Corporate Real Estate in India is Going Green

Green Building Movement Being Led by Private and Public Sectors

Mumbai, October 08, 2014 – As one of the largest economies of the world, and one of the largest users of energy, India is now embracing the concepts of sustainablity, energy efficiency and green buildings. Both the private and public sectors in India are working toward solutions that are beneficial both ecologically and eonomically.

In a new report, Corporate Real Estate in India, The Green Initiative, CoreNet Global, the world’s leading professional association for corporate real estate executives, economic developers and service providers, examines the efforts that are taking place across multiple fronts to make India more green.

“With a large, growing population and a burgeoning economy, the demands that India makes on its natural resources continue to grow. There is an increasing awareness in the government, amongst the business sector, and among individual citizens that the need of the hour is to balance this economic growth with sustainable practices,” according to the report.

The green initiative in India is being driven by several forces, including the government’s recognition that the infrastructure and energy supply are under enormous pressure.

According to the US Energy Information Administration, India is the fourth largest energy consumer in the world, behind China, the United States and Russia.

And, private sector growth, even though the economy has slowed, is still rampant.

According to a 2010 report by McKinsey, in order to cope with the levels of growth and urbanization that India is expected to encounter by 2030, there will be a need for India to build 500-700 million square feet of commercial and residential space every year.

Growth in green buildings is being fueled by multinational corporations, as is usually the case, but the movement is taking root among Indian companies now as well.

Newsweek’s 2012 Green Rankings had thirteen Indian companies in their list of top 500 greenest companies in the world, and three were in the top twenty.

There are three main systems for rating green buildings in India, that represent a combination of private and public sector involvement: The Indian Green Building Council, Green Rating for Integrated Habitat Assessment, and the Bureau of Energy Efficiency.

Some estimates say that by 2020, spending on green IT and sustainability will be three times the 2013 levels.

“The market for green buildings is growing and will continue to grow as climate change worsens,” the report states. “While the demand for green buildings is still consumer driven, and the bottom line still rules in most instances, there are more and more companies that are interested in sustainability from both corporate social responsibility and operational points of view rather than just for the brand value that having a “green building” can bring.” CCI Newswire