The Green Building Council of Australia has documented the benefits and the barriers to building green in Australia and identified a range of actions which could provide a way forward in facilitating the greening of commercial buildings in Australia.
The dollars & sense of green buildings was released this month at the joint industry-government Sustainable Building Leaders' Project Workshop in Melbourne by international green building expert, David Gottfried, who said that the report is "an important addition to the growing international body of work on the costs and benefits of building green".
Executive Director of the Green Building Council of Australia, Maria Atkinson, said the report is the first attempt to consolidate international research and reinforce this with local examples and comments to build a business case for green buildings in Australia.
"For those who still need to be convinced about the merits of building green, The dollars & sense of green buildings builds a compelling business case in an Australian context", Ms Atkinson said.
"We hope it will also be a catalyst for action by industry and government to drive the shift to building green."
According to analysis of international and Australian data, the Report finds that green buildings deliver lower annual operating costs and more efficient asset management. Local case studies demonstrate a 60 per cent reduction in water and energy consumption which can reduce annual operating costs from $120 per sqm to $60 per sqm.
There is also evidence that green buildings deliver:
- increased occupant productivity (1 - 25 per cent increase) & well being;
- less staff churn;
- higher relative investment returns (minimum 14 per cent ROI);
- a marketing advantage (free promotion);
- higher market value for asset (10 per cent increase);
- higher rents (5 -10 per cent increase); and
- a range of other benefits.
And, according to a growing body of international and local evidence, the cost to build green should be less than a three per cent premium above the costs of standard construction, making the green premium for a CBD commercial office building less than $100 per sqm.
The Report also identifies a number of barriers to the mainstream uptake of green building principles and practices, including:
- a general lack of knowledge and skills about green building;
- a lack of value attached to the long term benefits of green buildings and too great a focus on short term low cost construction;
- a lack of government support and leadership at all levels, including insufficient incentives and inconsistent and uncoordinated regulation;
- the lack of appropriate green and reusable materials; and
- the confusion created by the plethora of rating tools.
To address these barriers, the Report identifies a range of actions which could provide a way forward in facilitating the greening of commercial buildings in Australia.
Actions for green growth include:
- co-ordination and consistency in national metrics, standards, and targets to provide clarity for the industry;
- a range of green building educational programs to increase the uptake of green building practices and the demand for green commercial buildings;
- government leadership and partnership with industry to support the industry's uptake of green building practices (including setting key national targets for a sustainable built environment, and providing cost-sharing support to developers who undertake strategies that reduce the impact upon or cost of surrounding infrastructure);
- fiscal incentives attached to improving the environmental performance of existing buildings and for the use of green building technology to accelerate the transition of the industry (including state and local planning incentives and concessions, and special tax deductions for green building practices); and
- further research and case studies into the benefits and barriers of green buildings to help reinforce and complete the business case for green commercial buildings in Australia.
The Sustainable Building Leaders' Project is a joint industry-government project that is seeking to develop an internationally competitive roadmap to manage the uptake of sustainable, profitable practices and technologies by the property industry in Australia.
The Roadmap will be presented at a series of industry briefings, workshops, public events and special meetings in Melbourne, Sydney and Adelaide.
