How can Chinese automakers continue to thrive?
To continue to grow at the exceptional rates we have seen over the last two decades, Chinese automakers need to conquer markets outside of China. However, they face significant strategic and cultural...
Sustainability
Paris 2024: The ‘greenest ever Games’ has set a new standard for global events
The legacy of these Olympics extends far beyond the final medal count, providing a model for how global events can contribute positively to both the environment and society.
Paris, the city where nearly all nations signed the historic Paris Climate Agreement in 2015 to combat climate change, just finished hosting the first Olympic Games fully aligned with those same environmental goals: to limit global warming to well below 2°C above pre-industrial levels.
This is no coincidence. Paris 2024 aspires to leave a legacy that extends far beyond athletics, establishing a new gold standard for what the Olympics can achieve in terms of sustainability, inclusivity, and long-term community benefits.
The Paris Games was not just about collecting medals and breaking records. It was designed to be a turning point in how global events can integrate sustainability, with its commitment to being the ‘greenest-ever Games’ offering valuable lessons for future host cities.
Financial savings through sustainable infrastructure
Paris aimed to reduce overall emissions by 50% compared to the London 2012 and Rio de Janeiro 2016 Games by embracing a circular economy approach. In contrast to a linear economy, which follows a “take, make, dispose” model, a circular economy aims to close the loop of resource use by maintaining the value of products, materials, and resources for as long as possible.
This delivers environmental benefits, of course, but also leads to big economic savings. The Paris Organizing Committee’s decision to use 95% temporary or existing venues has drastically cut infrastructure costs. This approach underscores a critical point: sustainability is not just about protecting the environment; it also offers considerable financial benefits.
A prime example is the construction of the Aquatics Centre in Saint-Denis, a venue designed to serve the local community long after the Games have come to an end. The 6,000-seat venue was made from sustainable wood, uses chairs made from recycled plastic, and has solar panels on its roof. This not only minimizes the environmental footprint but also ensures that the investment made into the infrastructure continues to benefit the community.
After the Games, the Aquatics Centre will be transformed into a community sports facility set to open in the summer of 2025. It will feature 2,500 seats and include amenities such as a climbing gym and five-a-side football pitches.
“By limiting new construction to just 5% of the venues and focusing on temporary or existing structures, Paris ensures that its Olympic venues will serve long-term community needs rather than becoming a costly and underutilized relic.”
Rethinking the post-Olympics infrastructure
One of the most enduring challenges for any host city is what to do with the infrastructure once the Games are over. Paris 2024 is setting a new standard in this regard, steering clear of the “white elephant” projects – large-scale infrastructure developments that become underutilized, expensive to maintain, or completely abandoned once the event concludes – that have burdened past host cities.
After the Rio Olympics in 2016, for instance, many of the venues within the Olympic Park were left unused and deteriorated, becoming symbols of excessive spending and poor planning.
However, by limiting new construction to just 5% of the venues and focusing on temporary or existing structures, Paris ensures that its Olympic venues will serve long-term community needs rather than becoming a costly and underutilized relic.
One example is the Olympic Village, built on revitalized industrial land in the historically underserved area of Seine-Saint-Denis. Post-Games, the athletes’ dormitories will be transformed into 2,800 “affordable” housing units. This strategy not only reduces the environmental impact but also promotes social equity, turning what could have been short-lived structures into lasting community assets.
The decision to host swimming events in the newly cleaned River Seine is another powerful example, turning a century-long environmental challenge into a positive legacy.
The Bank of France estimates a 0.45% GDP boost from the Games.
Economic impact on local businesses
The economic benefits of hosting the Olympics have always been a contentious topic, with debates over whether the gains justify the costs.
Estimates range between €7.3bn and €12.1bn for Paris and the surrounding Île-de-France region from 2018 to 2034. These economic gains are largely driven by sectors such as tourism, construction, and events. There were nine million tickets sold and a record-breaking 34 million viewers, a 79% increase in viewership from the 2020 Games in Tokyo.
However, sectors such as luxury retail have expressed concerns about “crowding out” effects, where regular tourists are deterred by the influx of Olympic visitors.
Nonetheless, the Games are expected to inject approximately €2.6bn into the local economy through tourist spending alone. The Bank of France estimates a 0.45% GDP boost from the Games. Yet, it’s crucial to remember that the true value of the Olympics transcends financial returns. The Games are a celebration of the values of sport and a platform for bringing people together in an increasingly divided world.
The 2024 Games set a precedent for future host cities – the next being Los Angeles in 2028 – demonstrating that sustainability, economic viability, and cultural perseveration can go hand in hand.
Setting a precedent for future games
In recent years, public awareness of sustainability initiatives has been on the rise, and global events like the Olympics have faced increasing scrutiny for the long-term impacts they leave on host cities. Paris 2024 is challenging this narrative by proving that a global event can be both spectacular and sustainable.
Paris set some important records, including achieving gender parity among athletes, although not everything has been flawless. There were important concerns, such as the impact on marine biodiversity in Tahiti, 10,000 miles from Paris, where the Olympic surfing was held.
Nevertheless, the 2024 Games has left behind an important sustainability legacy. It sparked a transformation within the city itself, reflecting a broader vision: that a city can emerge from the Olympics better equipped, with new infrastructure that meets residents’ needs, and that contributes, even accelerates, important local social initiatives.
The 2024 Games set a precedent for future host cities – the next being Los Angeles in 2028 – demonstrating that sustainability, economic viability, and cultural perseveration can go hand in hand.
Authors
Related
Strategic use of AI in healthcare and pharma drives market advantage. Here’s how
The healthcare and pharmaceutical sectors are experiencing radical evolution through artificial intelligence, driving competition, and improving clinical outcomes. IMD's AI Maturity Index highlights effective approaches from industry frontrunners like Bayer, Medtronic, and...
‘If you're not sure if you should do it, do it’: Marc Maurer shares On’s story
In his final days as co-CEO of On, Marc Maurer gave participants of IMD’s Orchestrating Winning Performance a glimpse behind the scenes of the messy – and often uncomfortable – journey of...
Innovation, by accident: The story of the ‘like’ button
BCG’s Martin Reeves traces the messy human journey behind one of tech’s most contagious features – and what it reveals about innovation, behavior, and unintended consequences. ...