Reducing our energy use and carbon emissions in line with climate science
By taking action to decarbonise and reduce our environmental impact, we help our hotel owners manage rising operational costs, create more secure supply chains and reduce financial risks linked to climate change, while strengthening IHG’s reputation. Our predominantly asset-light business model means that the majority of our hotels are owned by third parties, so we work closely with hotel owners and their teams to lower energy use and carbon emissions.
Our 2030 commitments:
- Implement a 2030 science-based target that delivers 46% absolute reduction in carbon dioxide emissions from our franchised, managed, owned, leased and managed lease hotels
- Target 100% new-build hotels to operate at very low/zero carbon emissions by 2030
- Maximise/optimise the role of renewable energy
Our decarbonisation strategy
Our plan to reduce emissions across our business focuses on three objectives: implementing energy efficiency measures in hotels: pioneering low carbon hotels; and supporting hotels in sourcing renewable energy.
Energy efficiency in hotels
We work with owners and hotel teams to provide them with essential training, tools and resources to help maximise their energy efficiency. For example, investing in tools and training, like the Hotel Energy Reduction Opportunities (HERO) tool and the Green Engage™ platform, to help owners with decarbonisation initiatives. Additionally, we are implementing energy conservation measures across IHG hotels, prioritising those with a return on investment under five years, supported by brand standards, hotel level energy metrics and long-term incentive plan remuneration targets.
Pioneering low-carbon hotels
To support the future development of IHG hotels, we aim to test, learn and share insights on innovative approaches that can accelerate our efforts and inspire broader adoption of carbon reduction practices across IHG’s estate. We have collaborated with technical experts to establish a definition of a low-carbon building. In 2024, we launched our Low Carbon Pioneers programme.
Holiday Inn Express Madrid–Airport achieves LEED Gold certification and is one of our Low Carbon Pioneer hotels
Sourcing renewable energy
Helping hotels access renewable energy can enable them to quickly reduce emissions, particularly in regions with carbon-intensive electricity grids. While most of our hotels operate under franchise agreements, which limits our direct procurement capabilities, we help hotel owners access renewable energy solutions such as our Community Solar programme in select US states, offering Green-e® certified Renewable Energy Certificates and up to 10% savings. Where viable, we help managed hotels secure renewable electricity contracts, and some global offices procure 100% renewable electricity. We continue expanding access to renewable energy across our hotels.
