Climate Change Data

Environmental Metrics

ESG Focus Areas

• Governance
• Economy
• Environment
• Social

Environmental Achievements

• Reduced CO2 emissions by 86,916 tons in 2014 compared to 7 years prior due to 20% increased fuel efficiency.
• 27,592 tons of fuel saved in 2014.

Social Achievements

• Achieved a SAFA rating above the European average in 2014.
• Awarded “Best Airline in Europe” for the fifth consecutive year in 2015 by Skytrax.
• Awarded “World’s Best Business Class Lounge Dining” for the second consecutive time by Skytrax.
• Implemented initiatives to maximize employee motivation and support professional development (nutrition, discounted healthcare, career development programs).

Governance Achievements

• Awarded by the Ethical Boardroom Corporate Governance Awards 2015 for good corporate governance practices.
• Established an effective risk management strategy and internal control mechanism.

Climate Goals & Targets

Environmental Challenges

• Minimizing environmental footprint due to dependence on fossil fuels.
• Managing risks inherent in the airline industry (competition, etc.).
• Addressing climate change and resource depletion.

Mitigation Strategies

• Comprehensive fuel efficiency program (operational optimization, fleet modernization, biofuel research).
• Effective risk management strategy and internal control mechanism.
• Implementation of internationally recognized management systems and policies.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Local sourcing of food supplies for catering (85% in Turkey).

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Fuel and carbon emission prices
• Interest rates
• Cash flow
• Foreign currency fluctuations
• Counterparty risks

Opportunities

• Development of energy-efficient products
• Sustainable biofuels

Reporting Standards

Frameworks Used: GRI G4 (Core option)

Certifications: ISO 14001, OHSAS 18001

Third-party Assurance: Not disclosed

Sustainable Products & Innovation

• Sustainable catering practices (local sourcing, fresh ingredients, waste recycling)
• Fuel-efficient aircraft

Awards & Recognition

• Skytrax awards (Best Airline in Europe, Best Airline in Southern Europe, Best Business Class Onboard Catering, Best Business Class Lounge Dining)
• Ethical Boardroom Corporate Governance Award

Environmental Metrics

ESG Focus Areas

• Governance
• Economy
• Environment
• Social

Environmental Achievements

• Saved 43,975 tons of fuel, preventing emission of 138,522 tons of CO2 in 2016 and 1,329,783 tons in total since 2008.
• Increased flight efficiency by 20% compared to nine years ago.
• Ranked 4th in fuel efficiency among 20 airlines operating transatlantic flights (ICCT survey).

Social Achievements

• Achieved a SAFA score of 0.25, above the European average.
• Awarded “Best Airline in Europe” for the sixth consecutive year by Skytrax.
• Carried nearly 1.2 million passengers to/from 21 least developed countries.

Governance Achievements

• Complies with Turkish Commercial Code (TCC) and Capital Markets Board (CMB) regulations.
• Listed in Istanbul Stock Exchange.
• Maintains a Safety Management System (SMS) and a Security Management System (SeMS).

Climate Goals & Targets

Environmental Challenges

• Negative developments in Turkey and global economic uncertainty affected the company in 2016.
• Terrorist attacks and regional instability negatively impacted tourism in Turkey.

Mitigation Strategies

• Implemented austerity measures and efficient capacity planning to maintain profitability.
• Continued investments in new generation aircraft for fuel efficiency and noise reduction.

Supply Chain Management

Responsible Procurement

• 83% of catering ingredients sourced locally in Turkey.

Climate-Related Risks & Opportunities

Transition Risks

• Fuel and carbon emission prices
• Interest rates
• Cash flow
• Foreign currency fluctuations
• Counterparty risks

Opportunities

• Development of energy-efficient products
• Investments in sustainable biofuels

Reporting Standards

Frameworks Used: GRI G4 Guidelines (Core option)

Certifications: ISO 14001, ISO 10002, ISO 9001, IOSA (IATA Operational Safety Audit), OHSAS 18001

Sustainable Products & Innovation

• Award-winning catering concept with fresh ingredients and reduced food miles
• Recyclable packaging for hot sandwiches

Awards & Recognition

• Sustainability Report Gold Award (LACP)
• Gold Prize (Epica Awards)
• Best Airline in Europe (Skytrax)
• Best Business Class Catering (Skytrax)
• Best Business Class Lounge Dining (Skytrax)
• Most Valuable Brand of Turkey (BrandFinance)
• Turkey's Top 500 Service Exporters (Turkish Exporters' Assembly)

Environmental Metrics

ESG Focus Areas

• Governance
• Economy
• Environment
• Social

Environmental Achievements

• Saved 29,608 tons of fuel, avoiding 93,267 tons of CO2 emissions in 2018.
• Since 2008, 498,518 tons of fuel saved and 1,570,168 tons of CO2 emissions avoided.
• 12% decrease in natural gas consumption (m3) from 2017-2018.
• Discontinued the use of 8,246,712 plastic bags by serving all travel and toy sets without outer plastic bags.
• Recycled 258 tons of packaging waste and 124 tons of non-hazardous waste.

