Norwegian Air Shuttle ASA
Climate Impact & Sustainability Data (2017, 2018, 2019, 2022, 2023)
Reporting Period: 2017
Environmental Metrics
ESG Focus Areas
- Environment
- Economic Responsibility
- Social Responsibility
Environmental Achievements
- Reduced CO2 emissions per passenger kilometer by 1.2% from the previous year.
- Named the world’s most fuel-efficient airline on transatlantic routes by the International Council on Clean Transportation.
- Planted 9,500 trees in the UK and Spain (one for each employee), and tens of thousands more globally.
- Fleet renewal resulted in an average fleet age of 3.6 years, making it one of the greenest fleets.
Social Achievements
- Increased workforce by 46% in 2017.
- Launched a new Group Policy for prevention and handling of bullying and harassment.
- Successful Travel & Tourism apprentice program with a perfect pass rate.
Governance Achievements
- Implemented a GDPR project to ensure compliance with the new data protection regulation.
- Seven incidents of potential discrimination reported through the whistleblowing channel, with some resulting in corrective actions.
Climate Goals & Targets
- Help make aviation carbon neutral by 2050.
Environmental Challenges
- Data limitations in the current reporting system, preventing complete information on all topics.
- Inadequate employee data from 2017 to meet GRI reporting requirements.
Mitigation Strategies
- Aiming to improve data collection processes in coming years to provide all relevant information in accordance with GRI standards.
- Implementing a new HR system to provide more relevant data in the coming years.
Supply Chain Management
Responsible Procurement
- Fuel efficiency is a key criterion when selecting aircraft manufacturers.
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI Standards, Core option
UN Sustainable Development Goals
- Goal #1: End poverty in all its forms everywhere
- Goal #8: Promote inclusive and sustainable economic growth, employment and decent work for all
- Goal #17: Partnerships for the goals
Norwegian's material topics and initiatives contribute to these SDGs.
Awards & Recognition
- The World’s Best Low-Cost Long-Haul Airline and Europe’s Best Low-Cost Airline (Sky Trax)
Reporting Period: 2018
Environmental Metrics
ESG Focus Areas
- Environment
- Economic Responsibility
- Social Responsibility
Environmental Achievements
- Reduced CO2 emissions per passenger kilometer by 30% since 2008.
- Named the world’s most fuel-efficient airline on transatlantic routes by the International Council on Clean Transportation for the second time. 33% more fuel-efficient than the industry average.
- Reduced CO2 emissions per passenger kilometer by 1% from the previous year (72 grams of CO2 per passenger per kilometer).
- Reduced CO2 emissions by 16,000 tons per year through partnership with AVTECH Sweden AB using advanced weather data.
- Introduced 25 brand new aircraft, resulting in one of the youngest and greenest fleets in the world (average age of 3.8 years).
Social Achievements
- Increased workforce from 9,600 in 2017 to 10,215 in 2018.
- 44% of staff were female in 2018.
- Successful Travel & Tourism apprentice program with a perfect pass rate.
- Implemented EU’s General Data Protection Regulation (GDPR).
- Customers donated more than NOK 8.9 million to UNICEF.
Governance Achievements
- Implemented the EU’s new General Data Protection Regulation (GDPR).
- More than 40% female representation on the Group’s Board of Directors.
- 27 incidents reported through Norwegian’s Whistleblowing channel in 2018, majority related to bullying, discrimination or sexual harassment; all cases investigated and resolved.
Climate Goals & Targets
- Help make aviation carbon neutral by 2050.
Environmental Challenges
- Data limitations in reporting system, preventing complete information on all topics.
- Lack of complete employee data due to implementation of a new HR system.
Mitigation Strategies
- Aiming to improve data collection process in coming years to provide all relevant information in accordance with GRI standards.
Supply Chain Management
Responsible Procurement
- Fuel efficiency considered an important criterion when selecting aircraft manufacturers.
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: GRI Standards, Core option
UN Sustainable Development Goals
- Goal 1: No Poverty
- Goal 8: Decent Work and Economic Growth
- Goal 13: Climate Action
- Goal 17: Partnerships for the Goals
Norwegian's initiatives contribute to these goals through various programs and partnerships.
Awards & Recognition
- The World’s Best Low-Cost Long-Haul Airline
- Europe’s Best Low-Cost Airline
Reporting Period: 2019
Environmental Metrics
ESG Focus Areas
- Environment
- Local development and humanitarian engagement
- Responsible people culture
Environmental Achievements
- Reduced CO2 emissions by 3.6 percent to 70 grams CO2 per passenger kilometer.
