Two-weeks of negotiations in November 2015 led to the Paris Agreement. The culmination of 20 years of discussions, concessions and compromises. Is the Paris Agreement an important document to the hospitality industry? Without a doubt. Science-based targets driving the industry decarbonisation efforts are based on the 2°c (1.5°c) threshold as per the agreement.

COP26 in Glasgow will see countries submitting new or updated targets which is an integral component of the Agreement. A good time to take stock of how much (or little) has been achieved since 2015. Despite the pandemic, the International Energy Agency predicts that emissions are on course to surge, reversing the 2020 decline (-5.8%) due to the pandemic [1, 2]. No wonder many are asking: when are we going to get it right? [3].

It is with desperation that reports [4, 5] are published indicating that some large, global corporations with proclaimed climate commitment, are actively impeding stricter legislations (on fuel, carbon etc.) through lobbying. Regulation is a core component (as many argued and discussed here a few months ago: Sustainability-driven legislation: setting the right conditions for hospitality?) to ensuring a level-playing field as it is sending a decisive message that climate emergency must be dealt with, with all tools we have available.

For hotel development and operations, it is a mixed bag which can actually lead to new opportunities. In the bag are the regulatory and transition risks for inefficient assets, imminent carbon market systems for buildings, a decreasing costs of capital for sustainability-driven investment and access to cheaper technologies (e.g. market for photovoltaic).

So from your stance, experience and position, why is COP26 important? Why should our industry care? There has been talk also in this panel (see The (Green) Recovery Imperative: Hospitality Re-Set Or Bouncing Forward?) about post-COVID-19 green recovery. Is this happening and can COP26 foster this somehow?

Climate change has already impacted the travel industry from increased operational costs to less predictable tourism patterns; rising temperatures have led ski resorts to shorten their seasons or use artificial snow-making, and rising sea level and beach erosion are endangering coastal vacation spots. As a planet, we are inching towards irreversible impacts from a travel and tourism perspective. Every move countries and economies take in the direction of sustainability is important for our industry and our planet. To that end, COP26 will be key in reigniting discussions and securing commitments from participating countries to reduce carbon emissions. 

Clear environmental legislation can provide a roadmap for sound business decisions around operations and cost. Decisions such as whether to develop a new property in a climate-sensitive location or to upgrade an existing hotel to be more self-sustainable can be better guided with a solid framework of regulations, policies, and standards.

Although we've seen some corporations backtrack in their commitment to sustainability in the private sector, billions of dollars are moving towards investments in digital technologies such as AI and Machine learning that will promote better resource allocation, waste management, and help curb our carbon footprint. 

In the hospitality sector, brands are already turning to digital technology from mobile apps to back-of-house management systems to help save energy and reduce operating costs, such as occupancy sensing thermostats, in-room light sensors, and predictive equipment maintenance software. Using mobile apps, hotels can provide guests the option of not having towels and sheets washed in order to conserve water and save costs. New AI technologies are currently being utilized to reduce food waste by analyzing food left on a plate and using the data to influence its buying decisions. Utilizing technology that is already available across millions of rooms across the planet can make a big difference towards a net zero carbon goal. Government incentives for lower energy use should further accelerate technology advancements and adoption.

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