Social Achievements

• Launched a program to help people overcome their fear of flying, assisting 928 participants since 2007.
• Improved baggage irregularity rate to 5.2 per thousand, better than the world and Europe average.
• Employee satisfaction rate of 66% in 2018 (13,347 employees participated).

Governance Achievements

• Compliance with all mandatory Corporate Governance Principles determined by the Capital Markets Board.
• Established an Ethics Reporting Line ("Ethical Way") to handle 245 reported cases in 2018.
• Successfully renewed TS EN ISO 14001:2015 Environmental Management System (EMS) Certificate.

Climate Goals & Targets

Environmental Challenges

• Climate change and GHG emissions from fuel consumption.
• Waste management, particularly plastic waste.
• Maintaining high levels of customer satisfaction.

Mitigation Strategies

• Implemented fuel efficiency programs and invested in new, fuel-efficient aircraft.
• Initiated in-flight waste segregation and used biodegradable bags and wooden toys.
• Proactively addressed customer irregularities and conducted satisfaction surveys.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• 85% of food procured from domestic suppliers.
• Preference for ISO 22000 certificated suppliers.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Development of energy-efficient products and biofuels.

Reporting Standards

Frameworks Used: GRI Standards: core option

Certifications: TS EN ISO 14001:2015, ISO 9001, ISO 10002, ISO 22000

Third-party Assurance: Third-party verification of 2017 greenhouse gas emissions according to TS EN ISO 14064-3:2007; no assurance for other indicators.

UN Sustainable Development Goals

• Not disclosed

The report mentions alignment with the UN's 17 Sustainable Development Goals but doesn't specify which goals.

Sustainable Products & Innovation

• Bio-plastic bags
• Wooden toys

Awards & Recognition

• Sustainability Policies and Zero Waste Project Supporting Award
• Best Business Class Lounge
• Best Business Class Lounge Catering
• Five-Star Global Airline (APEX)
• Green Company Certificate (DGCA)

Environmental Metrics

ESG Focus Areas

• Governance
• Economy
• Environment
• Social

Environmental Achievements

• Saved 55,492 tonnes of fuel, preventing 174,800 tonnes of greenhouse gas emissions.
• Flights are 20% more fuel-efficient than 12 years ago.
• Reduced packaging waste from 258 tonnes in 2018 to 174 tonnes in 2019.
• Implemented in-flight waste sorting on select flights.
• Used biodegradable bags for earphones and blankets.

Social Achievements

• Launched a program to help passengers overcome their fear of flying, assisting 139 participants in 2019.
• Implemented accessibility improvements for passengers with reduced mobility.
• 46% of employees are women.

Governance Achievements

• Established a Corporate Sustainability Management Directorate.
• Complies with Corporate Governance Principles determined by the Capital Markets Board.
• Established an Ethics Reporting Line ('Ethical Way').

Climate Goals & Targets

Environmental Challenges

• Climate change and GHG emissions from fuel consumption.
• Waste management challenges at Istanbul Airport due to the move from Ataturk Airport.

Mitigation Strategies

• Comprehensive fuel saving program.
• Investment in new, fuel-efficient aircraft.
• Research and development of sustainable biofuels.
• Implementation of Zero Waste Project.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• 85% of food procured from domestic suppliers.
• Preference for ISO 22000 certified suppliers.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: GRI Standards: Core option

Certifications: TS EN ISO 14001:2015, OHSAS 18001

Third-party Assurance: Third-party verification of 2018 greenhouse gas emissions; no assurance for other indicators.

UN Sustainable Development Goals

• SDG 7 (Affordable and Clean Energy)
• SDG 9 (Industry, Innovation and Infrastructure)
• SDG 12 (Responsible Consumption and Production)
• SDG 13 (Climate Action)
• SDG 3 (Good Health and Well-being)
• SDG 8 (Decent Work and Economic Growth)
• SDG 5 (Gender Equality)
• SDG 4 (Quality Education)
• SDG 15 (Life on Land)
• SDG 10 (Reduced Inequalities)

Various initiatives contributing to these goals are detailed throughout the report.

