Climate Change Data

Environmental Metrics

ESG Focus Areas

• Climate Change
• Sustainable Resource Utilization
• Workplace Safety and Health Management
• Customer Health and Safety Protection
• Customer Information Protection
• Customer Satisfaction Enhancement Efforts
• Legal Compliance and Corporate Governance
• ESG Risk Management
• Market Response and Resilience Enhancement in Response to Industry Changes

Environmental Achievements

• Achieved 22 consecutive years of accident-free operation with zero fatalities.
• Reduced NOx emissions by an average of 59% after installing low-NOx burners.
• Improved waste recycling rate to 72.1%.
• Reduced carbon emissions by implementing various measures such as using lightweight containers and eco-friendly packaging.
• Introduced Sustainable Aviation Fuel (SAF) on regular routes.

Social Achievements

• Employs disabled athletes in collaboration with the Seoul Disability Sports Association.
• Maintained high employee retention rates after maternity leave (97%).
• Consistently ranked 1st in Global Customer Satisfaction Competency Index (GCSI) for 18 consecutive years.
• Received CCM (Consumer Centered Management) certification for two consecutive years.
• Implemented various employee well-being programs, including mental health support and health screenings.

Governance Achievements

• Established an ESG committee under the board of directors.
• Achieved a KCGS ESG rating of A for three consecutive years.
• Obtained ISO 37301 (Compliance Management System) certification.
• Maintained zero financial losses due to anti-competitive behavior.

Climate Goals & Targets

Environmental Challenges

• Carbon emission regulations and rising carbon credit prices.
• Mandatory blending of SAF in some European airports.
• Consumer behavior changes towards eco-friendly consumption.
• High investment costs for eco-friendly technologies.
• Natural disasters such as typhoons and heavy snow.
• Climate change-induced changes in air density affecting aircraft performance.

Mitigation Strategies

• Active participation in carbon offsetting schemes (CORSIA, EU-ETS, Korea-ETS).
• Increased use of SAF.
• Development and implementation of eco-friendly technologies.
• Strengthening of the environmental management system.
• Risk management strategies for natural disasters and climate change impacts.

Supply Chain Management

Responsible Procurement

• Fair trade practices, including full cash payment of transaction amounts.

Climate-Related Risks & Opportunities

Physical Risks

• Typhoons, heavy snow, and other natural disasters.
• Changes in air density due to rising temperatures.

Transition Risks

• Strengthening carbon regulations and rising carbon credit prices.
• Mandatory SAF blending.
• Consumer behavior changes.

Opportunities

• Increased demand for eco-friendly technologies and services.
• Government financial support for eco-friendly aircraft and technology development.

Reporting Standards

Frameworks Used: GRI Standards 2021, SASB, TCFD

Certifications: ISO 14001, ISO 37301

Third-party Assurance: Korea Management Certification Institute (KMR)

UN Sustainable Development Goals

• Goal 3: Good Health and Well-being
• Goal 4: Quality Education
• Goal 5: Gender Equality
• Goal 6: Clean Water and Sanitation
• Goal 7: Affordable and Clean Energy
• Goal 8: Decent Work and Economic Growth
• Goal 9: Industry, Innovation and Infrastructure
• Goal 10: Reduced Inequalities
• Goal 11: Sustainable Cities and Communities
• Goal 12: Responsible Consumption and Production
• Goal 13: Climate Action
• Goal 15: Life on Land
• Goal 17: Partnerships for the Goals

Korean Air's initiatives contribute to these SDGs through various programs and policies related to employee well-being, environmental protection, sustainable practices, community engagement, and ethical business conduct.

Sustainable Products & Innovation

• Upcycled products from retired aircraft materials.

Awards & Recognition

• Greening the Company (1st place in greenhouse gas reduction among top 100 companies in Korea)
• Air Cargo Excellence Award ‘Diamond Award’
• Travellers’ Choice Awards: Top 10 Airlines
• 27th Corporate Innovation Award (Presidential Award)
• Official Airline Ratings: Five Star Global Airlines
• World Airline Star Rating: Five Star Airline
• 24th Logistics Award (Grand Prize)
• COVID-19 Airline Safety Rating: Five Star Airline
• Airbus 220 Best Operational Excellence
• 2021 Airline of the Year
• 2021 Best Airline for International First Class and Best Business-Class Seat Design
• Cellars in the Sky Award 2021 Gold Medal
• 2022 Passenger Choice Award Best Food & Beverage in Eastern Asia and Best Cabin Service
• PAX Readership Awards 2022 Best In-flight Duty Free Program
• 2022 Cargo Operator of the Year
• Global Customer Satisfaction Index (GCSI) 1st place (18 consecutive years)
• Airline Excellence Awards Cargo Airline of the Year and Long Haul Airline Asia/Pacific
• 2022 Social Contribution Company Award (Environment/Disaster Relief)
• Korea Service Quality Index (KS-SQI) 1st place

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Reduced carbon emissions by 9.86% year-over-year in passenger aircraft fuel efficiency (91.55 kgCO2/100RTK in 2023 vs 101.56 kgCO2/100RTK in 2022)
• Reduced carbon emissions by approximately 257,000 tons through fuel efficiency improvements.
• Achieved 68.2% waste recycling rate (though this decreased slightly year-over-year due to increased waste volume from increased passenger traffic).

Social Achievements

• Launched a customer-centric management (CCM) program, achieving 3 consecutive certifications.
• Maintained a 91% employee retention rate after parental leave.
• Increased women in management positions to 44.5%.

Governance Achievements

• Achieved a 'A' rating in KCGS ESG evaluation for four consecutive years.
• Established an ESG committee within the board of directors.
• Implemented an anti-corruption training program for all employees.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to geopolitical instability (Russia-Ukraine war, Israel-Palestine conflict).
• Increased waste generation due to increased passenger traffic.
• High energy costs.

Mitigation Strategies

• Developed alternative sourcing strategies.
• Implemented waste reduction initiatives (e.g., in-flight recycling campaign).
• Implemented fuel efficiency measures (e.g., high-efficiency aircraft, fuel management system).

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Code of conduct
• Supplier sustainability requirements
• Green purchasing guidelines

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events (typhoons, blizzards)
• Increased turbulence due to climate change

Transition Risks

• Strengthening carbon regulations (CORSIA, EU-ETS, domestic emissions trading scheme)
• Increased cost of sustainable aviation fuel (SAF)
• Changes in consumer behavior (flight shame).

Opportunities

• Development of energy-efficient products and technologies (e.g., UAM, high-efficiency aircraft components).
• Government financial support for high-efficiency aircraft and technology development.

Reporting Standards

Frameworks Used: GRI Standards 2021, SASB, TCFD

Certifications: ISO 14001

Third-party Assurance: Korean Register of Shipping (KRS)

UN Sustainable Development Goals

• Goal 3
• Goal 4
• Goal 5
• Goal 6
• Goal 7
• Goal 8
• Goal 9
• Goal 10
• Goal 11
• Goal 12
• Goal 13
• Goal 15
• Goal 17

The report details how various initiatives contribute to these goals.

Sustainable Products & Innovation

• Upcycled products from retired aircraft materials.
• Eco-friendly in-flight service items (e.g., bamboo cutlery, recycled plastic).

Awards & Recognition

• 2021 Logistics Award (Grand Prize)
• Skytrax 5-Star Airline
• ATW Airline of the Year
• Global Traveler Awards
• APEX Passenger Choice Awards
• AirlineRatings Airline Excellence Awards
• USA Today 10Best Awards
• Global Customer Satisfaction Index (GCSI) Award