Kia EV6 Lease Agreement Question

I came across this term in my lease agreement, and I’m wondering if it means the dealership can ask for more money at the end of the lease if the car’s value depreciates more than the residual value? Has anyone had any experience with this?

“An extra charge may be imposed at the end of the lease term where the lessee’s liability (if any) is based on the difference between the residual value of the leased property and its realized value at the end of the lease term.”

I’m not 100% sure, but I believe those extra charges might apply to things like going over your mileage limit or wear and tear that affects the car’s value. I think it’s more about the condition of the car than the overall depreciation, but I’m not totally certain.