Ecoresort Development

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Ecoresort Development

• Overview of optionsfor green approachto
  development

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Tourism Industry overview
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World Tourism Growth
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Asia Tourism Growth
2005 growth
2006 growth
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Tourism Statistics

• One of worlds largest industries
• Worlds 2nd largest economy
• Worlds largest employer 200 million jobs
• In 2004, tourism contributed globally an
  estimated 5.49 trillion of economic activity
• In 4 out of 5 countries (over 150) tourism is
  oneof five top export earners.
• Growing fastest in developing countries
• Since 2000 Negative impacts of tourism to
  societies and environment visible

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Global Consumer Polls

• 3/4 tourists say their travel should not damage
  environment
• Majority of tourists say they want to learn about
  customs, geography, culture
• At least 1/3 of tourists say they are willing
  pay more to companies that benefit local
  communities and conservation

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Consumer demand

• More than 2/3 of U.S. and Australian travelers,
  and 90 of British tourists, consider active
  protection of the environment, including support
  of local communities, to be part of a hotels
  responsibility.
• In Europe
• 20-30 of travelers aware of needs values of
  sustainable tourism
• 10-20 look for green options
• 5-10 demand green holidays
• In Germany, 65 (39 million) of travelers expect
  environmental quality 42 (25 million) think
  that it is particularly important to find
  environmentally-friendly accommodation.
• Nearly half of those surveyed in Britain said
  they would be more likely to go with a company
  that had a written code to guarantee good working
  conditions, protect the environment and support
  local charities in the tourist destination...

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Hotels going green worldwide
Many tourism companies are trying to reduce their
impact on the environment - and save money - by
cutting consumption of water, energy and
improving the disposal of waste
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Ecotourism overview
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Definitions

• TOURISM Travel undertaken for pleasure
• NATURE TOURISM Travel to unspoiled places to
  experience and enjoy nature
• ADVENTURE TOURISM Nature travel which involves
  physical skills, endurance degree of
  risk-taking
• ECOTOURISM Responsible travel to natural areas
  that conserves the environment and improves the
  welfare of local people
• SUSTAINABLE DEVELOPMENT Meets the needs of the
  present without compromising the ability of the
  future generations to meet their own needs

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Birth of ecotourism

• Growth of global environmental movement
• Increasing tourist dissatisfaction with mass
  tourism
• Host countries finding few benefits from
  conventional tourism
• World Bank concludes mass tourism is poor
  development tool
• Conservationists alarmed by destruction of rain
  forests and wildlife

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Components of Ecotourism

• Minimize impact
• Build environmental cultural awareness and
  respect
• Provide positive experiences for both visitors
  and hosts
• Provide direct financial benefits for
  conservation
• Provide financial benefits and empowerment for
  local people
• Raise sensitivity to host countries' political,
  environmental, and social climate

Responsible travel to natural areas that
conserves the environment and improves the
well-being of local people."
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Ecotourism global growth

• Beginning in 1990s, growing 20 - 34/year
• In 2004, ecotourism/nature tourism was growing
  globally 3 times faster than tourism industry as
  a whole.
• Sun-and-sand resort tourism has now matured as a
  market and its growth is projected to remain
  flat. In contrast, experiential tourism--which
  encompasses ecotourism, nature, heritage,
  cultural, and soft adventure tourism, as well as
  sub- sectors such as rural and community tourism
  is among the sectors expected to grow most
  quickly over the next two decades

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A broader definition

• Cultural, Heritage, Agro, Green Urban tourism
• Organic and Slow food movements
• Traditional cuisine, heirloom seeds
• Innovations in Eco-lodge architecture low impact,
  off the grid, sense of place
• Fair trade in handicrafts, etc.
• Activist Opposes deforestation, bio-piracy
• Supports indigenous rights

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Ecotourism growth in Asia

• Asia-Pacific nations promoting their incredible
  diversity in natural products.
• Sustainable nature-based tourism is the focus of
  this new trend.
• Indonesia and Malaysia are making great strides
  in the development of ecotourism and
  community-based tourism
• China has placed ecotourism and sustainable
  tourism as the main component of their tourism
  products in provinces such as Anhui, Guizhou, and
  Yunnan
• Thailand and Viet Nam are currently drawing up
  sustainable tourism master plans
• Trend not yet visible in India in practice
  although marketing companies spin the story on
  Nature-based Tourism operations to sell stays

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Eco-tourism in India

• Today Eco-tourism as advertised in India is
  technically Nature Tourism
• Ecotourism was born out of a need to practice
  Nature Tourism Sustainably
• The high-dollar international tourist is in
  search of ecotourism
• The market niche is unique and practically
  untapped in India at this time

