The firm ranked 21 countries using these factors to determine the best markets for green buildings.
“Buildings are the spine of the increasingly urban world we find ourselves in, now containing over 50% of the global human population," says Aditya Ranade, Lux Research Analyst and the lead author of the report titled Policy’s Dramatic Impact on Green Buildings: The Global Hotspots.
”Buildings use 40% of the world’s energy and account for 40% of the carbon dioxide emissions.” “Policy measures, along with ability to pay, payback periods, and addressable market size, should determine a firm’s decision on which countries to invest precious market development funds in,” he adds. Lux Research examined 21 countries that account for 80% of the world’s GDP, assessing how unique policy drivers in each country create an opportunity for specific green building technologies. Their findings include:
- Rich nations set the trend. Countries with high per capita incomes tend to be early adopters of expensive technologies and emerging technologies such as dynamic windows, green roofs and BIPV. These nations – such as the US, Singapore, South Korea, Germany and Australia – also create attractive policy regimes for green buildings.
- Global cooperation is growing. Green buildings and energy efficiency are seen as 'win-win' possibilities, leading to cooperation, like the work between USAID and India’s BEE on developing the ECBC codes and carbon emission cap-and-trade programmes in several countries.
- Oil-rich nations are laggards; fast-growing countries are ahead. Energy-rich countries like Brazil lag in policies to promote green buildings but fast-growing nations are ahead on account of their need to contain ever-increasing energy costs and simultaneously reduce greenhouse gas emissions.
