About This Report
This report presents Air China
Limited's performance in 2023. In accordance with the requirement
for social responsibility stipulated by the SASAC of the State
Council, we leverage our strengths in core airline operations, and
continuously strengthen our social responsibility management and
disclosures. It is demonstrated in the report that our commitment
and actions in key areas such as implementing national strategies,
ensuring safety development, addressing climate change, practicing
green development, enhancing product responsibility, and focusing
on employee development and community welfare. We hope you can feel
our sincerity and commitment through this report, and thank for the
continuous support of our reform and development.
§ Reporting
Period
This report covers the period from
1 January to 31 December in 2023.
§ Scope of the
Report
This report is primarily about Air
China Limited, but also involves its branches, operating units,
supporting units, and main subsidiaries such as Aircraft
Maintenance and Engineering Corporation (Ameco), Shenzhen Airlines
Company Limited (Shenzhen Airlines), Shandong Aviation Group
Company Limited (Shandong Aviation Group Corporation), Beijing
Airlines Co., Ltd. (Beijing Airlines), Dalian Airlines Co., Ltd.
(Dalian Airlines), and Air China Inner Mongolia Co., Ltd. (Inner
Mongolia Airlines). Among them, Shandong
Aviation Group Corporation has been included in the scope of the
report in 2023 for the first time.
§ Basis of
Preparation
This report is prepared in
accordance with relevant requirements, including the Guidelines to
the Central State-owned
Enterprises Directly on Fulfilling Corporate Social
Responsibilities,the Measures for the Compliance Management of
Central Enterprises,the Work Plan for Improving the Quality of Listed
Companies Held by Central Enterprises, and the Study on ESG Special Report Compilation for
Listed Companies Controlled by Central Enterprises released
by the SASAC of the State Council, the Notice on Strengthening the Social
Responsibility of Listed Companies, the Guide for Environmental Information
Disclosure of Listed Companies and the Guide No. 1 on the Application of
Self-Regulation Rules for Listed Companies - Standard
Operations released by the Shanghai Stock Exchange (SSE),
and the Environmental, Social and
Governance Reporting Guide of the Stock Exchange of Hong Kong
Limited (HK-ESG Reporting
Guide), with reference to the standards
and requirements such as Global
Reporting Initiative Sustainability Reporting Standards (GRI
Standards) of the Global Sustainability Standards Board (GSSB),
GB/T36001 Guidance on Social
Responsibility Reporting and other guidelines for the
aviation service industry.
§ Release
Cycle
This is
our 16th consecutive social responsibility report, which we release
annually. The Chinese version of the previous year's report is
released in March each year, and the English version is released in
April.
§ Sources of
Data
All the
financial data referred in this report, applying to China Accounting Standards for Business
Enterprises, is extracted from the audited annual reports of
Air China Limited, while the other data comes from official
internal documents and relevant statistics of Air China
Limited.
§ Abbreviations
In this
report, "the Company", "Air China"or "we" refers to Air China
Limited, while "the Group" refers to Air China Limited and its
holding subsidiaries, and "CNAHC" refers to China National Aviation
Holding Corporation Limited.
§ Accessibility of the
Report
This
report is prepared in both Chinese and English, and should there be
any discrepancy in meaning between the two versions, the Chinese
version shall prevail. Electronic copies of this report in both
Chinese and English are also available for downloading from the
Company's website. If you wish to acquire a printed version or
raise suggestions and/or comments on this report, please contact us
at:
Website:
https://www.airchina.com.cn/en/investor_relations/csr.shtml
Address: No. 30, Tianzhu Road,
Airport Industrial Zone, Shunyi District, Beijing, China
Contact unit: Office of the
Board
Tel: 86-10-61462152
Email: baixiao@airchina.com
Chairman's Statement
The year 2023 was the kick-off
year for fully implementing the guiding principles from the Party's
20th National Congress, as well as a milestone for delivering the
14th Five-Year Plan. Over the past year, the Group has been
actively responding to the national calls, focusing on the priority
of high-quality development, coordinating safety and development,
and actively fulfilling ESG responsibilities, in a bid to promote
sustainable development and contribute to the new journey of
building a modern socialist country in all aspects.
Insisting on safety development and fulfilling responsibility
for safety. Faced with complex
environment and severe challenges, the Group has always regarded
safety as the primary political task and top priority and fully
practiced the holistic approach to national security, thus
maintaining stable situation of work safety. We strictly
implemented safety responsibilities, firmly established the concept
of safety development, resolutely implemented the Work Safety Law of the People's Republic of
China and the "Fifteen Measures For Work Safety"
issued by the Work Safety Commission of the State Council,
and continuously strengthened the organization and leadership of
safety work. We solidly carried out key work, conscientiously
implemented the safety supervision and inspection requirements of
the Civil Aviation Administration of China, seriously carried out
rectification, improve long-term mechanisms, and enhanced the
overall level of safety management. We effectively focused on key
links, conducted special risk assessments based on the
characteristics of each stage of market recovery and seasonal
environmental changes, and ensured that production support
capabilities match the actual operation of flights. In 2023, the
Group successfully guaranteed major transportation tasks such as
the Chengdu FISU World University
Game, the Hangzhou Asian Games, the
"the Belt and Road" Summit Forum, and earthquake relief,
etal.
Embracing low-carbon development and fulfilling environmental
responsibilities. Acting on the
concepts of green development and ecological civilization, Air
China is committed to doing its bit for the Beautiful China
initiative by actively laying out and implementing the green
development action plans. We specified our overall targets of our
efforts to achieve the carbon peaking and carbon neutrality. We
attached great importance to the risks and opportunities posed by
climate change, and scientifically planned the process to reduce
GHG emissions. We deepened the green operation model, implemented
the responsibility of green development, and protected the
ecological environment and biodiversity. Taking energy conservation
and consumption reduction as the primary
mission, we promoted the special
action of reducing plastic and waste, adhered to the concept of
low-carbon and green resource management, and strived to create a
resource-conserving and environmentally friendly
business.
Adhering to the people-centered development and shouldering
responsibilities for customers and employees.
Air China puts customers and employees in the
forefront, emphasizing responsibility management, brand service,
and employee development. We actively advance the construction of
service standards and reshape the top-level design of service
standard management; We focus on creating excellent service
products and consistently enhance the service brand image; We
strive to improve service quality management capabilities and
enhance passengers' service experience; We speed up the digital
transformation of services and steadily improve the level of
service digitization. We respect the democratic rights and
interests of employees, improve market-oriented employment
mechanisms, build talent exchange platforms, and strengthen
employee health management, pursuing long-term development of
employees and enterprises together.
Engaging in social welfare and honoring social
responsibility. Air China fully
implements the strategic plans for rural revitalization and
continuously optimizes the "Aviation+" assistance model, focusing
on the revitalization work of industry, talent, culture, ecology,
and organization. Our efforts includes assisting our targeted
support areas of Zhaoping County in Guangxi Province, and Sonit
Right Banner in Inner Mongolia to consolidate the results of
poverty eradication and effectively promote rural revitalization in
an all-round way. We acted as a responsible state-owned enterprise
in delivering air transportation support for disaster relief
efforts of earthquake stricken areas in Türkiye, Hangzhou Asian
Games, Chengdu FISU World University Games, Davos Forum and other events. We
actively participated in the aid and assistance for countries of
the Belt and Road Initiative (BRI), and launched or resumed the
BRI-related airlines. Upholding the voluntary service spirit of
"dedication, friendship, mutual assistance, and progress," we
actively assumed corporate social responsibility by carrying out
activities such as CNAHC Blue Sky Classroom, and providing
voluntary service for the Hangzhou Asian Games and the Asian Para
Games.
Strengthening the leadership of Party building and ensuring
high-quality development. Fully
implementing the guiding principles of the Party's 20th National
Congress, Air China strengthens the leadership of the Party
in corporate governance
and the construction of management for talent
teams, firmly and deeply promotes full and rigorous Party's
governance, and strives to create a clean and positive political
environment, providing a strong guarantee for a high-quality
development and the construction of a world-class
enterprise.
The year 2024 marks the 75th
anniversary of the founding of the People's Republic of China and
an important year for the Group to build a world-class enterprise.
Air China will adhere to the underlying principle of seeking
progress while maintaining stability, implement the new development
concept fully, accurately, and comprehensively, make efforts to
accelerate the construction of a new development landscape, and
coordinate high-quality development and high-level safety. We will
enhance core functions, improve core competitiveness, and continue
to promote sustainable development, fulfilling corporate social
responsibilities and responding to public expectations with
practical actions, and making new contributions to the building of
a country with a strong transport industry and a new chapter in
civil aviation.
Ma Chongxian
Chairman
Air China Limited
ESG Statement from Board of Directors
Air China's Board of Directors is
the highest responsible and decision-making body for ESG affairs.
It integrates the concept of sustainable development into the
decision-making process of the Company's major issues, listens to
reports from ESG implementation units at regular communication
meetings, supervises affairs concerning ESG that may affect the
Company's business or operation, shareholders, and other
stakeholders, to ensure the consistency between ESG concepts and
corporate strategies. The Board is responsible for approving the
identification of stakeholder communication results and significant
agenda deliberation outcomes, and for reviewing and approving the
Company's corporate social responsibility and ESG reports
.
In 2023, in accordance with the
regulatory requirements of the SASAC of the State Council about
improving the quality of listed companies held by state-owned
enterprises, Air China continued to improve the ESG
responsibilities and work content of the Strategy and Investment
Committee of the Board of Directors, in a bid to promote the
effective connection and implementation of ESG supervision and the
Company's ESG work.
The professional committees under
the Board of Directors report to the Board on such issues as safety
management, service optimization, risk compliance, investment and
financing, ensuring the continuous and stable progress of related
work.
The Board has established a
Corporate Social Responsibility (CSR) Leadership Panel, which is
responsible for formulating and approving CSR strategy, and guiding
the implementation of CSR work. The Office of CSR Leadership Panel,
as the primary executing body of Air China's CSR work, is
responsible for formulating annual CSR plans, coordinating the
implementation of CSR plans and promoting the progress of related
work.
This report fully disclosed the
progress and outcomes of Air China's ESG work in 2023, which was
reviewed and approved by the Board of Directors on March 28,
2024.
About Air China
1. Company Profile
Air China Limited was founded in
1988, formerly known as Air China International Corporation. In
October 2002, Air China International Corporation integrated the
air transportation resources of China Southwest Airlines and China
National Aviation Company to form a new entity. On September 30,
2004, Air China Limited was founded in Beijing. The Company was
then listed both in Hong Kong and London on December 15 of the same
year, before listed in the domestic A-shares market on August 18,
2006.
Air China is the only flag-carrier
aviation company in China, and a member of the world's largest
airline alliance Star Alliance, the official aviation
transportation partner of the 2008 Beijing Olympics and Paralympics
and the 2022 Beijing Winter Olympics and Paralympics. Air China
takes the lead among domestic airlines in passenger transportation
and other related service, providing important international and
domestic transportation service such as emergency flights, and
charter flights for VIPs and leaders of foreign countries. In 2023,
according to the assessment of the World Brand Lab, Air China got a
brand value of RMB 235.162 billion, the highest among Chinese civil
aviation companies.
Structure of Air China
Limited
Management Support Division
|
Business Management Units
|
Branches
|
Major Subsidiaries
|
Stations Management
Department
|
Training & Development
Department
|
Southwest Branch
|
Air China Shantou Industrial
Development Company
|
Product Service
Department
|
Cabin Service
Department
|
Zhejiang Branch
|
Chengdu Falcon Aircraft
Engineering Service Co., Ltd.
|
Operation Standards
Department
|
Ground Service
Department
|
Chongqing Branch
|
Zhejiang Air Services Co.,
Ltd.
|
Assets Management
Department
|
Commercial Committee
|
Tianjin Branch
|
Beijing Golden Phoenix Human
Resources Co., Ltd.
|
Flight Technology Management
Department
|
Flight Crew Department
|
Shanghai Branch
|
Air China Import and Export
Trading Co., Ltd.
|
Aviation Safety Management
Department
|
Operation Control
Centre
|
Hubei Branch
|
Air China Development Corporation
(Hong Kong) Limited
|
Finance Department
|
Engineering Maintenance
Department
|
Wenzhou Branch
|
Air Macau Company
Limited
|
Human Resources
Department
|
Hub Development
Department
|
Tibet Branch
|
China National Aviation Company
Limited
|
Strategy and Development
Department
|
Centralized Procurement
Department
|
Guizhou Branch
|
China National Aviation Finance
Co., Ltd.
|
Administration Office
|
Air Marshall Department
|
Guangdong Branch
|
Air China Inner Mongolia Co.,
Ltd.
|
Labor Union Office
|
Information Management
Department
|
Xinjiang Branch
|
Dalian Airlines Co.,
Ltd.
|
Discipline Inspection
Office
|
Logistics & Support Department
/ Retiree Service Office / Leading Group Office of Epidemic
Prevention & Control
|
|
Beijing Airlines Co.,
Ltd.
|
Leading Group Office of
Maintaining Integrity and Combating Corruption
|
|
|
Shandong Aviation Group Company
Limited
|
Corporate Culture
Department
|
|
|
Shenzhen Airlines Company
Limited
|
Leading Group Office of Deepening
Reform/ Office of Policy Research
|
|
|
Aircraft Maintenance and
Engineering Corporation
|
Office of the Board
|
|
|
|
Aviation Security
Department
|
|
|
|
Audit Department
|
|
|
|
Legal Department
|
|
|
|
2. Fleet Structure
As of December 31, 2023, the Group
had a total of 905 aircraft of various types, mainly Boeing and
Airbus series, the average age of which was 9.36 years.
Aircraft type
|
Model
|
Quantity
|
Airbus
|
A320
|
351
|
A330
|
57
|
A350
|
30
|
Boeing
|
B737
|
387
|
B747
|
10
|
B777
|
28
|
B787
|
14
|
COMAC
|
ARJ21
|
24
|
Business jets
|
Business jets
|
4
|
3. Route Network
As of the end of 2023, Air China
had 336 domestic routes, covering 123 domestic cities; and had 94
international and 12 regional routes, covering 36 countries, 55
international cities, and 3 regional cities.
4. Philosophy of Responsibility
Vision:
A leading airline in the
world.
Mission:
Putting safety at the
forefront
Delivering 4C-based
services
Achieving steady growth
Helping our employees pursue a
successful career
Fulfilling our
Responsibilities
Values:
People orientation, Assumption of
responsibility, Resolve to get ahead, Loving to fly
Brand Positioning:
A professional, trusted airline
with world-class standards and a unique Chinese flair.
5. The 14th Five-Year Plan
1
Goal
|
Advancing
high-quality development, Accelerating the construction of a
world-class aviation enterprise
|
4
Strategies
|
Hub
network strategy
Passenger
and cargo flights linkage strategy
Cost
advantage strategy
Brand building strategy
|
5
Capabilities
|
Continuously enhanced political capability Stable and steady
profiting capability
Large-scale production organization capability
Standardized basic management capability
Value-driven brand capability
|
8
Key Areas
|
Promoting
safety management and construction to a new height
Gaining a
new advantage in the optimization of market layout
Presenting
a new look in the structural adjustment of resources
Reaching a
new level of upgraded products and service
Achieving
a new breakthrough in the aviation cargo logistics
development
Entering a
new stage of innovation-driven digital development
Demonstrating a new achievement in green and low-carbon
development
Making new
results in integrated industrial development
|
Major development goals during the 14th Five-Year Plan
period:
Passenger carried (million
person-times): 166.72, Passenger's overall satisfaction (points):
83.5, Accountable incidents rate of air transportation per 10,000
flight hours: <0.11.
2023 Highlights of ESG Performance
Indicators
|
2023
|
ASK (million)
|
292,513
|
RPK (million)
|
214,173
|
ATK (million)
|
36,002
|
RTK (million)
|
21,887
|
Passenger carried (1,000
person-times)
|
125,454.5
|
Cargo and mail carried(1,000
tonnes)
|
1,070.4
|
Safe flight hours (1,000
hours)
|
2,529.5
|
Accountable incidents rate of air
transportation per 10,000 flight
hours
|
0.007
|
Flight on time performance
(%)
|
87.94
|
Passenger's overall satisfaction
(points)
|
88.4
|
Number of registered aircraft
(unit)
|
905
|
Total assets (RMB
million)
|
335,303
|
Year-end market value (RMB
million)
|
105,916
|
Fuel consumption per tonne-km
(kg/tonne-km)
|
0.336
|
Utilization rate of APU replacement
facilities
|
100%
|
Handling rate of hazardous waste in
mechanical maintenance
|
100%
|
Striving Hard for Higher Efficiency and
Effectiveness
Seizing the opportunity posed by the recovery of the air
passenger market
While ensuring safety operation, Air China took comprehensive
steps to improve quality and efficiency, and worked hard for higher
efficiency and effectiveness, making a year-on-year increase of
166.74% in operating revenue and decreasing
the loss of RMB44.219 billion. Our operating
performance significantly improved, and the overall economic
operation remained stable.
Adhering to the principle of increasing investment, ensuring
price, and competing for quantity
Strengthening the capabilities for collaborative development
and focusing on improving the optimization allocation of core
resources;
Improving the utilization efficiency of advantageous aircraft
models and expanding effective investment;
Seizing the opportunity to increase capacity at major
airports and continuously upgrading express line
products;
Providing quality service to contribute to China's "Go
Global" strategy and the Belt and Road initiative; Implementing 55
routes related to the Belt and Road initiative, involving 25
countries and 31 cities, with the flight volume approaching 90% of
the same period in 2019, and continuing to promote the resumption
and increase of international routes;
Speeding up marketing model innovation and digital
transformation, deepening passenger-cargo linkage and driving
year-on-year growth in transportation
revenue of passenger and cargo.
Adhering to strict control of costs
Firmly establishing the concept of "tightening the belt,"
managing the budget strictly, and making cost reduction
through the entire business;
Exploring the potential for cost reduction in operation,
controlling fixed costs throughout the entire process, and reducing
cost levels;
Highlighting the principles of cash flow safety and
sustainability, strengthening the overall management of funds, and
improving the efficiency of capital utilization;
Continuously optimizing debt structure, effectively
controlling the scale of interest bearing liabilities, and saving
financial expenses;
Improving the overall labor productivity and
scientifically controlling labor costs.
Honors and Awards
Awards
|
●
In June, the World Brand Lab released the "China's
500 Most Valuable Brands 2023," ranking Air China 24th on the list with a
brand value of RMB 235.162 billion, a leading position in the
domestic aviation industry.
●
In December, Air China was awarded the
"the World's 500 Most Influential
Brands" by the World Brand Lab in the 17th consecutive
year.
●
Meanwhile, Air China was awarded the "Brand China NO.1 (Aviation Industry)"
in 2023.
|
●
Air China was awarded the "Five Star Global Airline" by APEX
(Airline Passenger
Experience
Association).
|
● In May 2023, at the 19th Selection of Innovation
Achievements in Modern Management of Transportation
Enterprises held by the Ministry of Transport of the People's
Republic of China, the "Carbon
Emission Monitoring and Analysis Platform" independently developed
by CNAHC won the first prize, and the "Innovation Practice Project
of Restriction Information for Digital Airport Operation" of
Shenzhen Airlines won the second prize.
●
From August 23rd to 25th, 2023, the case of "the
Construction of Autonomous Training Capacity for Flight Trainees"
submitted by the Training and Development Department of Air China
won the highest award - "Top
10 Typical Cases of Integration between Industry and Education in
the Civil Aviation Industry in 2023" at the 3rd Civil
Aviation Vocational Education and Training Development Forum and
the 1st Exhibition of Integration between Industry and Education in
Civil Aviation.
|
●
At the first Professional Competition of Digital
Innovation among State-owned Enterprises hosted by the State-owned
Assets Supervision and Administration Commission, the project "Multi-level Refined and
Autonomous Flight Monitoring System for Civil Aviation" of
CNAHC won the third prize for digital scenario
innovation.
|
●
In 2023, the project of "Aircraft Cross Fueling System" of Air China
was awarded as an excellent achievement in the 7th National
Workers' Excellent Technological Innovation Achievements
Communication Activity, jointly organized by the All-China
Federation of Trade Unions, etc.
|
●
Air China's information disclosure work was rated
A-level, the highest level of annual information disclosure work,
by the Shanghai Stock Exchange, in the 10th consecutive
year.
● Air China
was awarded the "Best Practice
Case" by the China Association for Public Companies in the
Best Practice Activity of the Board of Listed Companies in
2023.
|
Ÿ
In the 2023 ESG rating of listed companies held by
state-owned enterprises, Air China reached a four-star level, and
was selected into the "State-owned
Enterprises ESG Top 100 Index" .
|
●
In December, Air China's excellent management
cases were selected into the Blue Book on
Social Responsibility of State-owned Enterprises (2023) and
the Blue Book on Overseas Social
Responsibility of State-owned Enterprises
(2023).
|
Responses to UN 2030 Sustainable
Development Goals (SDGs)
SDGs
|
Our Actions in 2023
|
SDGs
|
Our Actions in 2023
|
SDG 1: NO
POVERTY
|
Response:
Air China is dedicated to supporting underprivileged areas with
care and commitment. We have formulated key project plans for rural
revitalization, known as the "5+N" initiative. In 2023, a total of
RMB 42.17 million was invested for 20 assistance
projects.
Corresponding chapter: 6.1 Rural Revitalization
|
SDG 2:
ZERO HUNGER
|
Response:
Air China is supporting the development of an e-commerce sales
platform for agriculture and livestock products, assisting Sonid
Right Banner in transitioning to internet sales, and expanding the
sales channels for agricultural products.
Corresponding chapter: 6.1 Rural Revitalization
|
SDG 3:
GOOD HEALTH ANG WELL-BEING
|
Response:
In order to improve the health and safety in working conditions of
employees, Air China enhances occupational health hazard prevention
and control, conducts physical examinations for all employees, and
provides on-site psychological health consultations. At the same
time, Air China offers diverse and comprehensive welfare benefits
for employees.
Corresponding chapter: 5.3 Occupational Health and Safety,
5.4 Incentives and Care
|
SDG 4:
QUALITY EDUCATION
|
Response:
Air China and Shenzhen Airlines jointly dispatched 16 volunteer
teachers to the Zhaoping area, accumulating a total of 3,303
teaching hours. In addition, Air China organized 5 batches of
short-term volunteer teaching activities involving 48 individuals
during weekends, accumulating a total of 79 teaching
hours.
Corresponding chapter: 6.1 Rural Revitalization
|
SDG 5:
GENDER EQUALITY
|
Response:
Air China values gender equality and ensures that female employees
have fair opportunities for promotion and career development. We
have formulated the fourth edition of the Special Collective Contract for the
Protection of Female Employees' Rights and Interests,
aimed at enhancing the welfare of female employees. We have
organized a series of activities for female employees and promoted
the establishment of female-friendly workplaces.
Corresponding chapter: 5.1 Employment and Employees' Rights
and Interests; 5.4 Incentives and Care
|
SDG 6:
CLEAN WATER AND SANITATION
|
Response:
Air China attaches great importance to water conservation and
reuse, deeply explores water-saving and environmental protection
technologies, and actively implements water-saving measures in
daily operations to comprehensively improve the overall utilization
rate of water resources.
Corresponding chapter: 3.3 Promoting the Green Operation
Model
|
SDG 7:
AFFORDABLE AND CLEAN ENERGY
|
Response:
Air China has promoted the domestic application of sustainable
aviation fuel, promoting the first commercial passenger flight to
use domestically produced sustainable aviation fuel on a wide-body
aircraft in China.
Corresponding chapter: 3.2 Addressing Climate
Change
|
SDG 8:
DECENT WORK AND ECONOMIC GROWTH
|
Response:
Air China provides all employees with a competitive salary in the
industry, forms a differential compensation and performance
distribution system that matches individual capabilities,
performance, and market competition.
Corresponding chapter: 5.4 Incentives
and Care
|
SDG 9:
INDUSTRY INNOVATION
AND
INFRASTRUCTURE
|
Response:
Air China advances the implementation of the Digital Transformation Action Plan
(2022-2025) , deepens the development of three major digital
platforms, and comprehensively supports the Company's digital
transformation.
Corresponding chapter: 1.4 Digital Transformation
|
SDG 10:
REDUCED INEQUALITIES
|
Response:
Air China strictly adheres to an open, fair, and equal employment
policy, and firmly eliminates discriminatory behaviors based on
nationality, age, ethnicity, gender, beliefs, as well as any
physical or psychological disabilities. The Company upholds equal
pay for equal work and safeguards the legitimate rights and
interests of employees. In 2023, Air China did not experience any
incidents of employing child labor, forced labor, or
discrimination.
Corresponding chapter: 5.1.1 Equal Employment
|
SDG 11:
SUSTAINABLE CITIES AND COMMUNITIES
|
Response:
Air China actively engages in public welfare activities, provides
care and assistance to community residents, and injects energy and
warmth into social development.
Corresponding chapter: 6.3 Supporting the Community
|
SDG 12:
RESPONSIBLE AND PRODUCTION
|
Response:
Air China strives to create a more enjoyable travel experience for
passengers through a rich array of service offerings and thoughtful
attention to service details. In 2023, 10 subsidiary companies, 7
operational management units, and 3 management support departments
of Air China, all with audit qualifications, have successfully
passed the service quality management system
certification.
Corresponding chapter: 4.1 Service Quality
Management
|
SDG 13:
CLIMATE ACTION
|
Response:
Air China strengthens climate governance capabilities, actively
implements the national goals of "carbon peaking" and "carbon
neutrality". We incorporate climate change response into the
Company's strategic planning, comprehensive risk management system,
and daily operational management, contributing Air China's efforts
to global climate change mitigation.
Corresponding chapter: 3.2 Addressing Climate
Change
|
SDG 14:
LIFE BELOW WATER
|
Response:
Air China actively promotes biodiversity conservation monitoring
initiatives, initiates the Five-Year Action Plan for Yangtze River
Ecological Protection. The Company also conducts activities such as
breeding and releasing rare fish species into the Yangtze River,
demonstrating its commitment to the conservation of aquatic
biodiversity in the Yangtze River.
Corresponding chapter: 3.3 Promoting the Green Operation
Model
|
SDG 15:
LIFE ON LAND
|
Response:
Air China upholds the ecological civilization concept of
respecting, protecting, and adapting to the nature. The
Company actively engages in public welfare actions such as
biodiversity monitoring and promotion to contribute to the
preservation of natural ecosystems.
Corresponding chapter: 3.3 Promoting the Green Operation
Model
|
SDG 16:
PEACE, JUSTICE AND STRONG INSTITUTIONS
|
Response:
Air China has improved the corporate social responsibility
management system and governance structure, and established a
diversified Board of Directors. The Company deepens the development
of a culture of integrity and has "zero-tolerance" towards bribery,
corruption, fraud, money laundering, and unfair
competition.
Corresponding chapter: 1.1Responsible Governance
|
SDG 17:
PARTNERSHIPS FOR THE GOALS
|
Response:
Air China actively participates in various activities of industry
associations, builds a global aviation network, and leads
industry-wide coordinated development.
Corresponding chapter: 6.4 Jointly Promoting Industry
Development
|
|
|
1. Sustainable Development
Management
SDG 16: PEACE, JUSTICE AND STRONG
INSTITUTIONS
Air China firmly believes that
sound corporate governance is the cornerstone of maintaining
sustainable development of the Company. Air China has developed a
comprehensive corporate control structure and risk management
system, while continuously exploring and implementing diverse
corporate governance measures. A sound management mechanism and
efficient measures have effectively enhanced the effectiveness of
corporate governance, solidified the foundation for sustainable
development, and maintained a stable development posture in the
constantly changing market environment.
1.1
Responsible
Governance
Air China consistently improves
the corporate governance and risk resilience, constantly optimizing
the social responsibility management system and governance
structure. Adhering to honest business practices and compliance
management, ensuring integrity in professional conduct, and
effectively safeguarding investors' interests, Air China integrates
sustainable development management into the Company's overall
governance and operations, thereby steadily enhancing Company value
through strengthened governance capabilities.
1.1.1 Governance System
Air China has established a
corporate governance system that is legally compliant, transparent
in responsibility, coordinated in operation, and effectively
balanced, based on the Company
Law of the People's Republic of China, the Securities Law of the People's Republic of
China, and the Code of
Corporate Governance for Listed Companies, among other laws
and regulations. In 2023, we revised the Articles of Association, the
Rules of Procedure of the General
Meetings of Shareholders, the Rules of Procedure of the Board of Directors,
the Independent Directors Work Rules, and the working rules
for each professional committee of the Board of Directors. We also
formulated the Nomination
Committee Work Rules, the Remuneration and Assessment Committee Work
Rules, and other corporate governance systems, aiming to
optimize the efficient corporate governance structure and
continuously enhance governance capability.
1.1.1.1 Party Committee of Air China
Air China has integrated the
Party's leadership with corporate governance together
through the Articles of Association, and clarified
the leading role Party committee played in corporate governance.
