Net zero by 2030 (Scope 1 and 2 emissions)

In May 2021, Sydney Airport announced our commitment to achieve Net Zero emissions under our operational control by 2030 (Scope 1 and 2 emissions).

In addition to our Net Zero by 2030 (for Scope 1 and 2 emissions) target, we remain committed to achieving Level 4 carbon accreditation, in line with the Airport Carbon Accreditation (ACA) program.

To achieve Net Zero by 2030 (for Scope 1 and 2 emissions), we intend to address our (market-based) Scope 2 emissions, which represent approximately ~91% of total Scope 1 and 2 emissions by reducing electricity use and switching to 100% renewable energy. Contractual negotiations for Sydney Airport’s future electricity supply have been completed, which will secure the equivalent of 100 per cent renewable electricity for the Sydney Airport precinct from 1 January 2025, through a contractual Power Purchase Agreement (PPA). The equivalent of 100 per cent renewable electricity by 2025 will be achieved through large-scale generation certificates (LGCs), which will match/offset the Airport’s electricity consumption. This supports the achievement of our target to achieve 100 per cent renewable electricity by 2025.

Scope 1 emissions account for approximately -9% of the emissions under the Airport’s operational control. We intend to reduce these emissions by exploring opportunities to switch to electric (or other low or no carbon) alternatives for building thermal systems, transitioning vehicles to low or no-emission technology, and phasing out fuel-powered equipment.

We expect there will be a small, residual proportion of Scope 1 emissions that cannot be practicably eliminated by alternative technologies or management practices. We intent to offset these emissions through the purchase of carbon removal credits.

Maintaining our focus on Scope 3

We recognise that Scope 1 and 2 emissions account for ~13 per cent of our total emissions footprint (scope 1, 2 and 3) and we are engaging with our partners on ways to decrease our Scope 3 emissions, which make up ~87 per cent of our emissions footprint (when considering flight-related emissions within the Landing and Take Off cycle only).

Sydney Airport continues to focus on our indirect ‘Scope 3’ emissions, which represent those emissions that are outside the Airport’s direct operational control but occur as a result of the Airport’s activities. These include the carbon emissions generated from aircraft arriving and departing from the Airport, airport ground operations (including tenant energy use, ground service equipment emissions (GSE) and aircraft Auxiliary Power Units (APUs) running on gate) and ground transport to and from the Airport (passengers, staff and airport workers).

We are working actively to reduce airport ground operations emissions through such initiatives as;

• Improving airline utilisation of Ground Power Units (GPU) and pre-conditioned air (PCA) at gate to reduce emissions associated with running APUs
• Collaborating with our airport partners to increase the uptake of electrical GSE (eGSE) and to provide the necessary airport infrastructure to support this uptake

As part of our approach to reduce Scope 3 emissions, Sydney Airport is actively advocating for a low carbon future for the aviation industry, with a specific focus on ensuring the necessary supports are in place for the development of a local Sustainable Aviation Fuel (SAF) industry, through active participation in the following;

• Sydney Airport is participating in the Jet Zero Council via participation in the AAA Sustainability Working Group, which is delivering Workplan item #5 (identifying changes required to airport operations and infrastructure that will support decarbonising aviation).
• Sydney Airport is a member of Bioenergy Australia’s Sustainable Aviation Fuel Alliance for Australia and New Zealand (SAFAANZ) working group alongside aviation industry peers and fuel producers
• As part of Sydney Airport’s Aviation Green Paper submission, we worked with Melbourne and Brisbane airports, in collaboration with IFM Investors (one of SAAH owner groups), to form a joint airport advocacy position to advance a domestic SAF industry in Australia. Sydney Airport’s Aviation Green Paper submission can be found here.

Refer to our Sustainability Report and Response to the TCFD Recommendations for further information about our Scope 3 emissions initiatives and associated climate resilience strategy.

Carbon neutrality update

Sydney Airport has been working to achieve carbon neutral certification by 2025 since 2018, and we have come a long way towards achieving that goal. Key initiatives include a Power Purchase Agreement for 100 per cent renewable electricity, implementing an energy efficiency program, and developing a carbon offset procurement strategy which identified the use of offsets for any residual emissions.

It has now become clear that to achieve carbon neutral certification in 2025, SYD would need to purchase carbon offsets from overseas or outside our local community, as there are currently no carbon projects available locally. We believe our investment in carbon removal should primarily benefit our surrounding communities. SYD has decided to instead allocate funds to local environmental projects. While this decision means we will not achieve carbon neutral certification by 2025, we are committed to investing in improving the environment surrounding the airport.

We remain committed to achieving Net Zero Scope 1 and Scope 2 emissions by 2030. We are working hard to reduce our emissions and we are investigating opportunities to offset any remaining emissions by removing carbon in our local area – for example, we are looking to establish a first of its kind blue carbon removal project in Sydney Harbour to restore seagrass habitat.

We will provide regular updates on our progress towards our Net Zero 2030 target and any related carbon removal projects.

Carbon accreditation

In 2008, Sydney Airport signed the Global Aviation Industry Commitment to Action on Climate Change. This agreement was an important demonstration of aviation’s worldwide voluntary commitment to researching and introducing technological, operational and efficiency advances that will reduce aviation’s contribution to climate change and reduce its impact on the environment.

Following this, the Airports Council International (ACI) established the Airport Carbon Accreditation (ACA) program to assist member airports in assessing and reducing their carbon footprint.

The ACA program recognises improved performance in carbon and energy management and encourages the implementation of initiatives to achieve carbon neutrality, in line with policies adopted by the ACI World’s General Assembly in November 2007. It is the only industry-specific, performance-based, voluntary and institutionally endorsed accreditation label designed specifically for airports.

Sydney Airport obtained ACA accreditation for the first time in May 2014. We currently hold Level 3 ‘Optimisation’ accreditation, which means we calculate scope 1, 2 and 3 emissions and implement initiatives to reduce them, such as engaging with our airport business partners to support their efforts.

Our carbon footprint

We periodically monitor and report on our carbon footprint. Our Scope 1 and 2 emissions are reported to the Australian Government through the National Greenhouse and Energy Reporting Scheme (NGERS) and disclosed in our Sustainability Report.