It makes sense to go green

Amounts spent on eco-friendly building materials continues to rise

THE spending on green building materials for projects registered for Green Building Index (GBI) certification in Penang for the next two years is expected to hit around RM60mil to RM120mil, as there are 15 commercial and resident projects waiting for GBI certification approval.

Penang Master Builders & Building Materials Dealers Association (PMBBMDA) president Lim Kai Seng said the total construction costs for the 15 projects is approximately RM1bil to RM1.5bil.

“To be eligible for GBI certification, the spending for the green building materials, energy-efficient appliances, and energy-saving designs for a project needs about 6% to 8% (of the project’s cost).

“As the cost of constructing energy-saving design is minimal, the bulk of the spending will be for green building materials.

“Currently there are 10 projects in Penang approved for GBI certification. Of the 10, two have been completed, while the remaining eight will require around RM48mil to RM64mil of green building materials,” Kai Seng said.

On the market: Signature Products Sdn Bhd business development executive Calvin Foo showing its range of green timber products.

Some of the projects in Penang that have been approved for GBI certification include IJM Land’s projects such as The Light Point, The Light Collection, and SP Setia’s Setia Green and Brooks Residence.

The completed projects with GBI certification are Hotel Penaga and The Light Linear.

Developers, spending the required amount of 6% to 8 % of the construction cost to fulfil the GBI requirement for certification, need only pay RM5 per sq ft and RM7 per sq ft as developmental charges for residential and commercial properties respectively.

Developers who do meet GBI requirements have to pay development charges of RM15 per sq ft and RM20 per sq ft for residential and commercial projects respectively.

Some of the popular green building materials and energy-saving products include slabstones made from recycled glass, Forest Steward Council-certified (FSC) timber products, solar panels and solar water heaters.

Kai Seng said there are also many residential and commercial projects in Penang using green building materials that are not applying for GBI certification.

“If these projects are included, the actual spending on green building materials will be even higher.

In demand: Imported green timber products now popularly used in new develpoment projects.

“This year the value of construction projects, from both the private and government sectors, is expected to be around RM4.6bil.

“At least 6% of the RM4.6bil will be spent on green building materials and energy-saving products,” Kai Seng said.

Malaysian Institute of Architects (Penang Chapter) chairman Lawrence Lim said green building practices could reduce a building’s operating costs by as much as 9%, increase building values by 7.5% and realise a 6.6% increase in return on investment.

“So, green buildings don’t just make sound ecological and environmental sense — they make sound economic sense too,” Lawrence added.

Lawrence said since the inception of GBI certification three years ago, some 325 projects or over 26mil sq ft of floor space had been registered for GBI certification throughout Malaysia.

“Out of the 325 projects, 86 received GBI certification while the rest are pending certification.

“Penang is listed third in the nation in terms of the number of projects registered with GBI, after Kuala Lumpur and Selangor and it is just ahead of Putrajaya.

“In Penang, 10 projects have obtained GBI certification, while 15 more are pending certification,” Lawrence said.

Signature Products Sdn Bhd managing director Datuk Finn Choong said that the demand for the company’s FSC timber products is on the rise, as the present generation of home owners become more green conscious.

“Our FSC timber products, sold under the Accoya brand name, from Holland are made of timber sourced from forest owners who adhere strictly to FSC sustainable practices,” he said.

Choong said the company, with a 20-year history in the timber-flooring business, started to import green building materials last year when it saw more residential projects in Penang applying for GBI certification.

“So far this year, we have sold three 40-ft containers worth of Accoya timber products with a net value of RM500,000,” he said.

Going places: G-Solar business development manager Regine Choo Hooi Chin showing the solar panels that the company installs.

The timber products are in demand for the construction of clubhouses and the exteriors of projects to provide insulation from heat.

Next year, Choong said they are expecting to sell at least 10 40-ft containers with a net value of RM2mil.

“The demand is also coming from individual home owners who prefer the use of green building material for their property,” he said.

G-Solar Sdn Bhd business development manager Regine Choo Hooi Chin said the demand for the installation of solar panels in residential houses is gradually on the rise, since the implementation of feed-in tariffs last December.

“So far this year, we have secured orders 50 landed residential projects in the northern region.

“We have installed solar panels for 10 of these projects.

“The cost to install a small solar panel for a terraced property is around RM40,000.

“We expect the spending for solar panels in the northern region to be around RM10mil this year,” Choo said.

Besides solar panels, Choo said there is growing demand for rain-harvesting system in high-rise and landed properties, which could be installed for RM5,000, to collect rain water. - The Star