Early research commissioned by TIA suggests that government plans to introduce an Emissions Trading Scheme (ETS) to meet our Kyoto protocol commitments will lead to petrol and electricity prices rises for New Zealand businesses and consumers.

These changes, combined with the high New Zealand dollar, already rising fuel and food prices, and other cost increases, are expected to have a direct cost impact on tourism operators.

“In the accommodation sector, for example, it is expected that financial yields for individual businesses could drop by between 3% and 14%. This is in a sector that is already characterised by low margins,” Mr Wallace says.

“If TIA members want to offset expected energy price increases, they will now have a much stronger reason to participate in energy savings initiatives.”

The need for improved environmental management in New Zealand is increasingly being seen by central and local government as a whole-of-nation issue, which requires a significant response across all areas of the economy.

The tourism industry is taking a leading role in addressing environmental challenges within its own industry, as outlined in the New Zealand Tourism Strategy 2015, but also faces impacts from changes in other industry sectors.

“If the Emissions Trading Scheme becomes law, energy price rises could start affecting operators from as soon as later this year. While the price rises will be incremental and gradual, initial analysis suggests they could also be very significant over time," Mr Wallace says. 

“The government is using a targeted approach to manage some key sectors such as forestry and agriculture but has not yet considered a targeted approach to offset the impact of ETS on tourism.

“TIA is now working this issue through and advocating for favourable policies for the tourism industry as well incentives to encourage energy audits for tourism operators.”

On the road

• By travelling at 100km/h instead of 110km/h, you can cut around 13% off your fuel bill.
• Use air conditioning only when it is absolutely necessary. Air conditioning uses up to 10% more fuel. Other features, such as demist, can also be a drain so switch them off when they’ve done their job.
• Keeping your tyres at the right pressure saves fuel, as does checking your wheel alignment, engine timing, air filter and spark plugs regularly.

For accommodation

• Install insulation in your ceiling and under the floors. If you have it already, check if you need to improve your existing insulation. It might be damp, incorrectly fitted or have gaps. Poor installation can reduce the performance by as much as 50%.
• Consider installing solar water heating. A well designed solar hot water heating system can save you up to 75% on your annual hot water bills.
• Install energy efficient shower heads. These cost around $80 each and could save you up to $500 per year each.
• Turn appliances off instead of leaving them on standby. This costs you nothing and could save an average household $75 - $200 per year – and if you’re an accommodation provider, even more.

 Tips courtesy of Energy Efficiency and Conservation Authority (EECA).

The Sustainable Tourism Advisers in Regions (STAR) Project is bringing environmental experts to your business to offer practical and relevant advice to help improve your environmental performance.

The new STAR Project will fund a number of regions to employ local advisers who help tourism businesses become more environmentally sustainable. The Project is an evolution of the Sustainable Tourism Charter, which was piloted from 2004.

Protecting the natural environment is a key aim of the New Zealand Tourism Strategy 2015. Tourism businesses are critical to achieving this. They need to have the capability and knowledge to be able to protect and enhance New Zealand’s environment.

International visitors’ demands for an environmentally friendly experience cannot be ignored. Visitors have the expectation of a clean and green New Zealand, which we need to clearly demonstrate. So how can you make a real difference beyond putting the recycling out?

The government-funded STAR Project can equip your business with the know-how needed to operate in a sustainable way. It is assistance tailored to your business and situation. Advice is on-the-ground and practical. The local expert means someone is around to follow up and encourage you to include their suggestions in your business practice.

With Qualmark’s new environmental accreditation about to be launched, the STAR Project has come at the right time. Advisers can help your business to meet the new environmental requirements. And the criteria can be a benchmark of your business’ performance over time.

Stewart Island business Sails Ashore knows the value of having environmental advice that’s specific to their business and location. “Stewart Island is a high cost energy environment”, owner Peter Tait says. Taking part in the Sustainable Tourism Charter helped the business identify energy use as their single biggest cost and having the most potential for savings. This made energy conservation their first step along the sustainability path.

With Stewart Island being on a diesel powered grid supply, Sails Ashore investigated alternative energy sources to power their business, while also sourcing energy efficient hardware and appliances.

Sails Ashore has had a worthwhile year in the Charter.  “While cost savings are made with our energy efficiency, we see a bigger return for us as an eco-aware operator being able to promote ourselves as a truly eco-friendly, energy and carbon neutral operation – that’s priceless." With the help of their local adviser, Sails Ashore will also investigate a carbon recovery scheme and aim to be carbon neutral within five years.

Regions that have not already benefited from being a part of the Sustainable Tourism Charters programme will be eligible to apply. If your region is one of at least six to receive funding, your business will automatically be eligible to take part. This is an opportunity to equip businesses with the skills and knowledge necessary, so that the tourism sector can protect and enhance New Zealand’s environment.

As the Project gets underway over the next few months, encourage your region to apply for STAR funding. For more information, contact Beth Goodwin (04 470 2349) or Mark Walter (04 470 2330).

Contributed by the Ministry of Tourism