The Company scientifically clarifies the scope of responsibilities
for Party committee, and develops and dynamically adjusts a list of
material issues' responsibilities to clarify the responsibilities
of each governance subject, ensuring efficient and coordinated
operation. It is specified that major operational and management
issues must be preliminarily discussed by the Party committee
before being submitted to the Board of Directors for
decision-making according to their authority and the prescribed
procedures. In 2023, out of 59 proposals decided by the Board, 40
were preliminarily discussed by the Party committee.
Continuously integrating the
Party's leadership deeply into corporate
governance
•
Comprehensively and systematically review the
major issues that the Party committee must study, promoting the
"discussion of major issues" efforts within all secondary
units.
•
Strictly implement the Party committee's
deliberation procedures, strengthen the coordination of the Party
committee meetings, Administration's office meetings, and the Board
of Directors meetings to ensure high-quality guarantee for the
Party committee's deliberation and decision-making.
•
Diligently implement the deployments related to
each special action, refine the governance to strengthen the
Party's leadership-related deployments, clarify measures and deliverables..
1.1.1.2 Management
The Company's management performs
its duties in accordance with the laws, the Administration Office's Rules of
Procedure, and the Board of Directors' authorization. It
carries out the Board of Directors' resolutions and reports to it
on a regular basis. In 2023, Air China held 29 Administration
Office meetings.
1.1.1.3 Board of Directors
The Board of Directors of Air
China is the Company's main decision-making body, responsible for
the Company's overall strategy, property management, internal
supervision, and risk management. The Board of Directors bears the
responsibility of determining strategic direction and formulating
overall strategy and policies. It exercises its powers in
accordance with legal procedures and the Articles of Association, and plays the
role of strategy generating, decision-making, and risk-prevention.
It is also accountable to the Shareholders' Meeting, supervises the
management, and leads Air China towards steady
development.
Diversity of Board of Directors
The members of Air China's Board
of Directors are diverse and professional, including five civil
aviation experts, and one each of financial, audit, business
management, and legal and risk control expert. The diverse
composition of the Board of Directors ensures that decision-making
and supervision can be fully considered from various angles,
providing comprehensive support and guidance for the development of
Air China.
Directors in Air
China
No.
|
Name
|
Gender
|
Title
|
1
|
Ma
Chongxian
|
Male
|
Chairman
Executive Director
|
2
|
Wang
Mingyuan
|
Male
|
Vice
Chairman
Executive Director
President
|
3
|
Feng
Gang
|
Male
|
Non-executive Director
|
4
|
Patrick
Healy
|
Male
|
Non-executive Director
|
5
|
Xiao
Peng
|
Male
|
Employee
Director
|
6
|
Li
Fushen
|
Male
|
Independent Non-executive Director
|
7
|
He
Yun
|
Male
|
Independent Non-executive Director
|
8
|
Xu
Junxin
|
Male
|
Independent Non-executive Director
|
9
|
Winnie
Tam Wan-chi
|
Female
|
Independent Non-executive Director
|
Performance of Board of Directors
In 2023, the Board of Directors of
Air China diligently fulfilled their responsibilities, supervised
the proposal departments in tracking the implementation progress of
Board resolutions and authorized matters, enhancing the Company's
governance. In 2023, the Company organized three research
activities for independent directors, focusing on the business
department in the Japan, the Company's digital transformation, and
subsidiary management. By the end of 2023, the Air China Board of
Directors held 11 meetings, reviewed and passed a total of 59
proposals, and listened to 13 special reports.
Professional Committees of the Board of
Directors
Before the Board of Directors
deliberates and makes decisions, professional committee meetings
are convened to study and review related proposals. The
chairpersons of the committees report the findings and
recommendations of the independent directors to the Board of
Directors, providing support for the Board's scientific, rational,
and efficient decision-making. In 2023, we optimized the Company's
governance structure by separating the Board's Nomination and
Remuneration Committee into a Nomination Committee and a
Remuneration and Assessment Committee. We also optimized the
staffing of the Board's various professional committees,
establishing Coordinated Departments composed of senior management
and business departments under the professional committees to
support their decision-making. We continued to optimize the working
rules of each professional committee of the Board, including
supplementing and improving the ESG responsibilities and work
content of the Strategic and Investment Committee, promoting
effective connection and implementation of ESG regulation and the
Company's ESG efforts.
l
Strategic and Investment Committee. In 2023, the
Committee held five meetings and listened to two special
reports.
l
Audit and Risk Control Committee (Supervision
Committee). In 2023, the Committee convened six meetings and
listened to 11 special reports.
l
Nomination and Remuneration Committee. In 2023,
the Committee held six meetings and listened to one special report;
the adjusted Remuneration and Assessment Committee held one
meeting.
l
Aviation Safety Committee. In 2023, the Committee
convened three meetings and listened to two special
reports.
1.1.1.4 General Meetings of Shareholders
The General Meetings of
Shareholders are Air China's highest authority. The Company has
formulated and follows a shareholder communication policy, fully
ensuring that all shareholders enjoy an equal status and
effectively exercise their rights to information, voting, and other
entitlements. Communication and interaction with shareholders are
maintained and promoted through General Meetings of Shareholders,
announcements, quarterly reports, roadshows, and other methods, to
listen to, understand, and respond to shareholder feedback. In
2023, Air China held four General Meetings of
Shareholder.
1.1.1.5 The Supervisory Committee
The Supervisory Committee of Air
China, in accordance with the Company Law of the People's Republic of
China, the Articles of
Association and other relevant regulations, has conducted
prudent inspections and effective supervision over the legality and compliance
of the duties performed by the Board of Directors and senior
management, in order to protect the legal rights and interests of
the Company and the shareholders. By the end of 2023, the Company's
Supervisory Committee consisted of five supervisors, including 2
representative employees, and convened 7 meetings of the
Supervisory Committee throughout the year.
1.1.2 Guidance of Party Building
The year 2023 marks the start of
fully implementation of the guiding principles of the 20th CPC
National Congress. Air China, guided by the Xi Jinping Thought on
Socialism with Chinese Characteristics for a New Era, fully
implements the guiding principles of the 20th National Congress to
coordinate the key tasks throughout the year, leading high-quality
development with high-quality Party building.
Firmly strengthen political construction.
Go all out to cooperate with the second round of
inspections by the 20th Central Committee; continuously strengthen
follow-up supervision and implementation of the Party Central
Committee's decisions and deployments.
|
Adhere to theoretical learning. Carefully organize and implement two batches of thematic
education to study and implement Xi Jinping Thought on Socialism
with Chinese Characteristics for a New Era, solidly promoting the
internalization and transformation of the Party's innovative
theories in the new era to the construction of the
company.
|
Optimize grassroots Party building work.
Continue to standardize the setup of grassroots
organizations, solidly advance the renewal of elections, carry out
Party member development and education management, organize the
annual commendation to honor outstanding members and organizations,
and innovatively carry out learning activities.
|
Give full play to exemplary role. Establish a correct orientation for selecting and employing
personnel, optimize the structure of the cadre team, and encourage
cadres to take responsibility. Continue to deepen market mechanism
reforms, fully stimulate enterprise vitality and
momentum.
|
Adhere to rigorous governance. Ensure the principal and oversight responsibilities for full
and rigorous Party self-governance are assumed, make
integrated efforts to ensure that officials do not have the
audacity, opportunity, or desire to become corrupt, and foster a
sound political ecosystem featuring honesty and integrity within
the Party.
|
Give full play to the unity of various groups and
organizations. Fully play the role
of intellectuals who are not Party members, strengthen the
development of grassroots teams, and enhance the awareness
uplifting of the youth.
|
Case: Implementing Thematic Education on Xi Jinping Thought
on Socialism with Chinese Characteristics for a New
Era
Since April 2023, Air China had
deeply carried out thematic education on learning and implementing
Xi Jinping Thought on Socialism with Chinese Characteristics for a
New Era. Adhering to the conduct of thematic education as a major
political task, following the unified deployment of the Party
Central Committee, we strengthened organization and publicity,
organically integrating theoretical study, investigative research,
high-quality development practice, rectification, and establishment
of regulations in a unified manner, making solid achievements
through learning.
|
1.1.3 Social Responsibility Management
A sound social responsibility
governance system is the fundamental guarantee for a company to
achieve sustainable development. Air China practices a robust
business philosophy, consistently enhances the social
responsibility governance system, and integrates environment,
social, and governance (ESG) into the decision-making and daily
operations. This maximizes effectiveness, genuinely safeguards the
interests of investors and other related parties, and efficiently
and continuously advances the implementation of Air China's social
responsibility initiatives.
1.1.3.1 Social Responsibility
Management Framework
Board of
Directors
|
|
CSR Leadership
Panel
|
The
chairman and the vice chairman are the panel heads.
|
Responsible for formulating CSR strategies and approving CSR
plans, and guiding the promotion and implementation of CSR
work.
|
Office of CSR Leadership
Panel
|
Responsible for formulating annual CSR plans, and organizing
and coordinating the implementation of CSR plans and other
tasks.
|
Members of CSR Leadership
Panel Office
|
Operation Control Centre
|
Commercial Committee
|
Administration Office
|
Strategy & Development Department
|
Human
Resource Department
|
Finance
Department
|
Aviation Safety Management Department
|
Product
Service Department
|
Legal
Department
|
Corporate Culture Department
|
Office
of the Board
|
Labor
Union Office
|
1.1.3.2 Stakeholder
Communication
Air China continues to listen
voices of regulators, shareholders, passengers, employees,
partners, and other stakeholders, and expands and optimizes
communication channels so that it can communicate and exchange
ideas with all of its stakeholders in a positive and open manner.
We identify critical issues and actively respond to the needs of
all stakeholders by comprehensively summarizing the Company's
characteristics and changes in the external environment.
In 2023, the forms of shareholder
communication for Air China included:
Information Disclosure:
l The
Company successfully completed the compilation of Air China's
periodic reports for 2022-2023 in three versions (i.e., for
Shanghai, Hong Kong, Japan, respectively) and the 2022 Social
Responsibility Report, and disclosed them on the stock exchanges in
Shanghai, Hong Kong, London, and Japan respectively.
l In
2023, disclosures included announcements on the listing and
circulation of non-publicly issued restricted shares, amendments to
the Articles of
Association, the rules of the General Meetings of
Shareholders, the rules of the board of directors' meeting, and
other matters.
By the end of December 2023, we
had disclosed 67 interim domestic announcements, 68 interim
overseas announcements, and two circulars.
Investor
Relations:
l The
Company conducts performance releases effectively. We utilize
annual, semi-annual, and quarterly performance briefings to
seriously address investor concerns.
l The
Company maintains close communication with investors. In
conjunction with the annual report disclosure, Company leaders
personally led teams to visit over 30 important institutional
investors, resuming face-to-face exchanges with overseas markets
that had been interrupted for more than three years. Domestically,
we visited 26 key institutional investors in Shanghai, Shenzhen,
Guangzhou, and Beijing. Moreover, we participated in investment
bank, institutional, and brokerage summits and strategy meetings,
arranged, and hosted domestic and international institutional
research. Throughout the year, we hosted and convened over 100
research sessions and various communication meetings.
l The
Company fully focuses on the demands of small and medium investors.
Within the year, annual, semi-annual, and third-quarter performance
briefings were held via the SSE Roadshow Center platform, where the
Company's management interacted extensively with small and medium
shareholders online. We also strengthened interaction with small
and medium investors through platforms such as SSE E-Interactive,
and the investor relations page on our official website.
Stakeholders
|
Communication
channels
|
Expectations and
appeals
|
Response from Air
China
|
Government/Domestic and overseas regulatory
authorities
|
Work
meetings and briefings
Information disclosure
Cooperation with governments
Release
of blue books
|
Integrity, compliance and orderly operations
Support
for important and major events
Zero
accident relating to safety operations
Good
corporate image
Energy
saving, emission reduction and environmental protection
|
Participating in the planning, research and formulation of
policies and reports on special topics
Following
regulatory requirements
Monitoring and evaluation
Participating in special training
|
Investors/Shareholders
|
Information disclosure
Shareholders' meetings
Investors' meetings
Official
website of the Company
|
Realizing
standardized corporate governance
Protection of investors'/shareholders' interests
Sustainable development ability
|
Improving
corporate governance and internal control system
Working
on investor relations
Strengthening the core competitiveness
Regular
result announcements
|
Customers
|
Customer
satisfaction surveys
Compliant
handling
New
media
|
Flight
safety and on-time performance
Provision
of all-round and high-quality service
Protection of personal privacy
|
Establishing branded lounges
Certification of food safety management
Provision
of intelligent service
Improving
release mechanism for information on irregular flights
Protecting passenger information
|
Employees
|
Employee
satisfaction surveys
Internal
BBS, magazines, emails, and WeChat Employee representatives'
meetings
Activities of the trade union
Establishment of teams
|
Protection of rights and interests
Focus on
the Company's development strategy
Participation in the Company's management and
operation
Smooth
career pathways
Compensation and benefits
|
Building
a multi-level developing channel and learning path for
talents
Facilitating the work of Staff Service Centre
Providing
health checkups, psychological counseling, etc.
Innovation studios for advanced model and
craftsmen
Cultural
and sports activities
Skill
contests
Helping
employees in difficulty
|
Partners/ Suppliers
|
Daily
business interactions
Partners'
meetings
|
Honesty
and integrity in business operation
Transparency in procurement
Mutual
development
|
Strengthening communication and cooperation
Strengthening supplier management
Revising
and improving procurement policy
Strengthening suppliers' capability and awareness of
environmental protection
|
Peers
|
Industry
forums
Industry
conferences
|
Attention
to industry development and trends
Maintenance of a fair and orderly market
|
Strengthening alliance cooperation
Conducting industry discussions
Carrying
out industrial cooperation
|
Community
|
Public
welfare and charity activities
Volunteer
service
|
Promoting
economic growth of the communities
Supporting public welfare events
|
Promoting
rural revitalization
Engaging
in public welfare and charity activities
Completing important transportation tasks
|
Media
|
Press
releases
Media
calls and visits
Official
new media platforms
|
Responding to important events of the Company
Public
image and influence
Future
planning
|
Publication of CSR reports and regular performance
reports
Timely
update of new developments via Weibo, WeChat and Douyin
Open
day
|
1.1.3.3 Disclosure
Principles
Materiality: Following
national conditions and policies and in accordance with the
relevant regulatory requirements, such as the ESG Reporting Guide released by the
Stock Exchange of Hong Kong and Guide for Environmental, Social
Responsibility, and Corporate Governance Information Disclosure of
Listed Companies on the Shanghai Stock Exchange, the
Measures for Compliance
Management of Central Enterprises and the Work Plan for Improving the Quality of Listed
Central State-Owned Enterprises and the Research on the Compilation of ESG Special
Reports by Central State-Owned Enterprises issued by China's
State-owned Assets Supervision and Administration Commission, Air
China has identified material CSR issues that are consistent with
its industry and business features. Then, reviewing through
benchmarking with peer companies and stakeholder communications, we
establish the list of material CSR issues with our
characteristics.
In 2023, to ensure the accuracy
and comprehensiveness of Air China's social responsibility material
issue matrix, we assessed the original list based on changes in
peer issues and trends in capital market issues. After evaluation,
adjustments to Air China's 2023 material CSR issues include:
removing "ESG Governance," changing "Integration into Local
Communities" to "Charity and Community Engagement", "Care Policies
for Employees" to "Employee Care, Remuneration, and Benefits,"
"Energy Conservation and Emission Reduction" to "Climate Change
Response and Carbon Reduction," "Pollution Prevention" to
"Pollution Prevention and Waste Management," merging "Protection of
Employees' Rights and Interests" and "Communication with Employees"
into "Communication with Employees and Protection of Employees'
Rights and Interests," and combining "Internal Risk Control" and
"Lawful Operation and Compliance" into "Risk Management and
Compliant Operations." After management review, 24 material issues
were finalized, with key responses made to highly material issues
in the report.
In 2023, to improve targeted
disclosure of the social responsibility report, Air China conducted
surveys among internal and external stakeholders to better
understand their recommendations and viewpoints on the development
of the Company from two dimensions: "Importance to the Company" and
"Importance to Stakeholders." This process ultimately resulted in
the identification of material CSR issues matrix for Air China in
2023.
Quantitativeness: Air China
has created a set of standardized ESG indicator management tools
that cover the Company's management support division, business management units,
branches, and major subsidiaries. Air China collects key indicators
of quantitative disclosure in all environmental and social
categories in accordance with the ESG
reporting guidelines on a regular basis,
and summarizes them at the end of each year and discloses. The
calculation method and details of the reference standards of the
quantitative data in this report's environmental categories can be
found in the report's chapters.
Consistency: This year's
report includes Shandong Aviation Group Corporation, for the first
time in the disclosure scope, maintaining consistency in data
calculation and disclosure methods with other entities involved in
this report.
Materiality Analysis and Determination of Air
China
Materiality List in
2023
High
materiality
Flight
safety
Passenger health and safety
Supporting special flight missions
On-time
performance
Protection of customer privacy
Occupational health and safety
Employee Care, Remuneration, and Benefits
Improvement of customer experience
|
Medium
materiality
Communication with employees and Protection of employees'
rights and interests
Rural
revitalization
Integrity management
Innovation of products and service
Risk
management and compliant operations
Climate
Change Response and Carbon Reduction
Sustainable value chain
Internationalized development
Sustainable use of resources
Service
for special passengers
Work
conditions and social security
Pollution Prevention and Waste Management
Contributions to industry development
Employee training and development
Charity
and Community Engagement
Diversity and equality
|
Air China's Material ESG
Issue Matrix
1.2
Comprehensive Risk Management
Air China continues to deepen the
integrated collaboration mechanism of "focusing on the rule of law,
strengthening internal control, preventing risks, and promoting
compliance," accelerating the implementation of full-process,
full-chain, and comprehensive risk prevention and control efforts,
and comprehensively strengthening the management and prevention of
operation and safety risks.
1.2.1 Risk Management
Air China is committed to building
a risk control and compliance system that meets regulatory
requirements and international standards, establishing a
standardized top-level risk control and compliance framework,
clarifying the division of responsibilities for risk control and
compliance work, and implementing control responsibilities. The
Board of Directors is fully responsible for the Company's risk
control and compliance efforts, with the Party Committee of the
Company in charge of the pre-research and the Management in charge
of superintending the development and implementation of various
requirements. The Air China Legal Matters
Leading Group coordinates the development of risk, internal
control, compliance, and legal affairs, clearly implementing a
prudent risk preference, with "zero tolerance for safety hazards,
uninterrupted financial security, and reasonable risk exposure" as
the core, constructing three lines of defense for risk control and
compliance management.
"Three Lines of Defense" for
Comprehensive Risk Management
|
Discipline Inspection and
Comprehensive Supervision
|
Board of Directors/Audit and Risk Control Committee
(Supervision Committee)
|
Discipline Inspection and Comprehensive
Supervision
|
Senior Management/Air China
Legal Matters Leading Group
|
|
|
First Line of Defence
|
Second Line of Defence
|
Third Line of Defence
|
Business Activity
Internal Control
Processes
Risk Assessment
Control Measures
|
Financial Control
Safety Supervision
Quality Control
Legal Management
Risk Management
Compliance Management
Internal Control
Management
|
Internal Audit
|
Business Departments
As the first line of defence for
corporate risks, business departments are responsible for the
effective identification and control of risks, and bear the main
responsibility for risks during business and operation
processes.
|
Support Departments
Support departments like Legal,
Compliance, Financial, Quality, Safety, and Human Resources serve
as the second line of defence to provide risk management and
control policies, methodologies and tools, and organize risk
monitoring and internal control compliance management.
|
Assurance Departments
As the third line of defence,
Internal Audit Department conducts independent assessment of Air
China's risk management and control results, and performs risk
assessment and supervision responsibilities.
|
Risk Identification
Air China, in accordance with the
Company Law of the People's
Republic of China, the Securities Law of the People's Republic of
China, and other relevant laws and regulations, as well as
international and industry experience, has developed the
Risk Framework. This
framework categorizes risk into nine major primary risk categories
and further subdivides these into over a hundred secondary risks in
alignment with actual business operations, ensuring the effective
functioning of Air China's risk identification and control
responsibilities.
Nine Major Risks:
|
Ÿ Strategic Risk
|
Ÿ Safety Risk
|
Ÿ Investment Risk
|
Ÿ Financial Risk
|
Ÿ Operational Risk
|
Ÿ Market Risk
|
Ÿ Legal Risk
|
Ÿ Public Opinion Risk
|
Ÿ Integrity Risk
|
Risk Reporting and Management
Air China has implemented the
Risk Level Standards and the Risk
Event Reporting System to facilitate the reporting of daily
operational risks. Any employee, who identifies and preliminarily
assesses a risk level,has the responsibility to report it up the
chain according to the principles of risk management at each level.
Any person responsible for a risk within the company should monitor
the risk regularly, according to the Company's or the risk
supervisor's requirements, the inspection frequency, or the actual
work situation, and report the monitoring results to the risk
supervisor.
Risk Control and Tracking
Air China continues to improve the
risk management mechanisms, regularly identifying, analyzing, and
assessing potential market, financial, legal, and other risks in
operational management, and actively formulating and implementing
risk response actions.
Ensure a solid risk research and
judgement mechanism: adhere to governance and decision-making
processes, assess annual material risks through in-depth research
and specialized diagnostics, and apply comprehensive measures;
enhance the precision of risk quantification by quantifying key
risk indicators, categorizing and grading significant risk issues
for rolling monitoring and closed-loop management; implement an
annual mechanism for the normalization of overseas legal compliance
risk checks, emphasizing the control of foreign legal compliance
risks.
Extend the risk assessment
mechanism for decision-making: Prioritize compliance to ensure all
significant decision-making risks are evaluated comprehensively,
actively prevent and mitigate risks; integrate risk assessment
deeply into reform and development, core tasks, and major project
management.
Develop a robust risk prevention
and control coordination mechanism: Management should supervise the
progress of key tasks, focus on evaluating challenges in risk and
control management, and share best practices; Continuously
strengthen the information sharing mechanism among risk control
compliance, discipline inspection, and audit functions to build the
"three lines of defense" in risk prevention within collaborative
management.
Comprehensively consolidate the
risk prevention and control responsibility mechanism: Implement
strict risk classification and layered management, ensure
responsibility for risk reduction is clearly assigned to specific
positions and individuals, and enhance the ability to manage risk
throughout the entire process.
1.2.2 Corporate Compliance
Strictly adhering to the
Measures of the Compliance
Management issued by China's State-owned Assets Supervision
and Administration Commission (SASAC), as well as related laws and
regulations, Air China has introduced internal compliance
management systems such as the Compliance Management Regulations of Air
China Limited, the Compliance Code of Conduct of Air China
Limited, the Management
Measures for Overseas Compliance of Air China Limited,
solidifying the foundation of the compliance management
system.
Air China continuously improves a
compliance management system and conducts multiple corporate
compliance practices to enhance the corporate compliance management
from various aspects.
Highlight Compliance
Activities in 2023
l On
September 1, 2023, the Company launched the "Legal Awareness"
publicity column.
|
l During
the "Compliance Awareness Month" in 2023, compliance promotional
videos were circulated, compliance micro-classes in key areas were
launched online, and the "Explain Laws with Pictures, Follow Rules
in Practice" activity was conducted.
|
l Implementation of the "Eighth Five-Year" legal awareness
promotion plan, organizing themed legal culture speech contest.
|
l Development of online training courses on contracts and the
creation of targeted risk control training materials for newly
integrated enterprises and mixed-ownership listed
enterprises.
|
1.2.3 Internal Audit
To comply with regulatory
requirements and corporate governance needs, Air China has
established a three-tier internal audit system framework.
Currently, Air China's headquarters has issued 17 rules, and the
audit institutions at all levels have issued a total of 66
rules,.
Air China's Three-Tier
Internal Audit System
First-tier rules
|
The
Internal Audit Work Regulations
of Air China Limited
|
Second-tier rules
|
The
Economic Responsibility Audit
Regulations of China National
Aviation Holding Corporation Limited and Air China
Limited
The
Internal Control Evaluation
Management Measures of Air China Limited among other
specific audit regulations and management methods.
|
Third-tier rules
|
The Audit Rectification Tracking Management
Measures of China National Aviation
Holding Corporation Limited and Air China Limited
The Internal Audit Work Manual of Air China
Limited among other detailed audit implementation rules and
operation manuals.
|
The Company's internal audit work
is carried out under the management and guidance of the Board of
Directors and the Audit and Risk Control Committee (Supervision
Committee), reporting on the progress of projects, the
implementation of problem rectifications, and the pursuit of
responsibilities for violations in investment and operations. In
2023, audit institutions at all levels conducted 100 audit projects
in four categories: economic responsibility audits, special audits,
engineering project audits, and internal control supervision
evaluations, including one energy conservation and emission
reduction audit project. Moreover, through the rectification
closure mechanism, we strictly enforced the rectification of
identified issues, advancing the improvement of systems and
business processes, adjustments to accounting entries, recovery of
irregular funds, and recuperation of economic losses.
1.2.4 Anti-Corruption and Business Ethics
Air China adheres to domestic and
international laws and regulations, conducting the business
activities in a legal and compliant manner. Based on the
Supervision Law of the People's
Republic of China, the Anti-Money Laundering Law of the People's
Republic of China, the Anti-Monopoly Law of the People's Republic of
China, and Anti-Unfair
Competition Law of the People's Republic of China, Air China
has developed and issued documents such as the Compilation of Antitrust Case in the Aviation
Industry, the Anti-Commercial Bribery Compliance Manual
(2022 Edition), and the Compliance Manual for Data in Various
Jurisdictions (2022 Edition), adopting a "zero tolerance"
stance towards bribery, corruption, fraud, money laundering, and
unfair competition. In 2023, Air China was not involved in any
lawsuits related to corruption, bribery, fraud, or money
laundering.
Anti-Corruption System
Air China continues to maintain
integrity and combat corruption by improving anti-corruption
mechanisms, conducting multiple anti-corruption activities or
training, optimizing channels for letters and visits, as part of
the efforts to safeguard the healthy development of Air China's
business. In 2023, Air China strengthened the development of the
anti-corruption system, deepened the integrity of the management,
and implemented the Regulations
on the Integrity Commitment of Leadership of Air China
Limited.
Supervision
Mechanism
"Joint Supervision" Committee
|
The Company adheres to the
"bi-monthly meeting, quarterly summary" mechanism for members of
the Company's joint supervisory committee, coordinates various
internal supervision resources and forces, strengthens regular
supervision of areas prone to corruption issues, and forms a
pattern of anti-corruption work where responsibilities are clearly
defined and efforts are unified and coordinated.
|
Anti-corruption Work Leading Group and Coordination Group
Working Mechanism
|
The Company leverages the
synergistic effect of anti-corruption supervision by holding
meetings of the leadership group and coordination group for
integrity building, and anti-corruption efforts, making deployments
and arrangements for improving the mechanism for transferring clues
and sharing supervision information.
|
Supervision and Inspection Practices
To implement the requirements of
anti-corruption policies, Air China issued the Supervision, Inspection, and Assessment
Plan, advancing anti-corruption monitoring practices among
relevant units and strengthening supervision. In 2023, Air China
focused on key areas to enhance integrity risk prevention and
control, carried out special rectifications, organized special
supervision and inspection activities, and conducted joint
supervision and inspection of integrity risks and compliance
controls at Air China's overseas branches, deeply advancing
cross-border corruption governance.
§ Develop and establish the Assessment Methods and the
Detailed Evaluation
Criteria for the primary responsibility of building a
cleaner government.
|
§ Through coordination of audit and inspection department,
simultaneously carry out one special inspection, one special audit,
and seven special supervision and inspection activities.
|
Moreover, we issued the
List of Enterprises Prohibited
from Transactions (2023) and imported it into the
procurement platform system to strengthen the integrity management
requirements for suppliers, ensuring the integrity and compliance
of procurement.
Public Compliant Work
Air China has continued optimizing
the public compliant system, adhering to the Implementation Rules for the Handling of
Letters and Visits of Air China Limited (for Trial
Implementation) and establishing various channels for public
compliants including letters, telephone, and internet. Moreover,
all malpractices of threatening, attacking, or retaliating against
whistleblowers has been prohibited, earnestly protecting their
rights from infringement. In 2023, various levels of disciplinary
inspection organizations within Air China processed complaints and
reports according to regulations, handling them promptly and in an
orderly manner.
Whistleblower Protection
Initiatives
● The
whistleblower's name, employer, address, the content of the public compliant and other
relevant information must be strictly kept confidential.
|
● It is
strictly prohibited to inform the public compliant materials and
the whistleblower information to the reported organization or
personnel.
|
● Public
compliant receival or verification efforts should be carried out
without revealing the identity of the whistleblower.
|
● The
whistleblower's personal information such
as name and employer should obtain the
consent before publicizing.
|
Anti-corruption Training and Activities
To cultivate a clean business
environment and deepen the roots of a clean culture, Air China
formulated the 2023 Clean
Education Work Plan for the Company, conducting integrity
training for all employees. Additionally, Air China continuously
expanded the types of integrity training, developing the
Reference Catalog of Integrity
Education Training Courses and the Comprehensive List of On-site Teaching
Resources for Integrity Education to diversify educational
forms.