- Saved 1.7 million metric tons of CO2 compared to the industry average.
- Offset 40 percent of total CO2 emissions through the EU’s emissions trading system.
- 123,000 customers compensated their carbon footprint using a partnership with CHOOOSE.
Social Achievements
- Continued Travel & Tourism Apprentice Program with 97 apprentices.
- Partnership with UNICEF, raising NOK 6.5 million in customer donations and almost NOK 500,000 in in-flight donations.
Governance Achievements
- Strengthened financial position through cost reduction, equity raising, and debt restructuring.
- Implemented IFRS 16 Leases.
Climate Goals & Targets
- Become carbon neutral by 2050
- Set a carbon efficiency target and develop a plan for CO2-emission reductions
- Optimize waste management
- Launch a Group Sustainability Strategy
- Implement recommendations from the Task Force on Climate-related Financial Disclosures (TCFD)
Environmental Challenges
- Tough competition and global trading environment.
- Issues with Rolls Royce Trent engines affecting Boeing 787 utilization.
- Global grounding of Boeing 737 MAX.
- Continued operational disruption.
Mitigation Strategies
- Adopted cost reduction measures (FOCUS2019, Program NEXT).
- Re-evaluated the entire network.
- Used wet-leased aircraft and schedule changes to mitigate challenges.
- Implemented SkyBreathe and AVTECH's Cruise Profile Optimizer to improve fuel efficiency.
Supply Chain Management
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events
Transition Risks
- Changes in government policies, technological development, and customer demands
Opportunities
- Development of energy-efficient products
UN Sustainable Development Goals
- Goal 1
- Goal 8
- Goal 13
- Goal 17
Initiatives contribute to poverty reduction, economic growth, climate action, and global partnerships.
Awards & Recognition
- SkyTrax’ award as “The World’s Best Low-Cost Long-Haul Airline” (fifth consecutive year)
Reporting Period: 2022
Environmental Metrics
ESG Focus Areas
- Climate change
- Employee welfare
- Labor practices
- Health and safety
- Cyber security and data protection
- Supply chain sustainability
- Climate risk
- Labor and human rights
Environmental Achievements
- Improved carbon efficiency by nearly 13 percent in 2022 compared to 2021
- Received the highest possible score for its emissions reduction initiatives in the global climate ranking by Carbon Disclosure Project (CDP) and an overall score of B-
- Consumed approximately 0.4 percent SAF of total Jet A-1 uplifted, up from 0.3 percent in 2021
Social Achievements
- Launched its new mission, vision, and values with input from more than 150 employees
- Passengers donated NOK 4.6 million to UNICEF’s work for children when booking flights on the Norwegian website
- Re-established a Pilot Peer Support Program
Governance Achievements
- Joined the Social Human Equity (SHE) index in 2022
- Implemented changes to the recruitment process to promote fairness and transparency
- Developed a code of business ethics and conduct
Climate Goals & Targets
- Achieve carbon neutrality by 2050
- Reduce carbon emissions by 45 percent by 2030
- Increase share of female employees in management positions to a 40/60 gender ratio by 2025
- Increase share of male employees in cabin crew by 10 percentage points by 2025
- Reduce water consumption by 10% by 2025
- Stop using non-recyclable plastics and recycle 100 percent of single-use plastics by the end of 2023
- Reduce single-use plastics by 30% by the end of 2023
Environmental Challenges
- Spread of the Omicron coronavirus variant impacting operations
- Russia’s invasion of Ukraine causing soaring global oil prices and impacting fuel costs
- Capacity constraints at European airports and an aircraft technician strike in Norway
Mitigation Strategies
- Swiftly adapting its capacity to changes in demand
- Hedging jet fuel at attractive levels for 2023 and 2024
- Working tirelessly to operate close to all scheduled flights
Supply Chain Management
Supplier Audits: Over 600 suppliers screened by year-end 2023, covering 94 percent of supplier spend using EcoVadis
Responsible Procurement
- Supplier sustainability requirements
- Risk assessments for all suppliers
- Compliance with the Norwegian Transparency Act
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events leading to flight cancellations and increased costs
Transition Risks
- Changes in government policies, technological development, and customer demands related to climate change
- EU Emission Trading System (EU ETS) changes
Opportunities
- Development of energy-efficient products
- Partnership with Norsk e-Fuel to produce sustainable aviation fuel
Reporting Standards
Frameworks Used: GRI (referenced, but not fully compliant)
Third-party Assurance: PricewaterhouseCoopers AS (limited assurance on GHG statement)
UN Sustainable Development Goals
- Goal 1: No Poverty
- Goal 8: Decent Work and Economic Growth
- Goal 13: Climate Action
- Goal 17: Partnerships for the Goals
Norwegian supports these SDGs through various initiatives, including partnerships with UNICEF and other organizations
Sustainable Products & Innovation
- Sustainable aviation fuel (SAF) product
Awards & Recognition
- Most punctual airline in the Nordics (Cirium)
- Best Low-Cost Airline in Northern Europe (Skytrax)
- Best Airline in Europe (Danish Travel Awards)
Reporting Period: 2023
Environmental Metrics
ESG Focus Areas
- Direct greenhouse gas emissions
- Employee welfare
- Labour practices
- Health and safety
- Cyber security and data protection
- Supply chain sustainability
- Climate risk
- Labour and human rights
Environmental Achievements
- Improved carbon efficiency by 2.5 percent compared to 2022 and 15.5 percent compared to 2021. CO2 grams per RPK amounted to 75 grams.
