Air New Zealand recently made the decision to abandon its 2030 emissions reduction target due to delivery delays of fuel-efficient aircraft and high costs of green fuel. This move highlights the challenges that the aviation industry is facing in achieving decarbonisation goals. Despite this setback, the airline remains committed to the industry-wide target of achieving net zero emissions by 2050 and is working on establishing a new near-term goal for emission reduction.
The aviation sector accounts for about 2% of global emissions and is considered one of the most difficult industries to decarbonise. The availability and affordability of new aircraft, alternative jet fuels, as well as regulatory and policy support remain major challenges for airlines like Air New Zealand. The reliance on Sustainable Aviation Fuels (SAF) and more efficient aircraft is crucial for reducing emissions, but production of SAF is costly and difficult to scale up, while manufacturers struggle to deliver new-generation aircraft on time.
Despite the setback, Air New Zealand had set ambitious carbon intensity reduction targets validated by the Science-based Targets initiative (SBTi), aiming to decrease carbon intensity by 28.9% by 2030 compared to 2019 levels. However, the challenges in the aviation industry have forced the airline to reassess its goals and withdraw from the SBTi network. The global aviation industry had previously agreed to lower carbon emissions by 5% by 2030, but meeting these targets remains a significant challenge.
Air New Zealand’s fleet includes Boeing 787 Dreamliner and Airbus A320neo planes, with delivery delays posing a risk to the 2030 emission reduction goal. The airline may need to retain its existing fleet for a longer period than planned due to these delays. Maintenance issues with Pratt & Whitney engines have also impacted the availability of some of Air New Zealand’s newer aircraft, further complicating their emission reduction efforts.
Climate action has been a prominent part of Air New Zealand’s corporate messaging, with plans to introduce all-electric five-seat planes and conduct a demonstration flight by 2026. However, external factors such as government policies and industry challenges are impacting the airline’s ability to meet its emission reduction targets. With New Zealand’s conservative government rolling back environmental policies, the country faces challenges in meeting its emission targets and achieving net zero emissions by 2050.
Industry experts, like Professor Sara Walton from the University of Otago, emphasize the importance of industry leaders in driving climate and emissions action. The lack of incentives and supportive policies and regulations make meeting intensity targets difficult for airlines like Air New Zealand. As airlines struggle to navigate the changing landscape of environmental regulations and policies, the industry faces increasing pressure to find sustainable solutions for reducing emissions and achieving carbon neutrality.