Anti-corruption Training at
Air China
● Launched
the fourth "Promotion and Education Month of Integrity
Development", and held a warning education conference.
|
● Carried
out the "Sending a Family Letter on Integrity" activity to
encourage discipline inspection members to maintain their
integrity.
|
● Organized the viewing of trial videos and special educational
films about anti-corruption.
|
● Launched
the "Discipline and Law Micro-Lecture" column on our WeChat
Official Account "Clean Air China", and published four issues of
discipline and law education materials and 20 articles on
discipline and law knowledge analysis.
|
● Organized the viewing of trial videos and special educational
films such as "Forever Blow Bubbles".
|
● Established a bi-weekly supervision mechanism for issues
identified by the Party committee, regularly supervising and
implementing rectification.
|
● Focused
on the practical work of discipline inspection to conduct
specialized training, with a total of 845 person-times by
discipline inspection members at all levels of Air China throughout
the year, constantly enhancing the capability of discipline
inspection members to perform their duties in accordance with
regulations and laws.
|
● In 2023,
departments of Air China conducted a total of 2,426 warning
education activities, covering 101,400 person-times; organized
learning of relevant laws and regulations 2,022 times, covering
94,600 person-times; held 1,047 activities on the theme of clean
culture development, covering 61,900 person-times; organized
thematic promotion activities of the Company's tradition for 1,378
times, covering 86,600 person-times, with the total activities
covering more than 360,000 person-times.
|
1.3 Advancing
Technological Innovation
Air China continuously optimizes
the technological innovation management mechanisms. By
strengthening its own innovation capabilities and increasing
R&D investment, the Company has attracted a large number of
high-quality innovative talent. Currently, Air China's
technological innovation efforts have successfully transitioned
from the system establishment phase to a stage that places greater
emphasis on enhancing efficiency. In 2023, Air China's R&D
investment reached RMB 409 million, accounting for 0.29% of
its revenue.
Innovative Development
●
Air China has established a "3+9" innovation
laboratory/engineering technology center system, dedicated to
creating an innovation platform focused on the forefront of civil
aviation technology and the frontline needs.
●
The innovation work management platform has been
launched, covering horizontally three major innovation channels:
innovation laboratories/engineering technology centers, mass
participation innovation, and innovation bases. It vertically spans
the entire project lifecycle management from idea collection to the
transformation of innovative results. This platform provides strong
support for Air China's optimized configuration, efficient
operation, and collaborative progress in the innovation
ecosystem.
●
Air China actively advances the application of the
BeiDou Navigation Satellite System in civil aviation, marking the
first demonstration of aircraft tracking and monitoring based on
BeiDou positioning and short message communication.
●
In collaboration with the Commercial Aircraft
Corporation of China, Ltd. (COMAC), Air China advances the
modification of the ARJ21 series aircraft derivatives, accelerating
research and innovation in onboard equipment, and supporting the
development of China's domestic passenger aircraft.
|
Case: Air China at the 2nd National
Craftsman Innovation Exchange Conference
The 2nd National Craftsman
Innovation Seminar and National Craftsman Forum was held in Beijing
from July 28th to 30th. Air China presented "Aircraft Cross Fueling
System", "Air China In-flight Network Service", "Air China Cultural
and Creative Products", among other 7 innovations, making a
splendid appearance at the conference.
|
Case: Air China's First "Maker Boot Camp" Training
Event
On April 10, 2023, Air China's
first "Maker Boot Camp" training event kicked off at the Civil
Aviation Management Institute of China. The participants were
representatives from the top ten project teams of the Company's
innovation competition and the "Creative Imagination" semifinal
project teams. Over the four days, the participants engaged in
various learning activities, including theme lectures, group
discussions, team building, external visits, and exchange talks.
The boot camp invited 10 experts in the field of innovation to
discuss and refine the top ten projects of the innovation
competition, aiming to support the innovative teams in competing
for a place in the finals.
|
Case: Finals and Innovation Award Ceremony of the First
Innovation Competition
Air China's first Innovation
Competition was warmly embraced by young employees with their
outstanding innovative projects focusing on solving challenging
problems in production. This Innovation Competition not only
discovered grassroots innovative talents from frontline
departments, such as operations, service, marketing, and other
areas, but also injected new vitality into the Company.
|
Case: The Ground Service Department Successfully Hosted
"Innovation Open Day for Young Employees"
On September 21, 2023, the Ground
Service Department, in collaboration with the Ground Service
Innovation Lab, organized a youth-focused event themed "Innovation
Open Day." Thirty young representatives from various operation
centers and management support departments actively participated in
this event. We guided the youth to deeply understand the power of
technological development through on-site training, sharing
sessions by young innovative talents, and thematic visits. We
encouraged them to actively engage in innovation and creativity,
and become the main driving force behind the Company's high-quality
development.
|
Case: Air China at the Second Civil Aviation Science and
Education Innovation Achievements Exhibition
The Second Civil Aviation Science
and Education Innovation Achievements Exhibition opened at the
China National Convention Center on March 23, 2023. Themed "Smart
Navigation Knows No Borders", Air China's exhibition covered
various areas including management innovation, business model
innovation, product innovation, technological innovation, and
service innovation. It showcased 21 innovative achievements in
smart travel, aircraft maintenance, environmental protection,
technology support, and brand building. This fully demonstrated Air
China's commitment to implementing the new development philosophy,
pursuing the innovation-driven development strategy, enhancing
independent innovation capability, and promoting the deep
integration of innovation chains, industrial chains, and service
chains.
|
1.4 Digital
Transformation
Air China adheres to safety
operations as the bottom line, passenger service as the core, and
management coordination as the foundation. The Company advances the
implementation of the Digital
Transformation Action Plan (2022-2025), deeply enhancing the
development of three major digital platforms, advancing the
integration of business and technology, facilitating the connection
of business processes throughout, continuously deepening the Center
of Excellence mechanism in various fields, and comprehensively
supporting the Company's digital transformation.
Digital Safety Operation Capability
Building
Air
China has fully advanced the development of an operational
monitoring platform, establishing an all-element, full-chain
operational monitoring and special situation handling capability.
This includes the completion of 246 functional developments and the
integration of 166 data sets. Moreover, the Company has established
a flight plan backup capability, with the flight plan creation
function seamlessly replacing the SITA flight plan system. Air
China has also successfully replaced the CAAC Information
Technology SOC loading module, marking the Company's first step
towards autonomy in critical operational products. In addition, Air
China has launched the FlySmart mobile application, achieving
digital display and performance analysis of flight manuals. The
Company has also been deeply involved in civil aviation data
sharing and became one of the first airlines to go live with
airport support data.
Focused on improving the efficiency of the flight crew
operation resource allocation, the Company has launched the SOC-AC
customization function. The Company has also enhanced over 160
functions of the SOC peripheral integration system, with a focus on
the special modification work of the three-tier rest area,
releasing an average of 30,000+ business class seats per month. Air
China has promoted the security air-ground linkage system to
achieve full coverage of air security information. In the Guangdong
branch, the pre-flight direct preparation application has been
launched to safely and efficiently support pilots' on-site
preparation efforts.
Focused on enhancing ground operation support capabilities,
Air China has advanced the deep application of the ground support
platform at the headquarters level, continuously expanding
production scenarios and delivering 32 high-value projects. The
Company has also completed the establishment project for the
vehicle operation monitoring platform.
Aimed at enhancing aviation safety support capabilities, Air
China has reconstructed the aviation safety management platform,
integrating multi-domain safety management businesses. This effort
has connected the full process of flight safety management,
achieved data sharing, and initiated platform technical
consultation and implementation plan formulation.
Digital Marketing Service Capability
Building
Air
China has fully advanced the second phase of business innovation,
achieved full-channel travel management, diversified product
management and sales, supported mixed payments and refunds,
supported various marketing activities, and undertaken call center
restructuring. The first phase is ready for launch, and the second
phase of development work has been completed.
Focused on enhancing marketing and operational capabilities,
the Company has optimized the "published fare" product, launched
new international brand fares, and achieved tiered domestic
FareFamily rates to help the Company turn losses into profits. Air
China has also established a customer ecosystem, iterated and
optimized functions of the Points Exchange platform,, Customer
Relation Management system and Universal Air Travel Plan system,
and built an external network agent service platform.
Aimed at improving passenger service quality, Air China has
comprehensively advanced the system establishment in the entire
process of passenger services, launched the facial recognition
function in the Hangzhou lounge, piloted the catering reservation
system, and completed passenger service improvement and management
enhancement tasks for the passenger notification project. The
Company's baggage full-process tracking system has provided baggage
inquiry services for 53 stations. Air China has also extended the
service knowledge base to 13 units, and its self-service itinerary
printing function has saved RMB 5.2608 million in mailing
costs.
Digital Collaborative Control and Innovation Capability
Building
Air
China has advanced the establishment of the Air China Network
Academy platform, integrating the entrance to the online learning
platform, and solving the problem of insufficient coordination in
online training.
Air
China has promoted the capital management system to provide
significant system support for meeting the final verification of
the central enterprise's treasury system construction in 2024. The
Company has also advanced the development of the tax management
project, launched the invoice management subsystem, enhancing the
invoice delivery capability and service efficiency at the business
front end. In addition, Air China has deepened the application of
the procurement management platform, effectively supporting the
implementation of new business.
Focused on improving internal control and regulatory
services, the Company has launched an overseas safety guarantee
emergency command system. It has completed 13 tasks for enhancing
the functionality of the state-owned assets supervision system,
organized and conducted the first phase acceptance inspection of
the special action by the State-owned Assets Supervision and
Administration Commission, achieving an "excellent" evaluation. In
addition, the Company has launched the investment management system
to achieve full life-cycle control and integration of investment
information. The Company has also advanced the development and
implementation of the electronic signature management system to
advance the intelligent management of contracts.
Air
China has deepened the application of Wing of Air China, focusing
on supporting production and collaborative domain functionality
enhancement, with 170 online light applications at use.
Case: Air China's Digital Innovation Project Recognized as the
"Top Ten Typical Scenarios of National Enterprise Digital
Application"
On September 5, 2023, Yan Simeng,
the Chief Information Officer of Air China, led a team to the First
National Enterprise Digital Application Ecosystem Conference at the
China International Digital Economy Expo 2023. Air China's project
on "Digital Assessment of Large Aircraft Flight Trajectories and
Energy Patterns" was recognized as one of the "Top Ten Typical
Scenarios of National Enterprise Digital Application" and was
included in the "2023 National Enterprise Digital Application
Scenarios and Solutions".
|
1.5
Intellectual Property Rights Protection
Air China places great emphasis on
the protection of intellectual property rights, strictly adhering
to a series of international conventions, laws, and regulations
including the Trademark Law of
the People's Republic of China, the Regulations on the
Implementation of the Trademark Law of the
People's Republic of China, the
Patent Law of the People's
Republic of China, the Regulations on the
Implementation of the Patent Law of the
People's Republic of China, the
Copyright Law of the People's
Republic of China, and the Madrid Agreement Concerning the International
Registration of Marks. On this basis, Air China has
developed the Legal Affairs
Management Regulations of Air China
Limited and the Intellectual Property Management Measures of
Air China Limited, establishing a sound intellectual
property management system to advance IP protection
efforts.
Air China actively applies for IP
rights both domestically and internationally, enhancing the
protection of various types of intellectual property including
trademarks, patents, and copyrights.
As of the end of 2023
Number of patents owned by Air
China both domestically and internationally more than 320
Registered trademarks more than
2,770
Copyrights 15
|
1.6
Responsible Supply Chain
Enterprises along the upstream and
downstream of the supply chain are not only Air China's partners
but also crucial stakeholders. We highly value the interests of
enterprises within the supply chain and incorporate the management
of their quality, compliance, and environmental sustainability into
our own management system.
1.6.1 Supply Chain Quality Management
Air China is committed to building
a "lean, collaborative, international, intelligent, green" supply
chain, strictly adhering to the Bidding Law of the People's Republic of
China, and the Regulations
on the Implementation of the Bidding Law of the People's Republic
of China, and other laws, regulations and industry
standards, continuously enhancing the Air China procurement
management system. In 2023, Air China further improved supply
chain-related management, revising the Supplier Management Regulations of Air China Limited
and the Procurement Business Inspection Management
Regulations of Air China
Limited, issuing the Procurement Management Platform Operation
Management Regulations of Air China
Limited, establishing a comprehensive
management mechanism for the entire supply chain process and
elements, clarifying the establishment of management systems at
each link, and building a sound supplier ecosystem.
Air China pays attention to the
environmental and social impacts of suppliers and integrates the
concept of sustainable development into supplier management.
Together with suppliers, we explore the basic principles of
sustainable operation based on national and industry standards,
including but not limited to employee rights protection, health and
safety, anti-child and forced labor, business ethics, and
environmental protection.
Supplier Admission Rules
Based on the Supplier
Management Regulations, different entry and review
requirements are determined for suppliers of different admission
types, including verifying suppliers' valid qualifications and
matching service capabilities. Moreover, we pay attention to
suppliers' performance in service experience, business ethics,
environmental and social responsibilities, etc.
Establish a qualification conformity review team to
strengthen the verification of suppliers' compliance, avoiding the
introduction of suppliers that have been blacklisted.
Require suppliers to sign the Letter of Supplier Commitment Against
Commercial Bribery.
Supplier Selection and Evaluation Methods
Ensure full and fair competition among suppliers in the
management of, with operational processes meeting risk control and
compliance requirements.
Develop daily performance assessment indicators for suppliers
based on the Supplier Performance
Monthly (Quarterly) Statistics Table to ensure an objective
and accurate reflection of the comprehensive capability performance
of cooperating suppliers.
Implement supplier tiered management, including five levels:
strategic, preferred, qualified, restricted, and exit. Establish a
supplier information database to manage suppliers effectively in a
standardized manner.
Supplier Exit Management
Regularly summarize and categorize supplier performance
evaluation results from the perspectives of product quality,
service capability, and delivery capacity, and publish the
evaluation results through the supplier management
system.
Adjust the supplier level based on the evaluation results,
terminate cooperation with suppliers who continuously perform
poorly in evaluations, and implement an exit mechanism.
|
Number of Suppliers in
Aircraft Procurement Business:
Domestic:9
Overseas:8
Number of Suppliers in
Procurement Business:
Domestic:9,202
Overseas:512
|
1.6.2 Compliant Management of the Supply
Chain
Air China actively responds to the
anti-corruption initiative for suppliers, formulating and issuing
systems that cover all suppliers, such as the Supplier Management Regulations of Air China
Limited, which clearly regulate supplier behavior and adopt
a zero-tolerance stance towards corruption. Air China emphasizes
compliant operations, requiring suppliers to actively fulfill their
anti-corruption commitments to ensure the integrity and
transparency of business activities, and collectively maintain the
integrity and efficient operation of the supply chain. During the
reporting period, all Air China suppliers have signed the
Letter of Supplier
Commitment against Commercial Bribery.
1.6.3 Green Procurement
Air China adheres to environmental
protection principles in the procurement, giving priority to raw
materials, packaging, equipment, and office supplies that have a
minimal environmental impact. The Company encourages suppliers to
consistently improve their environmental management and reduce the
ecological footprint of the supply chain. The Notice on the Implementation of Green
Procurement covering all departments and subsidiaries ,
outlining the principles of green procurement to guide employees in
their purchases.
Work
Principles
Under the premise of ensuring procurement compliance, Air
China fully considers environmental benefits, giving priority to
environmentally friendly, energy-saving, low-consumption products
that are easy for resource recycling, achieving a balance between
economic and environmental benefits.
Procurement
Control
Procurement application phase:
Fully consider factors such as energy saving, emission reduction,
environmental protection, and sustainable development; use
eco-friendly alternatives for prohibited, restricted plastic
products, and products with high pollution, emissions, and energy
consumption; for projects involving technical transformations
related to energy saving, emission reduction, and pollution
prevention, third-party audits must be completed.
Project research phase: Based
on the project research, comprehensively consider production needs,
economic benefits, and environmental impacts to determine
procurement objectives and the principles, standards, and scope of
supplier selection.
Review and admission phase:
Strictly review suppliers for compliance with legal environmental
requirements and qualifications.
Procurement document
preparation: Review forms should include energy-saving and
environmental protection factors, such as admission eco-label
certification, energy-saving certification, and environmental
management system certification.
Performance
Evaluation
Environmental protection is a
key factor in supplier performance evaluation. Based on assessment
results, suppliers are classified and managed, encouraging
suppliers to continuously improve their environmental
management.
|
Case: Air China Completes Replacement of In-flight Supplies
Listed in the Plastic Phrase-out Inventory
Following a comprehensive plan and
unified deployment, Air China and Zhongyi Aviation Investment Co.,
Ltd. (Zhongyi) conducted a joint review of the inventory of
single-use plastic products onboard, including items such as
packaging bags for amenities, catering utensils, and food, covering
147 types of materials. Through service meetings and relevant
documents, we identified 52 types of in-flight plastic-restricted
products that required replacement and facilitated communication
between Zhongyi and suppliers regarding alternative packaging
solutions for onboard items like blankets, towels, napkins,
tablecloths, and coasters. According to the feedback, Air China
completed the alternative products procurement, ensuring the new
packaging products could be launched as planned.
On December 7, 2023, during the
National Public Procurement Industry Annual Conference and the 9th
National Public Resources Trading Forum, the national annual
selection for public procurement was held. The Company's
procurement management platform was awarded the "Digital
Procurement Innovation Platform" prize.
|
2. Safety
Development
SDG 3: GOOD HEALTH ANG
WELL-BEING
SDG 9: INDUSTRY INNOVATION AND
INFRASTRUCTURE
SDG 11: SUSTAINABLE CITIES AND
COMMUNITIES
SDG 12: RESPONSIBLE AND
PRODUCTION
Air China is founded on the "14th
Five-Year Plan" development plan, which firmly establishes a
people-centered worldview and a profound grasp of Air China's
unique mission. It coordinates safety management, safe operations,
and safety culture development, consolidates safety development
successes, firmly holds the bottom line of safety development,
ensuring absolute safety in aviation operations and the absolute
safety of people's lives.
The "14th Five-Year Plan" in the Safety
Scope
Continuing to improve the flight training system
Optimizing the aircraft maintenance system
Strengthening team work style construction and vocational
skills training
Implementing the three-year action plan for special safety
rectification
Improving the safety operation management system
Deepening the construction of the safety management
system
|
2.1 Safety
Management
Air China earnestly complies with
the laws and regulations such as the Work Safety Law of People's Republic of
China and the Civil
Aviation Law of People's Republic of China, actively
responds to the Civil Aviation Administration's Regulations on the Management of Dual
Prevention Mechanisms of Graded Control and Hidden Danger
Investigation and Governance of Civil Aviation Safety Risks,
and maintains a high level of vigilance against potential safety
risks in daily operations through refined management, thus overall
improving the level of safety management.
In the Company's "14th Five-Year
Plan," the annual target in the safety field is to have a transport
aviation accident rate below 0.11. With the recovery of the
Company's flight volume in 2023, Air China's fleet , flight hours,
and flight numbers have all increased, . Aiming to further enhance
safety operations and management levels and continuously improve
safety quality, the target Incidents rate of air transportation per
10,000 flight hours for 2023 was raised to 0.08, through
comprehensive analysis and judgment. In 2023, Air China's incidents
rate of air transportation per 10,000 flight hours achieved a value
of 0.007, effectively achieving the Company's safety goals and
showing a decrease compared to 2019.
Air China's Annual Safety Targets
|
Completed Achievements in 2023
|
• Eliminate major transportation aviation responsibility
accidents.
|
√
|
• Eliminate hijacking, bombing, and other in-flight terrorist
incidents, and prevent serious aviation security responsibility
accidents.
|
√
|
• Prevent major aviation ground accidents and massive aviation
maintenance accidents.
|
√
|
•
Accountable incidents rate of air
transportation per 10,000 flight hours did not exceed 0.08, with
the severe accident rate not exceeding 0.07.
|
√
|
2.1.1 Safety Governance Structure
Air China has established a sound
safety management system based on the Regulations on Operation Qualification of
Large Aircraft Public Air Transport Carriers (CCAR-121) and
the Provisions on the
Administration of Civil Aviation Safety (CCAR-398). This
system includes a production and operation system and an
independent safety supervision system that exists outside the
Company's production and operation system. The latter focuses on
fulfilling safety supervision and management
responsibilities.
Additionally, we regularly undergo
external audits such as the IATA Operational Safety Audit (IOSA)
and the IATA Safety Audit for Ground Operations (ISAGO). We follow
audit plans and address audit findings one by one to enhance the
Company's safety management system. In 2023, all findings from the
IOSA audit were closed on time, and both IOSA and ISAGO
registration qualifications remaining valid.
2.1.1.1 Safety Operation System
Aviation Safety Management System
|
Building on the previous three-tier risk control mechanism,
in accordance with the requirements of the Civil Aviation
Administration's regulations, we have established a comprehensive
dual-prevention mechanism, integrating safety classification
control and hazard inspection organically.
Continuously improving the QBD system application,
integrating and synchronizing QAR data to achieve dynamic
restoration of the flight process, providing intuitive flight
quality information for individuals and fleets. Gradually realizing
personalized training, combining artificial intelligence and other
technologies to further explore the value of data, conducting trend
analysis of common flight risks, and providing panoramic data
services for safety management and flight training.
To
promote the digital transformation of aviation safety management,
the Aviation Safety Management Department and the Information
Management Department have jointly established a working group to
interpret regulations and policies, conduct industry research, and
sort out internal needs. In 2023, we collaborated with seven
suppliers for technical consultations, promoting project initiation
and development to enhance data-driven preventive risk control
capabilities.
|
Flight Training System
|
According to the flight training work plan, we have
integrated flight training resources to ensure that the pilot
training progress meets the demand, providing assurance for flight
operation capability and continuous qualification.
In
terms of critical flight crew team building for flight systems, in
2023, we hired/rehired 405 flight inspectors and 25 technical
pilots for various aircraft types, successfully completing the team
building for each aircraft type.
In
accordance with the latest policy requirements from the
authorities, we have updated the Standard Operating Procedures
(SOP) and training syllabi for each aircraft type, as well as
flight instructor manuals and flight inspector manuals, ensuring
that flight personnel training and technical inspections comply
with regulatory requirements and company quality management
standards.
|
Operational Control System
|
Revised the Operations
Control Center Quality Inspection Workgroup Management
Regulations, integrated safety hazard investigation and
management work, and through the establishment of a professional
and efficient quality inspection team, completed inspections for
561 projects involving 633 person-times from 8 business
departments, continuously enhancing risk control
capabilities.
Refined the Air Operator Certificate (AOC) disposal
procedures and checklists based on the Emergency Response Manual, and
formulated the AOC safety-related abnormal event disposal
management procedures and aircraft in-flight fault disposal
procedures as planned. Also revised the Emergency Event Disposal Level Table,
detailing the classification standards, hazard degree, and response
levels for different levels of events.
Released the Flight
Operations Data Analysis Management Measures, standardizing
the use of operational data, promoting data sharing, and enhancing
the capability for analyzing normal flight data.
|
Aircraft Maintenance System
|
In
terms of maintenance production management, we improved the
implementation principles for C checks in the Air China fleet,
established maintenance capability plans for each route unit, and
set development goals for C check maintenance capability in 2024,
while continuously advancing the development of weekly plans and
operational data systems.
In
maintenance engineering management, we completed a research report
on the current status of configuration management in the Air China
fleet. We focused on potential risk points in stages such as
selection, introduction, operation, and retirement, and based on
the research results, formulated practical and feasible
solutions.
In
maintenance safety and quality management, we identified 10 key
risks at the Company level and established corresponding key risk
lists.
|
2.1.2 Emergency Management
Air China attaches great
importance to emergency management work, continuously improves the
emergency management system, and enhances the response capability
to sudden events. We ensure the safety of passengers and team
members through proactive prevention and training, as well as
post-incident rectification. We have completed the revision of
relevant systems such as the Company Overall Emergency Plan,
Emergency Response Manual,
Operation Manual, and
AOC Flight Abnormal Situation
Handling Procedures. We have also published the Air China, Shenzhen Airlines, Shandong
Airlines Operations Control Department AOC Construction
Communication Sharing Mechanism, deepening the sharing of
emergency and special situation information, achieving full sharing
of data and information, and enriching the event scenarios and
disposal experience of each airline's operations department.
Additionally, we have established a special emergency drill group,
implemented the hazard investigation and rectification plan, and
successfully organized two emergency drills in June, which was also
the Air China's Safety Production Month, and in
December.
2.1.3 Safety Management Priorities
Special investigation and rectification of major safety
hazards:
Key leaders conduct monthly on-site
inspections to develop work plans, adhere to checklist-style
management, and dynamically eliminate safety hazards.
We have organized inspections and rectifications
for activities such as hot work operations, outsourcing, and
leasing, continuously improved the emergency response plan system,
actively conducted emergency rescue drills, and constantly enhanced
safety management capabilities. As of the end of the reporting
period, the Company has not identified any major safety hazards,
and 100% of the general safety hazards discovered during
inspections have been rectified on schedule.
Comprehensive resumption of flights and
production:
We have made every effort to ensure
the safe and orderly resumption of flights, with a focus on
resuming operations on international routes. We have completed the
13th phase of special risk assessment to ensure that our production
support capabilities match the actual flight operations. We have
also upgraded and optimized the engine anti-shutdown management
system, rigorously controlled major technical issues with the
engines, and successfully deployed ARJ21 aircraft for operations at
Chengdu Tianfu International Airport.
CAAC safety supervision implementation and
rectification:
The Company's Party committee
promptly studied the spirit of Director Song zhiyong's speech from
the Civil Aviation Administration and the requirements outlined by
the supervisory group. A comprehensive deployment was made by
establishing a leadership group and three special working groups,
and implementing corrective action plans along with three special
checklists. Each investment enterprise conducted a thorough
comparison with the Company's rectification plan, formulated
measures, continuously improved the safety production system, and
enhanced the overall safety production management level of the
company.
Implementing annual safety management enhancement
action:
According to the requirements
of the "Six Practical Enhancements," a leadership group led by the
Company's main leaders and daily work institutions has been
established. An action plan has been issued, and each unit has
refined and formed a list of work tasks. We systematically reviewed
the shortcomings and weaknesses, carried out rectification one by
one, and enhanced system linkage. Around the 22 main tasks in six
aspects, we have been promoting the implementation of actions in
stages throughout the year, comprehensively enhancing the
construction of safety production capabilities.
Advancing the SMS-DG system construction:
We have improved the SMS-DG manual
and work procedures, strengthened personnel training, organized
annual hazardous materials air transportation safety management
reviews; we have implemented a dual-prevention mechanism for risk
control and hidden danger investigation, conducted differentiated
supervision and inspections on 18 units inside and outside Beijing,
released risk alerts for outsourced management of hazardous
materials air transportation, and organized personnel qualification
compliance self-inspections; we have played a role in safety
education and advocacy, revised training materials, and redesigned
the hazardous materials education section.
Deepening the construction of aviation security management
system:
We have organized aviation security
tests and air defense drills, established risk control and hazard
remediation checklists, enhanced the emergency response system for
security, and strengthened the supervision system for investment
enterprises; we have advanced the crackdown on "air rage" incidents
in a deep and comprehensive manner, developing action plans,
establishing a rapid handover mechanism for disposal, conducting
specialized training and vocational skills competitions; we have
conducted fire inspections, firefighting and rescue drills, and
revised fire emergency plans for buildings, ensuring that key
personnel in fire management positions are certified to their
posts.
|
Safety Operation Performance
In 2023, Air China successfully
completed various critical transportation tasks. During the
reporting period, We supported a total of 15,505 flights for the
"Spring Festival" travel, 145 flights for delegates and
representatives during the "Two Sessions," 57 flights for the Belt
and Road special events, 32 flights for the pilgrimage charter
missions, 339 flights for the Chengdu Universiade, 474 flights for
the Hangzhou Asian Games and Asian Para Games, and completed 98
flights for humanitarian aid and other major tasks with a
"zero-error" record, successfully fulfilling flight transportation
and security tasks.
2.2 Employee
and Passenger Safety
2.2.1 Flight
Safety
Strict control of training quality
We
have enhanced training efforts specifically tailored to flight
recovery. This includes a comprehensive review of personnel
qualifications and efficient organization of qualification-related
training to ensure that flight crews are adequately prepared for
route operations. We also focus on the entire process of flight
operation, organize and carry out training to enhance manual flying
capabilities, ensuring that the crew's qualifications and abilities
are competent for route operations.
We
have maintained the system of thorough theoretical examination,
enhanced management processes during simulator training,
standardized teaching materials, strictly controlled key aspects
such as training preparation, implementation, and review, and
comprehensively implemented training quality assessment and
verification.
|
Strengthening key technical teams
We
have strictly controlled the training of captains, ensuring that
the captain's team has the competence to guarantee safety in their
positions, and to lead the development of the co-pilot's work style
and capability improvement from top to bottom.
We
have strictly adhered to regulations governing inspectors,
instructors, and captains, and implement a standardized mechanism
for selection and retirement management.
|
2.2.1 Cabin Safety
We
have enhanced air defense contingency plans for special routes,
strengthened air defense safety education and outbound team
dispatch, reinforced "triple coordination," implemented company
service dispatch requirements, increased cabin inspection efforts,
and ensured effective cabin order management.
