Kenya Airways Plc
Climate Impact & Sustainability Data (2022)
Reporting Period: 2022
Environmental Metrics
ESG Focus Areas
- Environmental
- Social
- Governance
Environmental Achievements
- Retired older, fuel-inefficient aircraft, reducing flight emissions. Current fleet (average age 10 years) is more fuel-efficient.
- Acquired Boeing 787, reducing CO2 emissions and noise pollution.
- Implemented fuel efficiency initiatives such as continuous descent approaches, optimized routing, idle reverse landing, reduced flap landing and single-engine taxiing.
- Prioritized weight reduction by using lighter materials, implementing efficient water uplift strategies, and optimizing aircraft loading.
Social Achievements
- Increased EAP uptake to 4.8% from 3.6% (against global rates of 6%). Over 3000 staff attended various financial and mental well-being sessions.
- Successfully rolled out various initiatives to ensure employees were well cared for, empowered and equipped.
- KQ Pride Centre attained the Dangerous Goods Regulations Competency Based Training & Assessment Centre of Excellence Accreditation (1st in Africa and 7th in the world).
- Recognized as one of the Best Employer Brand – Sub-Saharan Africa in the Talent Awards organized by LinkedIn in 2022.
Governance Achievements
- Adopted corporate governance practices in line with the Capital Markets Code of Corporate Governance for Issuers of Securities in Kenya.
- Undertook a Governance Audit exercise in 2021, receiving an unqualified opinion on corporate governance practices.
- Significant improvement in Governance and Leadership score from 79% to 86% in 2022.
- Established a standalone role of Ethics and Integrity Manager.
Climate Goals & Targets
Medium-term Goals:
- Become Africa's preferred airline by 2024
- Achieve employer of choice status by 2024
Short-term Goals:
- Break even by 2024
Environmental Challenges
- Global fuel price volatility increased by 42% year on year.
- Deterioration of the dollar and its effect on direct operating costs.
- Tight forex demand and devaluation of the Kenya Shilling.
- Insufficient nose-in parking positions at JKIA, inadequate baggage sorting facility, extended closure of apron spaces, and continued Covid checks.
- Unlawful pilots’ strike.
- Significant risks affecting human resources.
- Geopolitical risks impacting operations.
- Airline safety risks.
- Legal and compliance risks.
- Security risks.
Mitigation Strategies
- Fuel surcharge on ticket prices, competitive sourcing of fuel suppliers, fuel hedging arrangements.
- Negotiation for foreign allocations with different countries, foreign exchange swap arrangements, locking purchase of economy class seats.
- Implementation of Act right, speak up campaigns, increased monitoring of controls, consequence management process, increased awareness on whistleblowing mechanisms, creation of an ethics and integrity office, forensic investigations.
- Strategic partnerships with other airlines, continued focus on customer centricity.
- Increased focus on IT controls, review of ICT infrastructure, vulnerability assessment, patch management.
- Succession planning, talent pipeline development, alternative opportunities for staff, engagement with social partners, culture change program, stratified employee value proposition.
- Strategic engagement with the Kenyan administration, active monitoring of political developments, cost-saving initiatives.
- Compliance monitoring framework, adherence to SOPs, consequence management, regular SMS training, safety incident management processes, digital safety reporting system.
- Mechanism to ensure compliance, continuous monitoring.
- Mandatory AVSEC training, continuous security risk assessment, adherence to security policies, collaboration with security authorities.
Supply Chain Management
Climate-Related Risks & Opportunities
Awards & Recognition
- Africa's Leading Airline 2022
- Africa's Leading Airline Brand 2022
- Africa's Leading Airline - Business Class 2022
- Africa's Leading Inflight Magazine 2022 (Msafiri)
- Best Employer Brand – Sub-Saharan Africa (LinkedIn Talent Awards 2022)