This research aims to investigate the upcoming challenges of green innovation and sustainability in the hospitality and tourism sectors of Saudi Arabia and the mediating role of National Vision 2030 in fostering industry growth. A quantitative design was used, and a close-ended questionnaire was used to collect data from 499 respondents in the hospitality and tourism sectors of Saudi Arabia. The analysis was performed using SmartPLS and structural equation modeling (SEM). The findings indicate several upcoming challenges, such as renewable energy consumption, energy efficiency, and the changing preferences of consumers. However, these challenges can be dealt with adequate government policies and the mediating role of the Saudi Arabia 2030 vision to achieve sustainability in the hospitality and tourism sectors. These findings have theoretical and practical implications, which are discussed in the end. The scope of the findings is constrained to the geographic context of Saudi Arabia, inviting future investigations in a broader international context.