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Consumer Willingness to Pay

• Some 58.5 million US travelers (38) would pay
  more to use travel companies that strive to
  protect and preserve the environment
• Of these, 61 say they would pay 5-10 more to
  use such companies
• A survey of upscale American travelers revealed
  that 70 would pay up to 150 more for a two-week
  stay in a hotel with a responsible environmental
  attitude
• A survey of executives from the US 2,000 largest
  foundations found that 80 were interested in
  hotels social and environmental practices

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Eco-tourists do pay more
In Costa Rica, tourism (most of which is
ecotourism) generates 1000/visitor while in
France, standard tourism generates only
400/visitor
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Carbon offset programs

• Individuals are becoming increasingly conscious
  of their contribution to climate change
• Visitors can earn credits through a stay at your
  resort

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Perspectives of a Developer

• Stanley Selengut is a pioneer of modern day
  ecotourism - Maho Bay / Estate Concordia

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The IT Power Indiacontribution
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Highlights

• Technological innovations to achieve the
  Eco-lodge architecture low impact, off the grid
  effect
• Eco-Marketing to increase occupancy and
  profitability of retail operations via website
  and network
• Co-Financing via major international donor
  agencies, Clean Development Mechanism (CDM), and
  reduced costs for showcased technologies

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Technological innovations
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Technology for resorts

• Ecoresorts distinguish themselves by
  demonstrating sustainable living to visitors
  through innovative and almost futuristic
  implementation of existing technologies
• IT Power India can help to implement
• Passive solar thermal architecture (cooling)
• Renewable energy (Solar PV, Micro-hydro,
  Bio-fuel)
• Solar electric carts
• Waste disposal
• Irrigation
• Rainwater catchments
• Greywater management
• IT Power can also provide cost comparison
  between standard solutions and green alternatives

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Resource monitoring

• The ITPI software team can develop an in-room
  computerized resource monitoring system to enable
  visitors to gain a practical understanding of

• Water, Hot water and Energy Consumption
• Water, Hot water and Energy Production
• How technologies work
• How these technologies mitigate climate change

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Eco-Marketing
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Eco Media worthy

• Climate change is a hot topic in the
  international press
• Green technologies in resorts are more
  media-worthy than ever
• Free-press coverage common which is ideal to
  launch a new venture. See http//www.maho.org/InT
  heNews.cfm for example
• Incorporation of new technologies over time,
  combined with inaugurations / ceremonies can
  periodically keep the press interested
• International eco-resort marketing and
  informational websites will pick up on resort
  development practices and promote them over the
  competition

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Website

• ITPI web development team specializes in websites
  that promote sustainability
• We understand the market
• We are search engine optimization experts
• An online web store would allow brokerage of
  visitor orders for all products showcased at the
  resort
• Educational content will increase weight of
  website for search engines

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Retail profit center

• All technologies on demo at the resort are for
  sale via the retail store or visitors can order
  online independently
• Manufacturer distribution network would assume
  all distribution responsibilities
• Gift shop gimmicks (solar mosquito keychain,
  crank flashlight, solar lantern, etc)
• Local crafts can be sold for more because they
  are made by the local community
• profits go back into local environment and
  community - makes guest feel good about spending
  money

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Co-Financingpossibilities
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Relationships with donors

• ITPI has done extensive work for the worlds most
  renowned international donors and development
  agencies
• Researching the potential for donor contribution
  to the project(s) is within the scope of our
  capabilities
• India increased CO2 emissions by 46 since 1990.
  Projects to promote and demonstrate the viability
  of sustainable development in India are needed
  and are likely to solicit support
• A donor contribution could fully offset
  additional costs associated with the upfront
  investment to go Eco

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Funding sources
Sustainably developed tourism operations are
supported by major international donor agencies
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Clean Development Mechanism (CDM)

• IT Power India has expertise in structuring CDMs
  in India
• An investor from a country historically
  responsible for climate change can invest in
  greenhouse gas saving projects in India and earn
  Certified Emission Rights (CERs)
• If properties are bundled and education of
  visitors / marketing of green technologies is
  factored in, possible that volume could
  substantiate development of a CDM

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Reduced Cost of Technologies

• All technology at the resort is showcased,
  documented and promoted in rooms, and sold online
  and through gift shop
• IT Power can demonstrate marketing value of the
  showcase approach to manufacturers
• Cost of Technology used to make the resort Eco
  can be negotiated

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Actions
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Resort developer

• Confirm interest in pursuing ecoresort approach
  to development
• Select from IT Power India proposed
  contributions, those which are of interest
• Define timeframe for proposal development and
  implementation

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IT Power India

• Outline in more detail the feasibility of chosen
  project components
• Provide cost analysis of alternative eco
  approach to standard
• Integrate both above items into an economic model
  for the Eco and regular versions of the property

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Sources

• International Ecotourism Societyhttp//www.ecotou
  rism.org/
• World Tourism Organizationhttp//www.world-touris
  m.org/
• CQ Presshttp//www.cqpress.com
• Center on Ecotourism and Sustainable
  Developmenthttp//www.ecotourismcesd.org