Penang Green Hotel
Towards a Sustainable Hospitality Industry
Penang’s tourism and hospitality sector is a key pillar of the state’s economy, attracting millions of domestic and international visitors each year. In 2023, Penang’s services sector became the largest contributor to the state’s GDP, accounting for 15.5%, with tourism playing a major role (Penang Institute, 2025).
According to the Penang Tourism Master Plan 2021–2030, tourist arrivals are expected to reach 7 million annually, with almost half being foreign visitors. In George Town, hotel occupancy rates have consistently exceeded 62%, reflecting the sector’s resilience and potential.
As global and local travellers increasingly choose eco-friendly destinations, Penang is taking proactive steps to position itself as a sustainable tourism hub. The Penang Green Hotel Programme supports this vision by empowering hotels to adopt green practices that balance environmental care, social responsibility, and economic sustainability.
This initiative aligns with the Penang2030 Vision, targeting 80% of hotels in Penang to adopt green practices by 2030 (Target D4T3).
Our Vision
To position Penang as a leading destination for sustainable tourism, driven by innovation, environmental stewardship, and strong community partnerships.
The Penang Green Hotel Programme aims to:
Reduce Environmental Impact
Support hotels in adopting green practices that contribute to Penang’s sustainability goals.
Promote Green Economic Growth
Encourage the creation of green jobs and the use of sustainable technologies in hospitality.
Drive Industry Transformation
Align tourism industry practices with community expectations and regulatory standards.
Key Focus Areas
Our programme focuses on four core pillars of sustainability:
Energy Conservation
Implement energy-saving measures to reduce carbon footprint.
Water Conservation
Encourage efficient water management to protect local resources.
Waste Management
Adopt waste reduction strategies, including recycling and composting.
Sustainable Sourcing & Green Procurement
Promote eco-friendly purchasing policies and responsible supply chain management.
Our Strategies
To ensure successful implementation, the Penang Green Hotel Programme focuses on:
Raising Sustainability Standards
Provide guidance for hotels to achieve green certification.
Initiating Pilot Projects
Encourage research and adoption of innovative green solutions.
Building a Sustainable Hotel Ecosystem
Foster collaboration between the hospitality industry, government, and community.
Promoting Awareness
Educate both industry players and tourists about sustainable tourism practices.
PGH Taskforce
Roles:
1. To mainstream green practices by transforming the industry landscape through the development of sustainability-driven strategies and action plans.
2. Strengthening access to green financing, knowledge, technology, and expertise
3. Empowering and mobilizing hotels and relevant stakeholders.
4. Accelerating action at the local level.
Chairman: YB Dato’ Seri Sundarajoo A/L Somu (EXCO for Housing and environment)
Secretariat: Bahagian Perancang Ekonomi Negeri (BPEN)
Leading Agency: Penang Green Council
Members
- Setiausaha Kerajaan Negeri (Bahagian Kerajaan Tempatan)
- EXCO Pelancongan dan Ekonomi Kreatif (PETACE)
- Majlis Bandaraya Pulau Pinang (Perlesenan, Bangunan, Perkhidmatan Perbandaran)
- Majlis Bandaraya Seberang Perai (Perlesenan, Bangunan, Perkhidmatan Perbandaran)
- Penang Green Council
- Penang Global Tourism
- Kementerian Pelancongan, Seni dan Budaya Malaysia Negeri Pulau Pinang (MOTACPenang)
- Malaysia Association of Hotels – Penang Chapter (MAH-PENANG)
- Malaysia Association of Hotel Owners (MAHO)
- Malaysia Budget & Business Hotel Association (MyBHA) – Penang Chapter
Technical Advisory Panel
- Tenaga Nasional Berhad (TNB)
- Perbadanan Bekalan Air Pulau Pinang (PBAPP)
- Institut Jurutera Malaysia (Pulau Pinang) (IEM Penang）
- USM Pusat Kajian Kelestarian Global (CGSS- USM)
- UOW Malaysia KDU Penang University College -School of Hospitality, Tourism and Culinary Arts
Penang Green Hotel Survey
This survey was conducted between Feb 2024 – Jan 2025, emphasizing sustainability practices among Penang’s hotel industry players. The study assesses the perception and readiness of local market towards green practices such as energy efficiency, water conservation, and waste management strategies, as well as green procurement policies.
The key factors driving the adoption of green hotel in Penang was analyzed and discussed as well. 97% of respondents agreed that green hotels are important for the Penang market. The results reflect a strong and growing momentum toward eco-friendly and sustainable hotel operations in Penang.
Calling Penang Hoteliers: Let’s Lead the Green Shift Together!
The Penang Green Hotel Programme isn’t just another initiative—it’s a collective movement toward a greener, cleaner, and more sustainable tourism future for Penang.
By coming together, we have the power to transform the hospitality industry, protect our environment, and create meaningful value for both the community and your business.
Let’s make Penang a shining example of sustainable tourism—starting with your hotel!
For further details, please contact us at 04-250 3322 or email to info@pgc.com.my.
