Taskforce on Hotels & Lodging Sustainability Standards

Overview

The Taskforce on Hotels & Lodging Sustainability Standards, established by the Energy & Environment Alliance (EEA), aims to create uniform sustainability reporting standards for the hospitality industry. By addressing the critical connections between environmental health and economic resilience, the Taskforce seeks to safeguard the future of hotels and lodging assets globally.

Global Market Resilience

As climate risks and biodiversity losses intensify, their impact on real estate and the hospitality sector is becoming increasingly apparent. Energy consumption, water usage, and carbon emissions are set to influence asset values and operational cash flows significantly. The financial markets’ ability to respond effectively to these challenges hinges on reliable data, transparent reporting, and widely accepted sustainability metrics.

The Importance of Sustainability Reporting Standards

To guide investors and stakeholders, the International Financial Reporting Standards (IFRS) and the International Sustainability Standards Board (ISSB) are developing comprehensive sustainability disclosure standards, including the recently introduced IFRS S1 and S2. These standards ensure that companies disclose risks related to climate and sustainability, helping investors make informed decisions and fostering greater accountability across the sector.

Role of the Taskforce

The Taskforce is dedicated to formulating sector-specific sustainability standards that align with global reporting frameworks. By collaborating with organizations such as CRREM, BREEAM, and experts from King’s College London, the Taskforce will test and refine benchmarks, metrics, and protocols to enhance industry practices.

Goals of the Taskforce

  • Establish industry-wide agreement on sustainability metrics.
  • Engage diverse stakeholders globally to capture a wide array of perspectives.
  • Ensure transparency and inclusivity in the development of standards.

Global Outreach and Consultation Process

The Taskforce’s consultation process will be conducted in three phases:

  1. Pre-Consultation (September 2024 – April 2025): Engaging stakeholders through outreach campaigns, meetings, and roundtables to gather insights on industry priorities.
  2. Consultation (May 2025): A 90-day period for stakeholders to provide feedback through various formats, including online submissions and discussions at major conferences.
  3. Post-Consultation (June – December 2025): Analyzing submissions and synthesizing findings into actionable recommendations for the IFRS/ISSB.

Stakeholder Engagement

The Taskforce aims to consult a wide range of stakeholders within the hospitality sector, including:

  • Investors: Private equity, asset managers, and lenders.
  • Hotel Operators: Independent and branded operators, facilities management.
  • Developers: Architects, planners, and project managers.
  • Distributors: Travel agencies and booking platforms.

Taskforce Members

The Taskforce is composed of industry leaders, including:

  • Navneet Bali: Founder & CEO, LyvInn
  • Ufi Ibrahim: CEO, EEA
  • Catherine Dolton: Chief Sustainability Officer, IHG
  • Elizabeth Davies: Head of Hotels & Lodging, HSBC UK

[Full list of members available upon request.]

Timeline

  • Pre-Consultation: September 2024 – April 2025
  • Consultation: May 2025
  • Post-Consultation Analysis: June – December 2025

The Taskforce is committed to delivering its recommendations to the IFRS/ISSB by the end of 2025, paving the way for more sustainable practices within the hospitality sector.

Get Involved

We encourage all stakeholders to participate in this critical initiative. Your insights are invaluable in shaping the future of sustainability in hotels and lodging.