Almost half of 217 global firms cut their business travel carbon emissions by at least 50% between 2019 and 2022, analysis published on Monday found, as corporate air travel returned at a much slower pace since the pandemic than leisure flights.
Despite a global rebound, business travel has been slow to return to 2019 levels, with many corporate clients turning to video conferencing or rail trips rather than flying. Global business travel firms say this trend could hit corporate relationships, while environmentalists argue it represents an important step in minimizing overall emissions.
Advocacy group Transport and Environment has said that a 50 per cent reduction in business travel from pre-COVID levels is needed this decade to cap global warming at 1.5 degrees Celsius.
Major companies such as tech firm SAP, accounting firm PwC and Lloyd’s Banking Group all reduced their corporate air travel emissions by more than 75 per cent compared to 2019, the Travel Smart Emissions Tracker analysis concluded.
“The way forward is collaboration with more online meetings, more travel by train and less by plane,” Denise Auclair, Travel Smart campaign manager, said in a statement.
However, the study found 21 of the companies exceeded their levels of flying compared to 2019, with L3Harris, Boston Scientific and Marriott International increasing their carbon emissions by more than 69% compared to 2019.
L3Harris, Boston Scientific and Marriott International did not respond to requests for comment. Airlines say the corporate travel decline could harm their business and economic growth, but robust post-pandemic consumer demand for flying has tempered fears. A joint survey by American Express Global Business Travel (Amex GBT) and the Harvard Business Review released in September said 84 per cent of businesses believe in-person trips still bring “tangible business value”.
Business trips generated as much as half of passenger revenue at U.S. airlines before the pandemic, industry group Airlines for America estimated. This helped airlines sell high-margin premium seats and fill weekday flights.
In Europe, airlines like Air France have shifted their strategies, with others trying to make up for the business drop by selling more premium trips to leisure travellers.
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Full-service carrier Vistara has announced daily non-stop flights between Delhi and Bali, starting December 1, 2023. This would make Vistara the only airline offering direct connectivity between the two cities currently.
According to Vistara, it will be deploying its A321LR aircraft, with a three-class configuration, giving its customers the option to fly in Business, Premium Economy, or Economy cabins when travelling on the route. Bookings for the flights are being progressively opened on all channels, including Vistara’s website, mobile app and through travel agents.
“India is the second-largest source of foreign tourists to Bali, and with hassle-free visa-on-arrival, Bali remains one of the preferred holiday destinations for Indians, besides being popular for MICE traffic,” said Vinod Kannan, Chief Executive Officer, Vistara.
“Additionally, as the second largest trading destination for India in the ASEAN region, Indonesia exhibits great potential for business travel as well. We are delighted to be the only airline offering direct connectivity between Delhi and Bali. We are confident that customers will appreciate having the option to travel on India’s finest full service airline on the route,” said Kannan.Bali has become an increasingly sought-after holiday destination for Indians due to its accessibility, proximity, and hassle-free visa on arrival facility.
The flight from Delhi will depart daily at 00:30 hrs and arrive in Bali at 11:05 hrs and from Bali daily at 12:10 hrs and arrive in Delhi at 17:45 hrs (exact timings may differ slightly for respective days of operations), the company informed.
The airline will accept all eligible customers meeting visa/entry requirements in both countries, as specified by the respective government bodies, it said.
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