They say home is where the heart is. This became even more relevant during the pandemic when people transformed their homes into offices, schools, party places, gyms, and everything in between. Suddenly, the definition of a house and how one visualises it changed completely. That realisation is what we are seeing today as people aspire for houses where they can live, work, socialise, and maintain a healthy lifestyle with amenities within walking distance. Additionally, with increasing awareness of climate issues and global warming, there is a growing focus on sustainable living, which is also influencing their choice of homes. Eco-friendly or greenhouses are gaining traction among Indian customers, particularly among younger home buyers. But what exactly are sustainable or eco-friendly houses?
An eco-friendly home prioritises resource conservation and promotes a healthier lifestyle while minimising environmental impact. It exemplifies the concept of green buildings by sustainable materials, renewable energy, and smart technologies to decrease waste and carbon emissions. A critical aspect is energy optimisation achieved via design choices and material selection aimed at lowering the home's total energy consumption. Green homes create a healthier living space by incorporating non-toxic, low-VOC (volatile organic compound) materials that enhance indoor air quality. Adequate ventilation, natural light, and eco-friendly paints help reduce exposure to harmful chemicals, thereby boosting the occupants' overall well-being.
Greenhouses are increasing in demand globally and in India. The sustainable housing market is expected to rise between 10% and 12% with increasing environmental awareness, supportive policies, and technological advancements[i]. Green-certified buildings are projected to account for 30% of new residential projects by 2025, doubling from 15% in 2022[ii]. Although there is heightened awareness and demand for green buildings in both the real estate and commercial segments, customers often do not know what considerations to take into account when assessing a potential house or residence for sustainability. This is where green building certifications come in.
Green building certifications are official recognitions developed by some of the leading academic institutions, government agencies and are awarded to buildings that meet sustainability, energy efficiency, and environmental responsibility standards. These certifications ensure that houses, whether an apartment in a high-rise or an independent unit, are designed and built with reduced environmental impact, better energy use, and improved living conditions. In India, there are several key certifications that real estate developers consider and adhere to when designing and building residential projects. If you are planning to purchase a property, you should know these to aid your decision-making:
1. Indian Green Building Council (IGBC), a part of the Confederation of Indian Industry (CII), offers certifications like IGBC Green Homes and IGBC Commercial Buildings, focusing on energy efficiency, water conservation, and sustainable materials.
2. GRIHA (Green Rating for Integrated Habitat Assessment), developed by The Energy and Resources Institute (TERI) with support from the Ministry of New and Renewable Energy (MNRE), Government of India. GRIHA emphasises climate-responsive design, renewable energy, and resource optimisation.
3. Bureau of Energy Efficiency (BEE), under the Government of India, provides an Energy efficiency label for residential projects ( part of Eco Niwas Samhita), helping consumers identify energy-efficient buildings
4. Internationally, the Leadership in Energy and Environmental Design (LEED) certification is managed by the U.S. Green Building Council (USGBC) and sets global sustainability standards, measuring a building’s energy efficiency and carbon footprint, with ratings from Certified to Platinum.
When considering these certifications, it is also useful to know that green-certified housing may also be eligible for attractive loans called as green loans by banks, and often their resale value is higher. Some prominent banks, such as Union Bank of India[iii], Bank of Maharashtra[iv], amongst others, provide green loans or green financing options to customers who are purchasing houses that are certified as green buildings. Green buildings also help provide long-term financial savings apart from incentives and tax breaks provided by the local municipalities and financial institutions. Studies indicate that green buildings save 30 to 50 per cent of water compared to conventional ones, translating into Rs500–Rs1,000 savings per home per month. Energy savings of 20–30 per cent result in Rs300–Rs700 per home per month[v] in reduced electricity costs. Therefore, purchasing a sustainable and eco-friendly house is both commercially sensible and ecologically beneficial.
As an informed citizen and property buyer, do ask relevant questions that provide you with details on the sustainability features and benefits of the house. Some of those questions can be:
● Which green building certification does this property have (IGBC, GRIHA, LEED, EDGE, or BEE Star)?
● Is the certification already granted, or is the project still in the approval process? Can you provide official documentation or registration numbers for verification?
● What energy-efficient features are included (solar panels, LED lighting, insulation, smart energy systems)?
● How much energy savings can I expect compared to a conventional home?
● Does the property include water-saving systems like rainwater harvesting and greywater recycling? Are low-flow fixtures, dual-flush toilets, or water-efficient landscaping used?
● What eco-friendly materials were used in construction (bamboo, recycled steel, low-VOC paints)? How does the building design improve air quality (ventilation, non-toxic materials, green spaces)?
● Are there any tax benefits, rebates, or government incentives for purchasing this certified property?
● Does this property qualify for green home loans with lower interest rates?
● Will I get discounts on property taxes or maintenance fees due to sustainability features?
Green housing is not just a trend but a necessary move towards a more sustainable and responsible way of living. Individuals who choose eco-friendly homes benefit from financial savings, healthier living conditions, and long-term property value appreciation. More importantly, they contribute to environmental conservation and a better future for future generations. By prioritising green housing, we can make a positive impact while securing a smart and sustainable investment.
About the Author
Swarnim Pant is a sustainability expert with 12 years of experience driving decarbonization and responsible sourcing strategies across global organizations. She specializes in sustainable supply chains, ESG strategy, and stakeholder engagement. Passionate and empathetic, Swarnim empowers businesses to build innovative, sustainable solutions. Please see her detailed profile here: https://www.linkedin.com/in/swarnim-pant-a6b2aa24/
