Standard & Poor Raises Airport Authority’s ESG Rating in Recognition of Progress in Environmental Sustainability Performance
Airport Authority Hong Kong (AAHK) today received an environmental, social and governance (ESG) rating of 75 out of 100 in Standard & Poor Global Ratings (S&P), up from the strong inaugural rating of 74 it received last year. The rating demonstrates AAHK’s adequate preparedness for adapting to potential disruptors as it works to maintain the position of Hong Kong International Airport (HKIA) as a hub for global and regional aviation.
The higher overall rating is mainly due to improved environmental sustainability performance. S&P highlighted the land reclamation works for the Three-runway System project as demonstrating sound management of the associated environmental risks throughout this phase of the project. S&P also commended AAHK’s “2050 Net Zero Carbon” target and carbon management plan – which covers not only emissions from direct operations, but also those from aviation-related business partners – as effective ways to manage greenhouse gas emissions, which has become one of the most pressing global issues in recent years.
AAHK also continued to maintain strong scores across its social and governance profiles. Over the past year, AAHK has leveraged digital technology to help achieve service quality as well as employee and passenger safety and wellbeing. Its collaborations with business partners and the local community were also recognised. Meanwhile, AAHK’s disclosures and reporting were considered as granular and comprehensive, which includes the publication of a green bond report covering allocation and impact reporting, and its governance structure was deemed to have an adequate level of independence.
Julian Lee, Executive Director, Finance of the AAHK, said, “We are delighted to receive an advanced ESG rating from S&P. The globally renowned validation once again marks an achievement that reflects AAHK’s commitment to ESG principles, across every aspect of the airport operations and developments. As the operator of an international aviation hub, we shall continue to work closely with the airport community to bring positive changes to HKIA as well as the aviation industry worldwide.”
S&P’s report on AAHK’s ESG rating is available at: https://www.hongkongairport.com/iwov-resources/file/sustainability/environment/sustainable-finance/ESG_report_2023.pdf