Sustainable Products & Innovation

• Biodegradable packaging for in-flight items
• Wooden toys for children

Awards & Recognition

• Listed on the BIST Sustainability Index
• Various awards listed on page 15

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance
• Prosperity

Environmental Achievements

• Saved 22,760 tonnes of fuel and avoided 71,695 tonnes of carbon emissions in 2020.
• Onboard Catering Warehouse registered as LEED Certified in 2020.
• 11% decrease in natural gas consumption compared to 2019.
• 17% decrease in electricity consumption compared to 2019.
• 12,402,000 plastic bags avoided.

Social Achievements

• Launched ‘Differences Add Value Program’ to improve accessibility for passengers with restricted mobility.
• Transported nearly 140,000 citizens from 60 countries during the pandemic.
• Turkish Cargo named the “Best Air Cargo Brand 2020– Europe”.
• Employee satisfaction rate of 77%.

Governance Achievements

• Established a Sustainability Committee in 2021.
• 134 applications to the Ethics Reporting Line were evaluated.
• Successfully completed IOSA audit in 2020.

Climate Goals & Targets

Environmental Challenges

• Covid-19 pandemic negatively affected the aviation industry.
• Supply chain disruptions.

Mitigation Strategies

• Implemented many measures to ensure the health and safety of passengers and employees (PPE, temperature measurements, improved ventilation, etc.).
• Focused on cargo operations to compensate for passenger revenue loss.
• Developed alternative sourcing strategies.

Supply Chain Management

Supplier Audits: 26/year

Responsible Procurement

• Supplier Evaluation System
• Inclusion of articles regarding social rights and environment in service contracts.

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Development of energy-efficient products
• Sustainable biofuel research and development.

Reporting Standards

Frameworks Used: GRI Standards: Core option

Certifications: TS EN ISO 14064-3: 2007, ISAE 3000, ISAE 3410, TS EN ISO 14001: 2015, ISO 9001, ISO 10002, OHSAS 18001, ISO 27001

Third-party Assurance: PwC Turkey

UN Sustainable Development Goals

• SDG 3
• SDG 4
• SDG 5
• SDG 6
• SDG 7
• SDG 8
• SDG 9
• SDG 10
• SDG 11
• SDG 12
• SDG 13
• SDG 14
• SDG 15
• SDG 16

The report details how various initiatives contribute to these goals.

Sustainable Products & Innovation

• Biodegradable packaging for headphones and blankets
• Wooden toys from FSC certified wood

Awards & Recognition

• Platinum Award and Best Visual Design Award (LACP Spotlight Awards)
• Gold Award for Sustainable Packaging Initiative and Children Wellness Initiative (Travel Plus Awards)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Employee Health and Safety
• Flight Safety and Security
• Gender Balance
• Sustainable Aviation Fuel
• Waste Management
• Responsible Supply Chain Management
• Business Continuity
• Talent Management
• Customer Satisfaction
• Innovation
• Digital Transformation

Environmental Achievements

• Saved 37,082 tons of aviation fuel and prevented 116,808 tons of carbon emissions in 2021.
• Achieved 15% fuel savings per seat in new generation narrow-body aircraft and 20-25% in wide-body aircraft.
• Achieved 3% electricity savings by replacing lighting systems with LED fixtures.
• Achieved 5% increase in boiler efficiency and saved 15,000 m³ of natural gas.
• Obtained Stage 2 certification in the IATA Environmental Assessment Management System Program (IEnvA).

Social Achievements

• 46% of all employees and 66% of cabin crew are women.
• 25% female executive ratio, including chief positions.
• 88% of female employees who took maternity leave returned to their jobs.
• Implemented the Business Class Compensation Card to improve passenger satisfaction.
• Improved customer satisfaction rate to 83% and Net Promoter Score (NPS) to 42.

Governance Achievements

• Established a Sustainability Committee in 2021.
• Strengthened the ISO 14001 Environmental Management System.
• Implemented the ISO 45001 Occupational Health and Safety System Standard.

Climate Goals & Targets

Environmental Challenges

• Fluctuations in fuel prices.
• Extreme weather conditions affecting flight operations.
• Pandemic impacts on operations.
• Supply chain disruptions.

Mitigation Strategies

• Developed a fuel price hedging strategy.
• Implemented fuel efficiency practices (fleet modernization, operational optimization).
• Adapted operations to pandemic conditions (hygiene measures, digitalization).
• Provided financial support to suppliers facing challenges.

