Leiper (1990) identified the tourism industry as a ‘system’ with three distinct regions, these comprise of: a tourist generating region, this includes mainly tour operators and travel agents; a transit route region, this includes all forms of transportation for moving tourists to and from their destinations; and a tourist destination region, which includes accommodation and all visitor attractions, leisure and entertainment amenities, see figure 1 (below).
Carbon Accounting in the Tourism Sector | Rachel Dunk & Steven Gillespie
Carbon Accounting in the Tourism Sector Chaired by: Rachel Dunk Steven GillespieCrichton Carbon Centre University of Glasgow
Outline/Objective of workshop Welcome and introductions Scene setting presentations – Tourism & CO2: The global context – Targets, standards and methodologies Key questions Wrap up and Close
About ICARBICARB: The Initiative for Carbon Accounting Sponsored by the Scottish Government A group of stakeholders (industry representatives, politicians, academics, consultant s, public, private and third sector) working together to create a set of transparent, consistent and accurate rules for carbon accounting across the Scottish economy Resource base at www.icarb.org
Objectives... Form and shape a Tourism Stakeholder Group Make the first steps in developing the Tourism carbon accounting rule book – Tourism sector sub-categories – Which scope 3 emission sources? Identify next steps/points for future discussion
Tourism Growth Erxleben and Sallwey (2007) UNWTO (2011)
Global Tourism and Climate Change Tourism (including day-trips) is responsible for 4.95% of global CO2 emissions – Up to 14% if measured as radiative forcing (The warming caused by CO2 and other GHGs). If tourism was a country it would be the 5th biggest polluter worldwide (similar to Japan). Global tourism emissions projected to grow by 152% by 2035.Sources: Peeters and Dubois (2010); UNWTO-UNEP-WMO (2008)
Breakdown of tourism emissions Other activities 4% Accommodation Air transport 21% 40% Other transport 3% Car 32%
Radiative forcing Accommodation Other activities 9% 2% Other transport 2% Car 15% Air transport 72%
References Erxleben, T. and Sallwey, L. (2007) The impact of current developments on the baggage flow at airports and derived trends in airport logistics. Elektroniczne czasopismo naukowe z dziedziny logistyki, 3 (1), No. 5. Peeters, P. And Dubois, G. (2010) Tourism travel under climate change mitigation constraints. Journal of Transport Geography, 18 (3),447-457. UNWTO (2011) Tourism Highlights 2009 Edition. http://unwto.org UNWTO-UNEP-WMO (2008) Climate Change and Tourism: Responding to Global Challenges. UNWTO, Madrid.
Sustainable Tourism in Scotland Scottish Government has publicly stated its ambition for Scotland to be Europe’s most sustainable tourism destination Aspiration that all quality assured businesses will have attained (at a minimum) entry level of the Green Tourism Business Scheme by 2015 Incorporation of environmental/sustainability criteria into Visit Scotland Quality Assurance Scheme Concerns from sector on clashes between 4/5* and sustainability criteria
What is a carbon footprint… “The total set of greenhouse gas emissions caused directly and indirectly by an individual, organisation, event or product” Carbon Trust
The purpose of C accounting in tourism... To enable accurate emissions reporting? If accurate emissions reporting is required, then we need a rigorous approach that complies with relevant guidelines & standards.&/or To provide information for carbon management? If for internal carbon management a less rigorous approach that provides management level information and allows identification of lowest hanging fruit may prove sufficient.
The purpose of C accounting in tourism... Provides baseline information that enables: Reporting of emissions Mandatory Voluntary Comparison to benchmark standards e.g. Office energy efficiency Correct identification of emission reduction targets Savings No Cost Low Cost Level against which future performance is measured Quantify emissions abatement achieved Project reporting
Drivers to reduce carbon emissions Regulation Stakeholder New Pressures Organisation Business Costs
Barriers to carbon emission reduction Time Business Organisation Knowledge as Usual Cost
International Standards The Greenhouse Gas Protocol – www.ghgprotocol.org ISO 14064 Climate Change Standard – www.iso.org
UK Voluntary ReportingUK Government Recommendation: Guidance on how to measure and report your greenhouse gas emissionsIn combination with: Guidelines to Defra/DECC’s GHG Conversion Factors for Company Reportingwww.defra.gov.uk/environment/business/reporting/index.htm
3 to 5 Step Process Define the boundaries 1 Collect the activity data 2 Calculate emissions & total footprint 3 Independent verification (optional) 4 Public reporting (optional) 5
Boundary setting ORGANISATIONAL OPERATIONAL Q: What do you own/control? Q: What are you including? identify ALL emissions within organisational Equity Control boundary & then select Share Approach which to include Scope 1 & Scope 2 Financial Operational This is your consolidation approach Scope 3 ?
