E
Sustainable Environment
S
Inclusive Society
G
Corporate Governance

Environmental Governance

We’re committed to Earth’s sustainability and strive for operational excellence. We aim to be an eco-friendly benchmark in aviation.

The Principles of Environmental and Energy Environmental and Energy Policy Management Systems and Organizational Structure Concern for Climate Change Annual Goals Key Events

Environmental Governance

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.

CHINA AIRLINES “A Journey Begins with a Big Hug”

Our Principles and Policies

China Airlines has formulated its environmental and energy management philosophy and policies under the “Fostering a Sustainable Environment” principle outlined in the China Airlines Sustainable Development Best Practice Principles, as approved by the Board of Directors. In alignment with international sustainability trends and incorporating insights from academia and industry experts, the company continuously refines its strategies. By integrating the United Nations Sustainable Development Goals (SDGs), CAL develops strategic guidance to ensure its operations advance toward environmentally friendly, low-carbon, and energy-efficient sustainable development. CAL is committed to securing a better and brighter future for both the planet and future generations.

China Airlines Sustainable Development Best Practice Principles

Environmental and Energy Policy Statement

The Principles of Environmental and Energy


Environmental Promotion Strategies

China Airlines implements environmental management with systematic risk management concept, and actively establishes corporate environmental risk management mechanism. Through establishment of environmental organizations and announcement of environmental policies, China Airlines conducted the phased introduction of ISO 14064 Greenhouse Gas Management System, ISO 14001 Environmental Management System, and ISO 50001 Energy Management System, along with the staff education and key performance indicators (KPI) setting and implementation, and gradually deepen the corporate environmental culture of PDCA continuous improvement. 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.

CAL Environmental and Energy Policy

China Airlines Sustainable Development Best Practice Principles Enforcing compliance obligations to fulfill theCompany’s responsibilities in environmentalprotection and energy conservation Improving environmental and energy managementsystems, setting and achieving managementobjectives to verify compliance with established polices Promoting environmental and energy conservatioin education to foster employees’ eco awareness Fostering a low-carbon operating environment toestablish continual improvement of environmentaland energy efficiency performance Practicing waste management and economy to minimize resource consumption and negative environmental impacts Strengthening suppliers and partners engagementto optimize green supply chain management Supporting green design and procurement toincrease overall eco-efficiency Acted as a member of the IATA SEAC, monitoring global environmental trends to effectively implement risk and opportunity management Through regular and irregular compliance review and internal and external auditing mechanisms to perform a zero-penalty target Developed and tracked environmental sustainability targets and commitments, while continuously improving environmental and energy performance Organized the “Excellent Environmental Management Committee Competition” to recognize top-performing Environmental Management Committee/Aviation Fuel Management Working Group in 2024. The awards were presented in person by the President, along with administrative and monetary incentives Continuously optimized and enhanced the effectiveness of corporate environmental and energy management systems Provided diverse channels for appropriate training to promote employees’ understanding of the environmental impacts of their business activities Encouraged employees to submit suggestions through platforms such as “Employee Proposals” and “Fuel-Saving Proposals” and offered corresponding monetary rewards Invested in R&D activities focused on environmentally sustainable services and products Implemented green design, sustainable/local procurement, and due diligence in mergers and acquisitions, investment, vendor selection, and procurement operations Increased the proportion of low-carbon and renewable energy used in commercial facilities and transportation services throughout the entire value chain Implemented environmental and energy-saving measures according to business activities (including products, services, transport, and administrative support) to reduce environmental impact Inventorying energy and resource consumption and environmental impact hotspots, and devised corresponding strategies and mitigation measures Adopt circular economy principles to realize waste-to-resource conversion by increasing the recycling rate, reducing packaging materials and food waste, phasing out single-use plastic, and promoting the use of recycled materials Minimized energy and resource consumption while maximizing their efficiency and effectiveness Implemented supply chain environmental risk management, engagement, and audited through the Supplier and Group Code of Conduct Environmental andEnergy Principle Environmental and Energy Policy Strategies Complying with Environmental Laws and Regulations Conserving the Earth’s resources Improving Eco-Efficiency Fulfilling Social Responsibility

Management Systems and Organizational Structure

In response to increasingly stringent international environmental regulations and the growing awareness of low-carbon consumption, CAL has adopted and continuously enhanced the implementation of ISO 14001, ISO 50001, and ISO 14064. With a life-cycle perspective, forward-looking management, a proactive and precautionary approach, and a commitment to coexistence and shared prosperity, CAL strengthens its understanding of stakeholder concerns and identifies environmental and energy-related risks and opportunities across its organizational boundaries and value chain. Through this approach, CAL aims to lead the industry and its value chain in advancing sustainability performance and creating long-term sustainable value.

