The Balearic Islands's Government has fixed in its tourism sector law (Ley 3/2022 de medidas urgentes para la sostenibilidad y la circularidad en el turismo) the obligation for every hospitality company to integrate circularity into its governance system, by defining and setting the minimum content of a Circular Strategy. No sector can be circular on its own. Despite this, Tourism is in Balearic Islands the main economic motor (it
accounts itself the production of 25% of its GDP directly, and more than 40% accounting indirect effects), and therefore absorbs most of the private investment in our archipelago. With this in mind, the policymakers have designed this obligation in order to boost circular transition, as the hospitality sector has sufficient traction potential (a long value chain and a huge GDP proportion of Balearic Economy), to make shift its
providers and customers into circularity.

This Circular business strategy consists in 2 parts:

A Circular Evaluation. Before planning our transition to circularity, it's mandatory to understand the gap between the current state of the business and the optimal circular conditions. To do so, each establishment must monitor a list of 16 mandatory Key Performance Indicators, grouped under 4 categories or priority areas: Water, Energy, Materials and waste and Alimentation. This circular evaluation has to be updated annually.
Circular Planification: Once the establishment has done its evaluation, it has to commit to several objectives to improve its indicators, and to do so elaborate five years forward planning, plotting new investments, processes and formation to achieve them. This planification must be updated, at least, once every 5 years.
 

The spirit of this measure is to shape our sector's investment toward circularity, helping the community to
achieve some of the SDG's at the same time the company is improving it's efficiency and reducing its waste
production and resource consumption, boosting also the diversification of Balear Economy.

The measurable target is that 100% of tourist accommodation companies in the Balearic Islands to have a Circular Business Strategy by 2024 and to update it every 5 years.