Climate Change Data

Jet2 plc

Climate Impact & Sustainability Data (2021, 2023, 2024)

Reporting Period: 2021

Environmental Metrics

Total Carbon Emissions:315,378 tCO2e
Scope 1 Emissions:314,097 tCO2e
Scope 2 Emissions:1,089 tCO2e
Scope 3 Emissions:192 tCO2e
Renewable Energy Share:20% (head office electricity)
Total Energy Consumption:1,273,368,472 kWh
Carbon Intensity:89.8 gCO2 per passenger km (aircraft fuel burn only), 91.5 gCO2e per passenger km (including all relevant scope 1, 2 & 3 emissions)

ESG Focus Areas

  • Environmental Sustainability
  • Social Responsibility
  • Governance

Environmental Achievements

  • Reduced total carbon equivalent emissions by 86% to 315,378 tonnes (2020: 2,276,339 tonnes), primarily due to reduced flying activity.
  • Saved over 24,000 tonnes of CO2 through efficient flying program and investment in fuel-efficient aircraft.
  • 42% of ground service equipment is now electric, reducing NOx and particulate emissions.

Social Achievements

  • Promptly refunded over £1.4bn to customers affected by flight and holiday cancellations.
  • Launched interactive Wellbeing Hub and Wellbeing Support Programme for employees.
  • Implemented a generous bespoke salary plan to support employees during the pandemic.

Governance Achievements

  • Welcomed Robin Terrell to the Board as an independent non-executive director.
  • Successfully completed two equity placings to strengthen liquidity.
  • Implemented a refund guarantee for Jet2holidays.

Climate Goals & Targets

Long-term Goals:
  • Net Zero 2050 pledge.
Medium-term Goals:
  • Set targets for emissions from offices and ground-based fleet, airline efficiency, sustainable aviation fuels, waste, offsetting, and hotel sustainability labelling and certification.
Short-term Goals:
  • To align business strategy with environmental and sustainability impacts.
  • To work with partners to increase positive impacts.
  • To integrate sustainability into the business.

Environmental Challenges

  • Unprecedented operational and financial challenges due to the Covid-19 pandemic and travel restrictions.
  • Reduced flying activity and passenger numbers.
  • Significant cost reduction measures required to manage cash burn.
Mitigation Strategies
  • Implemented cost reduction measures, including furloughing employees and deferring aircraft deliveries.
  • Secured £1.6bn in additional funding through various sources.
  • Developed automated systems for processing refunds.

Supply Chain Management

Responsible Procurement
  • Focus on building mutually beneficial long-term relationships with suppliers.
  • Industry-leading payment record for suppliers.

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events impacting flight operations.
Transition Risks
  • Changes to carbon trading schemes and environmental legislation.
Opportunities
  • Development of energy-efficient products and services.

Reporting Standards

Frameworks Used: Streamline Energy and Carbon Reporting (SECR)

Certifications: ISO 14064-1:2006 (Greenhouse Gases)

Third-party Assurance: Delta-Simons Environmental Consultants Limited

Sustainable Products & Innovation

  • Sustainable alternatives to single-use plastics in inflight retail.

Awards & Recognition

  • Which? Recommended Provider
  • UK Civil Aviation Authority recognition for prompt refunds

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:2,645,599 tCO2e/year
Scope 1 Emissions:2,644,164 tCO2e/year
Scope 2 Emissions:1,436 tCO2e/year
Scope 3 Emissions:549,817 tCO2e/year
Renewable Energy Share:100% (offices where we control supply)
Total Energy Consumption:10,690,097,444 kWh/year
Carbon Intensity:65.9 gCO2 per passenger km

ESG Focus Areas

  • Climate Change
  • Sustainability

Environmental Achievements

  • Aircraft CO2 emissions per passenger kilometre reduced to 65.9 gCO2, putting the business in a strong position to achieve its target of 65.0 gCO2 per passenger kilometre by 2025.
  • Voluntarily offset over 1.5m tonnes CO2e during the year, representing all emissions not covered by mandatory carbon pricing mechanisms.
  • 47% of Ground Support Equipment now operates on zero-carbon technology.
  • Achieved an 80% reduction in single-use plastics on aircraft compared to 2019.

