Company: TSLTF
Filing Date: 2025-12-12
Form Type: SUPPL
Source: 0001193125-25-317786
Chunk: 244

Company: TRANSALTA CORP
Filing Date: 2025-12-12
Form: SUPPL
Chunk 244
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ta Corporation |     | 2024 Integrated Report |     | M85 |

Management’s Discussion and Analysis Sustainability

Sustainability, or environmental, social and governance (ESG) management and performance, is a core value at TransAlta. Sustainability is integrated into our governance, decision-making, risk management and day-to-daybusiness processes. Our focus on continuous improvement on material sustainability factors seeks to mitigate ESG-relatedrisks and provides long-term value creation to our stakeholders. TransAlta’s sustainability pillars support our corporate strategy and weave through our business. Our sustainability pillars were refreshed in 2024 and include:

| • |     | Reliable and Responsible Electricity Production |

| • |     | Safe, Healthy, Diverse and Engaged Workplace |

| • |     | Positive Indigenous, Stakeholder, Customer and Employee Relationships |

| • |     | Environmental Stewardship |

| • |     | Technology and Innovation |

Reporting on Our Material Sustainability Factors TransAlta has been reporting on sustainability since 1994. The Company’s sustainability reporting is integrated within this MD&A to provide information on how sustainability factors affect our business and is guided by leading sustainability reporting frameworks. We partially adopt guidance from the Canadian Sustainability Standards Board, International Sustainability Standards Board, International Financial Reporting Standards (IFRS) Foundation, Integrated Reporting Framework, Global Reporting Initiative (GRI) and the Sustainability Accounting Standards Board (SASB) requirements for electric utilities and power generators. We continue to monitor the development of sustainability-and climate-related disclosure requirements in the jurisdictions in which we operate to assess our future reporting obligations. Since 2007, TransAlta’s material sustainability data to be disclosed has received limited assurance from independent

third-party providers. Climate-related information to be disclosed is partially informed by the IFRS S2 Climate-related Disclosures Standard and the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD). In 2024, we reviewed and updated our management response to our 2021 climate-related scenario analysis. We also reviewed and updated our Climate Transition Plan and climate-related financial metrics. GHG emissions data for scopes 1, 2 and 3 follow the accounting and reporting standards of the GHG Protocol. For further information on climate change management and the findings of our scenario analysis, refer to the Transitioning Our Energy Mix section of this MD&A. Disclosure of our most relevant sustainability factors in 2024 remained unchanged from 2022 and is guided by our most recent materiality assessment. In 2022, we refreshed our materiality assessment