We
have organized special operations to legally address disruptive
behavior on flights, standardized handling procedures and
communication techniques, strengthened coordination between air and
ground personnel, and properly managed disruptive behaviors on
board.
We
have enhanced risk alerts for industry-related unsafe events such
as explosive threats, onboard lithium battery smoke and fire
incidents, unprepared emergency evacuations, and conducted
pre-flight tabletop exercises. We have also implemented safety
training for aviation security and tabletop exercises.
|
2.2.2 In-fight Food Safety
Air China has prioritized "food
safety" as a core principle and has established a comprehensive
food safety management system. The Company actively conducts
employee training to enhance their hygiene awareness and food
safety knowledge. During the reporting period, Air China continued
to advance ISO 9001 quality management system, FSSC 22000 food
safety management system, and HACCP system certification. By
improving its food safety management level, the Company ensures the
food safety of in-flight meals.
2.2.3 Ground safety
Air China has established internal
regulations such as the Ground
Services Department Aviation Safety Management Manual,
Ground Services Department
Aviation Safety Management Procedures, and Ground Services Department Safety
Practitioner Work Style Long-Term Mechanism Construction
Implementation Plan for ground safety. These regulations aim
to improve the three-tier SMS risk control system, strengthen
hazard identification and control, and clarify fire safety
responsibilities. Additionally, we conduct annual safety management
enhancement activities to reinforce employees' safety development
concepts and bottom-line awareness, providing passengers with
reassuring and high-quality ground services.
Case: Ground Safety Management
In 2023, the Ground Services
Department carried out the selection of "Safety Model", selecting a
total of 188 "Safety Model" employees and supervisors, along with
12 exemplary safety teams, to further motivate supervisors and
employees who demonstrate outstanding performance in daily safety
work. We actively promoted the "Praise for Safety Behavior"
initiative, sending out 186 praise cards to inspire excellent
employees. In addition, by effectively utilizing resources from all
parties, we expanded the platform for safety culture activities,
continuously strengthening the work style of safety for employees,
promoting the development of their proactive safety awareness and
behavior, and creating a positive and active safety culture
atmosphere.
|
Case: Safe Handling of Aircraft Tug Driver in Response to
Line Vehicle Overtaking
On December 9, 2023, a tractor
driver from Ground Services Department was tasked with towing an
aircraft for departure. While following instructions from
maintenance personnel to push the aircraft with the nose facing
south, the driver noticed a scheduled bus from a foreign airline
driving from west to east behind the aircraft and immediately
applied emergency brakes, allowing the scheduled bus to pass before
pushing the aircraft to the designated position. The tractor driver
demonstrated strong safety awareness, remained focused during the
operation, maintained careful, and appropriately handled the
situation when faced with a special circumstance, contributing
significantly to the safety protocols and practices during the
production process.
|
2.3 Safety
Culture
Air China is committed to building
and promoting a culture of safety by enhancing employee training,
improving technical proficiency, and strengthening safety
management, ensuring that every employee deeply understands the
importance of safety. Air China integrates safety culture into
every aspect of work, striving for rigor and reliability in flight,
maintenance, service, and other aspects.
2.3.1 Safety Culture Building
Air China profoundly grasps the
fundamental principles and guidelines for safety work. The
Company has developed the 2023 Air China Safety Communication Education
and Cultural Style Construction Plan to meet the
requirements of civil aviation safety culture and style
construction, based on the practicality and features of safety
production. We considers the development of a safety culture and
style to be a cornerstone project for fully promoting safety
governance and management, and strives to apply it
effectively.
Safety culture system construction
|
In accordance with the Civil
Aviation Administration's Guidelines for the Construction of Long-term
Mechanisms for Safety Culture among Civil Aviation Workers
and the Opinions on Strengthening
the Construction of Safety Culture in the New Era of Civil
Aviation, Air China issued the Implementation Plan for the Construction of
Long-term Mechanisms for Safety Culture among Safety
Personnel. This plan detailed and improved the normalization
management of safety culture construction among the Company's
safety personnel and safety culture development
systems.
|
We established a mechanism for
identifying, quantitatively evaluating, and managing the safety
culture issues. Each leading department of business management
units should establish a comprehensive and sound typical safety
culture issue list and identification process, including flight,
cabin service, aircraft maintenance, operations control, air
security and safety management to identify and detect working style
issues and establish quantitative management forms.
|
We implemented the incentive
mechanism, regularly sorted out unsafe events. In accordance with
the Aviation Safety (Security)
Reward and Punishment Management Standards, we timely
praised outstanding employees and units that strictly followed
manuals and regulations in production and operation, actively
cultivating the safety awareness of all employees and creating a
good safety atmosphere.
|
Safety culture activities
|
The Learning Content is compiled
and published, for studying General Secretary Xi Jinping's
important view about aviation safety production, civil aviation
work, and state-owned enterprise reform and development that
closely related to Air China's work.
|
Organizing activities such
as"Safety Lecture Hall", "Safety Production Discussions",
"Pre-shift Meetings" and "Case-based Training", safety-themed Party
courses, and thematic debate meetings to provide various
opportunities and platforms for safety directors at all levels to
talk about safety and for all employees to discuss safety and learn
from experiences.
|
Making safety culture construction
as part of the safety training curriculum, developing the course of
Safety Culture Construction and
Long-term Mechanism Construction, and conducting specialized
lectures on topics such as "Construction of Safety Culture in the
New Era of Civil Aviation" and "Analysis of Typical Cases of Safety
Culture"to further promote the ideological awareness and behavioral
consciousness of safety personnel to develop good safety
culture.
|
●
Organizing a themed essay contest on "Resolutely
Upholding the Bottom Line of Aviation Safety " .
●
Conducting the "Safety Commitment and Practice"
activity through safety manager lectures, poster signing, and
signing of electronic commitment letters.
●
Reviewing educational videos such as Everyone Talks About Safety, Everyone Knows
Emergency and Special
Inspection and Rectification Action for Major Accident
Hazards to firmly establish safety bottom-line thinking and
awareness of red lines.
●
Closely focusing key tasks, difficulties and hot
spots of the industry safety work, regularly reviewing safety work
instructions and guidance spirits, using platforms like public
accounts, publications, and display boards to establish clear
guidance to learn in multiple forms.
●
Organizing safety warning education lectures,
conducting training for flight crews, maintenance personnels, and
ground support personnels involved in parking apron operation, and
conducting activities such as "Safety and Health Knowledge Contest"
to create a good safety atmosphere of "Learning, Helping, and
Outstanding."
|
2.3.2 Safety Training
Based on the Training Management Manual, Air China
is committed to providing comprehensive and professional safety
training for its employees, ensuring that they maintain a high
level of safety awareness in the complex and ever-changing aviation
environment. We utilize face-to-face and online live training to
disseminate a broader and deeper safety culture, aiming to create a
highly skilled and efficient team. Air China invested approximately
RMB 222 million on training in 2023 to maintain specific
qualifications for the Company's employees.
Safety Training Performance Data[1] for
Air China and Subsidiaries in 2023
Average qualification training hours divided by
specialty(10,000
person-hours)
Flight training:61.7
Flight attendance
training:119.0
General training for ground
workers:43.5
Total qualification training hours for
pilots(10,000 person-hours)
Safety training:34.7
Flight simulator
training:18
Hazardous goods
retraining:3.8
Emergency
retraining:5.2
Total qualification training hours for the flight
attendants(10,000
person-hours)
Safety training:103.1
Hazardous goods
retraining:7.1
Emergency
retraining:8.8
Total qualification training hours for the ground
workers(10,000 person-hours)
Safety training:38.5
Hazardous goods
retraining:5.0
|
3. Green Operations
SDG 6: CLEAN WATER AND
SANITATION
SDG 7: AFFORDABLE AND CLEAN
ENERGY
SDG 13: CLIMATE ACTION
SDG 15: LIFE ON LAND
The "14th Five-Year Plan" in
the Environmental Scope
1.
|
Proactively support the "dual carbon" strategy of "carbon
peaking and carbon neutrality"
|
2.
|
Improve
the management system, and enhance management ability
|
3.
|
Strengthen
energy management to achieve low-carbon development
|
4.
|
Fight the
battle of pollution prevention and control, and defend the blue sky
continually
|
5.
|
Shape an
image of a green state-owned aviation enterprise and demonstrate
our corporate social responsibility
|
Air China has committed to the
concept of "green operations and sustainable development," seizing
the opportunities provided by national development strategies and
responding to the national call for low carbon. We highly concern
about climate change and its consequences, standardized and
optimized the environmental management system, strengthened energy
resource management, strictly limited pollutant emissions, and
emphasized the development of low-carbon environmental awareness.
Therefore, we could achieve green and low-carbon development, while
continuously increasing economic efficiency.
3.1 Improvement of Environmental Management
System
Air China strictly implements laws
and regulations related to environmental protection, actively
carries out the construction of energy-saving, environmental
protection, and environmental management systems, making the the
Company's environmental management systemically, wholly, and
uniformly. In accordance with laws and regulations such as the
Energy Conservation Law of the
People's Republic of China, the Environmental Protection Law of the People's
Republic of China, and the Circular Economy Promotion Law of the
People's Republic of China, we have formulated internal
policies including the Air
China's Environmental Management Manual, the Management and Review Procedures for
Environmental Management Systems, Identification, Evaluation, and Update
Management Procedures of Environmental Factors, Energy-Saving and Environmental Protection
Management Methods, Energy
Conservation and Environmental Protection Training Implementation
Rules, Energy Conservation
and Environmental Protection Supervision Implementation
Rules, Energy Conservation
and Environmental Protection Assessment and Reward and Punishment
Measures, and Carbon
Emissions Management Implementation Rules, integrating
environmental management into all aspects of our daily operations.
We have improved the environmental governance structure,
established a Leading Group for Ecological and Environmental
Protection and its office, and regularly held annual green
development meetings to enhance the effectiveness of environmental
protection work.
We continue to strengthen
environmental management and supervision, conducting annual
assessments and inspections on emissions produced during production
and operations to ensure compliance with regulations. We have also
developed internal management systems such as the Air China Emergency Response Plan for
Environmental Emergencies, Management Procedures for Wastewater, Waste
Gas, and Noise Emissions, and Solid Waste Management Procedures. In
the Beijing area, we have carried out emergency response drills in
7 on-site disposal scenarios, including those related to boilers
and sewage, to enhance our employees' emergency response
capabilities to sudden environmental incidents.
We have incorporated energy
conservation and environmental protection into our performance
assessment management system, setting and detailing performance
assessment targets and tasks for energy conservation and
environmental protection. We have promoted the signing of the
Energy Conservation and
Environmental Protection Responsibility Letters by various
entities, and the Office of the Leading Group for Ecological and
Environmental Protection scores the completion of tasks by the
entities based on the Energy
Conservation and Environmental Protection Assessment and Reward and
Punishment Measures, linking it to the salaries of the heads
of each entity. We have also established an environmental
protection incentive and punishment mechanism, commending entities
and individuals who have made outstanding achievements in energy
conservation and environmental protection, and holding violators
accountable and imposing fines on them.
The Company commended 10 Advanced
Groups for energy conservation and environmental
protection.
The Company commended 47 Advanced
Individuals for energy conservation and environmental
protection.
The rate that entities of
environmental management system receiving internal audits is
100%.
|
Air China has passed the ISO 14001
environmental management system certification and carried out
external and internal audits of the environmental management system
in 2023, focusing on deepening the construction of the
environmental management system. According to the Air China Environmental Management
Implementation Plan for 2023, we conducted internal audits
of the environmental management system in August 2023. The internal
audit team conducted audits on 10 key entities and 8 subsidiaries,
issued internal audit reports, and continuously promoted
improvements to related issues.
3.2 Addressing
Climate Change
Climate change is a widely
concerned issue in the international community. Air China actively
implements the national goals of "carbon peaking and carbon
neutrality," paying great attention to the risks and opportunities
brought about by climate change. Referring to relevant policies and
guidelines such as the 14th
Five-Year Plan and China's
Policies and Actions for Addressing Climate Change (2022),
with references to the framework and recommendations of the Task
Force on Climate-related Financial Disclosure (TCFD), Air China
incorporates climate change response into its corporate strategic
planning, comprehensive risk management system, and daily
operational management, contributing to the global response to
climate change.
3.2.1 Climate Governance
Air China has been improving the
top-level administration of climate governance. It has established
a Carbon Peak and Carbon Neutrality Leadership Group, which is also
served by the Leading Group for Ecological and Environmental
Protection. The Chairman and the President serve as the leaders of
this group, with members including the heads of the main entities
within the group and key business personnel, who are responsible
for deliberating on specific tasks related to climate change
response, energy conservation and emission reduction, and
ecological and environmental protection. The concept of responding
to climate change is integrated into every aspect of the Company's
governance, comprehensively advancing the implementation of our
dual-carbon strategy and climate risk response affairs. We have
improved the environmental management reporting mechanism, set up
special working groups, and report work ledgers to the Office of
the Leading Group for Ecological and Environmental Protection
quarterly. Meetings are held as needed based on work progress, and
the office regularly reports to the Leading Group for Ecological
and Environmental Protection on the previous year's work summary
and the key tasks for the current year.
At the same time, as an advocate
of clean energy and a promoter of low-carbon transition in society,
Air China, based on the 14th
Five-Year Plan for the Green Development of Civil Aviation,
has formulated the 14th Five-Year
Plan for Green Development. This plan comprehensively
promotes the implementation of a green and low-carbon strategy,
with the aim of building a world-class green development aviation
transport enterprise. We have compiled the Company's Action Plan for Carbon Peaking,
focusing on six pillars: aviation fuel conservation, aviation
carbon reduction, energy-saving technology improvement on the
ground, carbon asset reserve, new green technologies, and green
initiatives for all. Through these efforts, we strive to build a
resource-saving green enterprise and achieve green, high-quality
development.
Air China's Principles of Action Plan for Carbon
Peaking
• Focus on a
comprehensive and truthful principle
• Focus on
efficiency and reducing carbon emissions at the source
• Focus on
innovation-driven and technology-led development
• Focus on
openness and integration, taking multiple measures
|
3.2.2 Our Strategies
According to national policies and
industry development trends, as well as the dynamics between
climate change and the aviation industry, Air China further
identifies the climate risks and opportunities in its operations
and along the upstream and downstream of its value chain. On this
basis, we combine our strategy and development to formulate plans
and actions to respond to climate change risks, minimizing the
impact of these risks to the greatest extent.
Climate Change Risk
Identification List and Response
Risk Type
|
Specific Risk
|
Risk Description
|
Risk Response
|
Transition Risk
|
Policy and Legal Risks
|
Ÿ New climate-related laws, regulations, and policies impose
more stringent requirements for the industry, such as tighter
emissions restrictions on civil airlines, which may influence more
costs and travel habits, thus leading to fewer passengers and
related revenue.
Ÿ The introduction of the national "dual carbon" goals and the
launch of the national carbon emission trading market will possibly
heighten carbon emission requirements. If the Company is included
in the carbon trading system in the future, additional costs may be
incurred due to the lack of carbon quotas.
|
Ÿ Strictly adhered to existing laws and regulations, adjusted
strategic planning and goals in line with current trends, and
developed plans for a low-carbon development path.
Ÿ Explored and optimized greenhouse gas (GHG) emission reduction
paths, established short-term, medium-term, and long-term carbon
peaking and carbon neutrality goals and strategies, and regularly
disclosed the progress of GHG emission reduction.
Ÿ Continuously followed the existing national and local carbon
emission policies, strengthened communication with various
regulatory authorities, and provided industry suggestions and
practical experience for relevant departments.
Ÿ Changed energy schedule according to requirements, introduced
new energy technologies, and promoted the transition of our energy
mix.
Ÿ Enhanced the electrification
rate within the flight area, and improved the efficiency of
operational support for new energy vehicles.
Ÿ Formulated carbon trading management strategies, established
carbon price monitoring and early warning mechanisms, implemented
centralized management of carbon assets and optimized the profile
of carbon assets.
|
Technological Risk
|
Ÿ Aviation fuel is one of the important environmental factors
for the Company. In the context of the national "dual carbon"
goals, the Company needs to deploy more energy-efficient and
environment-friendly technologies and facilities and increase
special investment in energy conservation and emission reduction to
reduce carbon emissions and the climate impact caused by aviation
fuel combustion.
|
Ÿ Implemented energy saving and emission reduction practices,
improved existing technologies, and introduced and developed new
technologies.
|
Market Risk
|
Ÿ The "14th Five-Year Plan" for civil aviation clearly defines
the target for the use of sustainable aviation fuel (SAF), but a
mature industry chain for the SAF has not yet been formed
domestically. The price of such fuels is much higher than that of
conventional fuels, thus bringing additional financial burden to
the Company.
Ÿ The Chinese civil aviation industry is in the development
stage, with the per capita number of trips significantly lower than
the international level. The future market demand and development
potential is substantial, leading to an increase in energy
consumption and carbon emissions.
|
Ÿ Continuously deepened fuel-saving measures to reduce energy
consumption.
Ÿ Strengthened cooperation with industry associations, upstream
and downstream enterprises in the industrial chain, as well as
scientific research institutions, and continuously explored the
research and application of sustainable aviation fuel
(SAF).
Ÿ Comprehensively replaced aircraft Auxiliary Power Units
(APUs) with ground power, and promoted energy mix
transition.
|
Reputational Risk
|
Ÿ In
the context of climate change being a major concern, the aviation
industry's carbon emission reduction efforts are closely followed
by various stakeholders. Failure to effectively implement such
efforts in a timely manner will have a negative impact on the
Company's public image and revenue.
|
Ÿ Took the preferences and needs of stakeholders as a guide to
improve the communication mechanism with them, and conducted
regular evaluation and research.
• Established communication methods on the official website,
App, and other public channels, which can accept complaints and
feedback from stakeholders.
|
Physical Risk
|
Acute Risk
|
Ÿ Extreme weather events, such as typhoons, extreme rainfall
and floods, intensify the sudden physical risks to our daily
business operations and may lead to flight delays, forced landings,
or cancellations, thus weakening freight and passenger
transportation capacity in the supply chain and transportation
network.
Ÿ Extreme weather may affect aircraft performance and damage
aviation infrastructure, thereby affecting flight safety and
reliability.
Ÿ Extremely hot weather may increase an airplane's fuel
consumption, affecting fuel efficiency.
Ÿ The
occurrence of extremely hot and cold temperatures may increase the
probability of employee health and safety risks.
|
Ÿ Developed special emergency rescue plans to deal with extreme
weather such as flooding, lightning, cold weather, typhoons, and
heat stroke, improving emergency response speed.
Ÿ Adjusted the flight plan promptly. Conducted a timely
assessment and pre-analysis of changes in operating conditions by
monitoring flights, took measures to control flight returning and
diversions, and provided support to the aircrews on the
ground.
Ÿ Adopted models that are more resistant to high and low
temperatures, and adjusted maintenance strategies in a timely
manner to ensure the normal operation of the fleet.
|
Chronic Risk
|
Ÿ Scenarios such as global
warming, rising sea levels, and tidal intrusion may lead to high
frequency and increased duration of temporary operational
disruptions and maintenance as well as more cost.
|
Ÿ Deployed a professional
maintenance and troubleshooting team.
Ÿ Invested more funds in
R&D to improve repair and maintenance efficiency, as well as
reduced energy consumption.
|
3.2.3 Risk Management
Air China has established a
comprehensive risk management process, fully integrating the
identification, assessment, and management of climate risks into
the Company's risk management system, effectively managing climate
risks through classification and grading.
Air China's Climate Risk
Management Process
Climate Risk
Identification
|
According to national policies,
industry characteristics, business models, and other factors, we
identify the physical climate risks and transition risks we face at
different stages.
|
Climate Risk Assessment
|
We conduct scientific climate risk
assessments and fully analyze factors such as the probability of
occurrence and the extent of impact for various types of climate
risks.
|
Climate Risk Management
|
We integrate climate risk
identification and management into the existing risk management
system, develop comprehensive response plans, and reduce the impact
of climate risks on the Company.
|
3.2.4 Our Goals
In accordance with the target of
keeping a global temperature rise below 2°C proposed by the
Paris Agreement and based
on the actual circumstances, Air China has set a science-based
carbon reduction target. We have formulated the Air China Green Development and Dual-Carbon
Key Task List for 2023 in accordance with the Opinions of the CPC Central Committee and the
State Council on Completely, Accurately, and Comprehensively
Implementing the New Development Concept and Ensuring Peak Carbon
Dioxide Emissions and Carbon Neutrality, the State Council's Action Plan for Carbon
Dioxide Peaking Before 2030, and the work requirements of
governments at all levels and industry regulators. This list
clearly defines the overall goals for our dual-carbon work and
scientifically plans the process of GHG emission
reduction.
Air China Environmental Goals
• In
terms of environmental compliance, no environmental violation shall
occur.
• In
terms of energy saving and carbon reduction, we will strive to
achieve a year-on-year reduction in carbon emission
intensity.
|
GHG emissions data of Air
China and its subsidiaries in 2023*2
GHG Emissions Category
|
Unit
|
2023
|
Scope 1
|
CO2 emissions (10,000
tonnes)
|
2,260.8
|
Scope 2
|
CO2 emissions (10,000
tonnes)
|
18.3
|
Total GHG emissions
|
Total CO2 emissions
(10,000 tonnes)
|
2,279.1
|
GHG emission intensity
|
CO2 emissions intensity
(g/tonne-km)
|
1,058.7
|
Indicator
|
Unit
|
2023
|
Owned aircraft
|
unit
|
905
|
Introduced new aircraft
|
unit
|
23
|
Retired old aircraft
|
unit
|
12
|
Average age of the
aircraft
|
year
|
9.36
|
Fuel consumption
intensity
|
kg/tonne-km
|
0.336
|
3.2.5 Our Actions
Air China actively promotes the
implementation of the Action Plan
for Carbon Peaking, explores carbon reduction strategic
paths, improves the carbon emission control system, enhances carbon
asset management, and steadily advances the Company's green and
low-carbon development.
Air China's Carbon Reduction
Actions in 2023
• Participated in the formulation of carbon market
rules
Air China participated in the civil
aviation national carbon market working group, facilitated the
formulation of industry rules for the market, and conducted
in-depth research on the construction of China's aviation carbon
trading management system and processes, contributing to the
important role of the civil aviation industry in the carbon
market.
|
• Promoted carbon trading
Air China continued to carry out
the construction of centralized management capabilities for carbon
trading. We unified carbon trading management and operations,
established a carbon price monitoring and early warning mechanism,
and optimized the internal control and entrusted management
processes of carbon trading. Based on multiple carbon emission
management systems, we developed and launched a carbon emission
management analysis platform, achieving the automation of carbon
emission data statistics and analysis.
|
• Promoted the low-carbon development of the industry
Air China and its subsidiaries
carried out national, Beijing, civil aviation, and EU carbon
emission reporting, verification, and compliance work. We actively
participated in policy discussions on industry carbon reduction
targets, SAF, plastic phrase-out, and other related issues. As a
member of the IATA Environment Committee, the Technical
Standardization Committee on Aviation Environment Protection of
China Air Transport Association, we actively spoke up for the civil
aviation industry under the unified leadership of CAAC.
|
• Supported "Carbon Neutral" flights
Air China's "Low-Carbon Green
Travel Program" offers passengers "Carbon-Neutral" services.
Through the establishment of a one-stop carbon offset platform, Air
China provides passengers with carbon footprint calculation and
carbon offset service for nationally certified emission reductions.
Passengers can voluntarily participate in carbon emission reduction
projects such as domestic reforestation through flight miles or
cash payments, contributing to "carbon neutral" flights and
reducing the environmental impact of carbon emissions from air
travel. As of December 31, 2023, nearly 12,000 people have
participated in the "Carbon-Neutral" flight initiative, offsetting
a total of 2,500 tonnes of carbon dioxide emissions, which is
equivalent to achieving about 150 "Zero-Carbon Flights" from
Beijing to Shanghai.
|
Furthermore, as an airline company,
Air China continuously optimizes fuel-saving measures for flights,
promotes the domestic-made SAF, actively introduces high
fuel-efficiency aircraft models, enhances the management and
control of aviation fuel efficiency, and strengthens route
optimization and other green and low-carbon measures, practicing
green and comprehensive journey services together.
Flight Fuel-Saving
Highlights
l Optimizing altitudes in the
flight plan: By implementing
closed-loop adjustments to computer flight plan parameters through
data analysis, we improved the conformity of actual flight
altitudes. In 2023, this resulted in a cumulative fuel saving of
1,569 tonnes and a reduction of 4,942 tonnes in carbon dioxide
emissions.
l Optimizing extra fuel in the
flight plan: By analyzing flight
data and optimizing the planned remaining fuel upon landing, we
saved a total of 3,930 tonnes of fuel in 2023, reducing carbon
dioxide emissions by 12,380 tonnes.
l Controlling aircraft
weight: Utilizing various means to
monitor performance indicators, we implemented the establishment
and management of the basic database for the aircraft, and
reasonably controlled the aircraft weight based on the aircraft
type and route, saving 433 tonnes of fuel and reducing carbon
dioxide emissions by 1,364 tonnes in 2023.
l Optimizing flight routes and
paths: We evaluated factors
affecting adjustments to domestic and international flight paths,
optimized the Company's domestic and international route structure,
shortened the distance of flight routes, and reduced flight time
and fuel consumption. In 2023, we saved a total of 3,744 tonnes of
fuel, reducing carbon dioxide emissions by 11,794
tonnes.
l Implementing mobile map
applications: By promoting the use
of portable electronic flight bag (EFB) systems for airport mobile
maps, we enhanced pilots' situational awareness during taxiing,
reduced taxiing time, and improved taxiing efficiency. In 2023, we
launched mobile map data for 136 airports as well as various series
and models including B737, B747, A330, and A350, achieving a total
fuel saving of 15,686 tonnes and reducing carbon dioxide emissions
by 49,411 tonnes.
l Replacing APUs with
alternative facilities: We orderly
promoted the standardized, refined, and normalized management of
APU alternative facilities as much as possible, ensuring a 100%
connectivity rate for the facilities, and further reducing aircraft
ground emissions. In 2023, Air China saved a total of 105,895
tonnes of fuel by using APU alternative facilities, reducing carbon
dioxide emissions by 334,000 tonnes.
l Research and development of
the Aircraft Cross Fueling System: We have independently developed the Aircraft Cross Fueling
System to achieve safe and clean fuel transfer directly. The system
can reduce the waste in fuel pumping for aircraft model
replacement, overhaul, and maintenance, reusing the "waste
oil."
|
Case: A green and low-carbon flight
activity
In July 2023, Air China hosted the
"Embracing a Low-Carbon Future with Blue Skies" flight activity,
laying a solid foundation for promoting the normalization of the
SAF commercial flight in the industry. The flight, operated by an
Airbus A350 from Hangzhou to Beijing, was fueled with a 10% blend
of domestically produced SAF, marking the first commercial
passenger flight of a wide-body aircraft using this kind of fuel in
China. Additionally, the flight offered recyclable and
biodegradable in-flight supplies and presented passengers with an
"Eco-friendly Notebook" set made from stone materials and recycled
beverage bottles, further promoting green and low-carbon
travel.
|
3.3 Promoting the Green Operation Model
Air China implements its
responsibility for green development, actively develops an
environmentally friendly industrial structure, integrates
environmental management into all aspects of daily operations,
executes various energy-saving and carbon reduction measures,
carries out pollution prevention actions, and promotes the
Company's green, low-carbon, and circular development.
3.3.1Emissions Management
Air China strictly controls the
emission of pollutants, standardizes the emission management
processes and standards, improves the pollutant risk list, and
refines the emission management system and risk list. This
effectively promotes pollution management and helps take special
actions to fight pollution. We conduct regular environmental
compliance assessments annually, testing emissions produced during
production and operation processes to ensure compliance with
regulations.
Waste Gases Management
Air China strictly follows the
Law of the People's Republic of
China on the Prevention and control of atmospheric
pollution, Integrated
Emission Standard of Air Pollutants, Standard for Pollution Control on the
Municipal Solid Waste Incineration, and other relevant laws,
regulations, and standard documents. We actively launched various
emission reduction initiatives to strictly control and manage the
emissions produced during operations.
Main Measures for Waste Gas
Emissions Reduction
• Regularly monitor boiler waste gases, canteen fumes, and
industrial waste gas to ensure that emissions meet the
standards.
• Air
pollutant control devices and online monitoring facilities are
installed.
• Ground power and air conditioners are used by all aircraft
connected to the air bridge, to reduce the usage of APUs. By
December 31, 2023, Air China had signed 337 agreements of APU
substitution with domestic airports, achieving full
coverage.
• Strengthen the renovation and upgrade related to vehicle
emissions at the airport, promote self-inspection on diesel vehicle
emissions, and ensure that the emissions from diesel vehicles meet
the standards after technological renovation.
• Accelerate the transition from oil to electricity. Employ new
energy vehicles for all of our civil aviation models. Adhere to the
principle of simultaneous promotion of vehicles and charging piles,
and achieve shared charging within the Company through self-built
charging piles.
