Air New Zealand has axed its interim climate targets, stating that measures needed to meet the target were unaffordable and not readily available.
In a surprise move announced on 30 July, the airline says it is removing its science-based carbon intensity reduction target, which calls for a 28.9% reduction in carbon intensity by 2030. The target, announced in 2022 and validated by the Science Based Targets initiative, sees a 16.3% reduction in absolute emissions by 2030 against 2019 levels.
The Star Alliance carrier says there were challenges – like the cost and affordability of new aircraft and alternative fuels, as well as regulatory and policy support – that were “outside the airline’s direct control”.
Airline chief Greg Foran adds: “In recent months, and more so in the last few weeks, it has also become apparent that potential delays to our fleet renewal plan pose an additional risk to the target’s achievability. It is possible the airline may need to retain its existing fleet for longer than planned due to global manufacturing and supply chain issues that could potentially slow the introduction of newer, more fuel-efficient aircraft into the fleet.”
The move raises questions about the carrier’s plans to renew its turboprop fleet.
Air NZ has mounted a significant public relations effort around its quest for a zero-emission (or a powertrain-converted) aircraft to enter service in 2030 as a replacement for its aging De Havilland Dash 8-300s. It also committed to the 2026 launch of a novel propulsion testbed aircraft to trial electric, hydrogen, and/or hybrid power in commercial passenger or freight service on short-range routes.
In recent months Air NZ has flagged a “softening in revenue conditions” amid weak domestic demand and intensifying competition on its North American network, as it cut its full-year earnings forecast.
Air New Zealand chair Therese Walsh says the carrier remains committed to reaching net-zero emissions by 2050, despite the latest hurdle. Air New Zealand is working on new near-term carbon reduction targets that it says “could better reflect the challenges relating to aircraft and alternative jet fuel availability within the industry”.