Supply Chain Management

Supplier Audits: 53 supplier company operations in 2021

Responsible Procurement

• ISO 22000 certified suppliers for catering, inclusion of social and environmental articles in supplier contracts, Qualiteam audits.

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather conditions

Transition Risks

• Regulatory changes

Opportunities

• Fuel efficiency improvements, sustainable aviation fuel.

Reporting Standards

Frameworks Used: GRI Standards: Core option

Certifications: ISO 14001, ISO 45001, IOSA

Third-party Assurance: PwC Turkey

UN Sustainable Development Goals

• SDG 5, SDG 7, SDG 8, SDG 9, SDG 12, SDG 13, SDG 16, SDG 17

The report details how Turkish Airlines' initiatives contribute to these goals.

Sustainable Products & Innovation

• FSC-certified toys, biodegradable packaging, vegan cosmetic sets.

Awards & Recognition

• Best Onboard Sustainability Award, Sustainable Packaging Initiative Gold Award, Child Health Initiative Gold Award, LACP Spotlight Awards (Gold), Best of Onboard Sustainability.

Environmental Metrics

ESG Focus Areas

• Corporate Governance
• Economy
• Social
• Environment

Environmental Achievements

• Started using Sustainable Aviation Fuel (SAF) on flights, aiming for increased frequency.
• Implemented the CO2mission project, allowing passengers to offset flight emissions.
• Used biodegradable packaging, reducing plastic waste.
• Achieved 57,581 tons of fuel savings in 2022, preventing 181,379 tons of carbon emissions.
• 9 buildings at Istanbul Airport LEED certified.
• Achieved IEnvA Program Stage 2 certificate (highest level).

Social Achievements

• Ranked 1st in Sustainalytics ESG Risk Rating among 69 airline participants.
• EcoVadis rating upgraded from Bronze to Silver.
• Ranked first among 47 airlines evaluated by Refinitiv for sustainability performance.
• Received the “2022 -Sustainability Award” for “Most Sustainable Flag Carrier Airline” by World Finance.
• Received the “Airline Sustainability Innovation of the Year” award by CAPA.
• Received APEX World Class and “2023 Five Star Global Airline” awards.
• Received “Golden Award” by the League of American Communications Professionals for the 2021 Sustainability Report.

Governance Achievements

• Established a Sustainability Committee in 2021, chaired by the CEO.
• Established four Sustainability Sub-Committees in 2022.
• Participated in the Carbon Disclosure Project (CDP) Climate Change Program, raising score from B- to B.

Climate Goals & Targets

Environmental Challenges

• Reducing carbon emissions from aviation fuel combustion.
• Adapting to the adverse effects of climate change.

Mitigation Strategies

• Adopting IATA targets for reducing carbon emissions.
• Increasing the use of Sustainable Aviation Fuel (SAF).
• Supporting R&D projects on SAF, such as the “Microalgae Based Sustainable Bio-Jet Fuel Project”.
• Signing the Global SAF Declaration.
• Modernizing the aircraft fleet with fuel-efficient and low-noise aircraft.
• Implementing the CO2mission project for carbon offsetting.
• Voluntarily implementing CORSIA.

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct Policy
• Environmental Requirements in contracts
• Preference for ISO 14001 certified suppliers

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Development of energy-efficient products and services
• Increased use of SAF

Reporting Standards

Frameworks Used: GRI Standards: Core option, SASB, TCFD

Certifications: ISO 14001, IEnvA Program Stage 2, LEED

Third-party Assurance: PWC Türkiye (limited assurance)

UN Sustainable Development Goals

• SDG 5
• SDG 7
• SDG 8
• SDG 9
• SDG 12
• SDG 13
• SDG 16
• SDG 17

Turkish Airlines' activities contribute to these SDGs through various initiatives.

Sustainable Products & Innovation

• Sustainable Aviation Fuel (SAF)
• Biodegradable packaging
• FSC certified toys
• Mobile boarding pass
• Press Reader application
• Compensation Card
• Relax sets with reduced plastic
• OEKO-TEX 100 certified blankets
• Safety cards using 100% recycled paper

Awards & Recognition

• 2022 -Sustainability Award (Most Sustainable Flag Carrier Airline)
• Airline Sustainability Innovation of the Year
• APEX World Class
• 2023 Five Star Global Airline
• APEX Diamond status
• Golden Award (LACP)

Environmental Metrics

ESG Focus Areas

• Combating Climate Change
• Employee Health and Safety
• Fleet Modernization and Development
• Being a Preferred Employer
• Digitalization
• Operational Excellence and Sustainable Service Quality
• Talent Management
• Proactive Risk and Crisis Management
• Brand Management and Reputation

Environmental Achievements

• Prevented 226,265 tons of CO2 emissions through fuel conservation practices.
• Achieved 71,830 tons of fuel savings.
• Reduced water consumption per person by 49% compared to 2022 and 71% compared to 2021.
• Avoided 626.7 tons of single-use plastic packaging.
• Received an “A-” score from the Carbon Disclosure Project (CDP) Climate Change Program.
• Obtained LEED certifications for 9 buildings at Istanbul Airport.

