Environmental Governance

Principles and Policies

While pursuing business development, China Airlines recognizes the value and irreversibility of the environment, and understands the corporation's responsibility and obligations to protect natural resources and the environment. Based on this understanding, China Airlines has established four principles of environmental and energy management principles and six policies of environmental and energy management according to the codes of practice for Development of Sustainable Environment (China Airlines Corporate Social Responsibility and Sustainable Development Best Practice Principles) announced in the Board of Directors meeting. China Airlines also integrated UN's SDGs for devising instructional strategies to align future business operations with the sustainable development concepts of environmental friendliness, low-carbon emissions, and energy conservation, hoping for a better and happier future.

The Principles of Environmental and Energy


Environmental Promotion Strategies

China Airlines implements promotion strategies of environmental management based on the concept of systematized risk control management, actively setting up mechanisms to manage corporate environmental risks. The PDCA culture has been instilled to make continual improvements in corporate environmental protection, which include establishing organizations, announcing policies, introducing ISO 14064 Greenhouse Gas (GHG) Accounting & Verification, ISO 14001 Environmental Management System, and ISO 50001 Energy Management System, along with the promotion of staff education, setup and execution of key performance indicators (KPI). The goal of comprehensive coverage and effective control over the overall corporate environmental and energy risk management is thus achieved to ensure the sustainable development of company operations.

In the face of demanding environmental regulations and increasing awareness of low-carbon consumption, CAL has endeavored to develop and implement a variety of strategies based on environmental and energy management ideals and policy statement. With four major tasks, CAL have developed action plans based on the business philosophy of stable operation, prevention, common prosperity, leading the overall industry and value chain to improve sustainable value. By introducing ISO14001:2015 Environmental Management System, CAL is aware of risks and opportunities arising from issues of stakeholders' concern and context of the organization based on the life cycle perspective.

Fulfilling Strategies for Environmental and Carbon Management

Environmental and Energy Ideals Complying with environmental laws & regulations Conserving the Earth’s resource Improving eco-efficiency Fulfilling social responsibility
Environmental and Energy Policy Enforcing compliance obligations to fulfill the company’s responsibilities in environmental protection and energy conservation Establishing environmental and energy management systems, including performance indicators, to verify compliance with established policies
  • Promoting environmental and energy conservation education to foster employees' ecoawareness
  • Implementing green supply chain management to raise overall eco-efficiency
  • Creating a low-carbon operating environment to establish continual improvement of environmental protection and energy efficiency
  • Supporting green design and procurement to promote sustainable development
Strategy
  • Establish channels of collecting international trends and stakeholders' needs.
  • Supervise and regularly evaluate changes in environmental issues and the effect of countermeasures.
  • Participate in international cooperation and ensure smooth communication in the supply chain.
  • Set short-term, medium-term, and long-term objectives of environmental management and carbon reduction.
  • Plan and implement KPIs for environmental protection and carbon reduction to improve performance.
  • Incorporate green procurement in the policy to reduce waste of resources from the source.
  • Hold coordination meetings to review performance and achievement of objectives on a regular basis.
  • Accelerate the fleet update and use of Sustainable Aviation/Alternative Fuels to improve fuel efficiency and performance of fleets.
  • Work with experts to develop and introduce the latest technologies and skills.
  • Analyze past environmental events and future trends to minimize environmental impacts and maximize opportunities.
  • Facilitate communication with stakeholders (such as airports) to maintain good partnership.
  • Promote environmental education and incorporate the concept of environmental protection in operations.
  • Improve sustainable value of the supply chain through corporate influence.
Task Perfect environmental and energy management operation Strengthen carbon management Build capacity on value chain of environmental management Promote environmental awareness
Action Plan
  • Regularly check statutory requirements and new commitments and evaluate compliance.
  • Update the corporate environmental management system (ISO 14001:2015) in line with international standards.
  • Set annual environmental objectives and action plans based on the nature of business (in-flight, flight, and freight services and office activities) as well as resource-saving objectives.
  • Update national and international environmental laws, develop countermeasures, and follow up and review the performance of environmental and energy management (carbon, noise, and air pollution) in meetings held by the Environmental Committee quarterly.
  • Prioritize green label supplies and promote green accounting by reporting items, quantity, and amounts of green procurement on a regular basis.
  • Continuously participate in DJSI and CDP.
  • Set and implement short-term, medium-term, and long-term objectives of GHG reduction.
  • Since 2017, CAL has started to use Sustainable Aviation/Alternative Fuels to the new aircraft leaving .
  • CAL has managed carbon rights based on the change in carbon prices under the EU Emissions Trading System (EU ETS).
  • Since 2014, the CAL Group's corporates have been invited to attend seminars and courses on environmental protection to improve the overall capacity for environmental management every year.
  • Continuously communicate the practice and requirements for CAL's environmental management in contractor conferences, supplier conferences, and regular meetings.
  • Starting from 2018, CAL plans to offer green fares (carbon offsets) to communicate the concept of environmental protection with customers.
  • CAL plans and organizes seminars on environmental education, held related contests every year and sent communicates news about environmental protection via e-mail from time to time.

