The finding was derived from a survey of an independent panel of 202 Australian SME business owners commissioned by Corporate Traveller Australia, Flight Centre Travel Group’s flagship SME business.
The global director of a leading travel management company says sustainability will need to become a more significant consideration for the industry, as new research uncovers that more than half (58 per cent) of Australian small-to-medium businesses will prioritise carbon emissions and waste reduction in their travel policies over the next year.
Larger SMEs are more likely to act on decarbonisation and waste reduction in their travel: 37 per cent of medium-sized businesses (51-200 employees) compared with 29 per cent of micro businesses.
The survey found that 58 per cent of SMEs will be looking to reduce carbon emissions or waste in their business travel over the next year.
Corporate Traveller also presented respondents with a list of 10 sustainability offerings that are likely to be available when travelling.
Three-quarters (74 per cent) said they would choose at least one option.
Based on their popularity among respondents, these are ranked below:
- More direct flights (38 per cent)
- Electric vehicle (EV) car hire options (30 per cent)
- Airlines with a program to reduce carbon emissions (29 per cent)
- Accommodation close to meetings to make use of public transport/walking (27 per cent)
- Airlines that offer carbon offsetting options (25 per cent)
- Hotels with sustainability practices – such as no single-use plastics (24 per cent)
- Hotels with a food waste reduction program (18 per cent)
- Hotels that use renewable energy, such as solar power (17 per cent)
- Travel destinations with a sustainable public transport system (16 per cent)
- Travel destinations with Government policies and programs that commit to reducing emissions and waste (14 per cent).
Corporate Traveller Global Managing Director Tom Walley says: “It’s encouraging to see that more than half of the SME sector will commit to reducing carbon emissions and waste in their travel programs, and three in four will use low-carbon, low-waste options.
Other sustainability offerings businesses indicated they would seek out included accommodation close to meetings to make use of public transport or walking (chosen by 27 per cent); travelling with airlines that offer carbon offsetting options (25 per cent); staying at hotels with sustainability practices, such as no single-use plastics (24 per cent); staying at hotels with a food waste reduction program (18 per cent) or that use renewable energy (17 per cent). The most popular options were direct flights, chosen by 38 per cent, followed by electric vehicle car hire (chosen by 30 per cent), and flying with airlines that have carbon emissions programs (chosen by 29 per cent).
While Australia’s transport and aviation industries collectively account for 17 per cent of the country’s emissions, many progressive airlines, hotel groups, and hire car companies are already making a real impact.
To increase adoption in the corporate travel market, it’s the travel industry’s responsibility to establish more ambitious goals, continue investing in new technologies and products, and partner with sustainable services to help travellers reduce their footprint.
For instance, sustainable aviation fuels (SAFs), made from oil or alcohol waste, or green hydrogen, are slowly emerging as an effective, low-carbon-emitting fuel option for international airlines.
Savi displays the carbon emissions associated with all flight options at the time of booking, making it easy to identify and select more sustainable travel choices. In addition to working with customers to reduce their impact, Corporate Traveller also partners with accredited offsetting providers for customers who wish to measure and offset emissions for their business travel program locally or abroad.
Delta Airlines is committed to replacing 10 per cent of its fuel with SAFs by 2030.
Additionally, Corporate Traveller’s Online Booking Tool, Savi, helps to increase the sustainability of a company’s travel plans and deliver a meaningful reduction in environmental impact.
It will be a global effort and watching the success of initiatives in other markets, and adopting them or investing in them locally, is a low-risk way forward.
These are just part of a suite of options that business travellers have available, enabling them to be more sustainably focused when they travel.
The most popular options among respondents were transport-related methods of reducing carbon and waste.
Savi can also prioritise hybrid and electric vehicles for rental car options to make a difference on the ground. Air New Zealand recently announced the same target, while Etihad Airways operated its first flight using a 40 per cent blend of SAFs last month. Instead of generic calculations, Savi considers the impact of specific seat classes and aircraft types.
Written by: Jill Walsh
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