Social Achievements

• Provided humanitarian aid materials and financial donations after the February 6th earthquakes.
• Employed 1,000 disaster survivors.
• Launched TK Well, a corporate well-being program.
• Implemented “Athlete Leave” and “Academic Leave” for employees.
• Achieved 79% employee satisfaction rate.
• Maintained 46% female employee rate and 60% female recruitment rate.

Governance Achievements

• Established a Sustainability Committee in 2021.
• Published the 10th sustainability report.
• Became a supporting member of the Task Force on Climate-related Financial Disclosures (TCFD).
• Conducted 100 audits against corruption risks.
• Implemented a Code of Business Conduct and Ethics.

Climate Goals & Targets

Environmental Challenges

• Climate change and weather events posing physical risks to facilities and operations.
• Climate change affecting business processes, infrastructure, and supply chains.
• Environmental pollution and chemical risks.
• Desertification.
• Air quality issues.
• Unsustainable use of natural resources.
• High energy costs and resource constraints.
• Technological issues and data security.
• Changing sustainability reporting standards.
• Human resources and talent shortage.
• Low employee participation in sustainability goals.
• Political and economic uncertainties in international markets.
• Financial market fluctuations.
• Lack of investment and innovation.
• Investor and shareholder pressure and expectations.
• Difficulties in obtaining financing from financial institutions.
• Stakeholder expectations.

Mitigation Strategies

• Developing various strategies and adaptation plans to manage climate change risks.
• Strengthening infrastructures and conducting risk analyses to increase the resilience of facilities.
• Creating disaster plans for effective emergency response.
• Implementing waste management activities in line with environmental policy and legal regulations.
• Prioritizing energy and resource efficiency.
• Investing in renewable energy.
• Implementing a fuel price hedging strategy.
• Working on SAF off-take agreements.
• Developing a Climate Transition Plan aligned with TCFD recommendations.
• Establishing the Corporate Sustainability Management Department.
• Developing new projects by following industry trends.
• Participating in sectoral organizations and collaborating with authorities.
• Developing hedging strategies for financial risks.
• Adopting an open innovation strategy.
• Transparent communication of sustainability performance, commitments, and strategy.
• Adopting ESG criteria to encourage sustainable investments.
• Constant communication with stakeholders to understand their expectations.

Supply Chain Management

Supplier Audits: 244 audits in 2023 (43.44% coverage)

Responsible Procurement

• Local supplier preference
• Evaluation of suppliers based on environmental, social, and ethical criteria
• Inclusion of human and worker rights, occupational health and safety, ethical standards, and environmental protection in supplier contracts.

Climate-Related Risks & Opportunities

Physical Risks

• Climate change and weather events
• Weather conditions
• Environmental pollution
• Desertification
• Air quality issues
• Unsustainable use of natural resources
• High temperatures
• Carbon footprint and carbon market risks

Transition Risks

• Change of sustainability reporting standards
• Lack of investment and innovation
• Investor and shareholder pressure

Opportunities

• Use of renewable energy
• Social innovation and social impact
• Green finance and investment
• Sustainable supply chain management

Reporting Standards

Frameworks Used: GRI Standards, TCFD, SASB

Certifications: ISO 9001, ISO 10002, ISO 14001, ISO 45001, ISO 27001, ISO 50001, IEnvA

Third-party Assurance: PwC Türkiye

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 8 (Decent Work and Economic Growth)
• Goal 9 (Industry, Innovation, and Infrastructure)
• Goal 11 (Sustainable Cities and Communities)
• Goal 12 (Responsible Consumption and Production)
• Goal 13 (Climate Action)

Initiatives contributing to these goals are detailed throughout the report.

Sustainable Products & Innovation

• Recyclable packaging
• Sustainable catering materials
• FSC-certified wooden toys

Awards & Recognition

• World Finance 2023 Most Sustainable Flag Carrier Airline
• EcoVadis Silver Medal
• Skytrax awards
• APEX awards