By December 31, 2023, the number
of the diesel vehicles upgraded emission was 1,740, the number of
the new energy vehicles was 1,246, and the number of self-built
charging piles was 389.
|
Wastewater Management
Air China strictly adheres to the
Water Pollution Prevention and
Control Law of the People's Republic of China, the
Integrated Emission Standard of
Water Pollutants, and the Regulation on Urban Drainage and Sewage
Treatment, among other relevant laws and regulations. We
comprehensively investigate the compliance of water pollutant
emissions, promptly rectify related issues, and ensure that water
pollutants are discharged in compliance with standards.
Air China's Main Measures
for Wastewater Reduction
• Sanitary wastewater is regularly monitored to ensure that the
discharge meets the standards.
• We
are equipped with wastewater treatment facilities and online
monitoring devices
In 2023, we treated 640,000 tonnes
of industrial wastewater, with a 100% industrial wastewater
treatment rate.
|
Waste Management
Air China strictly adheres to laws
and regulations such as the Law
of the People's Republic of China on the Prevention and Control of
Environmental Pollution by Solid Waste, Technical Policy on the Prevention and
Control of Pollution Caused by Hazardous Waste, and
Provisions on the Administration
of Urban Construction Garbage. We have established internal
systems, including Waste Disposal
Management Procedures and Special Emergency Response Plan for Hazardous
Waste as regulations on managing hazardous waste temporary
storage, and on-site emergency response measures for accidents.
Furthermore, we sign the Hazardous Waste Disposal Agreement
with third-party entities to strictly regulate the process of
classification, collection, storage, and disposal of various types
of waste, such as household waste, kitchen waste, in-flight waste,
and hazardous waste, in order to ensure that our waste management
follows the principles of "harmlessness, recycling, and
reduction."
• Household waste[2], kitchen waste,
and hazardous waste are sorted out and transported to the
designated waste storage area for unified recycling and treatment
by third parties.
• In-flight waste is transported to the designated area of the
airport and handed over to the airport for unified recycling and
treatment.
By December 31, 2023, a total
of 4,015 tonnes of
kitchen waste and 1,338 tonnes of hazardous waste had been disposed
of properly.
|
Disposed hazardous waste from
aircraft maintenance (tonne)[3]
Indicator
|
2022
|
2023
|
Waste
containers and contaminants
|
317.8
|
348.8
|
Waste
oil
|
191.7
|
185.4
|
Waste
cleaning fluid
|
180.8
|
162.8
|
Waste
paint and paint-bleaching liquid/slag
|
51.8
|
38.2
|
Waste
activated carbon
|
163.3
|
162.0
|
Wastewater
treatment sludge
|
90.1
|
180.1
|
Spent
acid
|
40.9
|
51.0
|
Spent
alkali
|
30.6
|
28.6
|
Waste
mercury-containing fluorescent tubes
|
2.1
|
1.3
|
Waste
reagents and detection solution
|
0.7
|
2.3
|
Waste
batteries
|
0.9
|
1.3
|
Spent
developer
|
0.1
|
0.3
|
Spent
resin, waste rubber
|
0.2
|
1.1
|
Waste
chemicals
|
0.9
|
0.2
|
Electroplating wastewater
|
40.5
|
0
|
Plastic Phrase-out
Air China pays close attention to
the impact of plastic on the natural ecology and has
comprehensively promoted special actions for plastic and waste
reduction. A specific action plan for the management of plastic
pollution has been developed. We have set a goal to significantly
reduce the consumption intensity of disposable plastic products by
2025 compared with 2020. Following the work plan of CNAHC Special
Actions on Plastic Pollution Control (2021-2025), we are fully
implementing the phased task goals of reducing plastic use and
waste in six areas: passenger service, cargo transportation,
workplace, hotels and apartments, green procurement, and plastic
waste sorting and recycling.
Plastic Phrase-out
Highlights
Passenger
service
|
l
Starting from January 1, 2022, all products such
as knives, forks, spoons, cups, and stirring sticks of Air China's
domestic flights and airport lounges have been replaced with
biodegradable materials.
|
Cargo
transportation
|
l
During the transportation phase, the trial use of
biodegradable plastic tarpaulins, recyclable woven bags, and
recycling boxes was implemented. As of December 31, 2023, a total
of 160 tonnes of biodegradable plastic film had been purchased,
accounting for 18% of the total plastic film purchases; 3,000
recyclable transit bags had been deployed, and 14,300 recycling
boxes had been put into use.
|
Workplace
|
l
Issued the Notice on Promoting Plastic Pollution Control
in Offices, and implemented plastic phrase-out and
prohibition requirements in all offices of Air China.
l
Introduced environmentally friendly office
supplies and offered discounts for employees who bring their own
cups to purchase beverages.
|
Hotels
and apartments
|
l
All hotels, guesthouses, and apartments no longer
actively provide six types of disposable goods.
|
Green
Procurement
|
l
The Notice on
the Implementation of Green Procurement was issued to
promote green procurement across the Company.
|
Plastic
waste sorting and recycling
|
l
Waste sorting and recycling facilities have been
fully installed in all buildings of the Company.
|
Noise Management
Air China
attaches great importance to noise pollution prevention and
control, adheres to the Regulations of the People's Republic of China
on the Prevention and Control of Noise Pollution and other
relevant laws and regulations, implements the Environmental Standard of Aircraft Noise
around the Airport, improves noise emission and control
management procedures, and reduces the impact of noise on the
surrounding environment and as well as the health and safety of
employees.
3.3.2Use of Resources
Air China focuses on energy savings
and consumption reduction, values resource protection and rational
utilization, advocates the concept of cyclical resource management
and actively explores the use of new energy. We are committed to
creating a model of resource-saving aviation enterprise.
Water Management
Air China values the conservation
and reuse of water resources, strictly complies with relevant laws
and regulations such as the Water
Law of the People's Republic of China, and has formulated
Water Management
Regulations to continuously improve the water management
process. In our daily operations, we actively implement various
water-saving measures, adopt advanced water-saving and
environmental protection technologies, and enhance the
comprehensive utilization rate of water resources.
Water Management
Highlights
• Set
up metering devices in the office area to monitor water
consumption, providing data support for further water
conservation.
• Introduced municipal reclaimed water to replace part of the
tap water consumption.
• Completed the renovation of the green belts and fountain
water system in the Company's headquarters buildings. This
renovation could save about 6,000 tonnes of tap water per
year.
• A
4,200 cubic meters rainwater storage pool was built for the main
parking building project of the pilots' office area in Beijing. The
rainwater recycling system is used to integrate the rainwater for
irrigating the green areas of the parking building and car washing
gradually.
As of December 31, 2023,
Air China and its subsidiaries had consumed 5.268
million tonnes of water in the offices, with a per capita water
consumption of 51.2 tonnes.
|
Energy Management
Air China adheres to the concept of
low-carbon and environmentally friendly energy resource management,
and strictly abides by relevant laws and regulations such as the
Energy Conservation Law of the
People's Republic of China and Measures for the Administration of Energy
Conservation of Major Energy-Consuming Entities and has
formulated the Energy
Conservation and Emission Reduction Management Manual to
promote the systematic development of energy management. We
actively carry out special inspections on energy conservation and
environmental protection, regularly hold annual work meetings,
develop energy conservation and environmental protection management
platforms to automatically generate various environmental data,
formulate Energy Conservation
Diagnosis Work Plans, and integrate energy conservation and
environmental protection work into our production and operations.
In addition, we proactively phase out outdated equipment and
processes with high energy consumption and high emissions,
introduce and promote the application of renewable energy
technologies, and accelerate the low-carbon transition of the value
chain.
Energy Management
Highlights
• The
lighting system in the public areas of key energy-consuming
buildings was renovated, and ordinary energy-saving lamps were
replaced with radar-sensing LED lamps.
• The
Air China Aircrew Dormitory project adopted a dual-system operation
mode integrating solar heating and high-temperature steam heating
to provide hot water for domestic use. This model uses solar
heating first and then steam heating as an auxiliary heating means
to effectively save energy.
• The
parking building project of the pilots' office area in Beijing is
designed in the open enclosure form, maximizing the use of natural
light. This design reduces the energy consumption of indoor
lighting, ventilation, and heating to a certain extent. We actively
promote the application of new energy vehicles, improve the
charging facilities and management system for such vehicles, and
accelerate their introduction.
In recent years, LED energy-saving
light fixtures had been replaced more than 31,000, the energy
consumption after the renovation was about 65% of before, and the
electrification rate of new introduced or updated vehicles at the
airport key areas was 100%.
|
Material Management
Air China values the conservation
and management of aviation materials, implements green aircraft
maintenance, actively explores practices for reducing and recycling
various materials, and vigorously promotes "paperless" travel
service for passengers.
• Improved the efficiency of mechanical maintenance,
continuously optimized the process standards for controlling
components without failure,, and reduced the erroneous dismantling
and replacement of aviation materials.
• Promoted the recycling of aviation materials, carried out the
disassembly and reuse of "beyond economical repair material" and
increased the purchase and use of second-hand qualified
material.
• Promoted the "paperless" travel service for
passengers.
In 2023, we provided paperless
service for a total of 37.2 million passengers.
|
3.3.3Biodiversity Conservation
Air China firmly establishes the
ecological civilization concept of respecting, following, and
protecting nature, strictly complying with the Environmental Protection Law of the People's
Republic of China the Law
of the People's Republic of China on Environmental Impact
Assessment, the Water and
Soil Conservation Law of the People's Republic of China, and
other relevant laws and regulations. We strictly maintain the red
line for ecological protection, as well as the quality of the
ecological environment and biodiversity. We actively promote
biodiversity conservation and monitoring actions, enhance the
ecological protection awareness of rangers, assist in the publicity
and promotion of public welfare activities, and facilitate the
sustainable development of the industry and society.
Case: Five-year action plan for the ecological protection of
the Yangtze River
In 2021, Air China initiated a
five-year action plan for the ecological protection of the Yangtze
River and established the Air China Yangtze River Ecological
Protection Fund to support local biodiversity conservation. As of
December 31, 2023, more than RMB 1 million had been invested into
the fund.
As the first initiative of Air
China's Guardianship of the Yangtze River Ecology, "Guardianship of
Gongga, Gathering Strength of Air China" represents a collaboration
with the Gongga Mountain National Nature Reserve Administration in
Sichuan Province. The project is located in the Ganzi Tibetan
Autonomous Region of Sichuan Province. It is designed to organize
public welfare activities such as capacity enhancement of rangers,
provision of devices, biodiversity conservation monitoring and
promotion, low-carbon concepts, and local ecological protection and
restoration.
The second initiative of Air
China's Guardianship of the Yangtze River Ecology is in Wuhan,
Hubei Province, where we establish the "Joining Air China in
Chasing Sturgeon in the Yangtze River" public welfare release
station. Starting with the Chinese sturgeon, we explore the path of
aquatic life conservation in the Yangtze River.
In November 2023, Air China and
Mercedes-Benz launched a zero-carbon, sustainable flight and a rare
Yangtze River fish species releasing activity together under the
theme "Zero-Carbon Journey." This green and ecological flight
demonstrated the concept of "carbon-neutral flight," with all
carbon emissions generated by the flight being offset by the carbon
sequestration from the VCS forest management project purchased by
Air China and Mercedes-Benz. After the flight from Beijing to
Wuhan, passengers were invited to release rare Yangtze River fish
species such as Chinese sturgeon, long-snout catfish, and Chinese
high-fin banded sharks at the Wuhan Fishery Administration Wharf.
This activity allowed all passengers to enjoy a new "zero carbon"
experience.
|
Air China follows national laws
and regulations, local standards, and industry requirements, and
strictly carries out environmental impact assessments. We strictly
enforce environmental impact assessment for newly-built, expansion,
and renovation projects, requiring that environmental protection
facilities be designed, built, and put into use concurrently with
the main project, thereby minimizing the impact of the operation
process on the surrounding natural ecology and
biodiversity.
3.4 Corporate Green Responsibility
Air China advocates for its
employees to practice environmental protection and low-carbon,
green office concepts, enhancing their awareness of energy
conservation and emission reduction, and guiding them to save
energy in their work, reducing the operational impact on the
environment. Every year, we allocate special funds for
environmental protection training and publicity, enhancing
employees' awareness of low-carbon development and carbon
reduction. This also helps them better understand the green and
low-carbon concepts, making the concepts a part of their mindset
and actions.
Air China has established an
energy-saving and ecological environment protection statistical
information system, and developed and launched an environmental
protection dictionary, providing employees with knowledge retrieval
services for energy-saving and environmental protection policies
and regulations.
We have invited experts from the
National Bureau of Statistics, the Capital Power Exchange Center,
Tsinghua University, and other institutions to conduct online and
offline green-themed training sessions for key internal staff. The
main content of these sessions includes policies related to the
"dual carbon" strategy, energy conservation and environmental
protection regulations, energy statistics, and green electricity
trading. A total of 133 staff members have been trained, with a
total duration of 798 hours.
The National Energy Conservation
and Ecological Environment Protection Statistical Information
System has collected 104 national-level energy conservation and
environmental protection laws and regulations.
90 local-level energy-saving and
environmental protection standards
7 corporate energy saving and
environmental protection policies
|
Case: Air China releases a green and low-carbon action
initiative
Air China has issued a green and
low-carbon action initiative to its employees, advocating for the
establishment of green development concepts among its staff, and
the adherence to green and low-carbon office habits, low-carbon
travel methods, low-carbon lifestyles, etc. We are also conducting
knowledge quizzes on the "dual carbon" strategy, resource-saving
society, major protection of the Yangtze River, SAF, and plastic
pollution control.
Nearly 40,000 employees made the
green and low-carbon commitment.
Over 30,000 employees participated
in green and low-carbon activities.
|
4. Quality Service
SDG 2: ZERO HUNGER
SDG 17: PARTNERSHIPS FOR THE
GOALS
Air China will consistently
provide sincere service, improve the management of service quality,
continuously innovate service products, promote digital services,
enhance service capabilities, and provide passengers with
world-class services.
The "14th Five-Year Plan" in
the Service Scope
Creating World-class Services and Products
Deepening the "Three
Orientations"
Practicing the "Three
Comprehensive Strategies"
Customer Orientation, Problem
Orientation, Value Orientation
Global Benchmarking, Full-process
Governance, Endeavour throughout Entire Chain
Static Planning→Dynamic
Management
Fragmented Scene→Full-process
Connection
Passively Follow→Actively
Lead
Excellent
service, Comprehensive and smooth service guarantee, Win-win and efficient
collaboration, Timely and accurate service,
Innovative and digital support, The trustworthy and professional
team
|
4.1 Service Quality Management
Air China continuously improves
the General Rules for Service
Standard Management and the Service Standard Document Compilation
Specifications and formulates and issues documents such as
the Service Standard Document
Management Procedures, strengthening the quality management
system, perfecting the top-level design and management structure of
service standard management, promoting the digital transformation
of service management, and continuously enhancing service quality
management.
Service Quality Management Measures
●
Optimized the Service Quality Inspection Management
Regulations, and formulated and issued documents such as the
Service Quality Management System
Usage Management Regulations and the Service Quality Risk and Hazard Management
Regulations.
●
Integrated the internal audit of the service
quality management system, statutory self-examination, service
presentation inspection, and special inspection to achieve a
comprehensive inspection, enhancing organizational
efficiency.
●
Established and optimized the service inspection
item database system, covering all standard inspection items, while
supporting the generation of personalized inspection task lists to
allow better planning of the inspection focus.
●
Formulated clear and practical evaluation
criteria to ensure the quality of inspections, and assessed each
non-conforming item, observation items, improvement suggestion, and
management highlight individually.
|
Air China invited the China
Quality Certification Center (CQC) to verify the conformity,
suitability, and effectiveness of the Company's service quality
management system in accordance with the ISO 9001:2015 standard and
the CAAC's Guidelines for the
Construction of Public Air Transport Passenger Service Quality
Systems, among other requirements. This was done through
interviews, sampling, and other methods to collect audit evidence.
During the reporting period, 10 Air China subsidiaries, 7 business
management units, and 3 management support divisions with audit
qualifications passed the service quality management system
certification.
4.2 Safeguarding the Rights and Interests of
Passengers
With the purpose of satisfying
passenger needs, Air China fully ensures the normal operation of
flights, listens to passengers, strictly protects the security of
their personal information, upholds responsible marketing, and
safeguards passenger rights.
4.2.1 Guaranteeing Flight Regularity
Air China continuously carries out
refined management for irregular flights. When facing
irregular flight conditions, we always center on
the needs of passengers, ensuring the normal operation of flights
with efficient and professional service.
Measures to Guarantee Flight Regularity
●
Flight
regularity assessment and statistics: Conducted publicity and guidance for the assessed entities,
completed the operational assessment items and target value
settings and introduced data collection and regularity analysis
projects to provide a scientific basis for the assessment
work.
●
Flight
regularity management: Analyzed the
reasons for flight delays and discussed typical cases in special
seminars to develop improvement measures and strengthen flight
regularity management.
●
Irregular flight
analysis: Sorted out issues with
irregular flights and prepared analysis reports to help improve
management capabilities.
●
Strengthening
internal regularity management of the Operation Control
Center: Enhanced the communication
and collaboration among various departments involved in managing
irregular flights to improve management level.
|
In 2023,
the flight punctuality rate* reached 87.94%, higher than the
industry average 0.14 pts; the flight execution rate was 99.2%,
maintaining the same level compared with the previous
year.
|
4.2.2 Response to Customer Demands
Air China strictly complies with
national and industry-related laws and regulations, revises
internal systems such as the Complaint Management Regulations, the
Passenger Satisfaction Survey
Management Regulations, the Service Reward and Punishment Management
Regulations, and the Management Regulations for Service
Remediation Authorization, and improves the protection of
passenger rights and the complaint management mechanism, listening
to every passenger and respecting their needs.
Air China also has established a
rigorous complaint response and feedback process. We have divided
the process into three levels of management. The first-level
departments are responsible for establishing and improving the
Complaint Management
Regulations and improving the overall service process. The
second-level departments are responsible for the complaint
management and monitoring of their respective entities, while also
assisting the third-level departments in their complaint handling.
In 2023, a total of 10 monthly complaint case analysis meetings
were held, 15 typical cases were reported, and 23 dynamic service
rectifications were issued, with a focus on improving issues found
in ticket service policies, cabin service procedures, and standards
for special passenger service.
Service Performance of Air China and Its Subsidiaries in
2023*[4]
International luggage loss rate
(pieces/thousand passengers): 1.78
Domestic luggage loss rate
(pieces/thousand passengers): 0.12
Total number of passenger
complaint cases from all channels (cases): 27,000
Passenger complaint handling rate:
100%
Passengers' overall satisfaction:
88.4 points
Premium passenger satisfaction:
89.4 points
Ticket service satisfaction: 90.6
points
Ground service satisfaction: 87
points
Cabin service satisfaction: 88.1
points
|
4.2.3 Privacy and Data Security
Air China complies with the
Personal Information Protection
Law of the People's Republic of China, the Cyber Security Law of the People's Republic
of China, and other relevant laws and regulations. We have
formulated and issued the Privacy
Policy and Data Management
Regulations for China National Aviation Holding Corporation Limited
and Air China Limited. These regulations cover all business
operation units, subsidiaries, and suppliers, which clearly outline
to passengers the principles, processes, requirements, and
protective measures regarding the collection, processing, use,
storage, and protection of personal information, ensuring
passengers are informed and consent before any collection,
processing, and use of their information to safeguard their legal
rights and interests. Air China pledges not to rent or sell
passengers' personal information to third parties and will only
provide such information after confirming the passengers' explicit
consent and only for the purpose of completing transactions and
services. Furthermore, based on the terms of the Supplier Management Regulations, we
establish management requirements for customer privacy and data
security assessment during all stages of supplier admission and
evaluation.
Air China regularly conducts
passenger privacy risk assessments and has established a
Cybersecurity Management Committee as the highest decision-making
body for information security management. The committee is led by
Air China's leaders, with the Information Management Department
serving as the office to coordinate the work of cybersecurity
management. The Commercial Committee, working with specialized
departments, oversees the implementation of the privacy governance
management mechanism and conducts effectiveness reviews. During the
reporting period, Air China obtained ISO/IEC 27001 certification
(with a coverage rate of 100% for products and services), PCI-DSS
certification, and all core systems passed the Level 3
Certification for system security protection. There were no data
breach incidents.
In accordance with data protection
and encryption policy requirements, Air China has established a
vulnerability notification and response mechanism. By conducting
security emergency drills and attack and defense exercises, we have
built a sound cybersecurity system. We have hired a third-party
security team to conduct penetration testing on critical
information systems, identify security vulnerabilities, and fix
Bugs to avoid related risks.
Air China has invited several
external independent auditing or testing agencies to review and
inspect the Company's information systems and policies, ensuring
the security and stability of the information systems and
compliance management. In 2023, Air China conducted one internal
audit and three external audits, including the CAAC's aviation
security audit, cybersecurity level protection assessment, IATA
IOSA audit, and safety inspection by third-party professional
technical agencies, achieving a 100% compliance rate for the
rectification of medium and high-risk items.
Customer Access
Customers can authenticate their
identity through self-service channels, add or modify personal
information, and cancel their accounts after password
verification.
Customers can choose not to retain
the original image for facial recognition.
|
Passenger Privacy and Data Security Management
Measures
Secure Information Storage
|
We comply with the requirements
regarding the location, method, and duration of personal
information storage as stipulated in the Privacy Policy, and adopt technologies
such as encryption and de-identification for information storage.
Internal use must go through a security and compliance review
process to protect the personal information rights and interests of
passengers. Regarding the storage of passenger information, we will
store passenger information for the shortest possible time, and
upon exceeding the time limit, we will delete or anonymize the
personal information of passengers.
|
Technical Support
|
We adopt multiple technical
measures, including intranet access, multi-level in-depth
protection, vulnerability scanning, web application protection, and
data backup to monitor information security devices in real-time,
and implement focused management and control over critical
information systems and personnel, ensuring data security and
system stability.
We receive, promptly report, and
handle cybersecurity information and intelligence from various
reporting centers, ensuring timely responses to external security
incidents and vulnerability threats.
We conduct penetration tests on
core business systems annually, promptly patch vulnerabilities, and
enhance security protection capabilities. We also ensure the
security of outgoing data by employing email and boundary
anti-leakage systems. In 2023, Air China carried out data security
compliance assessments for the e-commerce innovation system,
comprehensively improving data security compliance.
|
Specialized Training
|
To enhance employees' awareness of
protecting private data, Air China has issued the Notice on Conducting the 2023 Data Security
Inspection Work, explaining to all employees the relevant
laws and policy requirements regarding privacy and data
security.
We carry out training on phishing
emails and Cybersecurity Week activities, with the aim to enhance
employees' awareness of cybersecurity and strengthen preventive
measures to ensure the security of personal and company
information. In 2023, we conducted information security awareness
training for 22,708 person-times, involving 12 related entities and
departments.
All outsourced personnel and
suppliers must complete information security training before
starting to work in their positions to ensure they possess the
necessary awareness and knowledge of information
security.
|
4.2.4 Responsible Marketing
Air China complies with the
principle of integrity in management, strictly follows laws and
regulations such as the Advertising Law of the People's Republic of
China, and has formulated and issued internal management
systems such as the Announcement
on Further Standardizing the Application of Marketing and
Promotional Materials to regulate the marketing behavior of
employees. Air China requires its marketing personnel to keep the
bottom line, eliminate any form of false marketing, and ensure that
processes are standardized, information is disclosed, and
promotions are truthful. In marketing activities, we disclose
information on legal risks and activity terms to the public,
clarify the existing risks of projects, protect customers' right to
know, effectively prevent transaction risks, and avoid potential
disputes and litigation arising from inadequate information
disclosure.
4.3 Sincere Service
Air China regards service quality
management as a key element in enhancing passenger experience. We
gain the trust of passengers by continuously optimizing service
processes and improving the staff's service level with sincere
service.
4.3.1 Passenger Service
Air China focuses on the details
of passenger service, from comfortable seats to a rich selection of
meals, from friendly cabin crew service to considerate ground staff
assistance, always committed to providing every passenger with a
warm, comfortable, and reassuring flying experience.
Air Ticket Products
|
We have launched the ticket
products suitable for group travel and the "Dual-City Pass" product
for frequent travelers between two cities, increased travel
discounts for young students and the elderly, introduced "Student
Zone" and "Senior Rights Card" products, and continuously improved
user experience to establish a solid reputation among the youth and
elderly. As of December 31, our ticket products had been offered to
225,200 people.
|
Free Value-added Service
|
We have launched accommodation
products for transfer in Beijing, Shanghai, Chengdu, Chongqing,
Hangzhou, Wenzhou, and Tianjin, as well as the Beijing transfer
timed rest lounge product.
The limousine service for usiness
and first class now supports international airport pickup service,
with Xiamen being a new location. The Mercedes-Benz EQE new energy
vehicle model is now available, covering the express line
cities.
The joint air-bus products have
been launched in Shanghai, Hangzhou, Chongqing, Guangzhou,
Changsha, and Baoding. Both Beijing Capital International Airport
and Beijing Daxing International Airport have introduced air-rail
products.
As of December 31, various types
of free value-added products had been offered to 259,200
people.
|
Cross-airline Boarding Service
|
We continue to expand the range of
cross-airline boarding, initiating cross-airline boarding service
for domestic and international transfers via multiple locations
such as Beijing, Hangzhou, Guangzhou, Tianjin, Shenzhen, and
Shanghai to meet the diverse travel needs of passengers and
continuously improve the transfer flight service
experience.
|
Mobile APP Ticket Change Service
|
In April, Air China APP launched
the involuntary changing application for international and regional
flights, offering self-service flight changes within two months
before or after the planned travel date of the original
ticket.
In early August, the scenario of
involuntary changes being made simultaneously to
international/regional tickets for multiple passengers (including
"adults + children") was updated.
At the end of October, the
application of involuntary changes being made simultaneously to
international/regional tickets for multi-trip was added to reduce
the pressure on manual services while providing users with a faster
and more convenient ticket change experience.
As of the end of December, 829
involuntary change orders for international and regional flights
had been completed.
|
Smart Travel Service
|
In 2023, we fully restored remote
check-in for domestic/international flights, completed the trial
operation for automatic check-in, and launched differentiated
electronic boarding passes for frequent travelers and personalized
background for express flights destinations. By the end of
December, the proportion of remote check-ins reached 54%, with a
year-on-year increase of 17 percentage points. Domestically, remote
check-in was launched at 141 airports, of which 134 airports
supported QR code electronic boarding passes; internationally and
regionally, remote check-in was launched at 56 airports, of which
10 airports supported QR code electronic boarding
passes.
|
Full-process Baggage Service
|
In 2023, we continued to expand
the range of supported flight routes, adding full-process baggage
tracking services for 23 new airports. By the end of December,
baggage status inquiry services had been launched for a total of 53
airports, including 47 domestic airports and 6 international and
regional airports. The full-process baggage tracking services had
been provided 537,000 times, and 7.36 million pieces of baggage
status information had been pushed to passengers.
|
Scan and Pay for Excess Baggage
|
Air China has actively implemented
the CAAC's requirements for the development of smart civil
aviation, optimized the process for excess baggage charges, and
provided electronic payments for excess baggage. Passengers can pay
for excess baggage fees online by scanning a code or recognizing
the boarding pass QR code through the Air China APP, enjoying a
more convenient travel experience. By the end of December,
passengers had completed a total of 3,259 online payments for
excess baggage fees.
|
Online Customer Service
|
After launching the official
website and the Air China APP, Air China launched an online
customer service on its mobile official website (H5 website) in
April 2023 to meet the diversified communication needs of
passengers, expanding the coverage of automated and self-service
customer service. The launch of updated frequently-used application
and customer manager system-related applications provide a easier
access to the application and ways of displaying information,
enhancing the efficiency of self-service.'
|
Self-operated Lounge
|
We continued to build the branded
lounges, adding two new lounges in the Hangzhou T4 domestic
terminal, and one new lounge in the international terminal, and
constructed and put a new lounge in Guiyang into
operation.
In both Beijing and Hangzhou,
three sessions of the "Fengtinghui" collaborative cultural
exhibition were held in the Self-operated lounge.
Air China launched the first
self-service access application based on facial recognition in the
domestic lounge in Hangzhou.
A children's entertainment space
was introduced in the Self-operated lounge.
|
In-flight Entertainment
|
On a total of 23 aircraft in the
B787 and A350 fleets, we implemented the China Red in-flight
entertainment system graghical user interface (GUI).
We continued to optimize in-flight
entertainment programs.
|
In-flight Meals
|
We introduced new onboard dining
options, including a variety of festival-themed, Asian Games-themed
meal boxes and bags for holidays and major events.
