LGU to save P355 M from green building ordinance

MANILA, Philippines - Mandaluyong City is set to generate around P355 million in savings for businesses and households within the first three years of implementation of its green building ordinance, according to the International Finance Corp. (IFC).

“Green building is an important global opportunity to cut greenhouse gas emissions and reduce water and electricity consumption,” said IFC resident representative Jesse Ang.

IFC, a member of the World Bank Group, partnered with the Mandaluyong City government for the development of green buildings. IFC’s program is supported by the Swiss State Secretariat for Economic Affairs and the government of Canada.

“Buildings are big emitters of greenhouse gases that contribute to global warming, leading to severe droughts and floods,” Mandaluyong Mayor Benhur Abalos said yesterday.

“Our city is at the heart of Metro Manila where the big shopping malls and offices are. By passing the green building ordinance, we will help companies reduce their energy use, thereby cutting their carbon emissions and electricity costs,” Abalos added.

The local government launched this month the green building ordinance, which was approved earlier this year by the city council.

Under the ordinance, new buildings are required to adopt high energy and water efficiency practices, such as rainwater harvesting, energy-efficient air conditioning, daylight-controlled lighting and other green-building standards.

It covers residential buildings, schools, offices, hotels, hospitals, commercial buildings as well as government buildings.

“IFC is helping the Philippine government and the private sector transform the market by providing technical advice about green buildings and working with commercial banks to provide green-building financing,” Ang said.

According to the IFC, buildings in the Philippines emitted 33.28 million metric tons of carbon dioxide and accounted for 36 percent of the country’s total power consumption in 2010.

The IFC noted that the first three years of implementation of the ordinance will reduce energy consumption in the city by 20 percent.

In 2009, the Quezon City government passed a similar ordinance, which provided incentives to businesses that meet minimum standards of green infrastructure.