In recent years, tourism across the GCC has surged to near-record highs, with a thriving hospitality sector mirroring this momentum. Hotels in Saudi Arabia and the UAE now rank among the world’s best. 

Operating on a global stage and aligned with ambitious regional net-zero goals, it’s no surprise that leading brands embed sustainability at the heart of their strategies.

At The Ritz-Carlton Jeddah, sustainability is treated not as an afterthought but as an integral part of the guest journey. Whether through intelligent building management systems or cutting single-use plastics, Hisham Razak, Director of Engineering, says the aim is to give guests choices that align with their values. 

The motivations are multifaceted, says Razak, citing their commitment to safeguarding brand reputation, ensuring long-term cost efficiencies, and responding to rising guest expectations as the main drivers. “(It’s about) improving comfort while reducing the environmental impact,” he says. “Discerning travellers, especially in our region, want indulgence with a conscience. If we can meet that demand, we can deliver everlasting luxury while supporting the global sustainability goals.”

DESIGN FIRST: BUILDING SUSTAINABILITY IN

Sustainability, however, isn’t limited to in-stay operations. Increasingly, it begins long before a hotel opens its doors. Graham Petty, Operations Manager at LINQ, stresses that the conversation around sustainability is rightly moving earlier in the design process. “Construction is incredibly resource-intensive, far outweighing the impact of in-stay initiatives like towel reuse,” he adds. 

Petty draws from his experience with the company that manufactures precision-engineered hotel rooms and villas off-site, cutting waste and ensuring consistent quality. He says that by locking in 3D designs and streamlining processes, the company reduces carbon impact and inefficiencies. Furthermore, modular construction offers major advantages. Unlike sequential building, it allows off-site manufacturing and on-site preparation simultaneously, slashing timelines by up to 50% and cutting costs by as much as 20%, according to McKinsey.

This approach is especially critical in the Middle East, adds Petty, where the UAE and Saudi Arabia are preparing to add an unprecedented number of hotel rooms in the coming decade: “It’s a once-in-a-generation chance to integrate advanced sustainability from day one rather than retrofit later.”

REGULATIONS DRIVING CHANGE

Hotels in the Middle East face the same pressures as their global peers. As Muhammad Ahmed, Director – Sustainability Reporting and Climate Risk at PwC, points out, ESG reporting is no longer a nice-to-have—it’s an operational necessity.“Investors are asking for consistent, comparable data on emissions, water use, and waste management—not glossy sustainability statements,” he says. At the same time, regional regulators are rolling out disclosure frameworks aligned with global standards.”

For hotel groups, this shift moves sustainability from brand initiative to core business strategy, shaping design decisions, supply chain management, and even negotiating energy contracts. Strong ESG performance, Ahmed notes, is directly tied to attracting capital and staying competitive.

While regulations remain limited, momentum is growing. A 2024 UAE law mandates companies, including hotels, to report Scope 1 and Scope 2 emissions if they exceed 500,000 tons of CO₂ equivalent, says Ahmed. Local exchanges such as DFM, ADGM, and ADX have also published ESG reporting guidelines, though adoption is currently voluntary for most companies outside the capital markets.

MEETING GUEST EXPECTATIONS

Beyond the boardroom, hotels are also committed to the initiative to adapt to shifting visitor preferences. At The Ritz-Carlton Jeddah, local projects reinforce Marriott International’s Serve360 commitments because sustainability is now as expected for guests as Wi-Fi. “Guests expect that a luxury hotel will be energy-aware, waste-conscious, and responsible in its services. The difference is how elegantly these things are woven into our brand story,” says Razak. 

Behind the scenes, advanced HVAC and water recycling systems tackle extreme climate conditions, while food-waste solutions are under review. Guest-facing experiences are just as deliberate: reusable glass bottles replace plastics, and seafood is sourced from local suppliers that follow sustainable practices.

This is because preferences vary. Razak shares that any traveller prefers “invisible sustainability”—LED retrofits, smart thermostats, or efficient laundry systems—while others want active engagement, from linen reuse and plant-forward dining to tree-planting initiatives. “As hoteliers, it’s about providing both pathways: invisible background measures for passive comfort, and visible touchpoints for those who want to actively engage,” he adds.

Keeping in mind cultural norms is equally important. “The challenge we face is coordinating the need for grandness and abundance, which is embedded in being a good host in the Gulf, with the expectation to conserve and act responsibly. It is a balance that requires innovation and sensitivity,” Razak adds.

Design choices have a significant impact on guest experience as well. “In our region, air conditioning dominates consumption. We keep rooms cooler naturally by using materials that enhance thermal performance, like lightweight cellular concrete,” says Petty.

Yet credibility is as important as comfort. Ahmed stresses that independent assurance of ESG data is critical to bridging the trust gap. “By subjecting emissions and resource data to the same scrutiny as financials, hotels can back their claims with confidence,” he says. Transparent sustainability accounting deters greenwashing and provides insights for performance improvement and comparability across the industry.

HOTELS AND NATIONAL NET-ZERO PATHWAYS

Looking ahead, sustainability in hospitality isn’t just about compliance; it’s about leadership. Razak believes the GCC has a unique chance to set benchmarks for the world. “With Saudi Arabia’s Vision 2030 and the UAE’s Net Zero 2050, there’s urgency to innovate. By investing in renewable energy, water stewardship, and sustainable construction, our properties can be world-class and world-class sustainability leaders.”

He stresses the value of collaboration in this context: “Partnerships between hospitality brands, governments, and communities are essential if the Gulf is to become a global beacon of sustainable luxury.” He adds that guests should leave with memorable stays and a sense of being part of forward-looking environmental stewardship.

With GCC hotel stock projected to double by 2030, speed and quality are critical, and modular is uniquely positioned to deliver both. “For remote luxury destinations in Saudi Arabia, modular eliminates logistical hurdles while maintaining quality,” says Petty.

The region’s net-zero commitments are reshaping expectations across industries. Hotels, given their visibility, have an opportunity to lead, says Ahmed. “The key is integration: embedding efficiency, renewable energy, and sustainable procurement into the core business model rather than treating them as add-ons.”

“By aligning with national pathways, hotels not only meet regulatory and societal expectations but also access new revenue streams, including green financing,” Ahmed adds. “This holistic approach positions hospitality brands as industry leaders, driving long-term growth while creating meaningful value for guests, investors, and the wider community.”