We cooperated with the Sichuan
Restaurant under the Quanjude Group to introduce Sichuan cuisine
specialties, launching dishes such as the developed Quanjude sliced
duck.
|
In-flight Networks
|
Air China offered two types of
network modes: in-flight cabin LAN and onboard Internet, providing
passengers with convenient in-flight network services.
|
Case: CA8555's Emergency Landing for a Passenger with
Paroxysmal Disease
On May 4, 2023, on flight CA8555
from Wenzhou to Kunming, the cabin crew suddenly received a
distress call from a passenger: the person sitting next to him had
suddenly fallen ill and was unconscious. The chief flight
attendant, Li Yujiao, immediately reported it to the captain, Wu
Xiaofeng, and mobilized the crew for emergency rescue, while also
using the plane's broadcast system to seek medical personnel among
the passengers for assistance. After receiving treatment, the
passenger slowly regained breathing and consciousness, but Li
Yujiao still knelt beside him, checking his breathing and
continuously shouting "Don't sleep" to prevent him from falling
unconscious again. The flight was still two hours away from
Kunming. Considering the passenger's health condition, the captain
decided to make an emergency landing at Changsha Huanghua
International Airport. After the plane landed, the patient was
promptly transferred to a hospital by ambulance.
|
4.3.2 Special Passenger Service
Embracing warmth and care as its
core value, Air China's special passenger service is dedicated to
creating an accessible and reassuring aviation experience for every
passenger. We not only offer a comfortable and easy travel
environment but also actively promote service innovation, providing
more convenient and caring services for passengers with mobility
difficulties and special needs.
Unaccompanied children service
|
Air China APP has launched a
booking service for unaccompanied minors.
We have optimized the meal
selection criteria to ensure that non-spicy meals suitable for
children are included in the regular meal plan.
|
In-flight wheelchair
|
Free in-flight wheelchair services
are provided for passengers who are physically fit to fly but do
not have the ability to move independently. This service assists
passengers in moving to or from their seats on the plane, going to
and from the restroom, etc.
|
Baby bassinets
|
Air China provides baby bassinets
in business class, premium economy class, and economy class on
flights operated with B747/B777/B787/A330/A350 aircraft.
|
Special needs services
|
We provide services such as
handling check-in procedures and assisting with luggage
check-in/pick-up for passengers with hearing and visual
impairments.
|
Small animal transportation
|
On the Air China APP and the
official website, passengers could book the service of
point-to-point transportation of small animals on flights operated
by Air China and bearing Air China flight numbers.
|
Case: Air China Employee Offers Help to a Blind
Passenger
On February 14, 2023, in the
parking lot of Terminal 2 at the Beijing Capital International
Airport, a blind passenger was found in trouble. Huang Xiaoling, a
employee from the ground service department who was off-duty at the
time, learned about the situation and offered help. With Huang's
assistance, the passenger finally reached the destination at
Terminal 3 and completed the boarding procedures.
|
4.3.3 Digital Service
Air China highly values the
innovation and upgrade of digital services. By introducing advanced
technology and intelligent systems, we not only enhance management
efficiency but also provide more high-quality services to
passengers.
Business Innovation
|
Air China has fully implemented the
new Load Planning System (LDP) for flights
departing from Beijing starting at 00:00 on February 27. The full
activation of this system, as a key project in the digital
transformation of the Ground Service Department's Load Balance
Center, marks an important innovation of load balance work in
promoting high-quality development among domestic, international,
and domestic code-share flights, providing strong support for the
construction of smart, world-class hub airports.
|
Marketing Service
|
Air China has launched the "Flight
Delay Service" program, which integrates ticketing service
resources from both Terminal 2 and Terminal 3 of the Beijing
Capital International Airport, as well as the Beijing Daxing
International Airport, digging the support capacity of "Two
Airports" to ensure capacity and provide guarantees through
coordination. Since its initiation in February 2023, the program
has facilitated smooth rebooking for 1,632 passengers through
outbound calls, achieving preliminary success.
Air China has achieved easier
electronic service compensation operations through in-depth
research and has increased the usage rate of electronic service
compensation by promoting innovative methods such as notice boards,
instructional videos, and SMS notifications, winning widespread
recognition from passengers.
|
Full-process Service
|
Air China promotes a one-stop
service program, improving the process for excess baggage charges
to reduce the time passengers spend going back and forth to the
counter for payment and enhancing check-in efficiency.
The departure room of Air China's
Ground Service Department has been continuously advancing the
"centralized departure control" program, optimizing the
full-process service chain, and improving operational efficiency
and service quality.
|
5. Employee Development
SDG 3: GOOD HEALTH ANG
WELL-BEING
SDG 5: GENDER EQUALITY
SDG 8: DECENT WORK AND ECONOMIC
GROWTH
SDG 10: REDUCED
INEQUALITIES
Adhering to the principle of
putting people first, Air China respects and safeguards the rights
and interests of every employee, attaches importance to the growth
and development of its employees, and considers their growth and
health as the cornerstone of the Company's development, pursuing
common development of employees and the Company.
The 14th Five-Year Plan for
the Human Resources Scope
Strengthen
organizational management, optimize the Group's management system
and organizational structure
|
Build a
contingent of high-quality employees and strengthen the talent
development matching the Company's strategic
|
Speed up
the transformation of operating mechanism and enhance the internal
motivation of the team
|
Improve
the efficiency of human resource allocation in a systematic way and
promote high-quality development
|
5.1 Employment and Employees' Rights and
Interests
5.1.1 Equal Employment
Air China strictly complies with
the Labor Law of the People's
Republic of China, the Labor Contract Law of the People's Republic
of China, the Employment
Promotion Law of the People's Republic of China, the
Law of the
People's Republic of China on the Protection of Rights and
Interests of Women,
and other national laws and regulations, based on
which develops and keeps improving employee management
systems.
We strictly ban any form of child
Labor, or forced Labor and resolutely resist discriminatory
behaviors against employees due to nationality, age, race, gender,
religion, diseases, psychological or physiological conditions, or
other factors. We resist workplace harassment and bullying, and
promise to treat every employee fairly and justly, while
safeguarding the legitimate rights and interests of employees. In
the event of a violation, the Company will handle the situation in
accordance with applicable laws and regulations, as well as
relevant provisions such as the Punishment Regulations for Labor Discipline
Violation. During the reporting period, Air China had no
violations of child Labor, forced Labor, or discrimination.
Adhering to the recruitment principles of "merit-based admission
and fair competition", Air China flexibly adjusts its selection
mechanism and formulates annual recruitment plans based on the
Company's development plans and current human resources situation.
We broaden our recruitment channels and make full use of internal
recruitment, campus recruitment, and social recruitment to ensure
that the quantity, quality, and structure of our talents meet
strategic and business needs. In 2023, we formulated the
Notice on Strengthening Open
Recruitment to improve the market-oriented employment
mechanism of "inward and outward", clarifying that subordinate
units should broaden recruitment channels, implement talent
attraction and gathering measures, and continuously optimize the
talent structure.
Air China has established
long-term, harmonious, and stable labor relations with its
employees, fully respecting the rights of all employees to freely
associate and engage in collective bargaining. It has formed a list
of three special collective contracts: the Collective Contract, the Special Collective Contract for Labor
Protection, and the Collective Contract for the Protection of
Female Employees' Special Rights and Interests.
Ÿ In
2023, Air China had 102,874 employees,
Ÿ Labor contract signing rate reached 100%.
Ÿ Percentage of employees covered by collective bargaining
agreements is 100%
Table: Employees of Air China
and Its Subsidiaries in 2023[5]
Type
|
Number of
employees
|
Proportion
|
Total employees of Air
China
|
102,874
|
/
|
Number of
employees by employment type
|
Contracted
|
96,305
|
93.61%
|
Dispatched
|
5,830
|
5.67%
|
Interns
|
341
|
0.33%
|
Others
|
398
|
0.39%
|
Number of
employees by gender
|
Male
|
63,305
|
61.54%
|
Female
|
39,569
|
38.46%
|
Number of
employees by age
|
≤35
|
58,950
|
57.30%
|
36-45
|
29,382
|
28.56%
|
≥46
|
14,542
|
14.14%
|
Number of
employees by region
|
China
|
100,173
|
97.37%
|
Overseas
|
2,701
|
2.63%
|
Number of
employees by profession
|
Management and management
support
|
12,561
|
12.21%
|
Marketing and sales
|
5,740
|
5.58%
|
Operation
|
5,429
|
5.28%
|
Ground handling
|
13,082
|
12.72%
|
Cabin service
|
26,392
|
25.65%
|
Logistics and support
|
6,922
|
6.73%
|
Flight crew
|
13,303
|
12.93%
|
Engineering and
maintenance
|
16,696
|
16.23%
|
Information technology
|
1,071
|
1.04%
|
Others
|
1,678
|
1.63%
|
Number of
employees by education
|
Master degree and above
|
4,729
|
4.60%
|
Undergraduate
|
60,157
|
58.47%
|
Junior college
|
27,190
|
26.43%
|
Technical secondary school and
below
|
10,798
|
10.50%
|
Type
|
Proportion
|
Employee
turnover by employment type
|
Contracted
|
2.88%
|
Dispatched
|
0.30%
|
Interns
|
0.06%
|
Others
|
0.11%
|
Employee
turnover by gender
|
Male
|
1.82%
|
Female
|
1.53%
|
Employee
turnover by region
|
China
|
3.22%
|
Overseas
|
0.13%
|
Employee
turnover by age
|
≤35
|
2.1%
|
36-45
|
0.57%
|
≥46
|
0.68%
|
5.1.2 Democratic Management
Air China respects the right of
employees to participate in the Company's democratic management and
upholds employees' right to be informed, to participate, to be
heard, and to oversee. In 2023, we developed the List of Matters to Be Reviewed by the
Workers' Congress and the Joint Meeting of Heads of Its
Delegations of Air China Limited to orderly promote the
construction of the working mechanism for Workers' Congresses. To
strengthen primary-level democratic management, we supervise
primary-level units to establish a more comprehensive "1+M+N"
system for Workers' Congresses. This year, Air China held two
Workers' Congresses, during which the Company's work report was
reviewed and approved; employee directors and supervisors were
elected, and proposals were submitted by employee representatives.
In addition, proposals from employee representatives were all
properly resolved during the reporting period.
Ÿ Held 2 Workers' Congresses in the year
Ÿ Processing rate of employee representatives' proposals was
100%
Ÿ There were 80 employee representatives participated in the
training courses
|
5.2 Employee Training and Development
Air China attaches importance to
the growth and development of its employees, emphasizes talent
empowerment, and regards talent development as an important driving
force for the development and success of the Company. We make
continuous efforts to optimize the design of career development
channels and guide employees to improve their education and
technical skills, in a bid to achieve common development of
employees and the Company.
5.2.1Training System Construction
Adhering to the training
philosophy of "strengthening the foundation, enhancing
capabilities, and promoting development", Air China vigorously
promotes employee training and development, and is committed to
building a skilled, high-quality, and dedicated talent team. We
further enrich the training system covering various fields and
provide multi-level and multi-form training courses for our
employees. We establish annual training plans based on requirements
for different posts and invite external experts to participate in
course design and teaching, providing targeted education and skill
enhancement courses for employees.
In this year, we revised or
formulated 8 regulations on training, including the Compliance Training Outline and the
Training Outline on Work Style
for Safety Practitioners. We completed the development of a
total of 32 training programs, including training for the flight,
cabin service, flight dispatching, digitalization, and general
business, and developed 156 new courses to effectively meet the
Company's training needs.
Based on civil aviation laws
|
Establish the training system for
pilots, flight attendants, flight security guards and flight
dispatchers
|
Based on Air China's production needs
|
Establish the training system for
air transport personnel, expatriate employees and business
personnel
|
Based on the qualification requirements of civil aviation
transportation
|
Establish the training system for
dangerous goods transportation and aviation security
|
Projects for outstanding
managers
|
General quality
training
|
New employee training
|
Figure: Air China Training
System
Leadership Training
|
Case: Training Programs for Young Cadres
In 2023, Air China organized and
implemented 3 sessions of basic rotation training courses for young
cadres, benefiting a total of 76 personnels; We organized and
implemented a exchange training program to Macau Airlines,
benefiting 8 personnels; We also organized and implemented 1
session of the Rolls-Royce Singapore International Training
Program, benefiting 12 personnels.
|
Case: State-owned Enterprise Management Training Program for
Senior Managers
In 2023, the Company organized and
implemented 2 sessions of State-owned
Enterprise Management Training Program for Senior Managers for
newly appointed senior managers, with a total of 93
trainees.
|
General Quality Online Training
|
Ÿ We
organized online learning on topics such as Carbon Peaking and
Carbon Neutrality cases and Chinese path to modernization at the
China E-learning Academy for Leadership, and more than 1,700
employees participated in the training.
Ÿ We
sorted out and updated the content on the platform of "Air China
Leadership". We have launched 9 series of online thematic courses,
including the Central Economic Work Conference, Work Safety, and
benchmarking against world-class standards. A total of 70 courses
were updated throughout the year, and the platform has accumulated
1,831 courses in total. The cumulative learning hours on the
platform throughout the year reached 98,000 hours, with an average
of 16.78 hours per employee.
|
Continuing Education of Employees
|
Program of High Education for Civil Aviation
Employees
Air China continued to carry out
the program of High Education for Civil Aviation Employees to
assist Air China employees in achieving a "dual improvement" in
education and ability. The program of High Education for Civil
Aviation Employees is a program jointly launched by the Civil
Aviation Administration of China and the Open University of China
,with online teaching as its basic form, providing students with
academic education and vocational skills training through a
combination of online and offline teaching methods. The
undergraduate and vocational education programs under High
Education for Civil Aviation Employees are designed to be 2.5
years. After completing the required credits for compulsory and
elective courses in relevant majors, and passing the corresponding
exams and appraisals as required, students will receive nationally
recognized graduation certificates and degree certificates
belonging to the national education series.
Ÿ In
2023, the number of Air China employees graduated was 798, 1,545
employees won the scholarship of RMB1.0642 million.
|
Training for Air China and its major subsidiaries in
2023[6]
Type
|
Percentage of trained employees (%)
|
Average training hours per employee (hours)
|
By rank
|
Senior management
|
85.0
|
69.1
|
Middle management
|
57.9
|
39.0
|
Staff
|
77.0
|
48.9
|
By gender
|
Male
|
77.0
|
49.9
|
Female
|
76.0
|
47.5
|
5.2.2 Employee Career Development
Employees form an important engine
for the sustainable development of the Company, so Air China has
long been committed to working together with its employees for
common development. We have established a graded and classified
talent management system to build talent team. We have improved the
whole chain management mechanism of "selection, cultivation,
management and employment", and formed a good situation for talents
to be attracted, retained and employed. In 2023, we advanced
in the establishment of a professional qualification level system
for professional talents. In accordance with the Notice on Establishing CNAHC's Professional
Qualification Level System for Professional and Technical
Talents, we have clarified and optimized Air China's
qualification evaluation dimensions for professional talents, in a
bid to achieve unified and standardized management. On this basis,
we carried out the work on the establishment of a professional
level system in flight crew dispatching, clarifying the standards
to facilitate employee promotion and reasonable employee
mobility.
The
jobs of internal transfer or
job recruitment for 112 people
The
rate of assessments that employees regularly received
100%
Air
China's Professional Qualification Level Standards for Professional
and Technical Talents
Junior
technician
|
Intermediate technician
|
Senior
technician
|
Veteran
technician
|
Technologist
|
Chief
Technologist
|
|
5.3 Occupational Health and Safety
Air China always regards the
health and safety of its employees as its top priority. We adhere
to the highest standards of occupational health and safety
management, promise to respect the right of employees to enjoy
healthy and safe working conditions, and actively build the
occupational health and safety system, making every effort to
protect employees from occupational health and safety
hazards.
5.3.1 Engaging in Occupational Disease Prevention and
Control
Air China conscientiously
implements laws, regulations, and work requirements such as the
Law of the People's Republic of
China on the Prevention and Control of Occupational
Diseases, the Provisions
on the Administration of Occupational Health at Workplaces,
and the Notice of the General
Office of the National Health Commission of the People's Republic
of China on Further Strengthening Occupational Health Training for
Employers to continuously strengthen the prevention and
control of occupational health hazards and comprehensively
guarantee the life and health of employees. In 2023, based on the
previous "1+N+n" management system, the Company formulated and
issued the Management Measures
for Occupational Health Archives of CNAHC and Air China
Limited and the Management
Measures for Occupational Health Education and Training of CNAHC
and Air China Limited, further consolidating the management
foundation for prevention and control of occupational
diseases.
In terms of occupational health
and safety risk assessment, Air China carried out detection and
assessment for hazard factors of occupational diseases by position,
identified safety hazard factors for different positions including
noise and chemical substances, and developed corresponding control
measures and improvement plans for each position.
Air China has formulated and
issued the Notice on Issues
Related to Standardizing the Workflow of Handling Work-related
Injury Insurance Business in accordance with policies such
as the Regulations on
Work-Related Injury Insurance, to protect the rights and
interests of employees. In 2023, the Company lost a total of 11,105
working days due to work-related injuries.
5.3.2 Caring for Employees' Health
To ensure the occupational health
of employees, Air China has formulated the Employee Physical Examination Management
System, and regularly conducts classified physical
examinations for employees of different professions every year in
accordance with the requirements of the system, including general
physical examinations for aircrews and ground staff, differential
physical examinations for aircrews, and special physical
examinations for female employees. The physical examinations cover
targeted items to help all employees understand and confirm their
physical health status. We establish employee occupational health
monitoring records, truthfully inform employees of the physical
examination results in written form, and organize a team of doctors
and experts to provide one-on-one consultation services after the
examination, providing practical and feasible health guidance and
reasonable suggestions, to help employees effectively improve their
health.
During the reporting period, the
coverage rate of occupational health examinations for employees was
100%.
Air China attaches great
importance to the mental health of its employees and continues to
carry out psychological assistance programs to help them relieve
psychological stress and maintain physical and mental harmony. We
have opened a Employee Assistance Program (EAP) hotline for
providing psychological assistance to employees, providing
one-on-one and group mental health counseling, and inviting
external experts to give training courses and special lectures on
emotional and stress management, such as "Scientific Understanding
of Emotions and Learning to Release Stress" and "Enneagram and
Workplace Psychological Relief".
Case: Air China Trade Union Conducted Psychological Training
for Front-line Managers
Since the launch of the EAP in
2012, Air China has always regarded employee psychological care and
happy growth as one of its core tasks. In a bid to continuously
deepen EAP services, improve the mental health management and
service capabilities of front-line managers, maintain the stability
of the employee team, and facilitate the Company's high-quality
development, the Trade Union Office held an EAP psychological
training covering 100 front-line managers from September to
November, which achieved positive results.
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As of the end of December
2023,
A
total of 491 sessions of group counseling on mental health, special
group counseling for new employees, special lectures on mental
health and the EAP promotion activities were held
One-on-one psychological counseling cases were 1,558
pieces;
Monthly on-site consultations were held 66 times;
Dealt with crisis cases for 27 hours
Tracked and assisted employees at risk for 46
hours
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5.3.3 Promoting Health Awareness
Seizing the opportunity of the
promotion week of the Code of
Occupational Diseases Prevention, Air China carried out
education and promotion activities on occupational health and
safety to strengthen employees' safety bottom line thinking and red
line awareness, and create a strong atmosphere of all staff caring
for and paying attention to occupational health. In addition, in
collaboration with medical experts, we provided a series of
lectures on employee health management, effectively driving all
employees to practice the concept of healthy work and healthy
life.
Case: Live Class on Influenza Prevention for
Employees
Considering the high incidence of
various infectious diseases in spring, Air China, in collaboration
with Peking University Third Hospital, provided three live courses
given by experts on that topic. On January 12, 2023, we launched
"Health Care After Influenza"; on March 30, we launched "Prevention
and Treatment of Common Infectious Diseases in Spring", and on May
25, we launched "Lung Health Management". After the courses, we
continued to post health notes and promotional materials of the
same topic to employees on the platforms such as Wings of Air
China, and Healthy Air China. We have effectively improved
employees' physical and mental health management by health
education through a combination of multiple channels.
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5.4 Incentives and Care
Air China provides competitive
salary and comprehensive benefits for all employees. We have
established a diverse and rich employee salary, performance and
welfare system, providing effective welfare guarantees for all
employees of Air China.
5.4.1 Salary and Performance
Air China follows the concept of
"paying for post value, personal ability, and performance results",
building a differentiated salary and performance distribution
system that matches individual abilities, is linked to business
performance, and takes into account market competition. This year,
Air China formulated and issued the Notice on Deepening the Reform of
Market-oriented Assessment and Incentive Mechanisms,
clarifying the difference in floating remuneration among employees
at the same level in different enterprises and units, strengthening
differentiated assessment and distribution efforts, and promoting
salary distribution favoring outstanding backbone employees and
core talents. We improve the medium and long-term incentive
mechanism based on the actual situation of the Company and actively
discuss and promote equity incentive initiative, in a bid to
motivate employees to seek common development with the Company. In
addition, Air China further linked the salary and performance of
employees, enterprise and unit leaders with such indicators as
energy conservation and environmental protection, passenger
satisfaction, serious service incidents and complaints, and
internal customer satisfaction, to motivate managers and employees
to improve their ESG management and practice.
5.4.2 Employee Welfare and Care
Air China values the work-life
balance for its employees. It establishes and improves employee
service and welfare systems, and organizes diversified employee
assistance activities, as well as cultural and sports activities,
in a bid to meet employees' diverse needs, enhance employees' sense
of belonging and cohesion, and create a harmonious, warm, and happy
workplace.
In terms of statutory benefits,
Air China fully fund all employees' five social insurances and one
housing fund on time. Our employees are also entitled to
supplementary benefits including pension plan, supplementary
commercial insurance, and enterprise annuity. This year, the
Company's social insurance coverage rate for employees is 100%. We
strictly implement the requirements from the Labor Law of the People's Republic of
China and relevant national regulations on annual leave for
employees, formulate and implement the Company's attendance
management system, and protect the right of employees. The leaves
that the employees are entitled including statutory paid
annual leave, sick leave, wedding leave, maternity leave, parental
leave, and family visit leave.
Providing RMB46.78 million for hot summer and cold winter
employee care
Providing RMB506,000 for employees in need
Providing RMB17,000 for four long-term volunteer teachers,
four poverty alleviation cadres, and three cadres serving temporary
positions
Providing a mutual aid fund of RMB2.48 million to 124
employees with illnesses
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Case: Care for Female Employees
We
actively built the Loving Mother House, and built 9 new Loving
Mother Houses throughout the year; Meanwhile, we continued to
improve the environment and facilities of existing Loving Mother
Houses.
We
continued to carry out mutual aid fund activities for female
employees with serious illnesses. In 2023, we provided RMB1.64
million to 82 sick female employees.
We
continued to advance the publicity activities on the protection of
the rights and interests of female employees.
On
International Women's Day, A Professor from China University of
Political Science and Law Gave a Live Lecture on the Law of the People's Republic of China on the
Protection of Women's Rights and Interests
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Case: Rest and Recuperation Program for Excellent
Employees
From March to April 2023, Air
China organized model workers and excellent employees to rest and
recuperate in Zhaoping County, one of the areas supported by CNAHC. We
arranged a variety of rest and recuperation activities, including
visiting the projects supported by CNAHC, experiencing unique
culture and local specialties, and exchanging ideas with the
awardees of National May 1 Labor Medal, so that they can fully
experience the beauty of the scenery and profound culture of
Zhaoping County. Meanwhile, the health regimen institutions that
cooperate with Air China provide professional and personalized
wellness plans for model workers and excellent employees, helping
them alleviate work pressure and enhance their physical
fitness.
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Case: Sending New Year greetings to frontline
employees
Following years of tradition,
during the Spring Festival in 2023, Ma Chongxian, the Chairman of
Air China, and the delegation visited frontline employees to
express gratitude for their dedication to their work during the
holiday season and sent holiday greetings and sincere wishes to
everyone. Meanwhile, various units also showed care and concern for
frontline employees in various forms to motivate the employees to
work with enthusiasm during the Spring Festival, ensuring a safe
and happy travel of passengers.
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Case: Hot summer employee care activity
In July 2023, Air China launched
the heat-relieving care activity. Wang Mingyuan, the Vice Chairman
and President with the delegation visited the frontline workers to
see into their work needs and presented heatstroke prevention
supplies such as fruits and drinks, conveying greetings and care to
the frontline workers who still at work in hot weather.
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Case: The 5th "Championship" employee basketball
game
In September 2023, CNAHC held the
5th Employee Basketball Game. Players of Air China actively
prepared for the competition, which was held in a warm and friendly
atmosphere. The competition was very exciting, with many employees
around cheering for the players. The players carried forward the
sports spirit of "Unity, Endeavor, and Progress Ahead", showcasing
the good spiritual demeanor of Air China's staff.
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Case: The 6th Staff Fitness Tour
On October 23, 2023, Air China
held its 6th Staff Fitness Tour, with over 1,000 participants. By
advocating the concept of "happy work, healthy life" and offering
various forms of sports and fitness activities that employees are
fond of, we bring employees from the computer and their workplaces
to the sports field and nature, enabling them to experience the joy
of fitness during the activities.
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Case: Employee Service Construction
In 2023, Air China speeded up the
construction of "intelligent logistics", relying on platforms such
as Air China Wings 3.0 to explore the electronic process for
employee service models, and complete the construction of
information-based services including employee catering services. In
addition, we actively conducted surveys on employee satisfaction
with the employee service departments, and based on the
satisfaction survey results, we improved
and adjusted service content and methods promptly to strengthen
employee service closed-loop management and further improve
employees' experience.
Employee service satisfaction in 2023 was 95.78 points, with
a year-on-year increase of 0.91 points.
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5.4.3 Honors and Awards
The
Ground Service Department was awarded the National
May 1 Labor Award; Luo Lei from the Flight Crew
Department was awarded the National May 1 Labor Medal.
Chen Youzhi from the Operations Control Center was awarded
the Capital Labor Medal; The Second Squadron of AMECO North China
Line Center Regular Inspection Brigade was awarded the title of
Beijing Worker Pioneer.
On
September 27th, the commendation conference for Excellent
Technology Leaders, Excellent Innovation Teams, Excellent Young
Technology Talents and Technical Experts in state-owned enterprises
and the mobilization and deployment meeting for the "Hundred-Ten
Thousand-One Million" technology talent training project were held
in Beijing. Peng Liansuo from the Operations Control Center of Air
China won the award of "First State-owned Enterprise Technical
Expert".
In
the first China Civil Aviation International Talent Skills
Competition, Dai Pingping from the Planning and Development
Department of Air China won the second prize in personal
comprehensive awards, and was also awarded the titles of "National
Civil Aviation Gold Medal Employee" and "National Civil Aviation
Young Skilled Expert".
The
18th CNAHC (Civil Aviation Air Marshal, Flight Security Guard)
Vocational Skills Competition was held, and Wu Xiaoyong, Zhang
Shuai, and Zhang Zhenyuan from the Air Marshal Department of Air
China were awarded the honorary title of "National Civil Aviation
Technical Expert".
Zhang Weichen, Li Zhenghua, and Zhang Lei from the
Information Management Department of Air China won the "Individual
Excellence Award" in the second China Civil Aviation Network
Security Vocational Skills Competition.
We
coordinated with the shooting of a documentary by CCTV's "Building Dreams with Craftsmanship"
about the National Model Worker - AMECO Senior Engineer Ni Zejun.
The documentary was broadcast by CCTV's "First Time" column on
January 23, demonstrating the spirit of the engineer who strives
for perfection.
Selected and commended 50 company-level model workers, 120
advanced individuals, and 80 advanced groups in 2023.
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6. Community Responsibility
SDG 1: NO POVERTY
SDG 3: GOOD HEALTH ANG
WELL-BEING
SDG 11: SUSTAINABLE CITIES AND
COMMUNITIES
Air China has always adhered to
the people-centered development ideology, actively fulfilled its
social responsibilities, given full play to its strengths, and
integrated all kinds of resources to contribute Air China's power
to create a better society.
6.1 Rural Revitalization
Air China, guided by Xi Jinping
Thought on Socialism with Chinese Characteristics for a New Era and
General Secretary Xi Jinping's important view on the work of
agriculture, countryside, and farmers, has deeply implemented
the spirit of the 20th National Congress of the Communist Party of
China, resolutely taken on the political responsibility of
paired-up assistance, and made every effort to support the
paired-up assistance areas. The Company consolidates and expands
the achievements of poverty alleviation, and implements various
tasks of rural revitalization with high quality.
During the year,
Air
china invested a total of RMB 42.17 million;
The
number of invested assistance projects was 20;
A
total of RMB 53.73 million was spent on the purchase of products
from the paired-up assistance areas;
Helping the paired-up assistance areas sell agricultural
products, totaling RMB 49.33 million;
A
total of 16 young employees from Air China and Shenzhen Airlines
were selected for long-term volunteer teaching in Zhaoping
County;
Carried out short-term volunteer teaching in Sonid Right
Banner for 5 batches, 48
person-times.
Completing 3,382 class hours of volunteer teaching throughout
the year;
Trained 2,294 community-level cadres, 339 rural
revitalization leaders, and 1,764 technicians.
