CLIMATE TRANSITION Decarbonization O昀昀ering THE DECARBONIZATION JOURNEY We’ve leaned into helping clients accelerate their climate-related strategies and objectives. In doing so, Goldman Sachs is developing a new and unique Step 1: Measure and Plan cross-昀椀rm Decarbonization o昀昀ering to cover a full suite Understand current climate positioning, performance, and forward- of tools, delivered through our holistic, di昀昀erentiated looking trajectory; set targets and develop plans to achieve them OneGS model. Our aim is a client solution that leverages • We leverage our insight as investors to provide an outside-in view on commercial capabilities and capital solutions across their climate positioning and stated or prospective targets. the 昀椀rm, including Net Zero Advisory, M&A, Financing, • We identify ways to accelerate their journey with M&A and strategic investment solutions. Renewable and Alternative Fuels and Energy, Carbon Capture and Sequestration, Commercialization Strategy, and Carbon O昀昀sets. Recognizing that di昀昀erent geographies, industries, and even clients within each industry are at distinct stages of their decarbonization Step 2: Reduce journey, we strive to customize solutions so they’re most relevant to our clients’ unique path to developing Reduce Scope 1 emissions (direct emissions from sources owned by the company); Reduce Scope 2 emissions or improve operational e昀케ciency project solutions and net zero emissions. • We leverage and develop green 昀椀nance for operational investments. • We raise capital and develop solutions for decarbonization and climate transition projects, including green昀椀eld projects as well as brown昀椀eld/transition projects. As part of a new Step 3: Replace cross-昀椀rm initiative, we Replace traditionally consumed power with renewable clean power • As an active player in power and energy certi昀椀cate markets, Goldman Sachs supports our clients with power risk management and spoke with over 150 昀椀nancing solutions. • Our Renewable Power Group provides investment structures for on- site solar and energy storage facilities so clients can make the switch corporate clients across to renewable power. 12 industry groups on the entire spectrum of decarbonization Step 4: O昀昀set solutions in 2021. “O昀昀set” and neutralize unavoidable or residual emissions • We support our clients with supply, o昀昀take, and 昀椀nancing solutions in the Voluntary Carbon Markets. • We also develop 昀椀nancial solutions for companies investing in or providing o昀昀sets, including nature-based carbon o昀昀set project platforms focused on localized social bene昀椀ts and developing blue- green local economies. Sustainability Report 2021 Climate Transition | Driving Transition 23