Introduction

The term 'climate change' is now common parlance, but what role does green building play within the broader climate change picture?  Well, emissions regulations post Kyoto are imminent and buildings are able to offer cost effective emissions cuts – there is therefore a possibility that the building sector may eventually be hit with emissions caps.

But, putting Kyoto-derived regulations to one side, many national governments around the world are introducing various types of legislation to mandate green building.  The Hong Kong Government has not yet decided to go down this route, but it has given stimulus to the sector in its recent budget, and rather than adopting legal measures, seeks to encourage voluntary participation starting largely with its own buildings. 

This is surely not the end of the story, and there must be a very real prospect of vigorous legal regulation in a densely populated place like Hong Kong in the medium to long term.  Here are some of the latest developments:

Budget Speech 2009-2010

The Budget Speech 2009-2010, released on 25 February 2009, makes specific reference to green buildings and some of the highlights are listed below.

Energy efficiency and carbon auditing

"79.      Buildings account for some 90 per cent of our total electricity consumption. Much needs to be done to improve energy efficiency in buildings. We will allocate about $450 million to carry out minor works in government buildings in the next two years to install energy efficient lighting systems, retrofit plumbing with water saving devices and incorporate energy efficient features in air-conditioning, elevator and escalator systems."

"80.      The Environment and Conservation Fund has agreed to allocate $450 million for private building owners to conduct energy-cum-carbon audits and energy efficiency improvement projects. We expect to subsidise over 1600 projects. This will also create business opportunities for related sectors. I call on the owners of private buildings to make good use of the funding scheme to improve energy efficiency."

These promises, which are in line with the 2008-2009 Policy Address, indicate that almost HK$1 billion has been put aside for energy efficiency features.  It is positive to read that the Government will be leading by example and encouraging the private sector to follow suit.

It is not clear at this stage what the criteria will be for successful applications for subsidies from the Environment and Conservation Fund (ECF).  More information is likely to become available in due course on the ECF website (www.ecf.gov.hk).

Also in the 2008-2009 Policy Address, the Government promised to legislate for the mandatory compliance of Building Energy Codes relating to lighting, electrical, air-conditioning and lifts and escalators. Legislation is expected to be implemented this year and it is proposed that audits will be conducted by professionals approved by the Electrical and Mechanical Services Department.

In relation to the reference to 'energy-cum-carbon audits', in July last year the Government developed a set of voluntary carbon-auditing guidelines for commercial and residential buildings, schools, universities, community centres and sports complexes – available for download from the Environmental Protection Department (EPD) website.

Approximately 45 Hong Kong organisations have so far joined the 'Green Hong Kong Carbon Audit' as a 'Carbon Audit Green Partner'. These organisations have undertaken to conduct carbon audits on their buildings and to initiate carbon reduction programmes in the coming two years according to the 'Carbon Reduction Charter'. Although the guidelines are designed for self-assessment and self-reporting, the relevant entity may employ a third party to conduct the accounting process and to report on the GHG performance for its buildings.  As part of this initiative more than 100 buildings, including 17 Government buildings, are due to be audited this year. Details of the carbon reduction programmes will be uploaded onto the EPD's website for reference by other participants and the public.

To illustrate what is happening in another Asia-Pacific jurisdiction: the Australian Government is presently working to develop a new nationally consistent mandatory disclosure scheme for commercial office building energy efficiency. This proposed scheme is meant to encourage building developers to implement technologies to reduce or improve energy efficiency in commercial office buildings. It is also intended to provide prospective buyers and tenants with information to assist them in their decision to buy or rent.

Green Building Council

"81.      Government initiatives and efforts of the community are of equal importance. With the support of the Construction Industry Council, the Hong Kong Green Building Council will soon be established. The Council will comprise representatives of the construction industry and professional sectors. It will help raise public awareness of green buildings and facilitate exchange and technological co-operation between Hong Kong and the rest of the world. We welcome the establishment of the Council, and will support its work."

The establishment of a Green Building Council is a positive move to engage stakeholders and continue to raise awareness of green building issues. The proposal is for the new Council to be set up as a joint venture by the four founding partners: the Construction Industry Council, the Building and Environment Council, the BEAM Society and the Professional Green Building Council. The Council, supported by the Development Bureau, will take the lead in revamping the voluntary green building labeling scheme and put forward sustainable initiatives such as energy codes.

The 10 major infrastructure projects announced by the Government provide a great many opportunities for enhancing the prevalence of green building. By way of example, the Government is likely to want to incorporate and implement green building features as part of the development of the West Kowloon Cultural District.

It is worth noting that the China Green Building Council was launched in March 2008.

Building Information Modelling

One Island East (a 70-storey commercial office tower in Hong Kong) owned by Swire Properties and completed in 2008 could very well be described as 'green'. The new building employs indirect office lighting designed with adjustable illumination levels, which reduces energy consumption by up to 60%. There are also extra large low-emissivity (low-e) glazing panels to ensure maximum light penetration with minimum energy loss, heat gain and noise. One Island East has provisionally been given the highest rating (Platinum) of the Building Environmental Assessment Method (BEAM).

But what is particularly significant about the construction of this building is its use of Building Information Modelling (BIM) – an award-winning virtual 3D building lifecycle technology tool which helps eliminate waste and pollution and aids energy efficient design. For example, the use of 3D design software to calculate precise quantities of construction material allowed the team to 'design out' around 15-20% of construction waste which afforded a 10% saving on construction costs.

This owner-driven process combines the entire traditional design and construction system of information into one 3D building information model.  This enables and facilitates a high degree of information integration and exchange between members of the design and construction teams and the client which leads to reduced costs and construction time and increased efficiency throughout the design, construction and facilities management processes.

As well as reducing waste during construction, during demolition of the existing building, by using concrete crushers and a waste-management plan, only 1% of waste was disposed of in landfill compared to an average industry standard of 20-25%.

Factories in the Pearl River Delta

A recent initiative has been launched by the Environment and Protection Department called 'Cleaner Production' which enables Hong Kong companies with factories based in the Pearl River Delta region to obtain subsidized funding for improvements to their factories which reduce air pollutant emissions or improve energy efficiency.

There is also an opportunity for environmental technology service providers to register in order carry out related services, such as assessments at factories, implementation of demonstration projects or verification of the implemented projects.