Luxury meets responsibility: the ESG transformation of Vilamoura
At first glance, Vilamoura looks the same as always: the view of the pine trees of the Old Course; the choice of five 18-hole golf courses in top condition; a stroll along the Atlantic after the round. This is how we know the Portuguese golf paradise, 30 minutes from Faro airport. But this impression of “everything as usual” is wrong – wrong in a positive sense. The golf destination of Vilamoura is undergoing a profound transformation – and is showing the golf industry that sustainable tourism combined with a top-quality product is an added value for the guest and an economic advantage for the host
Details with new management targets
“Everything is different,” says Susana Cavaco. “There is much more interest in the topic of ESG.” The environmental engineer and head of Vilamoura’s ESG department knows every hotel, every building and every area here. She has been dealing with issues such as water and energy in Vilamoura for 26 years. But it is only since the company Details took over the five golf courses and various local hotels that a management approach based on ESG criteria has determined the business on site. “The topic of sustainability is firmly anchored in the Board as a matter of principle – this makes it much easier to implement projects on site,” says Cavaco, explaining the key change.
Details’ message is clear: the aim is to reposition Vilamoura as an international luxury brand and compete with destinations such as Sotogrande in Spain and American resorts. Behind Details, with CO-CEO Nuno Sepúlveda at the helm, are the London-based company TDR Capital and the Arrow Global Group, which are steering new investments. The port is currently undergoing a massive expansion and the Hyatt Regency Vilamoura has been completely renovated.
As Susana and her colleague Ana Abegao, also an ESG manager, drive through Vilamoura in their electric car, pointing out solar panels or new plantings, visitors get a sense of how complex the transformation of Vilamoura is. “First of all, we started collecting the data,” she explains. A difficult undertaking, but one with no alternative because Details provides ESG reporting, including voluntary Scope 3 emissions. Cavaco’s aim is to use this data collection to ultimately document that the sustainable approach also makes economic sense and saves costs. “You won’t see that in the short term because huge investments have already been made.”
Part of this can already be seen at the entrance to the Old Course clubhouse: All the plants have been renewed, now they are regional and water-saving, drip irrigation is everywhere. As we walk through the clubhouse, there is a brief summary of energy and purchasing rules: Wines are now only available from Portugal, the vegetables and meat come mainly from farmers and suppliers in the region. LED lights are on everywhere and energy-saving buttons have been installed in the toilets. The clubhouse renovation took natural air circulation into account in order to save energy. Plastic bottles are taboo. The list of projects is long and by no means finished. “We’re working on everything, but it’s step by step” – the ESG manager knows that sustainable transformation requires a systematic approach and patience.
But how do the staff react to all these changes? “It’s part of Vilamoura” – you often hear this phrase and some of the employees realize that sustainable tourism is also a big learning process. “I still don’t understand why towels from Portugal are more expensive than imported towels,” summarizes Romeu Goncalves, Golf Director of the new Els Club.
Els Club as a new top facility
This flagship project in Vilamoura bears little resemblance to the golf course on which the DP World Tour played the Portugal Masters in 2022. Under the direction of Ernie Els Design, a state-of-the-art 18-hole course based on the American model has been created. Strikingly long tees, wide, rolling fairways and attractive greens lie between naturally landscaped rough areas. What was once a completely mown area is now sown with regional flower and herb species. The central pond, which dominates the view from the clubhouse, has also been planted on all sides. Monitoring has already identified 76 different species of birds, insects and butterflies. Otters are at home here – “our members love it,” Goncalves sums up. In terms of price, this membership is on a par with many top clubs in London. You can’t afford to compromise on quality here.
Own wastewater treatment plant secures water supply
The water supply for watering the course also needs to be secured – not an easy issue in Portugal. “In future, we will draw the water for all five golf courses from Vilamoura’s own water treatment plant,” explains Susana with satisfaction. In this way, the investors are creating future security for their investments. In water-scarce countries such as Portugal, the availability of irrigation determines the profit of golf courses. Water is considered by golf experts to be the most important and most threatened resource in many golfing nations.
Five minutes away by car, at the Hilton Vilamoura Cascais, the theme of water has a special meaning: “The waterfalls are part of our identity,” explains Director Miguel Afonso Dos Santos, looking into the inner courtyard of the 5-star hotel, where only a few very small waterfalls can still be seen. Plants are now growing in all the other water channels, blending into an impressive green landscape. “The visitor experience has to be exceptional, but we also communicate that we save water, work a lot with the local community and take care of waste.” The hotel is Green Key certified. Dos Santos notes that the customer appreciates this, although the market is not prepared to pay more for a sustainable product.
Price increases are feasible if the customer has the feeling that quality is increasing. The Old Course in Vilamoura is a good example of this at the moment. The green fee for a round of golf has risen to around 330 euros for an external guest. Nevertheless, there has been no slump in demand. “This has given us the opportunity to invest heavily in quality,” summarizes both Golf Director Ricardo Lopes and Superintendent João Goulão.
Greenkeeper of the Year at 59Awards
Tee times are now only every twelve minutes. A high-end irrigation system with new pumps was one of the main investments, as was the purchase of a completely new fleet of electric buggies. The reduction of noise from greenkeeping machines improves the vacation experience, which is why all mowing vehicles are gradually being converted to electric. Humidity sensors, solar panels on various buildings and the switch to organic products against pests and weeds – the transformation is also in full swing here. Superintendent Goulão is in high spirits: he was recently voted Greenkeeper of the Year at the 59Awards of leading international golf clubs. Looking at the perfect fairways and greens, it’s easy to see why.
Biosphere, Green Key and GEO
Communicating all these changes is important to the company Details. Whether Green Key for the hotels, GEO for the golf courses or Biosphere for the entire destination – certifications as proof of the efforts are important. The aim is to position Vilamoura as the Portuguese market leader in sustainable tourism. Future-oriented tourism is based on the protection of nature, explains the experienced hotelier Dos Santos. Ultimately, tourists are also looking for an authentic vacation experience in Portugal. This can only be offered if the pine trees, birds, plants and the Ria Formosa salt marshes off the coast of Vilamoura are still intact.
Incidentally, the employees of Vilamoura are given this message every month at an ESG event. Sometimes Earth Hour is celebrated, sometimes there is a planting day. Earth Day is now also a fixed part of the program for guests. When all the lights are turned off in the evening to save energy, many visitors respond positively. “We now incorporate the topic of ESG at all levels,” concludes Susana Cavaco.
As the operator of 19 hotels and twelve golf courses and thus the largest provider in the Portuguese hospitality and golf sector, Details sends an important message in European golf tourism: tourism has a future if it is sustainable.
