Relationships between tourism and hospitality sector electricity consumption in Spanish Provinces (1999-2013)

Abstract

The EU is committed to a 40% reduction in their domestic greenhouse gas emissions by 2030. In order to reach this ambitious target, new measures affecting all economic sectors would be needed. This paper focuses on the tourism sector. Using econometric panel data techniques, the relationships between tourist overnight stays and the hospitality sector electricity consumption is studied for the Spanish provinces during the period 1999-2013. With this aim, an Energy-Tourism Kuznets Curve hypothesis is tested. The results show that the Energy-Tourism Kuznets Curve hypothesis is not supported. An increasing positive relationship between the hospitality sector electricity consumption and overnight stays is observed. Results also show that the hospitality sector electricity consumption elasticity values, with respect to tourist overnight stays, differ among the provinces, the values being within a range of 0.1-0.5 during the period. The highest values are observed for the Balearic Islands, the Canary Islands, Gerona, Tarragona and Malaga. Energy efficiency measures, the adoption of renewable energy systems and the development of energy management capabilities are recommended.