New carbon emissions regulations – is your company ready for mandatory
disclosure?

The Australian Government’s new mandatory reporting requirements are rolling out across the country, effective from July 2024, but many countries including the UK, USA, and those in the EU are already under pressure from their governments to report and make progress in sustainability and carbon emissions. The standards differ by region, but in general require compliance with the International Sustainability Standards Board S1 and S2 regulations, and the Greenhouse Gas Protocol. In the UK, large companies are obliged to report their carbonfootprint, greenhouse gas emissions, and energy usage in their annual fiscal report as part of the Streamlined Energy and Carbon Reporting, whilst the UK Sustainability Disclosure Standards restricts usage of greenwashing phrases.

Using carbon disclosures to improve business

Hospitality is a people driven sector and is uniquely placed to benefit from reporting carbon emissions and sustainability transparency, because we produce and consume hospitality in the same location. Your business operations and the guests’ enjoyment of services and facilities occur under one roof and are intrinsically linked. Displaying (and constantly reducing) your emissions proves your commitments to your guests and staff, meeting their expectations and values, and creating a unique place to work and stay. 80% of guests want to stay in sustainable accommodation, and 30% of staff would consider switching jobs for a more environmentally friendly company “https://www.allens.com.au/insights-news/insights/2022/12/sustainability- reporting-what-you-need-to-know-to-be-prepared-for-the-issb-standards/ ].

How to drive progress

The key to remain as market lead (or at least to remain comparable with the competition) is to outperform them by reducing carbon emissions. Many are required to report – so take the lead and reduce, before that too is enforced. The following four steps will help you turn a requirement into an empowering tool. First, set a baseline of energy, water, waste, and carbon (the latter is mandatory in ISO
14064) and compare your performance to industry standards to similar properties in your
region. Set goals that are reflected in your sustainability policy. Finally, make plans, and take action, repeatedly. Sustainability is not a ‘one and done’ process, and it will need to be somewhat tailored to your business. Use this as an opportunity to create unique experiences, contribute to your community and to help restore nature.

Carbon, energy, and sustainability audits reveal your main emissions from upstream, downstream, and your operations. They should become the focus to plan and take actions. Hospitality is unique in its position to report carbon emissions because it is a people-based sector, it requires not simply cleaner technology solutions but the willing participation of your staff and guests. Acknowledging that humans are part of the solutions you can turn reporting carbon emissions into a competitive advantage by setting targets, reviewing performance to drive continuous improvement with the corresponding commercial gains.

The wise way to audit and drive continuous progress

Our team are sustainability experts, specialising in hospitality. Coming from backgrounds of accommodation providers, technical solutions, and systems thinking, our team at WISE Sustainability provide an automated solution to auditing, and sustainability plans tailored to your business.

HERE is our cheat sheet on the Australian mandatory reporting.