Management Organization

To implement the policy, CAL established the Corporate Environmental Committee in 2011. The President is the highest management, and the Corporate Safety Office acts as the executive secretary. Five environmental management committees were established under the Corporate Environmental Committee to take charge of environmental risk management pertaining to in-flight, maintenance and freight services as well as the administration and operation of the headquarters and offices. The head of the major business department acts as the management representative, who is responsible to report the performance of environmental and energy management to the highest management every quarter and to report environmental risks and opportunities and corresponding controls and plans to the Board of Directors in routine meetings convened by the Corporate Sustainability Committee and the Board of Directors and its committees. For material issues, functional task forces, including the Carbon Management Task Force and the Sustainable Aviation/Alternative Fuels Task Force, were also set up to discuss the trends of fuels, GHG emissions, plan countermeasures, and review the performance and results in regular meetings.

As carbon emissions reduction and carbon credits management involve multiple operations and strategic units, China Airlines established the carbon management project team under the corporate environment committee to provide a coordination platform for the company's strategic planning and execution in response to climate change and relevant international regulations on carbon control.

Emission Management

Conduct Monitoring, Reporting, Verification (MRV) operations in accordance with the EU Emissions Trading System (ETS); keep up to date on international carbon reduction developments and regulations.

Carbon Trading

Conduct carbon credit operations in accordance with EU ETS regulations; engage in research and trading of carbon purchasing / offsets.

Fuel - efficient Operations

Continue to improve fuel efficiency through aircraft fuel-savings, dispatching and route planning.

Operating Strategy

Plan European routes and flights. The purchase and study of new, fuel-efficient aircraft.

Technical Analysis

• Analyze financial impact and technical feasibility
• Monitor and review results

Partnership Engagement

• Establish channels of communication and cooperation with equipment and fuel suppliers
• Establish strategic partnership

Strategy Development

• Analyze policies and trends of technological development at home and abroad and plan the development strategies

Note:Established in April 2017, the Sustainable Aviation/Alternative Fuels Task Force is responsible to discuss laws and regulations, airworthiness of aircraft, technology, and procedures for supporting ground handling agencies and develop corresponding strategies.

Concern for Climate Change

According to the UN statistics, the aviation industry produces approximately 2% of the total carbon dioxide worldwide, which will increase to an estimated 3% carbon dioxide production by 2050. Based on the data, International Air Transport Association (IATA) established three targets and four strategic pillars in June, 2009 for the global aviation industry to reduce carbon emissions. China Airlines follows the IATA goals and actively participates in relevant operations, making concerted efforts in planning and implementing environmental management strategies to contribute to the global environment.

Annual Goals

Based on the Plan-Do-Check-Act (PDCA) management cycle and the spirit of ongoing improvement, CAL directs each environment management committee each year to inspect environmental risks and energy consumption hotspots each year, to devise various programs for assessing and improving each environmental and energy performance item, and report operations progress during each quarterly environment committee meetings in which, the president or whose agent supervises and controls the environmental and energy risks for all operations items.

60

Savings

164,343

Carbon reduction
(t CO2e / year)

Aviation Fuel
Savings

64,716t

163,795,372kg CO2e

Vehicle Fuel
Savings – Gasoline

14.4kl

33,998kg CO2e

Vehicle Fuel
Savings – Diesel

84.123kl

223,010kg CO2e

Electricity
Savings

549,244kWh

290,000kg CO2e

Water
Savings

6,114kWh

942kg CO2e

Waste Reduction
Savings

217,847kg

64

Savings

9,658

Carbon reduction
(t CO2e / year)

Aviation Fuel
Savings

2,732t

8,642,790kg CO2e

Vehicle Fuel
Savings – Gasoline

8.293kl

19,580kg CO2e

Vehicle Fuel
Savings – Diesel

84kl

222,885kg CO2e

Electricity
Savings

578,893kWh

305,656kg CO2e

Water
Savings

1,592kWh

245kg CO2e

Paper
Savings

22,002,400piece

466,451kg CO2e

Other

Air container weight reduction, environmental services / product / education / procurement / information platform, toxic substance reduction and waste / material recycling.

