Industry Report: Canada – Sustainability in Hotels
By Ambika Gandhi on March 18, 2020
Sustainable development and operations within hotels
Global environmental concerns relating to climate change, rising carbon emissions, global warming, rising sea levels, and increased sea surface temperatures, among others, are at the forefront of today’s concerns. These environmental issues cannot, and must not, be ignored, and they remain one of the primary concerns within the tourism and hotel industries.
Sustainable development and operations within hotels are a large part of the equation in combating rising climate risks. This special market report aims to provide an overview of the sustainable practices within hotel operations and development, and their impacts on the profitability of real estate assets.
From Expense to Profit
Green building initiatives are more important than ever before given that real estate and buildings consumes 40% of the global energy in general and contributes up to 20% of the green house emissions worldwide.
The United Nations World Tourism Organisation predicts that more than 1.6 billion “eco-trips” will have been taken worldwide by the end of 2020. Meanwhile, a global survey conducted by TUI suggests that two thirds of their respondents were willing to “make a lifestyle trade-off in order to benefit the environment”
Smart long-term solutions to combat change while being sustainable have also proven to increase profitability in the longer term.
Fixed costs within a hotel’s operations, such as water consumption, energy, waste disposal and other items, are known to have a cost reduction of between 20% to 50%, depending on the sustainable solution implemented.