The travel management sector faces a challenging reality. According to a recent Travel News poll, 92% of corporate clients don’t currently prioritise accommodation based on carbon footprint, yet the impending Climate Change Bill mandates carbon tracking for all corporate activities, including travel. For Asata, this shouldn’t be seen as yet another compliance hurdle, but a significant opportunity for travel management companies to evolve and lead.
Many corporate clients are understandably preoccupied with immediate challenges, including rising energy costs and economic stability. This doesn’t signal a lack of concern for climate change, but rather a struggle to prioritise long-term sustainability amidst pressing short-term issues. However, sustainability can’t be put on the back burner. The key lies in demonstrating how sustainable travel choices can deliver both environmental benefits and bottom-line advantages. TMCs are uniquely positioned to bridge this gap, transforming what might seem like an administrative burden into a strategic advantage for their clients.
Many TMCs are already leading the charge, integrating ‘visual guilt’ into booking platforms and showing the carbon impact of travel choices. But there’s room to do more. The future lies in making sustainable options readily accessible, providing clear carbon reporting, and helping corporates develop green travel policies that make business sense. Providing clear, concise reporting on travel-related carbon emissions empowers corporates to track progress, identify areas for improvement, and demonstrate ROI on sustainable travel investments.
Contrary to some predictions, this new legislation won’t kill corporate travel. Instead, it will promote smarter, more purposeful planning. Expect to see companies consolidating trips, optimising routes, and maximising the value of each journey by combining multiple objectives. It’s about travelling wisely, not necessarily less.
South Africa’s geographical location presents unique challenges for air travel. While direct flights are ideal from a carbon footprint perspective, hub-and-spoke routing remains necessary for many international connections. TMCs can optimise these journeys by guiding clients towards airlines with strong environmental credentials and newer, fuel-efficient fleets. They can also help clients select routes through environmentally conscious hub airports – those investing in renewable energy and sustainable aviation fuel initiatives.
The choice of cabin class has a significant environmental impact too and advocating for economy over business class can significantly reduce a passenger’s carbon footprint. Research shows that flying economy can save roughly twice the amount of carbon emissions compared to business class, as a business-class seat occupies significantly more space per passenger.
The role of TMCs is evolving beyond travel bookings. They’re becoming sustainability consultants, helping clients navigate a landscape where environmental responsibility is as crucial as cost management. This means developing expertise in carbon accounting, sustainable travel practices, and environmental compliance. For TMCs, the Climate Change Bill represents an opportunity to demonstrate their strategic value. Those who can effectively guide clients through this transition – helping them balance environmental responsibility with business objectives – will define the future of corporate travel management.