Addleshaw Goddard has today launched a paper proposing model drop-in clauses to help drive ESG outcomes through hotel sector contracts.

Written in collaboration with the Energy & Environment Alliance (EEA), the paper provides a series of contract clauses, which can be used within the construction industry to encourage contractors and other key stakeholders to adopt sustainable working practices, including through incentivising green modifications to the design and development of a project.

Ufi Ibrahim, CEO, Energy & Environment Alliance

The paper, ‘Sustainable Hotel Construction’, investigates why sustainability is so important in the construction of hotels, highlighting the unnecessary amount of embodied carbon often accumulated during the build phase and setting out opportunities to reduce the environmental impact of hotels during their operation.

The clauses were drafted based on those developed by the Chancery Lane Project, a not-for-profit coalition of lawyers working to develop new contracts and model laws to help fight climate change.

Luke Baines, construction partner and co-head of the Hotels Sector at Addleshaw Goddard

The clauses are freely available for anyone to use, demonstrating Addleshaw Goddard’s continued commitment to finding imaginative solutions to ESG-related business challenges and areas of opportunity.

The paper was launched at the Energy & Environment Alliance’s second annual summit, which is this year dedicated to investment and innovation in Net Zero Carbon (NZC) and Environmental, Social and Governance (ESG) leadership for hotels.

Ufi Ibrahim, CEO, EEA, said: “Buildings are responsible for 39% of global greenhouse gas emissions, one third of which is embodied carbon resulting from the construction and end of life phases of built assets. As planning authorities and regulators accelerate carbon accountability rules – moving beyond operational to embodied carbon, investors need effective and robust tools with which to tackle the environmental, social and governance (ESG) impact of all life stages of their assets. For hotels, ESG considerations throughout the lifecycle of the asset directly impact yields and business values. I am therefore thankful to Addleshaw Goddard for their timely leadership on the Sustainable Construction Clauses report, helping to provide the legal framework and model clauses for sustainable hotel infrastructure and buildings.”

Luke Baines, construction partner and co-head of the Hotels Sector at Addleshaw Goddard, commented: “We are delighted to have worked with the EEA and Chancery Lane Project to produce a paper that can make a real difference by promoting sustainable development in the hotels sector.”

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