scarcity
CHRONIC

Basin-based water stress and discharge projections. Production disruption risk for industry, energy, and agriculture sectors.

CLIMATE SCENARIOS

Multi-Scenario Projections for Physical Climate Risk

Using IPCC AR5 and AR6 scenarios, risk profiles are presented comparatively across three time horizons (short-, medium-, and long-term).

RCP2.6 / SSP1-2.6
≤ 2°C
Low Emissions Scenario

An optimistic scenario aligned with the Paris Agreement targets. Reflects successful implementation of mitigation policies.

RCP4.5 / SSP2-4.5
≈ 2.4°C
Medium Emissions Scenario

A middle-ground scenario with partial mitigation measures in place. The most commonly used scenario for risk assessments.

RCP8.5 / SSP5-8.5
≥ 4°C
High Emissions Scenario

A high-emissions scenario in which current trends continue. Pessimistic, but critical for planning purposes.

TIME HORIZONS
Short-Term
2026 – 2045
Medium-Term
2046 – 2065
Long-Term
2080 – 2100

DELIVERY PACKAGE

What Do You Receive at the End of the Analysis?

📊
Multi-Hazard Risk Matrix

A risk score table for each asset across 10 hazards × 3 time horizons × scenario combinations. Delivered in Excel and PDF format.

🗺️
Spatial Risk Maps

Geographic maps visualizing asset locations against climate hazards. Portfolio-wide heat map.

📋
Executive Summary Report

A board-ready summary covering technical findings, risk prioritization, and financial impact assessment.

🛡️
Adaptation & Mitigation Action Plan

Concrete adaptation and mitigation recommendations for each high-risk hazard. Short-, medium-, and long-term priority matrix.

📝
Reporting Compliance Package

A metric set and disclosure content ready for direct integration into the TSRS 2, IFRS S2, and TCFD frameworks.

🎯
Sector Benchmarking

A benchmark table comparing the assessed assets against the sector average. TSKB and Garanti BBVA reference database.

REFERENCE PROJECT

Proven Institutional Impact

★ Featured Reference
Garanti BBVA — Physical Climate Risk Assessment (2022)

851 operational assets + 166 renewable energy projects. MPI-ESM-MR model, RCP2.6 and RCP8.5 scenarios, physical climate risk assessment across three time horizons. The project document has been published publicly. CIRRUS's physical climate risk analysis contributed to an improvement in the bank's DJSI score. You can access the related report prepared by CIRRUS here, and the IPCC's latest reports on climate scenarios here.

Assets Analyzed
851+
Result
DJSI Score Improved