Boundary Setting Within Companies Control Footprint Assessment Boundary Other business Purchased Company Waste disposal travel electricity vehicles petrol & recycling Staff Gas Company Water supply & commuting consumption vehicles diesel treatment
The Sources – Scope 1, 2 & 3 Scopes improve transparency & prevent double counting of emissions for GHG programsThe GHG Protocol requires reporting of Scope 1 & Scope 2 as a minimum Source: GHG Protocol – A Corporate Accounting & Reporting Standard, Revised Edition
The Sources – Scope 1, 2 & 3Scope 1: Direct GHG emissions from sources that are owned or controlled by the company. • e.g. emissions from combustion in owned or controlled boilers, furnaces and vehicles (combustion of biomass is reported separately). Process emissions and fugitive emissions are also Scope 1.Scope 2: Energy Indirect GHG emissions from purchased electricity, heat steam & cooling consumed by the company.Scope 3: Other indirect GHG emissions (optional for the GHG protocol discretionary in UK Govt guidance) • arise as a consequence of the activities of the company, but occur from sources not owned or controlled by the company. • both the upstream & downstream supply chains • e.g. extraction, production of purchased materials, transportation of purchased fuels, waste disposal, employee commuting, business travel, customer travel.Others: Emissions of other GHGs not included in the Kyoto Protocol (optional for the GHG Protocol, include if material in UK Govt guidance) • e.g. CFCs (regulated by the Montreal Protocol), NOx Source: GHG Protocol – A Corporate Accounting & Reporting Standard, Revised Edition
The Sources – Scope 1, 2 & 3 An approach often taken is to tackle the easiest emissions to quantify first (Scope 1 & Scope 2) – developing a more detailed approach at a later date (e.g. Scope 3 - examining the supply chain). HOWEVER – an analysis limited to direct and indirect energy emissions may account for only a small fraction of an entities total carbon footprint. Developing a carbon management plan based on limited information could be worse than useless.
Which Scope 3 Sources? ISO 14064-1 The organization may quantify other indirect GHG emissions based on requirements of the applicable GHG programme, internal reporting needs or the intended use for the GHG inventory. The organization may exclude from quantification direct or indirect GHG sources or sinks whose contribution to GHG emissions or removals is not material or whose quantification would not be technically feasible or cost effective. The organization shall explain why certain GHG sources or sinks are excluded from quantification. Materiality: concept that individual or an aggregate of errors, omissions and misrepresentations could affect the greenhouse gas assertion and could influence the intended users’ decisions 30
Which Scope 3 Sources? Defra/DECCDiscretionary - include if significant...Small Business User Guide specifically notes: Water supply/waste water disposal Waste disposal/recycling Business travel Staff commuting 31
Which Scope 3 Sources? Carbon TrustCarbon Trust - Baseline Tool (for SMEs)pilot – being trialled in 2011/12 Water Waste (general mixed – no breakdown) Business Travel 32
What is a tiered methodology In the IPCC GPG, there is a hierarchy of estimation methods – Tier 1, Tier 2 and Tier 3 methods – with Tier 1 being the simplest (highest uncertainty) and Tier 3 being the most complex (greater confidence). This approach is also evident in Defra/DECC guidance – which provides basic guidance on how to estimate emissions from some sources in absence of complete data sets. 34
What is a tiered methodology Tier 1: simplest - equations and default parameters provided - e.g. Scotland specific... Tier 2: as Tier 1 but higher temporal and spatial resolution – more disaggregated data – e.g. Region specific... Tier 3: higher order methods – based on high quality activity data (in combination with modelling) – e.g. Enterprise specific... 35
Discussion Groups Lisa Gibson Eva Milroy Alice Hamling Neil Kitching Kalyan Bhandari Zan Kirk Hiro Murakami Steve Macfarlane Stephen Miles Markos Skampalis Vasileios Skampalis Jon Proctor Robert Smith Chris Wood-Gee Sue Roaf Song Wang Joung Hun Youm Emily Taylor
The Tourism SystemSource: Leiper 1990 Operational Context Departing Tourists Tourist Tourist Generating Transition Route Region Destination Region Region Returning Tourists Operational context includes economic, socio- cultural, political, technological, legal and environmental variables
Q1: Tourism Sector Boundaries1. Which tourism actors – are core tourism businesses (in the rule book) – are supporting businesses (data needed from them for determining footprint of the ‘core’ tourism business) – should facilitate / support carbon measurement and reduction in the tourism sector2. For the core tourism businesses, please arrange them into what you think are the appropriate number and type of sub-categories
Q2: Tourism & Travel Emissions1. Which actors are interested in tourism related transport emissions?2. Whose responsibility do you think it is to measure and reduce emissions from tourism related transport?3. How would you evaluate visitor travel? – What data is needed? – Who should collect it?
Q3&4: Which Scope 3s?1. What do you think are the significant Scope 3 emission sources for the core tourism sub-categories formulated by your group?