Climate Change and Sustainability

Climate change and sustainability have become buzz words in the Australian tourism industry over the past five years. The information presented below aims to cut through the confusing rhetoric to some practical things you can do (and need to do) in your business.

What are the risks of Climate Change

While there is some debate over the science of climate change, the latest report of the Intergovernmental Panel on Climate Change (IPCC)1 states that “the warming of the climate system is unequivocal ...”2. There is evidence already of changes in weather conditions (i.e. temperature, rainfall and wind), as well as rising sea levels. In addition to changes in the weather climate change will impact on economies as governments, suppliers and consumers respond.

The United National World Tourism Organisation (UNWTO 2008) provides these future tourism trends in a carbon constrained economy as a glimpse of things to come:

  • Slowing GDP linked to increasing costs of production will impact on discretionary spending (including travel);
  • Areas visited will be affected as temperature changes impact on suitability and the ecosystems of key destinations;
  • Activities in key destinations (e.g. ski fields, golf resorts) may also be affected; and
  • Modes of transport may be affected in an effort to reduce carbon pollution until technologies improve to reduce the carbon per kilometre travelled

Weather Related Impacts

Australia is recognised as a hotspot for climate change globally, with exposure to a number of significant risks. These include:

  • Warmers summers and warmer winters;
  • Increased extreme events (e.g. cyclones);
  • Water scarcity / extended drought;
    • Loss of marine biodiversity (especially on the Great Barrier Reef); Sea level rises; and Increased disease outbreaks (including Dengue Virus).

Customer Changes

The UNWTO in their review of Climate Change and Tourism (UNWTO, 2008, p167) including the following consumer trends:

  • Choosing destinations at shorter distances from their homes;
  • Choosing environmentally friendly means of transport;
  • Demanding more environmentally adequate infrastructure;
  • Favouring destinations that seek to be sustainable;
  • Choosing accommodation that is certified; and
  • Eating in restaurants providing local and/or organic food.

Suppliers are also looking to ensure their business partners are a responsible part of their supply chain as they implement Life Cycle Analysis (cradle to the grave of products). A study of businesses in the United Kingdom found that 89% of organisations that supply the tourism industry believe that “issues of sustainability and corporate responsibility” are “extremely important” (Chafe & honey 2005). This is just as true of investors as the banking sector is now considering operators response to climate change as a lending risk. Recent reports from the Australian banking sector show that sustainability reporting should no longer be regarded as part of the fluffy domain of public relations, it’s about managing risk and creating value for suppliers.

Regulatory Changes

Across the globe regulators are responding to the call to reduce our collective carbon footprint. The recent Federal Government ‘Green Paper’ known to most as the Garnaut Report, is just one of a raft of international responses to the threat of human-induced climate change. For the tourism sector the National Greenhouse and Energy Reporting Scheme (NGERS) is likely to only affect the largest operators, all businesses need to be aware of their carbon footprint and the impact of State and Local laws on environmental sustainability.

For more information

If you are keen to know more about Climate Change and its implications for your business have a look at the Climate Change Factsheet, the International and National Programs Factsheet and the References and Links Factsheet.

THE PATHWAY TO SUSTAINABILITY

The Sustainable Tourism Cooperative Research Centre (STCRC) a collaboration of 17 leading Universities and the world’s largest dedicated sustainable tourism research organisation developed a simple ‘pathway to sustainability’ for tourism operators, destinations and communities to respond to climate change through its diffusion arm EC3 Global. The pathway is a step-by-step process of adaptation strategies that are designed specifically for the travel and tourism industry.

For more information on sustainability download the Sustainability Factsheet. For assistance with a particular area of your business, there are separate factsheets on:

1 The IPCC is a scientific intergovernmental body tasked to provide information on climate change by assessing and recapitulate the latest research on the topic.
2 See IPCC