Zhejiang rule requires green real estate

Updated: 2016-05-03 08:12

By Shi Xiaofeng in Hangzhou and Xu Wei in Beijing(China Daily)

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Zhejiang province has taken the lead in China with legislation requiring the construction of environmentally friendly real estate as part of the government-led initiative to save energy and reduce construction waste.

The regulation on green buildings, which took effect on May 1, requires construction projects in the province to save as much energy, land, water and materials as possible throughout their life cycle to protect the environment and reduce pollution.

The regulation divides buildings into a three-tier grading system based on their energy-consumption levels. Residents who purchase real estate in the second and third tier will be able to obtain larger loans from provident funds, which generally means lower rates of interest.

An official surnamed Yao in the Zhejiang provincial Department of Housing and Urban-Rural Development said the regulation is also aimed at reducing construction waste generated by individual owners when they finish the home with such things as flooring, lights, kitchen cabinetry and appliances, interior doors and bathroom fixtures. The regulation requires that all new multistory residential buildings in the province be finished by the real estate developer before the project is handed over to homebuyers.

Zhejiang rule requires green real estate

"We have received plenty of proposals from political advisers and legislators who believe that construction materials are being unnecessarily wasted by homebuyers in the process of finishing their houses," he said.

Yao said the requirement for the developers to finish the houses could help save on construction waste, as it would save homebuyers the trouble.

Instead, a homebuyer would be able to customize home designs through the developer.

Yao said the new rule was also part of an effort to ensure that real estate developers provide better service to buyers.

Liu Shuying, a 25-year-old resident of Hangzhou, who is mulling the purchase of a new apartment in the city, said she is worried that the new policy could result in higher real estate prices since building costs could increase with the use of green materials.

"I also prefer designing my own home by myself. I don't think the developers will offer many options for home design," she said.

However, Yao, the official, dismissed worries from consumers that the move could result in higher costs.

"Green buildings are not luxury buildings. They are not only about incorporating green elements, but also designing the buildings in a more energy-saving way," he said.

He added that some of the green elements in the green buildings, such as rainwater recycling systems, only cost about 100,000 yuan ($15,450).

The Chinese government has established a goal of having green buildings account for 30 percent of new construction projects by 2020, according to a guideline jointly released by the Ministry of Finance and the Ministry of Housing and Urban-Rural Development in 2012.

The guideline also specifies a goal of bringing China's energy consumption ratio closer to that of developed countries by 2020.

Contact the writers at xuwei@chinadaily.com.cn

(China Daily 05/03/2016 page4)

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