Staying at the HIE Burlington IA, noticed this for the first time (500 points). I never allow housekeeping in my room during stays (who wants a stranger touching your toothbrush?), so I'll take the free points for doing what I've always done
Makes sense though, if IHG can save on labor and call it a green initiative, it's win win for them. I don't have a new towel daily at home, I don't need one in a hotel.