MetroSport

ESG Update: The Impact of Climate Change on Sports Challenges

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Climate change is increasingly affecting the global sports industry, which relies heavily on outdoor events. Extreme weather like floods, storms, and droughts lead to event cancellations and unsafe conditions for athletes and spectators. For example, the PGA golf tournament scheduled for January 2026 in Maui was canceled due to severe drought, and Cape Town’s marathon was called off shortly before its start because of strong winds, illustrating that both elite and grassroots sporting events are at risk.

In response to these challenges, major events are adapting their schedules. FIFA may adjust kick-off times for the 2026 World Cup in North America to manage the impact of extreme heat, which could affect viewership in Europe and Africa. Additionally, Formula One races in Singapore and Austin have implemented measures for “heat hazard” conditions, allowing drivers to use cooling vests.

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Financially, the sports industry, valued at over $2 trillion, faces significant implications from climate disruptions. The expanded format of the 2026 FIFA World Cup, increasing participating teams from 32 to 48, has drawn criticism for its environmental footprint due to increased travel.

Experts stress the importance of integrating sustainability and climate risk into sports organizations’ business models. For instance, SailGP now considers climate risks in venue selection, while tennis tournaments are utilizing AI for weather forecasts to prepare for potential disruptions.

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Additionally, Liverpool Football Club is taking action through its “The Red Way” strategy, employing sustainable practices like investing in sustainable aviation fuel and planting biodiversity-enhancing allotments. By embracing sustainable practices, the sports sector can lead in climate action and inspire broader societal awareness, ultimately protecting its reputation and revenue streams.

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