CBRE

Publisher's Watch

Aug 30
Why Going Green Doesn't Cost More Greens By Jonathan A. Schein

A new study shows that it may not be true that green is more expensive than conventional construction.

One of the reasons many builders and developers still balk at the prospect of going green and sustainable is the perceived increase in costs. However, a new study shows that it may not be true that green is more expensive than conventional construction.

According to the Geneva-based World Business Council for Sustainable Development (WBCSD), costs for going green may be overestimated by over 300 percent. The WBCSD is a global association of about 200 companies that serves as a business advocate for sustainable development through economic growth, ecological balance, and social progress, with representatives from over 35 countries and 20 different industrial sectors.

The findings are disclosed in a new report titled "Energy Efficiency in Buildings: Business Realities and Opportunities," which illustrates that in a global survey of 1,400 people, the cost of going green was estimated at 17 percent above conventional construction.

In truth, however, costs for green products, materials, and practices have come down tremendously in the past few years, bringing the cost of moving into the sustainable arena to just five percent above the cost of conventional construction.

Why the misperception? Most likely green is still perceived as the costlier option due to the fact that the providers of green goods and services haven't done enough to market themselves as cost-saving options. Right now, the general perception of going green is that it’s an environmental issue, and that embracing the green movement is good for corporate relations. But the manufacturers of green and sustainable products will generate an amazing amount of momentum if they go straight for what the building community wants—a message that speaks to the bottom line.

This topic was published as part of the House Media Network newsletter. Read this newsletter in its entirety at www.housemedianetwork.com/newsletter/50

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