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Project Details


Japan Airlines Co., Ltd. Transition Bond Framework Second-Party Opinion (2022)


Japan Airlines Co., Ltd.

Project Type

Transition Bond

Industry Group


Use of Proceeds

Clean transport



Evaluation Date

Jan 2022

Evaluation Summary

Green Bond Principles 2021

Sustainalytics is of the opinion that the Japan Airlines Co., Ltd. Transition Bond Framework is credible and impactful and aligns with the four core components of the Green Bond Principles 2021 administered by ICMA. The eligible category for the use of proceeds – Clean Transportation (Upgrading to Fuel-efficient aircraft) – is aligned with those recognized by the Green Bond Principles 2021. Sustainalytics considers the investment in fuel-efficient aircraft by Japan Airlines Co., Ltd., coupled with future shift to sustainable aviation fuel (SAF), will contribute to the transition and eventual decarbonization of the aviation sector. 

Climate Transition Finance Handbook 2020

Sustainalytics has evaluated Japan Airlines Co., Ltd.’s transition governance, strategy, decarbonization targets, and intentions to report on transition progress and finds the Company to be aligned with three of the recommendations of the Climate Transition Finance Handbook 2020 and partially aligned with the fourth.  While noting Japan Airlines Co., Ltd.’s short- and medium-term CO2 reduction targets do not align with a 2°C scenario under the Paris Agreement, according to the Transition Pathway Initiative (TPI) benchmarks (High Efficiency scenario), which rely on the International Energy Agency (IEA)’s modelling, Sustainalytics considers that the latest materials by the International Civil Aviation Organization (ICAO) and the International Air Transport Association (IATA) as well as the latest scenarios presented in the “Waypoint 2050”  by the Air Transport Action Group (ATAG), which are referenced by Japan Airlines Co., Ltd., are acceptable scenarios for setting long-term targets, and views positively that Japan Airlines Co., Ltd. is aiming to achieve net-zero emission by Fiscal Year (FY) 2050 as its long-term target. Sustainalytics also evaluates positively Japan Airlines Co., Ltd.’s target to reach 10% of SAF use in the total fuels by FY2030, which is one of the main initiatives toward net-zero emissions. In addition, JAL has a strong governance structure in place and a clear intention for transparent reporting on the relevant investment plan and the climate-related impacts to implement its climate transition strategy.