- Added 18 Boeing 737 MAX 8 aircraft to the fleet, reducing fuel burn by at least 14 percent.
- Partnership and investment in Norsk e-Fuel to build the world’s first full-scale e-fuel plant, securing approximately 20 percent of the company’s total demand for SAF by 2030.
- Saved 19,200 tonnes of fuel amounting to a total 60,600 tonnes of CO2 using the SkyBreath application.
Social Achievements
- Launched new leadership training programs and piloted a performance development process.
- Introduced the “Last Flight Discount” program to curb food waste.
- Secured a four-year contract with the Norwegian Armed Forces.
- Improved employee satisfaction scores (details in report).
Governance Achievements
- Expanded the company’s Code of Conduct to serve as the cornerstone for outlining its commitment to sustainability.
- Conducted an updated Materiality Assessment.
- Improved company score in the global climate ranking done by the Carbon Disclosure Project (CDP) to a B score (from B-).
Climate Goals & Targets
- Achieve carbon neutrality in aviation by 2050.
- Reduce CO2 emissions by 45 percent by 2030 compared to 2010 levels.
- Reduce onboard disposable consumption from 5.9 grams per revenue passenger in 2023 to 4 grams per revenue customer in 2024.
- Achieve zero food waste by 2030.
- Increase recycling rates to 98% for bottles and cans by 2030.
Environmental Challenges
- Climate-related risks including transition risks (regulatory changes, market shifts for SAF) and physical risks (extreme weather events).
- Supply chain disruptions.
- Fluctuations in fuel prices and foreign exchange rates.
- Intensified competition in the Nordic air travel market.
Mitigation Strategies
- Fleet renewal program with more fuel-efficient aircraft.
- Operational efficiency improvements (fuel-saving initiatives, higher load factors).
- Strategic partnerships (Norsk e-Fuel for SAF).
- Hedging strategies for fuel and currency risks.
- Sustainable procurement practices and supplier audits (EcoVadis).
Supply Chain Management
Supplier Audits: 2,501 active suppliers vetted through EcoVadis.
Responsible Procurement
- Supplier Code of Conduct
- Regular risk analysis and due diligence assessments
- Partnership with EcoVadis
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events leading to flight cancellations and increased costs.
Transition Risks
- Changes in government policies, technological development, and customer demands related to EU ETS, SAF blending mandates, and CO2 taxes.
Opportunities
- Development and use of sustainable aviation fuels (SAF).
Reporting Standards
Frameworks Used: GHG Protocol Corporate Accounting and Reporting Standard (2004), GRI (referenced, but not fully compliant)
Third-party Assurance: PricewaterhouseCoopers AS (limited assurance on GHG statement)
UN Sustainable Development Goals
- 3
- 5
- 7
- 8
- 9
- 13
- 17
Norwegian's policies and actions support the UN Sustainable Development Goals, with a special emphasis on goals 3, 5, 7, 8, 9, 13, and 17.
Awards & Recognition
- Europe’s top performer on regularity in 2023 (Cirium)
- Among Europe’s most punctual airlines for the full year (Cirium)
- 'Best Airline in Europe' and ‘Best Domestic Airline’ (Grand Travel Awards)