Risk appetite should be primarily driven by stakeholder requirements. Stakeholder requirements are the needs and expectations of the internal and external parties that have an interest or influence in the organization's objectives or operations, such as the board, management, employees, customers, regulators, investors, etc.
Risk appetite is the amount and type of risk that the organization is willing to accept or pursue in order to achieve its objectives. Risk appetite should be driven by stakeholder requirements, because they reflect the organization's mission, vision, values, and strategy, and they provide the basis and direction for the organization's risk management activities. Risk appetite should also be aligned and communicated with stakeholder requirements, because they affect the organization's performance and reputation, and they require the organization's accountability and transparency. The other options are not the primary drivers of risk appetite, although they may be considered or influenced by risk appetite. Enterprise security architecture roadmap, legal and regulatory requirements, and business impact analysis (BIA) are all factors that could affect the organization's risk profile, risk assessment, or risk response, but they do not necessarily determine or reflect the organization's risk appetite. References = Risk and Information Systems Control Study Manual, Chapter 2, Section 2.3.1, page 2-23.

Section: Volume D
Explanation:
This is a project issue. It is easy to confuse this as a project risk; however, a project risk is always in the future.
In this case, the delay by the permitting agency has already happened; hence this is a project issue. The possible impact of this delay on the project cost, schedule, or performance can be classified as a project risk.
Incorrect Answers:
A: It is easy to confuse this as a project risk; however, a project risk is always in the future. In this case, the delay by the permitting agency has already happened; hence this is a project issue.
B, C: These are options are not valid.