Hong Kong has just implemented a Buildings Energy Efficiency Ordinance, which specifies efficiency standards for air-conditioning, electrical wiring, lifts and lighting.

 

Buildings account for 89% of the total electricity consumed in Hong Kong.

 

Under the new rules, the energy efficiency must be improved during major retrofitting, and commercial buildings must undergo energy audits once every ten years. 

 

The Environment Bureau expects that for new buildings, the ordinance will result in energy savings of 2.8 billion kWh in the first decade, leading to a 1.96 million-tonne cut in carbon-dioxide emissions.

 

Jonathan Berney, head of client solutions at building consultants EC Harris, said he expected Asia to follow Europe in introducing Energy Performance Certificates (EPCs) to occupiers and investors to review the performance of buildings.

 

“A market-demand benchmark of a C rating is emerging, and over time it is likely that assets rated below this could see reduced occupancy, rapid obsolescence and a consequent reduction in value,” he said in a column in SCMP.com. 

 

“The most obvious benefit to occupiers of a sustainable asset is that it reduces utility costs, for both energy and water,” he wrote.

 

“The European introduction of EPCs provides potential occupiers with the ability to review how well an inbuilt asset performs in this regard, and in these markets energy bills were significantly lower in C-rated buildings than in F-rated buildings.

 

“The less obvious but more important benefit that studies are beginning to show is that green buildings ensure improved health and well-being of staff, resulting in reduced sick days and increased productivity.”

 

Additionally, by managing the sustainability requirements on a project a developer can bring down capital costs.

 

“In the future, market values are going to be significantly affected by the sustainability rating. Evidence already suggests higher occupancy, rents 3%-8% higher and prices 5%-10% higher for internationally-accredited sustainable buildings.”