Across numerous industries, we are seeing an increased and continued focus on environmental sustainability and decarbonisation and the media, entertainment and sport (MES) sector is no exception. In this article, we’ll look at some of the ways in which the MES sector has responded to such increased focus, particularly since the 2015 Paris Agreement.
Following the 2015 Paris Agreement, the United Nations has invited sports organisations and their stakeholders to join their Sports for Climate Action initiative. This aims to support sports organisations to show climate leadership and achieve global climate change goals, with signatories asked to commit to target halving their GHG emissions by 2030 and targeting net-zero by 2040. Signatories to the initiative span multiple sports, and consist of a variety of sporting bodies and organisations. Similarly, UK Sport recently published its Environmental Sustainability Strategy, which includes an aim for high-performance sport to have a net-positive impact on the environment by 2040. The strategy also highlights the important role that sport can play in advocating for environmental sustainability and inspiring positive change across society.
Esports and video gaming are energy-hungry industries, however, there have been active steps taken by the industry to decarbonise. The Playing for the Planet Alliance – which boasts a number of major game studios as members– supports the industry to reduce its environmental impact and has stated that 60% of members have made commitments to become net-zero or carbon-negative by 2030.
A point of consideration that is applicable to the entire MES sector, but perhaps most notably esports and online gambling, is the use of data centres. Data centres provide core infrastructure for digital activity but use large amounts of energy to maintain their servers. However, many data centre operators have integrated energy efficiency and sustainability into the design and operation of their data centres, with such operators exploring a variety of methods including reusing heat generated and using more renewable energy sources.
The entertainment industries have also seen an increase in environmental sustainability initiatives. Whilst founded prior to the 2015 Paris Agreement, albert (an industry-backed organisation) supports the film and TV industries to take effective climate action through a variety of means, including through the provision of tools for measuring a production’s carbon footprint and providing carbon action plans. Sustainability is also an increasingly important topic in the music sector, particularly with regards to staging of live shows and tours. An example of positive action being taken can be found in the impact report released in relation to Billie Eilish’s 2022 ‘Happier Than Ever’ world tour, which stated that over 8.8 million gallons of water were saved and over 15,000 tonnes of CO2e were neutralised through various sustainability measures.
Whether it be hosting an international music tour or a major sporting fixture, we are also seeing increased action being taken in terms of stadiums and venues becoming more environmentally sustainable, with some stadiums leveraging renewable energy sources (such as solar panels) to reduce greenhouse gas emissions.
Accompanying the increased importance being placed on sustainability within the MES sector, the Advertising Standards Authority and Competition and Markets Authority are placing more focus than ever on “greenwashing” in the UK – claims about environmental initiatives and sustainability that don’t stand up to scrutiny. Companies within the MES sector who intend to make declarations about their sustainability – perhaps to appeal to potential consumers and sponsors – need to be careful with their own green claims, as well as those of their partners.
Whilst a number of positive actions have been taken, there remains a large range of opportunities and challenges for the MES sector in terms of its approach to sustainability and decarbonisation. At Bird & Bird, our work with some of the world’s largest and most cutting-edge companies in the media, entertainment and sport sector gives us first-hand insight into the innovative approaches that are creating new blueprints for sustainability. It is important to remember that progressing decarbonisation goals can bring tangible opportunities, and we work with our MES clients to offer guidance and support to help them meet these goals, advising on regulatory compliance and the creation of innovative and sustainable sources of business value.