At Last! Bali Hotels Take Eco Action - Well, sort of....
Big moves afoot for Co2 reduction via energy saving
I was greatly encouraged in November last year to learn that over a dozen properties, members of the Bali Hotels Association (BHA), were really starting to take the issue of carbon emissions seriously and were actually going to embark on something substantive to address the problem. Back in September 2008, to get the ball rolling The Green Asia Group (TGAG), an Asian-based carbon management solution-provider, offered the BHA a free pre-energy audit along with financial solutions, which could include the necessary capital financing. Energy being a major area of Co2 emissions and potential cost savings is recognised by BHA as a key area of interest after record business in the face of the oncoming downturn.
There were 13 star-rated BHA hotels as takers. Jork Bosselaar, BHA’s Environment Executive and GM of Alila Ubud, declared at the time,
“...energy is paramount for change... both in financial stakes and environment damage... the BHA goal is to offer members the latest global information how to reduce global energy, first and foremost”.
The BHA had already heard the gloomy forecasts from energy provider PLN concerning the chronic power shortage, price hikes, possible black-outs and the need for substantial reduction in energy usage. Moreover, it’s becoming increasingly clear that now is the time for businesses in Asia to take into account how their operations affect the environment, either taking voluntary action now or having to conform to government legislation at a later date. After what some say was Bali’s most successful high season in history, hotel owners and operators would seem critically poised to make some key strategic decisions in this area.
“I’m convinced voluntary carbon management by individuals, businesses and industries to measure and curb their carbon emissions is not only smart business but the most effective means to counter climate change”, says Bradley Gardner, TGAG’s founder. Gardner is no stranger to Bali having created the Begawan Giri Estate back in the 1990’s before selling out to a Singaporean hotelier a few years back. Be a nice touch if the current owners thought the same way too, though there’s little evidence of that as yet.
Big Savings, Big Money & Good for the Planet…..
The TGAG audits were duly conducted and delivered several months ago showing very substantial savings in energy and costs could be made overall. Some of these were dramatic and showed how the costs of doing so could be re-couped within as little as a year with minimal financial outlay. The average being around three years. The hotels were also shown how the capital equipment necessary could be financed and funded out of savings. To date, some 8 months on, there appears to be little if any apparent BHA interest in taking further steps toward action in this direction.
At the same time and in stark contrast, Alila Hotels & Resorts leapt out the starting box committing itself to becoming carbon neutral and, as a first step, undertaking to achieve carbon neutrality in its Singapore head office. It is encouraging to note that this April Alila’s CEO Mark Edelson confirmed that the Alila head office in Singapore had now achieved carbon neutrality for the year 2008, after calculating its carbon footprint and offsetting its emissions (176 tonnes Co2e) with a co-generation project in India, registered under the Kyoto Protocol’s Clean Development Mechanism (CDM).
The chosen project in India, where both primary heat and auxiliary electricity are generated is the Punjab Textile Industry Rice Husk Co-generation project, reducing reliance on fossil fuels at textile mills in India using biomass waste to generate steam and electricity. Additional income is also created for local farmers from the rice husks they produce in large quantities, which are traditionally burned as waste.
If Anyone can Do It……
Fortuitously I recently bumped into Amanda Pummer, who many will remember as one of Bali’s most delightful and progressive hoteliers during her time with Alilas in Manggis and Ubud. Amanda now lives in East Bali and gotten her life back, while she acts as lead consultant to TGAG in Bali. I asked her how it worked and what the next steps were? She explained that Alila’s head office were able to reduce their carbon footprint quite substantially via savings on electricity consumption, management of company vehicles, waste disposal and business travel but that business travel accounted for the major part of their carbon footprint and the company was looking at increased internet video-conferencing as a means to reduce carbon-related travel cost.
“What about all the hotels?”, I ask.
“That’s what we’re working with them on now. Alila are committed to all their properties being carbon neutral and energy is a big part of that”, she said.
“And last October’s BHA energy initiative….?”.
“Ah..... (long pause), we’re still hopeful of working with them”, she smiles.
“You mean nothing’s happening....”, I conclude.
Amanda’s much too nice. She just continues smiling and repeats “....we’re working with them on it”.
Well, if anyone has the charm and tenacity to get the responsible members of BHA to go to the next step before the sea is half way up Mt Agung it’s Amanda. In fact it would seem to be a no-brainer and I really don’t see why Bali’s hoteliers, be they owners or managers, are hanging back? As I understand it, all that’s at stake here Is the cost of a full audit at some US$20,000 or so, which you get back in a year or two, the cost of the capital equipment required is financed out of the energy savings generated and within three to five years you are actually hundreds of thousands of US dollars better off, if not millions; and, you are a genuine corporate 6-Star Eco Hero! So why the reluctance? Beats the hell out of me and perhaps someone at BHA can explain it to us?
Meantime Amanda, and TGAG are getting on with it, working with other projects and businesses, big and small. If you and your business really want to save money by working toward becoming carbon neutral, talk to Amanda (amanda.pummer@thegreenasiagroup.com), she’ll show you the way.
As for BHA..... C’mon guys! We know it ain’t easy, but your hearts are in the right place and it wasn’t all green washin’, was it?