CAL established the Corporate Environmental Committee in 2011 with the President as the top management and the Sustainable Development Center as the executive secretary. Based on business attributes, five major environmental management committees and an Aircraft Fuel Management Team were formed. These are supported by internationally compliant risk management systems to monitor and control the environmental, energy, and climate change risks and opportunities across headquarters, domestic and international branches, maintenance operations, passenger and cargo services, supply chain, and group/value chain partners. This includes improving aircraft fuel efficiency, thereby covering the full scope of corporate operations.

Each Environmental Management Committee/Fuel Management Team is led by head of the major business department who serve as management representatives. They report management performance quarterly to the top management. Additionally, through regular Sustainability Committee and Board of Directors and its Committees meetings, relevant risks and opportunities, as well as various control and promotion plans, are reported to the Board of Directors.

CAL Environmental Management Operation Logics


Corporate Environmental Committee Organization


Corporate Environment Committee Top Management (President) Scope of Risk Management Executive Secretary Carbon Management Task Force Sustainable Aviation Fuel Task Force TCFD Task Force Control environmental risks in office and administration Control environmental risks in operation of aircrafts and engines maintenance Fleet Fuel Efficiency Management Control environmental risks passenger service Control environmental risks in cargo operations Kaohsiung Branch (KHH) Environmental Management Committee Cargo Service (CGO) Environmental Management Committee ECO Service Environmental Management Committee CAL Park Environmental Management Committee Engineering and Maintenance Organization (EMO) Environmental Management Committee Aviation Fuel Management Team Control environmental risks in office and administration

Additionally, functional task forces have been established to address major issues: Carbon Management Task Force, Sustainable Alternative Fuel Task Force, and TCFD Task Force. These task forces hold regular meetings to discuss the reduction and offset management of greenhouse gas emissions, the promotion of sustainable aviation fuel, and international developments in TCFD/TNFD-related topics. Response strategies are formulated, and operational performance and implementation outcomes are tracked and improved.

Carbon Management Task Force Sustainable Development Center Finance Divison Passenger Sales & Marketing Division Cargo Sales, Marketing & Service Division Flight OperationsDivision Corporate Development Office EmissionManagement Conduct Monitoring, Reporting, Verification (MRV) operations in accordance with the EU Emissions Trading System (ETS),ICAO CORSIA; keep up to date on international carbon reduction developments and regulations. Carbon Trading Conduct carbon credit operations in accordance with EU ETS, ICAO CORSIA 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. OperatingStrategy Plan global routes and flights. The purchase and study of new, fuel-efficient aircraft.
Sustainable Aviation Fuel Task Force MaintenanceCenter Flight OperationsDivision Finance Division Sustainable Development Center CorporateDevelopment Office System OperationControl Division Partnership Engagement Establish channels of communication and cooperation with government, equipment and fuel suppliersEstablish strategic partnership Technical Analysis Analyze financial impact and technical feasibilityMonitor and review results Strategy Development Analyze policies and trends of technological development at home and abroad and plan the development strategies

Note：The Sustainable Aviation Fuel Task Force responsible is for laws and regulations study, aircraft airworthiness, operating technology, ground handling support procedures and strategic operations planning.

TCFD Taskforce Financial Units Planning Units Sales/Marketing Units Operations Units Maintenance/Engineering Units Governance Board and management Strategy Climate scenario setting and analysisIdentification of short, medium, and long-term climate and nature-related risks and opportunities Establish risk, opportunity identification, assessment and management proceduresEvaluate and quantify the financial impacts of risk and opportunity issues RiskManagement Indicatorsand targets Establish climate risk and opportunity related indicatorsDisclosure of greenhouse gas emission information