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Air China gradually establishes an
"Aviation+" assistance model that meets the requirements of the
central government and local needs, and also gives full play of the
state-owned civil aviation enterprise. Following the victory in
poverty alleviation, Air China has continued to focus on the
revitalization of "industry, talent, ecology, culture, and
organization" by formulating a "5+N" key project plan for rural
revitalization. The assistance work was integrated throughout the
industry chain by further expanding in-flight meals procurement and
research, promoting mileage points exchanged for paired-up
assistance products, and increasing publicity and promotion through
aviation media and various expos.
6.1.1 Consolidating the Achievements of Poverty
Alleviation
Air China
has constructed a girls' dormitory for Zhaoping County No. 4 Middle
School and built a gymnasium and sports field for Sonid Right
Banner No. 2 Primary School, as well as purchased books for the
primary and secondary schools and kindergartens in Sonid Right
Banner.
Air China
has established the Air China Blue Sky Medical and Health Fund to
assist families in need, donated epidemic prevention materials to
paired-up assistance areas, and effectively helped improve the
capacity for emergency response in epidemic prevention and public
health services in these areas, thereby further consolidating the
achievements of poverty alleviation.
Air China invested to
paired-up assistance areas for RMB 16.60 million in basic education
throughout the year;
Invested in terms of medical
security RMB 2.67 million;
Donated RMB 1.87 million
epidemic prevention supplies.
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6.1.2 Comprehensively Promoting Rural
Revitalization
6.1.2.1 Industrial Revitalization
Industrial development is crucial
to rural revitalization. Air China fully leverages its advantages
and actively helps the paired-up assistance areas achieve common
prosperity through various methods such as industrial assistance
and digital empowerment. In the realm of building an e-commerce
sales platform for agriculture and livestock products, Air China
has assisted Sonid Right Banner in breaking through the limitations
of traditional sales models. By utilizing internet technology and
e-commerce platforms, Air China has directly promoted the quality
agricultural and livestock products of Sonid Right Banner to the
market, improving sales efficiency and the income of local herders.
In the realm of constructing a digital tea research center, Air
China focuses on leveraging the advantages of data and application
scenarios, promoting the deep integration of digital technology and
the real economy. We have injected new momentum into the transition
and upgrading of the traditional tea industry in Zhaoping County,
fostering new industries, new business formats, and new models. Not
only has this improved the quality and benefits of Zhaoping
County's tea products, but it has also brought more employment
opportunities and income sources to local tea farmers.
Air China invested RMB 15.30
million in industrial assistance funds.
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Case: Construction of a photovoltaic power
station
Air China actively responds to the
national call for green development and utilizes the abundant solar
energy resources in Sonid Right Banner to construct photovoltaic
power generation projects. This not only helps to reduce local
consumption of fossil fuels and environmental pollution but also
provides the local people with sustainable clean energy,
effectively promoting the harmonious development of the economy,
society, and environment.
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Air China organizes and guides
employees and Phoenix Miles members to actively participate in the
consumption-driven assistance, understand the needs of paired-up
assistance areas and help them sell products. In recent years, the
Company has purchased agricultural products totaling RMB 340
million from the paired-up assistance areas.
Case: Consumption-driven assistance for
farmers
Air China actively participates in
the "Consumption-driven Assistance of Central SOEs for the Spring
Festival" and the "Second Session of the Week for
Consumption-driven Assistance of Central SOEs for Agriculture
Promotion" activities, organizing employees to engage in
consumption-driven assistance. To further promote
consumption-driven assistance, Air China continuously explores and
integrates various resource channels. The Company helps to boost
the sales of agricultural products from the paired-up assistance
areas by introducing the agricultural products into staff canteens,
first and business class lounges, Air China Phoenix Miles Member
Mall, and organizing youth volunteers to sell goods through
livestreaming at tea gardens.
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6.1.2.2 Talent Revitalization
Air China adheres to the
philosophy of "Support of Ambition and Intelligence" and has
dedicated to the "CNAHC Blue Sky Classroom" volunteer assistance
project for 6 consecutive years. We have established and improved
the selection and training mechanism of teaching volunteers, and
perfected the systematic construction of volunteer teaching in
terms of both theory and practice.
In 2023, a total of 16 teaching
volunteers from Air China and Shenzhen Airlines taught a total of
3,303 class hours in Zhaoping County. Additionally, Air China
dispatched a total of 48 persons in five batches to carry out
short-term volunteer teaching, with 79 teaching hours completed in
Sonid Right Banner. With the professional instruction and patient
guidance of the teaching staff, the students' grades improved
significantly compared with last year.
Case: Rural teaching enhancement project
To further enhance basic education
in paired-up assistance areas, Air China has partnered with
organizations such as the China Foundation for Rural Development,
the Ministry of Education, and Beijing Normal University to provide
a teaching enhancement project for teachers in Sonid Right Banner
and Zhaoping County. Additionally, comprehensive training programs
have been conducted for grassroots managers, rural revitalization
leaders, and technical personnel. The Company has invested a total
of RMB 4.7 million in training funds throughout the year,
cultivating a group of talents for the paired-up assistance areas.
While improving the quality of local talents, this initiative also
fosters and stimulates endogenous development motivation of the
local people who have been out of poverty, laying a solid talent
foundation for the sustainable development of the
region.
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6.1.2.3 Cultural Revitalization
Air China actively carries out a
culture co-construction project with Ulanmuchi of Sonid Right
Banner, firmly supports Ulanmuchi's literary and artistic creations
that are people-centered and focused on building a strong sense of
the Chinese nation's unity, and keeping in mind General Secretary
Xi Jinping's reply that "Always be a 'red literary light cavalry'
on the grassland".
Case: "Never forget our
original aspiration, follow the Party's leadership, and meet in the
grassland for revitalization" themed activity
To
further promote the spirit of Ulanmuchi, Air China launched the
"Never forget our original aspiration, follow the Party's
leadership, and meet in the grassland for revitalization" themed
activity. During the activity, Air China joined hands with Zhaoping
County to visit Sonid Right Banner, to learn the struggling history
of Ulanmuchi and co-write
the story of the joint efforts with the local
people in completing poverty alleviation and continuous rural
revitalization. The activity also specially invited the "Phoenix
Voice" children's choir from Jiangkou Village, Zhaoping County, and
the little Ulanmuchi team from Sonid Right Banner for a
"making friends by songs" communication activity.
Through this activity, Air China not only sowed the seeds of
strengthening the consciousness of the Chinese national community
among the children but also effectively promoted cultural exchange
and integration between different regions and ethnic groups,
enhancing understanding and unity among all ethnicities.
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6.1.2.4 Ecological Revitalization
A thriving ecosystem is the
treasure and strength of rural revitalization, serving as a vital
underpinning for the sustainable and robust growth of the rural
economy. Air China keenly understands the profound significance of
safeguarding the ecological environment and creating livable and
beautiful villages in the revitalization of rural areas.
Case: Jiangkou Village infrastructure construction
project
Air China
actively joined hands with personnel from Zhaoping County and Sonid
Right Banner to visit Qingyuan County in Zhejiang Province, which
was paired for assistance with the Air China Zhejiang Branch to
learn the Zhejiang Province's experience in launching the project
"Green Rural Revival Program" - relying on the three key approaches
of "improving livable rural environments, promoting high-quality
rural construction, and protecting and utilizing historical and
cultural villages", Qingyuan County Party Committee and Government
successfully created an ecologically livable environment. After
this on-site learning, Air China carried out the second phase of
renovations for Zhaoping County Stadium and initiated the
infrastructure restoration project in Jiangkou Village, integrating
ecological concepts into the assistance work to help create
beautiful, ecologically livable rural areas.
Ÿ Invested over RMB 2 million in the second phase of
renovations for Zhaoping County Stadium and the infrastructure
restoration project in Jiangkou Village
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6.1.2.5 Organization Revitalization
Air China put the "red gene" of
flag carriers into a resolute driving force for comprehensively
promoting rural revitalization. With a high sense of political
responsibility, we have stepped up our assistance efforts and
further strengthened the Party's leadership in rural revitalization
work. In 2023, Air China continued to select and assign three
outstanding cadres to the paired-up assistance areas, serving as
the Deputy Banner Head of Sonid Right Banner, the Deputy County
Mayor of Zhaoping County, and the First Secretary of Jiangkou
Village in Zhaoping County, respectively. Additionally, four
outstanding league members had been dispatched to participate in
the work of the paired-up assistance areas.
Case: "Inheriting the Red Gene and Pursuing Dreams Together"
joint activity
The Party Branch of Air China's
Golden Phoenix Group visited Sonid Right Banner, Inner Mongolia,
and carried out a communication activity themed "Inheriting the Red
Gene and Pursuing Dreams Together" with the Party Branch of
Ulanmuchi. They seriously studied Xi Jinping Thought on Socialism
with Chinese Characteristics for a New Era, profoundly comprehended
the truth power and practical greatness of the Party's innovative
theory, reviewed the oath of Party membership, and further
strengthened their beliefs and original aspirations.
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6.2 Neighbourhood Assistance
The branch of Air China carried
out a series of targeted neighbourhood assistance work closely
based on the local situation.
Case: The Southwest Branch of Air China has helped Longba
Village cultivate "golden" potatoes
In Longba Village, Songduo
Township, Batang County, Ganzi Prefecture, Sichuan Province, the
village assistance team from the Southwest Branch of Air China has
actively leveraged its advantages to vigorously promote the
development of characteristic agriculture by combining local
resource endowments with market demands. The team, through
providing technical guidance and financial support, developing the
market, and other forms of assistance, has helped local potato
farmers increase their production efficiency and expand their
income sources.
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Case: The assistance team of the Zhejiang Branch visited the
residents who had been out of poverty
In Huangyu Village, Xianliang
Town, Qingyuan County, Zhejiang Province, the assistance team of
Air China Zhejiang Branch actively communicated and collaborated
with the local government and residents. To better understand the
needs and difficulties of the villagers, the assistance team
visited the residents who had been out of poverty, and get to know
their living conditions, production situations, and challenges they
faced. This initiative effectively strengthened the connection and
interaction between the team and the residents, creating a positive
social atmosphere.
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6.3 Supporting the Community
Air China fully leverages its
advantages and goes all out to ensure the smooth completion of
major transport tasks. In addition, the Company pays attention to
the needs and welfare of community residents, actively carries out
public welfare undertakings, provides care and assistance to
community residents, and injects energy and warmth into social
development.
6.3.1 Major Transport
Tasks
With our rich experience in
providing air transport service, Air China has demonstrated our
responsibility by undertaking major air transport
missions.
Case: Escorting the Chinese Rescue Team to the
earthquake-stricken area in Türkiye
On February 7th, Air China
escorted the Chinese Rescue Team on a chartered flight to the
earthquake-stricken area in Türkiye for rescue. On February 17th,
Air China flew to Adana Airport in Türkiye again to bring home 82
members of the Chinese Rescue Team and 59 members of the Rescue
Team from the Hong Kong Special Administrative Region of China,
fully demonstrating its efficient response capability in
emergencies and its responsibility as a flag carrier.
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Case: Providing flight support for the Summer World
University Games
From July 28th to August 8th, the
Summer World University Games was held in Chengdu, Sichuan
Province, China. Air China thoroughly implemented the overall
deployment of the Civil Aviation Administration of China and CNAHC
regarding the transport support for the Summer World University
Games, focusing on the goal of "safety, quality service, and smooth
operation". We delivered high-standard and high-quality flight
transport services, contributing to the successful hosting of the
Games. During the event, Air China provided a total of 793
flights for the Summer World University Games at Chengdu's
two airports and transported 7,319 passengers.
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Case: Providing flight support for the 19th Asian
Games Hangzhou and the 4th Asian Para
Games
Air China thoroughly implemented
General Secretary Xi Jinping's instructions on hosting the 19th
Asian Games Hangzhou, strictly adhering to the overall plan of the
Civil Aviation Administration of China for transport security
during the event. With a focus on comfortable arrivals and
departures, we adhered to safety first, made meticulous
arrangements and careful organization, and carried out
high-standard and high-quality security work for the flights
involved in the Hangzhou Asian Games and Asian Para Games.
During the period of the Games, Air China
safeguarded 1,597 flights and 14,543 passengers related to the
Asian Games and the Asian Para Games.
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Case: Providing flight support for the China International
Import Expo (CIIE) 2023
In November, with meticulous
planning and careful organization, the Air China Shanghai Branch
successfully completed the flight support mission for the CIIE
2023 by providing the "high-standard,
high-quality, and high-level" services, and demonstrated its
professional capabilities.
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Case: Providing support for the World Economic
Forum
From June 25th to July 1st, Air
China Tianjin Branch successfully completed the aviation
transportation service for the World Economic Forum, providing
high-quality aviation services to passengers.
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6.3.2 Bringing Warmth to Communities
Air China is dedicated to
fostering positive vibes within communities and extending warmth
and compassion to a wider audience. By engaging in diverse
activities such as community enhancement, supporting charitable
causes, and offering volunteer assistance, we actively contribute
to the advancement and prosperity of society.
Case: Boosting the "silver
economy" in rural areas
The
Lijiang Business Department of Air China cooperated with Lijiang
City to launch a series of cultural exchange public welfare
activities themed "Fulfilling Dreams in Beijing". From March 20th
to 22nd, 100 silver-haired passengers took Air China flights to
Beijing. Considering that all the silver-aired passengers were
first-time flyers, the Business Department carefully formulated a
special security plan. It coordinated exclusive check-in counters
at the airport, guided the elderly through check-in and security
checks, patiently instructed them on the use of airport facilities,
and provided meticulous and thoughtful services to the elderly
passengers.
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Case: Providing congenital heart disease screening and free
medical services for children in paired-up assistance
areas
On June 8th, the assistance team
in Longba Village, Songduo Township, Batang County, Sichuan
Province, from the Southwest Branch of Air China, coordinated with
the Sichuan Youth Development Foundation and the West China Second
University Hospital of Sichuan University to visit the Songduo
Township Central School and provide free medical services such as
congenital heart disease screenings for 166 children. Accompanied
by the members of the assistance team, the children who suffered
from congenital heart disease identified through the screenings
successfully underwent surgical treatment in Chengdu on June
13th.
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Case: Ensuring Tibetan students' travel
On July 1st, the Chongqing Branch
of Air China successfully completed the flight support for a group
of 112 Tibetan students flying from Chongqing to Bangda. To ensure
a nice journey for the students, Air China set up dedicated
check-in counters and assigned special personnel to handle their
affairs. The day of the trip coincided with the birthday of the
Communist Party of China, on which the Chongqing Branch organized a
unique interactive activity for the young passenger
by conducting interactive question-and-answer
sessions on basic knowledge of Party history and presenting the
students with exquisite Air China souvenirs.
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Case: Ensuring that medical volunteers arrive at Tibet
smoothly
On the morning of July 7th, four
Airbus A319 planes of Air China safely arrived at the Qamdo Bangda
Airport in Tibet, escorting over 500 medical volunteers to
participate in the large-scale medical public welfare activity,
assisting the medical volunteers in providing health public
services locally and delivering medical assistance and health
security to residents.
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6.3.3 The Belt and Road Initiative and
Overseas Development
In response to the national "Belt
and Road" initiative, Air China has actively accelerated the
construction of air corridors connecting countries along the "Belt
and Road" while actively participating in aid and assistance
projects in those countries, contributing to the mutual
understanding among the people along the "Belt and Road". Air China
has demonstrated its responsibility as a state-owned enterprise in
promoting shared prosperity and reaching out to each other in
adversity.
By proactively planning the layout
of international airlines, actively seeking policy support,
promptly increasing flight frequencies and resuming flights, Air
China fully utilizes both international and domestic markets and
resources to build a global aviation network, promotes regional
connectivity, and actively supports the country's high-level "Going
Global Strategy".
By
the end of 2023, Air China had executed a total of 55 airlines
related to the "Belt and Road" initiative, covering 25 countries
and 31 cities. The number of flights on these airlines nearly
reached 90% of the same period in 2019.
Air
China has six new "Belt and Road" airlines, including
Beijing-Istanbul, Hangzhou-Dubai, Chengdu-Manila, Chengdu-Kuala
Lumpur, Chongqing-Singapore, and Beijing-Xi'an-Astana.
Air
China has collaborated with the People's Government of Xi'an
Municipality to hold a successful inaugural ceremony for the
Xi'an-Astana airline under the theme of "Building a Bridge of
Cooperation and Painting a Picture of Development", garnering
significant publicity and positive feedback.
Taking advantage of the expansion of Urumqi Diwopu
International Airport, Air China has boosted its local resource
investments and strengthened its collaboration with local
governments, regulatory bodies, and airport group to jointly
establish Urumqi as a premier international aviation
hub.
|
Case: Air China staff under the
"Belt and Road" Initiative
Mr.
Gift Moeketsi, a terminal employee of the Johannesburg Business
Department said, "I believe the 'Belt and Road' initiative will
bring a bright future for South Africa".
Ms.
Siuman, Sales Manager of the Jakarta Business Department said, "We
go forward together as a family".
Mr.
Faisal, Sales Manager of the Karachi Business Department said, "We
face challenges without fear".
Mr.
Tang Jinquan, a terminal employee of the Ho Chi Minh Business
Department said, "I treat every flight as if it is the
first".
Ms.
Lu Yanping, Passenger Transport Marketing Supervisor of the Kuala
Lumpur Business Department said, "We contribute to the high-quality
construction of the 'Belt and Road' initiative"
Ms.
Anna, a terminal server of the Minsk Business Department said, "We
build a bridge of friendship".
|
6.4 Jointly Promoting Industry Development
Participating in national/industry key
programs
During the "Fourteenth Five-Year Plan" period, Air China has
undertaken the important mission of a large hub network civil
aviation transportation enterprise in order to implement a modern
comprehensive transportation system and civil aviation development
plan. We gave full play to our advantages, further strengthened
in-depth cooperation with other modes of transportation, promoted
the smoothing of all links in the entire chain of passenger travel,
and drove the integrated development of a comprehensive
three-dimensional transportation network and transportation
integration to meet people's desire for better transportation. As
of December 31st, Air China formed an air-to-ground
integrated transportation service product system mainly based on
"joint air-rail transportation", supplemented by other ground
transportation products such as join air-bus transportation,
covering 63 domestic transfer cities, 98 transfer railway stations,
and 371 accessible railway stations, effectively connecting 582
railway lines.
Adhering to the principle of facilitating convenient travel
for passengers, Air China has created a range of viable and
reputable express airline products and brands. In December 2023,
the express service was comprehensively upgraded, with the seventh
express airline from Beijing to Xiamen added. Additionally, on the
Beijing to Shenzhen and Beijing to Xiamen airlines, Air China
strengthened coordination with Shenzhen
Airlines, as well as Shandong Airlines, launching a new product
that passengers could immediately rebook for Air China flights
within the isolation area, enhancing the airline's
differentiated competitive advantage and improving the
profitability and value contribution of core airlines.
Air
China innovates travel services for the elderly. In line with the
requirements of the Ministry of Industry and Information
Technology's special action for the inspection of internet
application adaptation for the elderly and barrier-free
transformation, Air China launched a "Caring Version" website,
which allowed the Company's domestic website and mobile
applications to support features such as voice reading and large
subtitles, catering to the needs of the elderly and ensuring
barrier-free access, passed the relevant assessments by the
Ministry of Industry and Information Technology and had been
awarded the "Age-Friendly and Barrier-Free Service" certification
mark.
Providing support for charter flights and the "Belt and Road"
Summit. As an important direct sales platform for Air China, the
Air China app undertook the task of selling tickets for significant
charter flights and guests attending the "Belt and Road" Summit.
During this period, Air China coordinated with various ministries,
embassies abroad, and its own departments, considered objective
issues such as overseas time differences, and formulated a
comprehensive system upgrade plan quickly to resolve issues related
to exclusive pricing and international bank card payments. We also
launched a series of flight sales functions including flight
dispatch, sales, and registration for summit
participants, establishing an aerial bridge for "bringing
compatriots home" and supporting the "Belt and Road"
initiative.
|
Industry construction
Partnering with alliance members to successfully overcome the
challenges of alliance audits and sorting the alliance standards
based on the new core value of the alliance, with a 100% compliance
rate in alliance audits.
Expanding the application of alliance digitalization and
launching multiple customer service functions to enhance the travel
experience of passengers.
Establishing interline cooperation mechanisms with multiple
airlines and deepening interline cooperation to support the
recovery of international airlines.
Actively participating in IATA governance, being elected as
a member of the Ground Operations, IOSA Oversight, and
Airport Working Group under the Operations Advisory Council (OAC),
a member of the Simplified Invoicing and Settlement (SIS) Steering
Group under the Industry Finance Advisory Council (IFAC), and a
member of the Plan Standards Board, Travel Standards Board,
Settlement and Accounting Standards Board, and Architecture and
Technology Strategy Board under the Passenger Standards Conference
(PSC).
Seizing the opportunity of a market recovery, collaborating
with Tourism Australia, and holding three offline interactive
promotional events in Beijing, Shenyang, and Xi'an, to boost sales
for Australian routes.
Participating in the second Civil Aviation Science and
Education Innovation Achievement Exhibition, where our B2C mobile
application system platform made a spectacular debut.
Engaging in in-depth cooperation with Huawei on the HarmonyOS
ecosystem and integrating air travel scenarios with Huawei's
HarmonyOS system.
|
Case: Air China participated in the
15th International Exhibition of Transportation Technology &
Equipment
On September 25, 2023, Air China
participated in the 15th International Exhibition of Transportation
Technology & Equipment. The Air China booth featured the theme
"Innovation Escorting a Bright Future," highlighting the Company's
latest innovation achievements in operation support, aircraft
maintenance, environmental protection, and passenger travel. It was
fully demonstrated that the Company adhered to new development
concepts, served the national strategy, and promoted high-quality
practical exploration through digitalization.
|
Case: Air China made a splendid
appearance at the China Air Transport Association (CATA)
Conference
On November
3, 2023, Air China made a splendid appearance at the CATA
Conference. The professional exhibition attracted more than 200
civil aviation enterprises, research institutions, universities,
and foreign companies. Through multimedia presentations, flight
simulation experiences, and on-site interactions, Air China
comprehensively displayed its development history, corporate
spirit, service products, and innovative practices. In a panoramic
view, the Company's latest achievements in actively fulfilling
social responsibilities, pursuing high-quality development, and
striving to be a world-class aviation transportation enterprise
were presented.
|
Case: Air China became the core supporting enterprise and
aviation service partner of the China International Supply Chain
Expo (CISCE)
On November 29, 2023, Air China
signed a cooperation agreement with China International Exhibition
Center Group Limited, officially becoming the core supporting
enterprise and aviation service partner of the First CISCE, actively serving the
construction of a new development pattern with practical
actions.
|
6.5 Volunteer Activities
Air China adheres to the volunteer
service concept of "dedication, friendship, mutual assistance and
progress", coordinates public welfare resources and actively
engages in public welfare activities, to strive to be an
outstanding corporate citizen.
Case: The volunteer services
During the peak summer travel
season, we launched a volunteer service activity at the airport
terminal to assist with production challenges. Within 24 hours, 256
young volunteers in Beijing gathered to provide services such as
check-in guidance and luggage assistance for over 27,000 travelers,
accumulating a total of 1,400 hours of volunteer service. The
dedication and enthusiasm of the young volunteers not only earned
widespread appreciation and praise from passengers but also
showcased the spirit and excellence of our volunteers.
|
Case: Shandong Airlines organized a volunteer activity in
Dagao Town No. 2 Primary School
On May 26, 2023, Shandong Airlines
organized a volunteer activity in the No. 2 Primary School of Dagao
Town, Zhanhua District, Binzhou City. The "Lingyun"
volunteers from the Air Marshall Department presented the show,
combining "allegro" with "grappling and martial arts fighting",
showcasing the "Lingyun" spirit of "loyalty, responsibility,
martial prowess, and dedication" to the fullest, and eliciting awe
and wonder from the children present. Volunteers from the
Operations Risk Control Center turned the performance stage into a
classroom for popularizing civil aviation knowledge, enabling the
children to understand the principles of aircraft takeoff through
hands-on experiments and learn about the development history of
aircraft to encourage the children to work hard to make their
dreams come true.
|
Case: Volunteer service activities for the 19th Asian Games
Hangzhou and the 4th Asian Para Games
During the 19th Asian Games
Hangzhou and the 4th Asian Para Games, Air China actively recruited
12 outstanding young volunteers in two batches to provide
assistance at the airport terminal, totaling 1,624 hours of
volunteer service. As the main unit for flight support for the two
events, the Zhejiang Branch organized nearly 100 volunteers to
actively participate in flight support, accumulating over 7,000
hours of volunteer service.
|
Case: Volunteers from Shenzhen Airlines cared for children
with autism
Shenzhen Airlines' volunteers
visited Shenzhen Bao'an District Xingguang School to bring warmth
to children with autism. During the activity, the volunteers
interacted closely with the children, watched flight videos,
introduced the boarding process, taught them how to use seat belts
and oxygen masks, and explained flight knowledge engagingly and
interestingly. They led the children on a virtual journey through
the skies for the joy of "flying".
|
Case: The "Heyue" cabin crew's education assistance
activity
The "Heyue" Cabin Crew of the
Cabin Service Department of Air China Zhejiang Branch, actively
participated in the "Hongxinbao Care Playground" project organized
by the Hangzhou Charity Federation, showing care and concern for
the children of migrant workers in Hongxinbao. They organized
"Charitable Education" public welfare donation activities within
the Company, and visited Hongxinbao numerous times to spend time
with the children, engaging in various fun activities to create a
relaxed and joyful atmosphere, bringing them warmth and
care.
|
Appendix
Outlook for 2024
Looking ahead to 2024, Air China
will thoroughly implement the guiding principles from the Party's
20th National Congress and stay adherent to the general principle
of pursuing progress while ensuring stability. We will fully and
faithfully apply the new development philosophy on all fronts, work
to create a new development layout,continuously promote sustainable
development, and drive the high-quality development of the
enterprise.
Adhering unwaveringly to the principle of safety
first. We will resolutely pursue a
holistic approach to national security, firmly keep in mind the
concept of ensuring safety in development, continuously improve
safety management, comprehensively strengthen the construction of
the management system, hold the key link of workplace safety,
promote the construction of a long-term mechanism for safety
conduct, and resolutely safeguard the safety.
Comprehensively enhancing service quality.
We will significantly raise the bar on service
quality across the board. This includes ongoing enhancements to our
service standards, a relentless pursuit of brand excellence in
service, and a consistent drive to strengthen quality control
measures. We will also advance our digital service capabilities and
further refine the operational quality of our hubs, all in a bid to
foster the delivery of high-quality services.
Embracing a greener future. We will accelerate the development of our smart carbon
peaking and carbon neutrality platform, expand the routine use of
sustainable aviation fuels, and steadfastly continue our "Enjoying
Low-Carbon Travel" initiative. We are committed to taking concrete
steps towards an environment-friendly, circular, and low-carbon
economy.
Resolutely winning the battle for
profitability. We will adopt a
comprehensive approach to boost operational efficiency and revenue
integrity. By streamlining our production processes and maximizing
aircraft utility, we are proactively pursuing profit growth.
Additionally, we will implement a sophisticated cost management
system to exercise rigorous cost control and prioritize risk
mitigation strategies.
Strengthening the effort to promote reform and
innovation. By ramping up our reform
initiatives and prioritizing strategic tasks, we are determined to
ensure the effective implementation of our Group's strategic plans
and reform agendas. Our goal is to continually enhance our
value-creation capabilities and swiftly establish ourselves as a
world-class corporation.
