– By Rajat Rastogi
A recent JLL India study paints a compelling picture: The demand for green office space in India is outpacing supply at an alarming rate. In major areas such as Mumbai and Delhi, only 4.5 square feet of green-certified high-end office space will be available for every 10 square feet of anticipated demand in the next five years. This will lead to a demand-supply mismatch of almost 55% by the year 2030, therefore emphasising the immediate need for the speedy development of green buildings.
The ‘Green Rush’ is driven by several factors. Environmental awareness is growing, and companies are becoming increasingly ambitious with their Net Zero Carbon (NZC) goals. Interestingly, a recent PwC India survey revealed that about 51% of the top 100 companies have started making voluntary disclosures about carbon emissions, thus pointing out the high level of sustainability. Further, today, corporates are realising the significant economic advantages of green buildings – decreased energy usage and operational costs resulting in substantial savings in the long run.
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Beyond Sustainability: The Diverse Benefits of Green Work Facilities
Green offices’ advantages are not limited only to the environmental benefits. Research has proved that sustainable offices have a beneficial effect on workers’ well-being. Better air quality, natural light provision and nature in the office have been associated with better employee health, higher productivity, and satisfaction. This, in return, increases employee retention, thereby creating a stable and productive workforce. In addition, green office spaces are effective in attracting talent.
The generation that is joining the workforce in big numbers in modern times are Millennials and Gen Z, and they increasingly support environmental sensitivity and social awareness. With green workspaces, companies can demonstrate their appeal as employers that value sustainability and, thus, attract the best workforce in the industry.
Building a Sustainable Future: Perceiving the Financial Benefits
Investors and developers are increasingly recognising the long-term financial benefits of green buildings. Green offices are usually characterised by lower energy and water consumption, which results in substantial savings over the life of the building.
According to the Indian Green Building Council, green buildings have demonstrated that about a 25% to 30% reduction in energy consumption with respect to the National baselines can be achieved by implementing energy-efficient practices and technologies. Moreover, certain research indicates that rental rates for green-certified buildings are higher because of increased demand, and the tenants are willing to pay a premium for such a sustainable workspace.
The Green Gap: Problems of Creation
Despite the surge in demand, however, the supply-side challenges remain. The development of green buildings involves initial spending on green materials, energy-saving technologies, and sustainable construction practices. The upfront costs of these processes can be much higher than those of other construction methods. Furthermore, acquiring green certifications, such as LEED (Leadership in Energy and Environmental Design) or IGBC (Indian Green Building Council), necessitates specialised knowledge and conformity to strict environmental criteria.
Market Watch: Trends in the Development of Green Offices
Major cities like Bengaluru, Delhi-NCR, Mumbai, and Hyderabad are trailblazers developing green office spaces. In addition, co-working spaces are becoming another powerful proponent of green workspaces. Most co-working providers now focus on sustainability in their design and operations, thus meeting the needs of environmentally conscious startups and small companies.
Bridging the Gap: Approaches to Rapid Green Office Development
A multi-faced strategy is necessary to close the green gap and satisfy the growing need for sustainable workspaces. First, government initiatives and incentives may play a crucial role in promoting green building development. Tax incentives, green construction material subsidies, and certification process simplification can encourage developers to adopt sustainable practices.
The second aspect is the creation of innovations in green building technologies and materials. This would entail funding research and development activities, partnering with other countries’ green building experts, and advocating for affordable green construction techniques.
Third, there is a need to understand the future financial benefits of green facilities. Creating awareness of the reductions in bills resulting from lower energy and water consumption and the potential rental premium benefits can help in the adoption of green building practices.
Fourth, a team approach that includes developers, architects, engineers, and sustainability consultants will encourage the development of cutting-edge, affordable green office alternatives. Incorporating sustainable principles during a project’s design process can initially save a lot of money.
Nurturing Green Workspaces: The Offices of Tomorrow
The demand for green office spaces across India is undoubtedly increasing. Due to factors like environmental sensitivity, economic rationality, and employee care, sustainability will be the central pillar of Indian workspaces. To fill this gap, we need to develop green construction technologies and take advantage of the long-term financial benefits of eco-friendly buildings.
Nevertheless, it is not an easy road to sustainable Indian workplaces. Some challenges include variable costs associated with green building materials, issues related to existing structures’ ability to adopt new technologies, and the possible scarcity of green building experts. However, proactive answers like local production of green materials, workforce development programs, and the analysis of prefabricated green building modules can reduce these risks.
(Rajat Rastogi is he CEO-West & Commercial at Puravankara Limited.)
(Disclaimer: Views expressed are personal and do not reflect the official position or policy of Financial Express Online. Reproducing this content without permission is prohibited.)
From: financialexpress
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