  • Savings
  • Carbon reduction

Environmental Management Plan and Progress

2017

100%
Achievement rate

Objectives

  • Plan the environmental risk assessment tools for outstation
  • Perform the new edition of ISO 14001:2015 and expand the verification scope of ISO 50001:2001

Performance

  • Established the environmental risk self-assessment form for outstation
  • Consolidated context of the organization and extended the life cycle perspective to in-flight services in conformity with ISO 14001:2015

2018

Objectives
  • Plan and implement the mechanism for managing the environmental risk assessment for outstation
  • Implement and consolidate environmental management
  • Plan the environmental management performance database

2017

94%
Achievement rate

Objectives

  • Plan and complete 59 projects for environmental management
  • Reduce 106,035 tons CO2e
  • Increase fuel efficiency to 0.2212 tons / 1,000 RTK
  • Reduce Scope 1 greenhouse gas (GHG) emissions in ground operation by 4,640 tons CO2e
  • Reduce Scope 2 GHG emissions in ground operation by 2,190 tons CO2e
  • Implement the low-carbon park and label

Performance

  • Completed 60 projects. Cargo Service (CGO) Environmental Management Committee added a paper-saving project
  • Reduced 164,343 tons CO2e
  • 0.2429 tons / 1,000 RTK (up 4.75% compared to 2016)
  • 4,950 tons CO2e
  • Reduced 1,219 tons CO2e
  • The headquarters building received the Diamond-level green building label

2018

Objectives
  • Complete 55 projects including fuel saving, water saving, energy saving, paper saving, waste reduction, and green procurement
  • Reduce 152,076 tons CO2e
  • 0.2179 tons / 1,000 RTK
  • Reduce Scope 1 GHG emissions in ground operation to 4,574 tons CO2e
  • Reduce Scope 2 GHG emissions in ground operation to 18,297 tons CO2e
  • Promote to obtain the green building label for the flight crew training building

2017

100%
Achievement rate

Objectives

  • Provide carbon management coaching for key Groups and suppliers
  • Implement the trial operation of carbon label for domestic routes

Performance

  • Completed the GHG inventory of key Groups and suppliers
  • Assisted China Pacific Catering Services to complete the trial operation
  • Received the global aviation industry's first ISO 14067 Carbon Footprint Declaration of Reasonable Assurance
  • Received the carbon label granted by the Environmental Protection Administration
  • Updated information on carbon footprint in passenger and freight routes

2018

Objectives
  • Perform the supplier environmental risk assessment
  • Advance management capacity
  • Implement green fares and voluntary carbon offsets

2017

100%
Achievement rate

Objectives

  • Publish articles or knowledge of environmental protection
  • Organize annual training programs on environmental protection
  • Promote cross-industry cooperation

Performance

  • Published seven articles about environmental protection
  • Organized three training programs on waste reduction and conservation of global biodiversity from August to December
  • Promoted cooperation with United Microelectronics Corporation and CPC Corporation regarding sustainable environmental management
  • Organized on-site courses on environmental management for new employees at the headquarters

2018

Objectives
  • Plan and promote company-wide communication of environmental protection
  • Organize the annual training program on environmental protection
  • Organize at least two seminars on environmental protection

Key Events

When airplanes lift off into the fluffy arms of the clouds, we come to sense the thumping heartbeats of the earth. The uplifting air condensed down to our love for the earth and our commitment to protect and minimize our impact on the ecosystem as we glide through the sky; we vow to reduce carbon footprinta and spread seeds for the love of earth to keep the world spinning on without end.

2017

  • Renew Environmental and Energy Policy Statement
  • Set up Sustainable Aviation/Alternative Fuels Taskforce
  • Complete and external verified the transition of ISO 14001:2015 and ISO 50001:2011
  • Build capacity for China Airline Group Carbon footprint management

2016

  • Stipulated global branch sustainability and environmental governance principles.
  • Started revision processes for ISO 14001 environmental management system.

2015

  • Released China Airlines Corporate Social Responsibility and Sustainable Development Code of Practice, established Taiwan Ground Surface GHG Reduction Targets.
  • Activated key supplier carbon management counseling processes.

2014

  • Established GHG (flight operations) reduction targets, released the GHG Voluntary Reduction Statement.

2013

  • Released Environmental and Energy Management Policies.
  • Introduced ISO50001 energy management systems.

2012

  • Established corporate environment committee.
  • Introduced ISO 14001 environmental management system.

2011

  • Released Corporate Environment Policies.
  • Set up the environment department.

2009

  • Established GHG inventory team.
  • Introduced ISO 14064-1 GHG inventory system.

2007

  • Proposed Concept of Environmental and Energy Management.

Since 2009

Energy Management System

ISO50001:2011
  • Global aviation fuel
  • Ground operations in Taiwan, including CAL Park, maintenance park, Taipei Branch Office (B1, 1F, 2F, 9F), Songshan Branch Office, and Kaohsiung Branch Office.

Since 2012

Environmental Management System

ISO 14001:2004/2015
  • Aircraft maintenance
  • Aviation-related administration
  • Air freight transport
  • In-flight service since 2017

Note : In 2017, CAL introduced and completed the transition of ISO 14001:2015.

Since 2013

Greenhouse Gas Inventory

ISO14064-1:2006
  • Aircraft / engine maintenance
  • Flight operations management