Intercontinental Hotels Group (ICG) today announced its Carbon Disclosure Project (CDP) results, charting substantial improvements in both its Disclosure Score and Performance Rating – and confirming its leadership position in the hotel industry.
Each year, company responses to CDP are analysed and scored against two parallel scoring schemes: disclosure and performance. The disclosure score assesses the completeness and quality of a company’s response. Its purpose is to provide a summary of the extent to which companies have answered CDP’s questions in a structured format. A high disclosure score signals that a company provided comprehensive information about the measurement and management of its carbon footprint, its climate change strategy and risk management processes and outcomes. The performance score assesses the level of action, as reported by the company, on climate change mitigation, adaptation and transparency. Its intent is to highlight positive climate action as demonstrated by a company’s CDP response. A high performance score signals that a company is measuring, verifying and managing its carbon footprint, for example by setting and meeting carbon reduction targets and implementing programmes to reduce emissions in both its direct operations and supply chain.
The CDP results, which were released in October 2013, saw IHG achieve an overall score of 85B in the Climate Change submission for 2013 – a significant rise from its 2010 score of 54C. Top responders in the Climate Performance Leadership Index (CPLI) can achieve a score of 100A, but the average rating within the Consumer Discretionary sector, of which restaurants and hotels are a part, is 83B.
IHG’s substantial improvements this year have been driven primarily by the success of IHG’s Green Engageprogramme, an easy-to-use online system that tracks the use of energy, carbon, water and the management of waste in their properties along with the associated costs. It comprises over 200 Green Solutions, which the company’s hotels can implement to reduce their environmental impact. One such tool – a carbon calculator based on the Hotel Carbon Measurement Initiative (HCMI) methodology – allows IHG’s hotels to focus on measuring and reporting on carbon emissions in a consistent and transparent way.
Over ten years ago CDP (formerly the Carbon Disclosure Project) pioneered the only global disclosure system for companies to report their environmental impacts and strategies to investors. The CDP platform has evolved significantly in subsequent years, supporting multinational purchasers to build more sustainable supply chains. It enables cities around the world to exchange information, take best practice action and build climate resilience. They assess the climate performance of companies and drive improvements through shareholder engagement. Their offering to the global marketplace has expanded to cover a wider spectrum of the earth’s natural capital, specifically water and forests, alongside carbon, energy and climate.
Alongside IHG’s Corporate Responsibility (CR) Report, the CDP is one of the primary channels IHG uses to report on its approach to reducing impact on climate change, as well as to manage the impact of climate change on its own business. The CDP is specifically targeted at the investment community and covers governance, strategy, activities and performance.
Paul Snyder, Vice President of Corporate Responsibility – Environmental Sustainability & Public Affairs at IHG said, “Being a responsible business is in our DNA. It is at the heart of everything we do and IHG Green Engage has been central to the huge improvements we have seen in our CDP scores this year. As always, there’s more to be done, but we are very proud of what we’ve achieved so far and our CDP scores are testament to our continued improvement.”
In September 2013, IHG announced a series of new CR targets for 2013-2017. The targets continue to focus on driving impact through IHG’s three core CR Programmes, which alongside IHG Green Engage, include IHG Shelter in a Storm Programme and IHG Academy. The targets will also see IHG track and report supply chain diversity and integrate CR criteria into the selection and evaluation process for all preferred suppliers. They are a clear signal of IHG’s commitment to doing business responsibly and to creating shared value for IHG, its owners, the environment and the local community.