Sustainability pays!

Evidence is growing that sustainability initiatives are paying off. They are delivering dividends for society and the environment and improving the balance sheets of the companies driving these initiatives. Here are some examples:

Real Estate: Green Buildings

The green building market  in the U.S. grew 50% from 2008 to 2010, despite the recession according to McGraw-Hill Construction’s Green Outlook 2011. In 2010 they represented 25% of all new construction and are projected to reach $135 billion by 2015.

The three business benefits cited by building owners are:

• Reduction in operating costs of 13.6% on average for new buildings and 8.5% for retrofits;
• Increases in building values of 10.9% for new buildings and 6.8% for retrofits; and
• Increase in return on investment (ROI) of 9.9% for new buildings and 19.2% for retrofits.

According to a 2006 McGraw-Hill survey green buildings generate higher occupancy rates and rentals.

Meridian Energy’s new building in Wellington embodies many great ideas in resource efficiency and design.

Cars: fuel economy

The American automakers have finally woken up! In April 2011, Ford, General Motors and Chrysler released positive earning reports. Ford has had its best year in decades. The new Ford Fiesta is an example of a new generation of fuel-efficient cars hitting the market at the same time as a resurgence in petrol prices.

Cars: EVs

A range of electric vehicles have hit the market. Nissan’s Leaf (World Car of the Year, 2011) and GM’s Chevy Volt  went on sale in 2010. The number of plug-ins sold in the US topped 1,000 for March.

Green jobs

The solar foundation reports that an estimated 24,000 new jobs will be created in the solar energy sector in the United States in 2011.

The sustainability spending boom

The research firm Verdantix is predicting corporates will dramatically increase investment globally in sustainability initiatives in 2013.

The global sustainable business market will reach a tipping point in 2013, triggering rapid market expansion. Clean-tech innovators and entrepreneurs, and sustainability executives responsible for enterprise-wide strategies, need to understand the risks and opportunities generated by this expansion.

With the first EVs in production and more to come, proven investment value in green buildings, dramatic increases in investment in renewable energy projects, and anticipated dramatically increased sustainability investments – this decade may come to seen as the “green teens”.

Please comment and point us to other instances of the sustainability win-win.