Social Achievements

  • 8% pay increase awarded to all colleagues during the year ended 31 March 2023, together with an end of summer season ‘Thank You Bonus’ of £1,000 each.
  • Launched Lifestyle 2023 program for pilots and cabin crew to provide a more balanced lifestyle.
  • Jet2holidays became the first UK tour operator to be awarded ISO 45001:2018 certification.
  • Jet2.com and Jet2holidays awarded Travel Brand of the Year 2023 by Which?.

Governance Achievements

  • Appointments of Simon Breakwell and Angela Luger as independent Non-Executive Directors.
  • Renegotiated Revolving Credit Facility (RCF) with a sustainability focus, linked to gCO2 per passenger kilometre.

Climate Goals & Targets

Long-term Goals:
  • Net zero emissions by 2050
Medium-term Goals:
  • Reduce our gCO2 per passenger kilometre to 60.0 (10%) by 31 December 2030
  • Commit to first Sustainable Aviation Fuel uplift (SAF) by 31 December 2026
  • Put in place a fair and transparent Hotel Sustainability labelling scheme by 31 December 2023
  • Develop a Jet2holidays Global Sustainable Tourism Council (GSTC) recognised Hotel Sustainability Charter by 31 December 2023
Short-term Goals:
  • Reduce water consumption by 10% by 2025
  • Over 50% Ground Service Equipment to be zero carbon emission by 31 December 2023
  • Reduce the use of single use plastics onboard our aircraft by 80% by 31 December 2023
  • Reduce our gCO2 per passenger kilometre to 65.0 (3%) by 31 December 2025

Environmental Challenges

  • Widespread travel disruption during Summer 2022 due to airport and supplier issues, leading to delay and compensation costs exceeding £50.0m.
  • Weaker than anticipated performance of in-flight retail operations due to resource limitations at a third-party supplier.
  • Input cost pressures such as fuel, carbon taxes, a strengthened US dollar, and wage increases.
Mitigation Strategies
  • Early and substantial marketing investments.
  • Meaningful salary increases to all Colleagues.
  • Assumed direct control of all ground-handling operations at Bristol and Newcastle airports.
  • Well-established Board approved Hedging Policy to manage foreign exchange rate, interest cost and fuel price risk.
  • Investment in a new SAF production plant.

Supply Chain Management

Responsible Procurement
  • Supplier Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
  • Coastal flooding
  • Wildfires
  • Changes in air temperature and pressure
  • Changes in rainfall
Transition Risks
  • Increased carbon pricing
  • Availability of SAF
  • Government policy changes
  • Changes in consumer and investor sentiment
Opportunities
  • Development of energy-efficient products
  • Increased demand for sustainable travel

Reporting Standards

Frameworks Used: TCFD

Certifications: ISO 45001:2018

Third-party Assurance: Delta-Simons Environmental Consultants Limited

Sustainable Products & Innovation

  • New Airbus A321/A320neo aircraft

Awards & Recognition

  • Travel Brand of the Year 2023 (Which?)
  • Best Large Company Workplace in Travel (Best Workplaces in Travel)

Reporting Period: 2024

Environmental Metrics

Total Carbon Emissions:2,877,605 tCO2e/year (Scope 1 & 2)
Scope 1 Emissions:2,876,913 tCO2e/year
Scope 2 Emissions:692 tCO2e/year
Scope 3 Emissions:1,269,080 tCO2e/year
Total Energy Consumption:11,614,944,193 kWh/year
Carbon Intensity:65.7 gCO2/RPK (fuel burn only)

