The value creation process through the adoption of a climate change strategy
The Climate Change Strategy for Mahoora [MCCS – Mahoora Climate Change Strategy] isa multi‑dimensional value creation process. We believe that in the face of the emerging low carbon economies and markets, our well‑prepared Climate Change Strategy will pave the way for the organisation to position its brand and hence build lucrative alliances with our customer base, and improve bottom‑line growth, as well as gain new markets and market share from other operators.
We believe that we will benefit from the value creation process of our Climate Change Strategy through its core business pillars as shown below.
Who will see value in a Mahoora Climate Change Strategy?
The perceived value of a Mahoora Climate Change Strategy will essentially be for the benefit of customers who are planning to initiate climate change action in their own spheres in the near future and those who have already embraced the agenda.
With global leaders such as US President Barack Obama taking firm action to bring USA to the foray of climate change action, major leisure brands will be compelled to re-evaluate their stand on climate change policy.
Our preparedness as a supplier will enable us to adapt quickly and efficiently to required levels of disclosures on Green House Gas (GHG) emission levels by international customers and tour operators.
Brand Value in leading the industry
Travel companies in the east are yet to take significant strategic initiatives in climate change. Mahoora’s move into the foray at this time will allow us to lead the industry in strategic climate change action.
Sri Lanka positioning
While we believe that it is a matter of time before a climate change action strategy becomes a part of the normal course of business, an early adoption strategy complements Sri Lanka’s positioning in the tourism industry as a climate compliant ethical tourism destination. In times of increasing pressures in the industry, a niche positioning will be of paramount importance for Sri Lanka to retain its competitiveness against the likes of Maldives, India and Thailand.
Investing in “Low Carbon” mechanisms will allow us to build optimal cost structures, specifically at our camping operations. In the global market, this would provide us with premium mark ups against our competitors. A well-prepared infrastructure now will avoid expensive modifications later.
The world is converging on adopting operational models that minimise Green House Gases much sooner than anticipated due to global accountability to climate change risk. Therefore, early adoption will preclude inconsistent modifications and allow us to remodel our existing capacities and build our future operations and new products in line with emerging climate compliant customer requirements.
Niche Market Sales Growth
We believe that adopting a climate change strategy at an early stage will allow us to provide differentiated product categories that are capable of attracting a niche consumer base globally. A clearly defined emissions strategy and reporting mechanism will add quantifiable value to our product base.
Operational action will translate into bottom-line returns.
A competitive and efficient operational model will eventually benefit and increase our profitability.
Influence our suppliers to integrate into our climate change strategy, adding value to our products
This will be an important mandate that we think will pay for itself, as us becoming a pioneer in the climate change action space within the industry enables us to influence our customers and seek to establish potential alliances with supply chain partners who will also want to leverage off our early mover advantage.
Mahoora Climate Change Strategy
We are enhancing our brand value by enhancing customer experience and respecting their values. We have developed and marketed truly carbon neutral camping holidays to climate conscious customers and tour operators alike and have become the first to do so in the world.
All holidays and travel itineraries sold by MCCS will have an individual carbon footprint audited in accordance with internationally recognised standards.
MCCS will be able to introduce competitive low carbon products to its customers as a result of
- Implementing efficient energy switching mechanisms
- Implementing recommended energy saving measures
- A quantifiable emissions footprint on each holiday and activity, enabling offset
We have developed and marketed the first of its kind carbon neutral holidays to our customers. Our strategy can be separated into two stages. First, we audit our own operational carbon footprint, which is negligible compared to other similar upmarket accommodation providers and then, we measure the client’s carbon footprint during their stay with us, taking into account their travel and time spent within our facilities.
We then offset their carbon footprint and our own operational footprint, enabling us to remain carbon neutral as an organisation. We in turn enable the customer to have no carbon footprint in the component that we provide in their holidays.
We have purchased a bank of UN-certified carbon credits or CERs (Certified Emissions Reductions) and hold it in a carbon registry. We have ensured that the credits we have purchased have an ethical value addition. For example, the project activity that produced the credits will be from an activity that has enhanced communities or the environment, as opposed to the destruction of industrial gases. We retire the credits in blocks of 10 tonnes of carbon (10 credits) at a time.