fastjet Limited
Climate Impact & Sustainability Data (2021)
Reporting Period: 2021
Environmental Metrics
Total Carbon Emissions:28,680 tonnes CO2e (2021)
Total Energy Consumption:226,586,391,503 kWh (2021)
Carbon Intensity:0.0290 gCO2e per RPK (2021)
ESG Focus Areas
- Safety
- Community Investment
- Employee Well-being
- Environmental Impact (Carbon Emissions)
Environmental Achievements
- Reduced carbon emissions per revenue passenger kilometer (RPK) from 0.0778 gCO2e to 0.0290 gCO2e
Social Achievements
- Supported local communities through charitable and sporting events, local personnel recruitment, and educational events.
- Provided training and development for employees in various areas (Aviation Regulatory Training, Systems training, Service training, Sales training, Financial training).
- Celebrated “Customer Appreciation Month” with initiatives recognizing loyalty from frequent flyer passengers.
Governance Achievements
- Maintained high standards of corporate governance in line with the QCA Corporate Governance Code.
- Established a Share Dealing Code for Directors, senior management, and employees with price-sensitive information.
- Regularly reviewed employment conditions and policies, including disciplinary and grievance procedures.
- Committed to treating employees equally, regardless of protected characteristics.
Climate Goals & Targets
Long-term Goals:
- To be a successful pan-African value airline operation, brand and franchise.
Medium-term Goals:
- Further growth in the Southern African region
- Building commercial opportunities, partnerships, and ancillary services
Short-term Goals:
- Surviving the COVID-19 crisis
- Supporting Group airlines in achieving IOSA accreditation
- Securing positive cash flows from Zimbabwean operations
- Onboarding additional aircraft
- Launching two new routes
- Enhancing data management and system capabilities
- Improving financial control environment and reducing costs through automation
Environmental Challenges
- COVID-19 pandemic significantly impacted operations and financial performance due to travel restrictions and reduced demand.
- Increased losses for fastjet Zimbabwe (US$4.3m) and FedAir (US$995k).
- Negative publicity around South African and Omicron variants further impacted travel.
- Currency volatility and unpredictable local environment in Zimbabwe negatively impacted demand and load factors.
- Reduced international tourism in South Africa due to COVID-19 travel restrictions affected FedAir's profitability.
Mitigation Strategies
- Cost containment measures implemented in 2020 (employee retrenchments, salary restructuring, lease and rental agreement restructuring, cancellation of non-essential services).
- Applied for and received government support schemes (Temporary Employee Relief Scheme in South Africa, UK furlough scheme).
- Secured approval from the Reserve Bank of Zimbabwe to register historic intercompany loans as a legacy loan, allowing access to funds to settle creditors.
- Enhanced COVID-19 safety measures were in place.
- FedAir upgraded lounge facilities and remained open for passengers.
- Shareholders injected US$1.8m into FedAir to support operations through 2021.
- Aircraft loan capital repayments were deferred.
Supply Chain Management
Responsible Procurement
- Working closely with key suppliers to ensure high standards of safety, quality, and excellence.
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: QCA Corporate Governance Code
Third-party Assurance: BDO LLP
Awards & Recognition
- Africa’s Leading Low-Cost Airline (2016-2021)
- Best LCC in Africa (2017, 2019)