ESG Focus Areas

  • Climate Change
  • Social Value (Employee Wellbeing, Inclusion & Access, Community Investment)
  • Governance

Environmental Achievements

  • Fuel burn CO2 emissions reduced to 65.7 gCO2 per revenue passenger kilometre
  • Over 50% of Jet2.com-owned Ground Services Equipment is now electrified
  • Over 950 hoteliers enlisted in Jet2holidays’ new GSTC certified Hotel Sustainability Charter
  • Jet2.com will use a 1% SAF blend in its fuel mix at London Stansted, Bristol and Malaga airports in Summer 2024
  • Retrofit split scimitar winglets to our Boeing 737-800NG fleet, generating fuel burn reduction of up to 1.8% per aircraft

Social Achievements

  • Welcomed over 5,000 new Colleagues to our business and expanded our apprenticeship programme to include over 150 individuals
  • Invested £15m in our Lifestyle 2023 program for pilots and cabin crew to provide a more balanced lifestyle
  • Further Apprenticeship Scheme expansion to over 150 colleagues
  • 9% pay award for the year ended 31 March 2024 and a further 5.5% increase for the year ending 31 March 2025
  • Launched Appoint an Apprentice scheme, making almost £500,000 of apprenticeship funds available via a levy transfer to help independent travel agent partners develop their teams

Governance Achievements

  • Updated Sustainability Strategy published in May 2024
  • Three new independent Non-Executive Directors appointed
  • Successfully extended its sustainability-linked Revolving Credit Facility (RCF) by a further year

Climate Goals & Targets

Long-term Goals:
  • Net zero emissions by 2050
Medium-term Goals:
  • Achieve 15% SAF in fuel mix by 2035
  • Achieve 8% fuel reduction from airspace modernisation by 2035
  • Achieve 99% emission reduction from UK ground vehicles by 2035
Short-term Goals:
  • Reduce airline carbon intensity to 43.55g CO2/RPK by 2035
  • Reduce Scope 3 carbon intensity by 15% by 2035

Environmental Challenges

  • Rising inflation and elevated interest rates putting pressure on disposable income levels
  • Impacts of extreme weather events (Rhodes wildfires and Skiathos floods) and NATS technological systems failure
  • Input cost volatility, including interest, fuel and carbon costs
  • Economic conditions impacting consumer demand
  • Recruitment and retention of talent
Mitigation Strategies
  • Careful investment to ensure profit and cash flow growth is sustainable
  • Integration of six new Airbus A321neo aircraft (20% per seat reduction in fuel and carbon emissions)
  • Launch of Retail Operations Centre (ROC)
  • Relaunch of MyJet2 membership scheme
  • Hedging policy to manage foreign exchange rates, interest rates, fuel prices, and carbon prices
  • Lifestyle 2023 initiative for flight crew
  • Compound Annual Pay Review growth of more than 24% over the past three years
  • ShareSave scheme
  • New performance management process

Supply Chain Management

Responsible Procurement
  • Supplier Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks
  • Extreme weather events
  • Flooding
  • Wildfires
Transition Risks
  • Policy and regulatory changes
  • New technologies
  • Market and reputational risk
  • Consumer trends
  • Legal risks
Opportunities
  • Development of energy-efficient products
  • Increased demand for sustainable travel

Reporting Standards

Frameworks Used: TCFD, SECR, GRI, SASB

Certifications: ISO 14001 (in progress)

Third-party Assurance: My Carbon Ltd (limited assurance), Verifavia (reasonable assurance for Scope 1 aviation fuel)

UN Sustainable Development Goals

  • Goal 7 (Affordable and Clean Energy)
  • Goal 13 (Climate Action)

Initiatives contribute to these goals through emission reduction, renewable energy use, and sustainable tourism practices.

Sustainable Products & Innovation

  • Sustainable in-flight retail products

Awards & Recognition

  • Which? Travel Brand of the Year (3 consecutive years)
  • CAPA Platinum rating for airline sustainability