Green Buildings
Green Building Certifications
Building Research Establishment (BRE), Green Building Council of Australia (GBCA), and U.S. Green Building Council (USGBC) have formed an international alliance …
The Building Research Establishment (BRE), Green Building Council of Australia (GBCA), and U.S. Green Building Council (USGBC) have formed an international alliance aimed at mobilizing sustainable finance for the built environment to support global climate goals. This collaboration intends to provide crucial information to investors, property owners, developers, and governments to facilitate significant changes in the built environment.
A key focus of the alliance is to emphasize the importance of verification and certification schemes, showcasing how these schemes support Environmental, Social, and Governance (ESG) reporting. The alliance aims to raise awareness of leading green building rating systems such as BREEAM, Green Star, and LEED within the real estate and finance sectors. These rating systems have already contributed to the advancement of hundreds of thousands of buildings and projects worldwide toward net-zero and ESG objectives.
Several widely recognized green building rating systems that are commonly utilized to assess the sustainability performance of buildings:
BREEAM (Building Research Establishment Environmental Assessment Method): Since its inception in 1990, BREEAM has been at the forefront of promoting sustainable building practices, offering third-party certified standards that enhance asset performance throughout the entire lifecycle of buildings, from design and construction to use and refurbishment. With millions of buildings worldwide registered to work towards BREEAM certification, it has become a leading framework for achieving Environmental, Social, and Governance (ESG) objectives, prioritizing health, and striving for net-zero goals. BREEAM is owned by BRE, an organization with over a century of experience in building science and research, operating as a profit-for-purpose entity dedicated to advancing sustainability in the built environment. Key categories covered include Management, Water, Energy, Transport, Health & Wellbeing, Resources, Resilience, Land Use & Ecology, Pollution, Materials, Waste, and Innovation. BREEAM Accredited assessors collect data for assessment, making it rigorous but not requiring data from in-house building teams.
LEED (Leadership in Energy and Environmental Design): renowned green building rating system administered by the nonprofit U.S. Green Building Council (USGBC) that provides a comprehensive framework for assessing the sustainability and environmental performance of buildings across various stages, including design, construction, operation, and maintenance. LEED evaluates key aspects such as energy efficiency, water conservation, materials selection, indoor environmental quality, and innovation. Buildings that meet LEED standards receive certifications ranging from Silver to Gold and Platinum, based on their level of sustainability achievements. It is simpler than BREEAM, and data is provided by the building's own design team for assessment by USGBC.
GRESB, known as the Global Real Estate Sustainability Benchmark, operates as an industry-driven organization dedicated to evaluating the Environmental, Social, and Governance (ESG) performance of real estate portfolios on a global scale. It offers a standardized framework that enables investors and stakeholders to assess and compare sustainability efforts across different real estate assets. GRESB collects comprehensive data on a range of ESG factors, encompassing energy efficiency, carbon emissions, water management practices, and social responsibility initiatives, from participating real estate companies and funds. This data serves as a valuable tool for investors seeking to make informed decisions and for promoting transparency and accountability within the real estate industry.
Other leading certifications include:
NABERS UK: adapted from Australia's NABERS program, rates office buildings' energy efficiency.
WELL Certification, founded by the International WELL Building Institute, prioritizes occupant health and wellbeing.
FITWELL, largely based in the US, promotes healthy building practices with a focus on a shorter review process and certification validity.
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