Responsible political engagement
Concept
The Lufthansa Group is active in the political environment independently and via industry associations
The Lufthansa Group discusses its legitimate interests at the political level too and pursues a dialogue with representatives of the various national and international authorities and institutions. This involves providing detailed information on specific issues. Depending on the occasion and the topic, this is done at the Company or Group level or in consultation with other companies or interest groups.
The Group’s political engagement focuses on transport (market access and air traffic rights), climate policy and fair competition. Positions are also formulated at the regional and local level on political developments that are relevant to the Lufthansa Group and shared with the responsible authorities. Recommendations for action are frequently put forward in close cooperation with the International Air Transport Association (IATA), Airlines for Europe (A4E) and the German Aviation Association (BDL) as well as other bodies, such as the Federation of German Industries (BDI), the Confederation of German Employers’ Associations (BDA) and the Forum for Sustainable Development of German Business e.V. (econsense).
Organisational foundations and responsibilities
The Corporate International Relations and Government Affairs department, which reports directly to the Chair of the Executive Board, is responsible for representing the political interests of the Lufthansa Group. It has offices in Berlin, Brussels and Frankfurt for representation in relation to the European Union and the German government, along with further liaison offices in Washington, Moscow (currently closed), Singapore and Beijing. In addition, a sub-department is responsible for air traffic rights at Deutsche Lufthansa AG. Some foreign subsidiaries of the Lufthansa Group are themselves responsible for national political issues and air traffic rights matters.
Targets
The Lufthansa Group aims to safeguard its interests
The Lufthansa Group seeks to identify political developments that are relevant for the Group and its subsidiaries at any early stage, to formulate positions and to introduce recommendations for action into the political decision-making process. It participates in consultation processes relating to national and European legislation as well as international financial accounting standards such as the International Financial Reporting Standards (IFRS). It does so either directly or via the above-mentioned associations, including to provide potential support for the operational and technical feasibility review by offering industry-specific expertise. The aim is to safeguard the interests of the Lufthansa Group in national and international regulations to protect its competitiveness and economic viability.
Measures
Focus is on regular dialogue and transparency
Employees who work in the Corporate International Relations and Government Affairs department maintain a regular dialogue with ministries and members of parliament at the state and federal levels as well as with representatives of the various EU institutions. This includes supplying facts and figures and working through issues, some of which are complex. Furthermore, the Lufthansa Group actively contributes to legislative processes to protect the Company’s interests, such as in relation to the European Commission’s Fit for 55 legislative package.
The Lufthansa Group attaches great importance to transparency in its political engagement, and is listed in the EU Transparency Register under the number 0714344663-32. Moreover, the Company features in the lobbying register of the German Bundestag (lower house of parliament) under the registration number R001474. The Lufthansa Group regularly publishes its position on current political issues and upcoming decisions in its Policy Brief (which is addressed to political decision makers but also accessible to the general public). In the reporting year, explanations were provided on topics relating to the harmonisation of the European airspace (the “Single European Sky”), the new Lufthansa Group fares for more sustainable flying and the prerequisites for the potential expansion of SAF via a “book and claim” system.
“Book and claim" is a supply chain model in which the administrative exchange of data is not necessarily linked with the physical flow of material or products along the supply chain. This results in customers purchasing the (still limited) quantities of SAF available worldwide, which can then be transferred to a special register to make use of the environmental advantages offered. This averts the need to transport SAF around the world.
Five issues of the Policy Brief were published in the reporting year and are available on the Company’s website.