6 must-have elements of a sustainable travel policy

Organisations are working to understand and reduce the impact of their business travel on the environment to meet business environmental, social, and governance (ESG) goals and emerging regulations such as the Australian Sustainability Reporting Standards (ASRS) and the Corporate Sustainability Reporting Directive (CSRD).

Regulations are tightening, stakeholders are asking tougher questions, and organisations are under increasing pressure to demonstrate measurable progress on their ESG goals.

The good news? Business travel doesn’t need to come at the expense of sustainability. By embedding clear sustainability measures directly into your travel policy, you can reduce emissions, meet compliance requirements, control costs, and enhance traveller wellbeing all without compromising the value of business travel itself.

Here are six essential elements to consider when shaping a sustainable travel policy.

1. Choose direct flights where possible

Every take-off and landing accounts for a large share of an aircraft’s emissions. Reducing stopovers by booking direct flights is one of the most effective ways to cut your travel footprint. It also saves employees time and reduces fatigue, supporting overall wellbeing.

Pro tip: Encourage your travellers to prioritise direct routes in your booking platform. Where this isn’t possible, consider consolidating trips to maximise the value of each journey.

Did you know?

 

2. Define the class of travel rules

Travelling in business class produces up to three times the emissions of economy due to larger seat space and fewer passengers per cabin. By introducing clear class-of-travel guidelines, companies can reduce both their emissions and travel spend.

Pro tip: Many organisations now mandate economy class for flights under six hours, reserving premium cabins for long-haul or wellness-related needs. Clear policy saves employees from making ad-hoc choices and provides consistency across the business.

Did you know?
According to conversion factors from the Department for Energy Security and Net Zero (previously DEFRA), a one-way economy flight between London and New York, for one passenger, would be responsible for 1.12 tCO2e emissions. If in business class, they would be responsible for 3.24 tCO2e, and in first class, 4.47 tCO2e.

3. Prioritise sustainable ground transport

Ground transport choices play a growing role in reducing emissions. Electric and hybrid vehicles are now widely available through rental providers and ride-share services. In regions with strong rail networks, such as Europe, replacing short-haul flights with rail journeys can cut emissions significantly while allowing travellers to work productively on the move.

Pro tip: Configure your booking tool to make EVs the default option and surface rail alternatives where available. These simple changes drive adoption without adding complexity for travellers.

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4. Select certified hotels

Hotels and accommodation are turning to ratings and certification bodies such as NABERS, Green Key and EarthCheck to measure and benchmark their impact. Certifications from these organisations provide measurable benchmarks for energy and water efficiency, waste reduction, and overall environmental performance and the comfort that the corresponding environmental claims have been externally verified.

By promoting the use of preferred hotels and accommodation partners with sustainability certifications in your travel policy, you can ensure every overnight stay supports your ESG goals.

Pro tip: Encourage travellers to book certified properties by making sustainability ratings visible at the time of booking. Over time, these choices not only reduce environmental impact but also influence supplier negotiations in favour of more sustainable partners.

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5. Assess airline sustainability profiles

Not all airlines are equal when it comes to sustainability. Beyond ticket price, look at factors such as fleet age, use of Sustainable Aviation Fuel (SAF), and commitments to carbon reduction targets. Choosing airlines that are prioritising lower-emission operations supports the industry’s transition and aligns your programme with long-term sustainability goals.

Pro tip: Leverage CTM’s Lightning booking tool, which provides an airline SAF score (AAA to D) across 250+ global carriers. This enables travellers and bookers to compare flights not just by price and schedule, but also by environmental impact.

Did you know? IATA estimates that SAF could contribute around 65% of the reduction in emissions needed by aviation to reach net zero CO2 emissions by 2050.

6. Introduce carbon budgets

A carbon budget assigns a maximum emissions allowance to a business unit, department, or individual traveller. This makes sustainability tangible, encourages responsible decision-making, and keeps emissions reductions on track.

While still an emerging practice, carbon budgets are gaining traction as businesses seek practical ways to balance travel needs with sustainability commitments.

Pro tip: Start small. Create a pilot group of frequent travellers before scaling across the organisation. Use reporting tools such as CTM’s Data Hub to track usage in real time and link budgets to approval processes where appropriate.

Putting policy into practice

A sustainable travel policy is only effective if travellers and bookers understand it and follow it. To help them get on board, organisations may wish to consider:

1. Education: provide short, practical training on why sustainability rules are in place.
2. Incentives: recognise employees or teams that consistently book within policy.
3. Visibility: use your online booking tool to highlight sustainable choices at the point of decision-making.
4. Impact: enable travellers to monitor progress through carbon reporting.

Technology that brings policy to life

Sustainability commitments are far easier to achieve with the right technology in place.

CTM’s proprietary platforms provide:

• in-booking emissions calculations and SAF airline scoring and certified accommodation ratings
• the ability to filter and preference car results for EV and hybrid vehicles
• sort and filter hotels and cars by lowest emissions
• on-demand carbon dashboards and detailed emissions reporting by trip, traveller, department, class of travel, or by service (air/hotel/car/rail).

By embedding sustainability insights directly into the booking process and reporting cycle, organisations can move beyond “policy on paper” to measurable outcomes.

The bottom line

Sustainability in corporate travel isn’t about restricting travel; it’s about maximising value while minimising impact. A well-designed travel policy balances emissions reduction with cost control, compliance, and traveller wellbeing.

By taking practical steps, from direct flights and EV rentals to certified hotels and carbon budgets, your organisation can demonstrate leadership, meet regulatory requirements, and unlock long-term savings.

At CTM, we help organisations worldwide turn sustainability commitments into measurable results. Our technology and expertise make it simple to align your travel programme with both cost savings and environmental goals.