Table of Major Indicators *
Indicators
|
2021
|
2022
|
2023
|
Total
assets (RMB million)
|
298,415
|
295,011
|
335,303
|
Total
actual tax paid during this year (RMB million)
|
3,339
|
3,223
|
5,784
|
Number of
registered aircraft (unit)
|
746
|
762
|
905
|
Average
aircraft age (years)
|
8.23
|
8.59
|
9.36
|
Safe
flight hours (1,000 hours)
|
1,590.2
|
1,166.9
|
2,529.5
|
RTK
(million tonnes kilometres)
|
13,599
|
9,688
|
21,887
|
Passenger
carried (million passengers)
|
69
|
45
|
125
|
Cargo and
mail carried (1,000 tonnes)
|
1,186.7
|
902.8
|
1,070.4
|
Purchase
from the five largest suppliers (RMB million)
|
17,852
|
24,598
|
42,684
|
Passengers' overall satisfaction (points)
|
84.7
|
87.5
|
88.4
|
Premium
passengers' overall satisfaction (points)
|
85.2
|
87.6
|
89.4
|
Ground service satisfaction (points)
|
83.2
|
84.9
|
87
|
Ticket
service satisfaction (points)
|
88.3
|
89.8
|
90.6
|
Cabin
service satisfaction (points)
|
83.5
|
85.7
|
88.1
|
International baggage error rate (pieces/1000
person-times)
|
1.76
|
1.56
|
1.78
|
Domestic
baggage error rate (pieces/1000 person times)
|
0.2
|
0.2
|
0.12
|
Total
number of passenger complaint cases from all channels
(cases)
|
15,793
|
14,787
|
27,000
|
Passenger
complaint handling rate (%)
|
100
|
100
|
100
|
Flight
on-time performance (%)
|
88.96
|
95.45
|
87.94
|
Flight
execution rate (%)
|
99.03
|
99.2
|
99.2
|
Total
energy consumption (1,000 tonnes standard coal)
|
7,151
|
4,631
|
10,608
|
Aviation
fuel consumption (1,000 tonnes)
|
4,813
|
3,102
|
7,157
|
Power
consumption (MWh)
|
214,229.6
|
227,952.3
|
274,869.5
|
Gasoline
consumption (tonnes)
|
2,336.6
|
1,708.8
|
2,276.8
|
Diesel
consumption (tonnes)
|
5,565.4
|
3,945.5
|
5,830.7
|
Natural
gas consumption (1,000 m³)
|
15,100
|
16,105
|
17,837
|
Thermal
power (MKJ)
|
311,688.4
|
251,909.3
|
239,902.0
|
Other
energy consumption (tonnes standard coal)
|
0.6
|
6.4
|
36.7
|
Fuel
consumption intensity (kg/ton-km)
|
0.357
|
0.358
|
0.336
|
CO2 emission intensity (g/tonne-km)
|
1,124.7
|
1,126.5
|
1,058.7
|
CO2 emissions (1,000 tonnes)
|
15,442
|
10,053
|
22,791
|
Total
hazardous waste emissions (tonnes)
|
1,089.1
|
1,112.4
|
1,337.8
|
Water
consumption in the offices (1,000 tonnes)
|
4,905
|
4,531
|
5,268
|
Water
consumption intensity in the offices (tonnes/person)
|
55.5
|
52.0
|
51.2
|
Environmental protection investment (RMB1,000)
|
467,798
|
244,159
|
385,010
|
Number of
employees on the post (persons)
|
88,395
|
87,190
|
102,874
|
Labor contract signing rate (%)
|
100
|
100
|
100
|
Proportion of employees guaranteed by collective bargaining
agreements (%)
|
100
|
100
|
100
|
Social
insurance coverage (%)
|
100
|
100
|
100
|
Work-related deaths (persons)
|
0
|
1
|
0
|
Proportion of employees who died due to work (%)
|
0
|
0.001
|
0
|
*
1 The financial, operational, and
employee data are consistent with those of the annual
report.
2 The service data comes from Air
China, Dalian Airlines, Beijing Airlines and Inner Mongolia
Airlines. The Total number of passenger complaint cases from all
channels includes complaints received by the Company and
transferred by the CAAC.
3 Energy consumption data includes
greenhouse gas emissions from Air China and its subsidiaries,
including Air China, Shenzhen Airlines, Kunming Airlines, Shandong
Aviation Group Corporation, Dalian Airlines, Inner Mongolia
Airlines, Beijing Airlines, and Ameco. Hazardous waste emissions
only involve those from Ameco.
HKEX ESG Indicator Index
Indicator
|
Details
|
Page No.
|
Mandatory disclosure indicators
|
Governance Structure
|
A disclosure of the board's
oversight of ESG issues;
|
P5、P24
|
The board's ESG management
approach and strategy, including the process used to evaluate,
prioritise and manage material ESG-related issues (including risks
to the issuer's businesses); and
|
P24-30
|
How the board reviews progress
made against ESG-related goals and targets with an explanation of
how they relate to the issuer's businesses.
|
P5、P28-29
|
Reporting Boundary
|
A narrative explaining the
reporting boundaries of the ESG report and describing the process
used to identify which entities or operations are included in the
ESG report. If there is a change in the scope, the issuer should
explain the difference and reason for the change
|
P1-2、
P28-29
|
"Comply or explain" provisions
|
A. Environmental
|
Aspect A1: Emissions
|
General Disclosure
|
P65、P67-70
|
A1.1
|
The types of emissions and
respective emissions data.
|
P65、P67-70
|
A1.2
|
Direct (Scope 1) and energy
indirect (Scope 2) greenhouse gas emissions (in tonnes) and, where
appropriate, intensity (e.g. per unit of production volume, per
facility).
|
P65
|
A1.3
|
Total hazardous waste produced (in
tonnes) and, where appropriate, intensity (e.g. per unit of
production volume, per facility).
|
P68-69
|
A1.4
|
Total non-hazardous waste produced
(in tonnes) and, where appropriate, intensity (e.g. per unit of
production volume, per facility).
|
P69
|
A1.5
|
Description of emissions target(s)
set and steps taken to achieve them.
|
P65
|
A1.6
|
Description of how hazardous and
non-hazardous wastes are handled, and a description of reduction
target(s) set and steps taken to achieve them.
|
P68-69
|
Aspect A2: Use of Resources
|
General Disclosure
|
P71-72
|
A2.1
|
Direct and/or indirect energy
consumption by type (e.g. electricity, gas or oil) in total (kWh in
'000s) and intensity (e.g. per unit of production volume, per
facility).
|
P112-113
|
A2.2
|
Water consumption in total and
intensity (e.g. per unit of production volume, per
facility).
|
P71
|
A2.3
|
Description of energy use
efficiency target(s) set and steps taken to achieve
them.
|
P71-72
|
A2.4
|
Description of whether there is
any issue in sourcing water that is fit for purpose, water
efficiency target(s) set and steps taken to achieve
them.
|
P71
|
A2.5
|
Total packaging material used for
finished products (in tonnes) and, if applicable, with reference to
per unit produced.
|
P72
|
Aspect A3: The Environment and Natural
Resources
|
General Disclosure
|
P58-59、P67-70
|
A3.1
|
Description of the significant
impacts of activities on the environment and natural resources and
the actions taken to manage them.
|
P58-59、P67-70
|
Aspect A4: Climate Change
|
General Disclosure
|
P59-67
|
A4.1
|
Description of the significant
climate-related issues which have impacted, and those which may
impact, the issuer, and the actions taken to manage
them.
|
P59-67
|
B.Social
|
Aspect B1: Employment
|
General Disclosure
|
P85、93-94
|
B1.1
|
Total workforce by gender,
employment type (for example, full- or parttime), age group and
geographical region.
|
P86-87
|
B1.2
|
Employee turnover rate by gender,
age group and geographical region.
|
P87
|
Aspect B2: Health and Safety
|
General Disclosure
|
P91
|
B2.1
|
Number and rate of work-related
fatalities occurred in each of the past three years including the
reporting year.
|
P113
|
B2.2
|
Lost days due to work
injury.
|
P92
|
B2.3
|
Description of occupational health
and safety measures adopted, and how they are implemented and
monitored.
|
P92-93
|
Aspect B3: Development and Training
|
General Disclosure
|
P88
|
B3.1
|
The percentage of employees trained
by gender and employee category (e.g. senior management, middle
management).
|
P90
|
B3.2
|
The average training hours
completed per employee by gender and employee category
|
P90
|
Aspect B4: Labor Standards
|
General Disclosure
|
P85
|
B4.1
|
Description of measures to review
employment practices to avoid child and forced Labor.
|
P85-86
|
B4.2
|
Description of steps taken to
eliminate such practices when discovered.
|
P85-86
|
Aspect B5: Supply Chain Management
|
General Disclosure
|
P42-46
|
B5.1
|
Number of suppliers by
geographical region.
|
P43-44
|
B5.2
|
Description of practices relating
to engaging suppliers, number of suppliers where the practices are
being implemented, and how they are implemented and
monitored.
|
P42-44
|
B5.3
|
Description of practices used to
identify environmental and social risks along the supply chain, and
how they are implemented and monitored.
|
P42-44
|
B5.4
|
Description of practices used to
promote environmentally preferable products and service when
selecting suppliers, and how they are implemented and
monitored.
|
P44-46
|
Aspect B6: Product Responsibility
|
General Disclosure
|
P75-84
|
B6.1
|
Percentage of total products sold
or shipped subject to recalls for safety and health
reasons.
|
Not applicable. Air China's
business does not involve production.
|
B6.2
|
Number of products and service
related complaints received and how they are dealt with.
|
P77-78
|
B6.3
|
Description of practices relating
to observing and protecting intellectual property
rights.
|
P41-42
|
B6.4
|
Description of quality assurance
process and recall procedures.
|
P75-77
|
B6.5
|
Description of consumer data
protection and privacy policies, and how they are implemented and
monitored.
|
P78-80
|
Aspect B7: Anti-corruption
|
General Disclosure
|
|
B7.1
|
Number of concluded legal cases
regarding corrupt practices brought against the issuer or its
employees during the reporting period and the outcomes of the
cases.
|
P35-37
|
B7.2
|
Description of preventive measures
and whistleblowing procedures, and how they are implemented and
monitored.
|
P36
|
B7.3
|
Description of anti-corruption
training provided to directors and staff.
|
P37
|
Aspect B8: Community Investment
|
General Disclosure
|
P97、130
|
B8.1
|
Focus areas of contribution (e.g.
education, environmental concerns, Labor needs, health, culture,
sport).
|
P97-109
|
B8.2
|
Resources contributed (e.g. money
or time) to the focus area.
|
P97、108-109
|
GRI Index
Report Contents
|
GRI Standards
Benchmarking
|
About this Report
|
2-2、2-3
|
Chairman's
Statement
|
/
|
Board of Directors ESG Statement
|
2-14、2-17、2-22
|
Air China
|
2-1、2-6
|
2023 Highlights of ESG Performance
|
/
|
Honors and Awards
|
/
|
Sustainable
Development
Management
|
Responsible Governance
|
Governance
System
|
2-9、2-10、2-11、2-12、2-13、2-16、2-17、2-18、2-19、2-20、2-23、2-24、2-27、405-1
|
Guidance
of Party Building
|
/
|
Social
Responsibility Management
|
2-6、2-22、2-29、3-1、3-2、3-3
|
Comprehensive Risk Management
|
2-24、2-25、2-27、205-1
|
Anti-Corruption and Business Ethics
|
2-16、2-24、2-25、2-26、2-27、205-2、205-3、206-1
|
Advancing
Technological Innovation
|
/
|
Digital
Transformation
|
/
|
Intellectual Property Rights Protection
|
/
|
Responsible Supply Chain
|
Supply
Chain Quality Management
|
2-6、2-24、204-1、308-1、308-2、414-1、414-2
|
Compliant
Management of the Supply Chain
|
2-9、204-1、308-1、308-2、414-1、414-2
|
Green
Procurement
|
308-1、308-2、414-1、414-2
|
Safety
Development
|
Safety
Management
|
Safety
Governance Structure
|
403-8、416-1
|
Emergency
Management
|
403-2
|
Safety
Management Priorities
|
403-2、416-2
|
Employee
and Passenger
Safety
|
Flight
Safety
|
416-1
|
Cabin
Safety
|
416-1
|
In-fight
Food Safety
|
416-1
|
Ground
safety
|
416-1
|
Safety
Culture
|
Safety
Culture Building
|
3-2、403-5、416-1、416-2
|
Safety
Training
|
3-2、403-5、416-1
|
Green
Operations
|
Improvement of Environmental Management System
|
/
|
Addressing
Climate
Change
|
Climate
Governance
|
201-2
|
Our
Strategies
|
201-2
|
Risk
Management
|
201-2
|
Our
Goals
|
305-1、305-2、305-4、305-5、305-6、305-7
|
Our
Actions
|
/
|
Promoting
the Green Operation Model
|
Emissions
Management
|
306-1、306-2、306-3、306-4、306-5
|
Use of
Resources
|
301-1、301-2、301-3、302-1、302-2、302-3、302-4、302-5、303-1、303-2、303-3、303-4、303-5、306-5
|
Biodiversity Conservation
|
304-1、304-2、304-3、304-4
|
Corporate
Green Responsibility
|
/
|
Quality Service
|
Service
Quality Management
|
3-1、3-2
|
Safeguarding the Rights and Interests of Passengers
|
Guaranteeing Flight Regularity
|
416-1
|
Response
to Customer Demands
|
416-1
|
Privacy
and Data Security
|
418-1
|
Responsible Marketing
|
417-1、417-2
|
Sincere
Service
|
Passenger
Service
|
416-1
|
Special
Passenger Service
|
416-1
|
Digital
Service
|
416-1
|
Employee
Development
|
Employment
and Employees' Rights and Interests
|
Equal
Employment
|
2-7、2-8、2-30、401-1、405-1、406-1
|
Democratic
Management
|
2-30
|
Employee
Training and Development
|
Training
System Construction
|
404-1
|
Employee
Career Development
|
404-2
|
Occupational Health and Safety
|
Engaging
in Occupational Disease Prevention and Control
|
403-1、403-2、403-3、403-4、403-6、403-7、403-8、403-9、403-10
|
Caring for
Employees' Health
|
403-3、403-4、403-6
|
Promoting
Health Awareness
|
403-5
|
Incentives
and Care
|
Salary and
Performance
|
2-19、2-20、404-3
|
Employee
Welfare and Care
|
201-3、401-2、401-3
|
Honors and
Awards
|
203-1
|
Community Responsibility
|
Rural
Revitalization
|
Industrial
Revitalization
|
203-1、203-2、413-1
|
Talent
Revitalization
|
203-1、203-2、413-1
|
Cultural
Revitalization
|
203-1、203-2、413-1
|
Ecological
Revitalization
|
203-1、203-2、413-1
|
Organization Revitalization
|
203-1、203-2、413-1
|
Neighbourhood Assistance
|
203-1、203-2、413-1
|
Supporting
the Community
|
Major
Transport Tasks
|
203-1、203-2
|
Bringing
Warmth to Communities
|
203-1、203-2、413-1
|
The Belt
and Road Initiative and Overseas Development
|
203-2、413-1
|
Jointly
Promoting Industry Development
|
2-28、2-29、3-2
|
Volunteer
Activities
|
203-1
|
Appendix
|
Outlook
for 2024
|
2-22
|
Table of
Major Indicators
|
201-1
|
HKEX ESG
Indicator Index
|
/
|
GRI
Index
|
/
|
Major
Laws, Regulations and Corporate Policies
|
2-23、2-27
|
Third-Party Assurance
|
2-5
|
Feedback
Collection
|
2-29
|
Major Laws, Regulations and Corporate
Policies
ESG Indicator
|
Applicable Laws and Regulations
|
Corporate Policies
|
A1
Emissions
|
Law of the People's
Republic of China on the Prevention and Control of Air
Pollution
Law of the People's
Republic of China on the Prevention and Control Noise
Pollution
Law of the People's
Republic of China on the Prevention and Control of Water
Pollution
Law of the People's
Republic of China on the Prevention and Control of Environment
Pollution Caused by Solid Wastes
Integrated Emission
Standard of Air Pollutants
Standard for Pollution
Control on the Municipal Solid Waste Incineration
Integrated Emission
Standard of Water Pollutants
Regulation on Urban
Drainage and Sewage Treatment
Technical Policy on the
Prevention and Control of Pollution Caused by Hazardous
Waste
Provisions on the
Administration of Urban Construction Garbage
Regulations of the People's Republic of China on the
Prevention and Control of Noise Pollution
|
Waste Disposal Management
Procedures
Special Emergency Response
Plan for Hazardous Waste
Hazardous Waste Disposal
Agreement
Notice on Promoting Plastic
Pollution Control in Offices
Environmental Standard of
Aircraft Noise around the Airport
CNAHC Special Actions on
Plastic Pollution Control (2021-2025)
|
A2
Use
of
Resources
|
Water Law of the People's
Republic of China
Energy Conservation Law of
the People's Republic of China
Measures for the
Administration of Energy Conservation of Major Energy-Consuming
Entities
|
Water Management
Regulations
Energy-Saving and
Environmental Protection Management Methods
Energy Conservation and
Environmental Protection Training Implementation
Rules
Energy Conservation and
Environmental Protection Supervision Implementation
Rules
Energy Conservation and
Environmental Protection Assessment and Reward and Punishment
Measures
Energy Conservation and
Emission Reduction Management Manual
Energy Conservation
Diagnosis Work Plans
Energy Conservation and
Environmental Protection Responsibility Letters
|
A3
Environment
and
Natural
Resources
|
Environmental Protection
Law of the People's Republic of China
Law of the People's
Republic of China on Environmental Impact
Assessment
Law of the People's
Republic of China on Water and Soil Conservation
|
Environmental Compliance
Evaluation Report
Air China Emergency
Response Plan for Environmental Emergencies
Environmental Management
Manual
Management and Review
Procedures for Environmental Management Systems
Identification, Evaluation,
and Update Management Procedures of Environmental
Factor
|
A4
Climate
Change
|
The 14th Five-Year Special
Plan for Green Development
The 14 Five-Year
Plan
China's Policies and
Actions for Addressing Climate Change (2022)
Working Guidance for Carbon
Dioxide Peaking and Carbon Neutrality in Full and Faithful
Implementation of the New Development Philosophy
Notice by the State Council
of the Action Plan for Carbon Dioxide Peaking Before
2030
|
Action Plan for Carbon
Peaking
Carbon Emissions Management
Implementation Rules
|
B1
Employment
|
Labor Law of the People's
Republic of China
Labor Contract Law of the
People's Republic of China
Employment Promotion Law of
the People's Republic of China
|
Employee Recruitment
Management Regulations
Collective
Contract
Special Collective Contract
for Labor Protection
Collective Contract for the
Protection of Female Employees' Special Rights and
Interests
Notice on Deepening the
Reform of Market-oriented Assessment and Incentive
Mechanisms
Management Measures for
Trade Union Members' Congress of CNAHC
Labor Union Organization
Construction Operating Procedures of CNAHC
Rules for the Work of Trade
Union Committees and Standing Committees
|
B2
Health
and
Safety
|
Work Safety Law of the
People's Republic of China
Civil Aviation Law of the
People's Republic of China
Interim Provisions on the
Supervision and Management of Work Safety at State-owned
Enterprises
|
Regulations on the
Management of Dual Prevention Mechanisms of Graded Control and
Hidden Danger Investigation and Governance of Civil Aviation Safety
Risks
Regulations on Operation
Qualification of Large Aircraft Public Air Transport
Carriers (CCAR-121)
Provisions on the
Administration of Civil Aviation Safety (CCAR-398)
Regulations on the
Management of Dual Prevention Mechanisms of Graded Control and
Hidden Danger Investigation and Governance of Civil Aviation Safety
Risks
Implementation Plan for the
Construction of Long-term Mechanisms for Safety Culture among
CNAHC's Safety Personnel
Operations Control Center
Quality Inspection Workgroup Management
Regulations
Emergency Response
Manual
ManagementMeasures for
Flight Operation Data Analysis (draft for
comments)
Company Overall Emergency
Plan
Operation
Manual
OC Flight Abnormal
Situation Handling Procedures
Air China, Shenzhen
Airlines, Shandong Airlines Operations Control Department AOC
Construction Communication Sharing Mechanism
Implementation Plan for the
Construction of Long-term Mechanisms for Safety Culture among
CNAHC's Safety Personnel
Report on Engineering
Control Measures for Major Technical Issues
Ground Services Department
Aviation Safety Management Manual
Ground Services Department
Aviation Safety Management Procedures Ground Services Department
Safety Practitioner Work Style Long-Term Mechanism Construction
Implementation Plan
Work Program on Safety
Publicity, Education and Cultural Style Construction
of CNAHC in 2023
Safe Production - Long-term
Mechanisms for the Construction of Safety Culture and Working
Styles
|
B3
Development
and
Training
|
/
|
Notice on Tarmac Operations
Training
Training Management
Manual,
|
B4
Labor
Standards
|
Labor Law of the People's
Republic of China
Labor Contract Law of the
People's Republic of China
Employment Promotion Law of
the People's Republic of China
|
Employee
Code of Conduct
Punishment Regulations for
Labor Discipline Violation.
|
B5
Supply
Chain
Management
|
Bidding Law of the People's
Republic of China
Regulations on the
Implementation of the Bidding Law of the People's Republic of
China
|
Supplier Management
Regulations
Procurement Management
Regulations of Air China Limited
Procurement Management
Platform Operation Management Regulations
of China National Aviation
Holding Corporation Limited and Air China Limited
Procurement Business
Inspection Management Regulations of China National Aviation
Holding Corporation Limited and Air China Limited
Management Measures for
Malpractices of Suppliers
Letter of Supplier
Commitment Against Commercial Bribery.
Notice on the
Implementation of Green Procurement
|
B6
Product
Responsibility
|
Trademark Law of the
People's Republic of China
Regulations on the
Implementation of the Trademark Law of the People's Republic of
China
Patent Law of the People's
Republic of China
Regulations on the
Implementation of the Patent Law of
the People's Republic of China
Copyright Law of the
People's Republic of China
Madrid Agreement Concerning
the International Registration of Marks
Work Safety Law of People's
Republic of China
Civil Aviation Law of
People's Republic of China
Guidelines for the
Construction of Public Air Transport Passenger Service Quality
System
Personal Information
Protection Law of the People's Republic of China
Cyber Security Law of the
People's Republic of China
|
Digital Transformation
Action Plan (2022-2025)
Legal Affairs Management
Regulations of China National Aviation
Holding Corporation Limited and Air China Limited
Intellectual Property
Management Measures of Air China Limited,
General Rules for Service
Standard Management
Service Standard Document
Management Procedures
Service Standard Document
Compilation Specifications
Service Quality Management
System Usage Management Regulation
Service Quality Inspection
Management Regulations
Service Quality Risk and
Hazard Management Regulations
Complaint Management
Regulations
Passenger Satisfaction
Survey Management Regulations
Service Reward and
Punishment Management Regulations
Management Regulations for
Service Remediation Authorization
Privacy
Policy
Data Management Regulations
for China National Aviation Holding Corporation Limited and Air
China Limited.
Notice on Annual Data
Security Check Training Work
|
B7
Anti-corruption
|
Criminal Law of the
People's Republic of China
Company Law of the People's
Republic of China
Anti-Money Laundering Law
of the People's Republic of China
Anti-Unfair Competition Law
of the People's Republic of China
Interim Provisions on
Prohibition of Commercial Bribery
Anti-Monopoly Law of the
People's Republic of China
Bidding Law of the People's
Republic of China
Surveillance Law of the
People's Republic of China
|
Compliance Management
Regulations of Air China Limited
Compliance Code of Conduct
of Air China Limited
Management Measures for
Overseas Compliance of Air China Limited
Overseas Compliance
Training Manual (English and Chinese versions)
Audit Rectification
Tracking Management Measures of China National Aviation
Holding Corporation Limited and Air China Limited
Implementation Rules for
the Handling of Letters and Visits of Air China Limited (for Trial
Implementation
Implementation Measures for
Utilizing the First Form
Education and Training Work
Plan for Cadres of Discipline Inspection and Supervision
(2021-2023)
Anti-Commercial Bribery
Compliance Manual (2022 Edition)
Compilation of Antitrust
Case Dynamics in the Aviation Industry
Compliance Manual for Data
in Various Jurisdictions (2022 Edition)
Regulations on the
Integrity Commitment of Leading Officials of Air China
Limited
Supervision, Inspection,
and Assessment Plan
List of Enterprises
Prohibited from Transactions (2022)
Implementation Rules for
the Handling of Letters and Visits of Air China Limited (for Trial
Implementation)
Integrity Education Work
Plan 2023
Reference Catalog of
Integrity Education Training Courses
Comprehensive List of
On-site Teaching Resources for Integrity
Education
|
B8
Community
Investment
|
/
|
Administrative Measures for External Donations
Implementation Opinions on
Practicing Targeted
Assistance
Work
Articles of Association of
Chinese Youth Volunteers Association
Administrative Measures for
Volunteer Teaching Program of "CNAHC Blue Sky
Classroom"
"CNAHC Blue Sky Classroom"
Volunteer Teaching Plan
(2021-2023)
|
Third-Party Assurance
SGS-CSTC'S REPORT ON SUSTAINABILITY ACTIVITIES IN THE AIR
CHINA LIMITED'S CORPORATE SOCIAL RESPONSIBILITY (ESG) REPORT FOR
2023
NATURE OF THE ASSURANCE/VERIFICATION
SGS-CSTC STANDARDS TECHNICAL
SERVICES CO., LTD. (hereinafter referred to
as SGS) was commissioned by AIR CHINA
LIMITED (hereinafter referred to as Air China) to conduct an
independent assurance of the Chinese version of Air China's
Corporate Social Responsibility (ESG) Report for 2023 (hereinafter referred to as
the Report).
INTENDED USERS OF THIS ASSURANCE STATEMENT
This Assurance Statement is provided with the
intention of informing all Air China's Stakeholders.
RESPONSIBILITIES
The information in the Report and
its presentation are the responsibility of the directors and the
management of Air China. SGS has not been involved in the
preparation of any of the material included in the
Report.
Our responsibility is to express an
opinion on the text, data, graphs and statements within the scope
of verification with the intention to inform all
Air China's stakeholders.
ASSURANCE STANDARDS, TYPE AND LEVEL OF
ASSURANCE
The SGS ESG &
Sustainability Report Assurance protocols used to conduct assurance
are based upon internationally recognised assurance guidance and
standards including the principles of reporting process contained
within the Global Reporting Initiative Sustainability Reporting
Standards (GRI Standards) GRI 1: Foundation 2021 for report
quality, GRI 2 General Disclosure 2021 for
organisation's reporting practices and other organizational detail,
GRI 3 2021 for organisation's process of determining material
topics, its list of material topics and how to manages each
topic, and the guidance on levels of
assurance contained within the AA1000 series of standards and
ISAE3000.
The assurance of this report has
been conducted according to the following Assurance
Standards:
· SGS ESG & SRA Assurance Protocols (based on GRI Principles
and guidance in AA1000)
Assurance has been conducted at a
moderate level of scrutiny.
SCOPE OF ASSURANCE AND REPORTING CRITERIA
The scope of the assurance included
evaluation of quality, accuracy and reliability of specified
performance information as detailed below and evaluation of
adherence to the following reporting criteria:
· HKEX Environmental, Social and Governance Reporting
Guide
· GRI Standards 2021 (Reference)
ASSURANCE METHODOLOGY
The assurance comprised a
combination of pre-assurance research, interviews with relevant
employees on-site at Air China's headquarters located at No. 30,
Tianzhu Road, Tianzhu Airport Industrial Zone, Shunyi District,
Beijing, P.R. China.
LIMITATIONS AND MITIGATION
Financial data drawn directly from
independently audited financial accounts has not been checked back
to source as part of this assurance process.
The data related to carbon
emissions in the Report was self-accounted by Air China, and the
carbon data audit was conducted on the sampling basis during
the assurance process.
Data tracing was conducted on
headquarters level, and didn't include original data of all
subsidiaries.
The assurance process only involved
interviews with certain employees form relevant departments of
headquarters and consultation with relevant documents. No external
stakeholder involved.
STATEMENT OF INDEPENDENCE AND COMPETENCE
The SGS Group of companies is the
world leader in inspection, testing and verification, operating in
multiple countries and providing services including management
systems and service certification; quality, environmental, social
and ethical auditing and training; environmental, social and
sustainability report assurance. SGS affirm our independence from
Air China, being free from bias and conflicts of interest with the
organisation, its subsidiaries and stakeholders.
The assurance team was assembled
based on their knowledge, experience and qualifications for this
assignment.
FINDINGS AND CONCLUSIONS
ASSURANCE/VERIFICATION OPINION
On the basis of the methodology
described and the verification work performed, the information and
data contained within the Report verified is accurate, reliable,
and provides a fair and balanced representation of Air China's
sustainability activities in 2023.
The assurance team is of the
opinion that the Report is presented in accordance with the KPIs
disclosure requirements in the appendix C2 <Environmental,
Social and Governance Reporting Guide> of the < Rules
Governing the Listing of Securities on the HKEX>.
Reporting Rules
Materiality
Air China presented the methodology
for factors' materiality research and analysis, via materiality
analysis, the environmental, social and governance significant
issues was reported to stakeholders, which could meet the
materiality principle requirement.
Quantitative
Air China conducted the statistics
and analysis for KPIs, and reported the disclosures' impacts and
purposes. In the Report some datas were compared with historiacal
years, which could better help stakeholders to evaluate the
effectiveness of management systems and make decisions.
Balance
Air China presented the balance
reporting rule in the Report and reported the environmental, social
and governance issues truthfully.
Consistency
Air China disclosed the
methodologies with consistency for report content and data
statistics at all levels in the company, in addition, remarks and
interpretations were marked in the Report to assist stakeholders
make a clear comparison.
Findings and recommendations
Good practices and recommendations
for ESG report and management process were described in the
internal management report which has been submitted to the
management of Air China for continuous improvement.
Signed:
For and on behalf of SGS-CSTC
David XIN
Sr. Director - Business Assurance
16/F Century Yuhui Mansion, No. 73, Fucheng Road, Beijing,
P.R.China
Mar. 28th 2024
WWW.SGS.COM
Feedback Collection
Dear reader,
Thanks for reading the 2023
Corporate Social Responsibility (ESG) Report of Air China
Limited, which is the sixteenth social responsibility report
published by Air China. You are welcomed to provide us with your
comments and suggestions on this report for consideration and
adoption, enabling us to make continuous improvement in future
report preparation and to improve our corporate social
responsibility management and practice. We look forward to your
valuable comments and suggestions.
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faithfully reflected the performance of Air China in respect of
creating
economic value, social value and
environmental value and fulfilling social
responsibility?
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you are concerned about in a convenient way?
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