Oversea Chinese Banking: OCBC Bank grants a green loan to the first real estate development using BCA’s new building energy efficiency assessment tool
OCBC Bank worked with the Building and Construction Authority of Singapore (BCA) to help building owners, developers and SMEs across the real estate value chain simplify the transition to sustainability with easier access to green loans. Using the Building Energy Efficiency Assessment (BEEA), the latest tool launched by BCA to predict the energy performance of buildings, assessed projects can achieve a level of energy efficiency comparable to the certification standard of a BCA Green Mark 2021 GoldMORE building will be eligible for a green loan from OCBC Bank.
The first BEEA-backed OCBC Bank green loan is a S $ 148 million facility to Fairview Development Pte Ltd (Fairview Development), a unit of one of Singapore’s leading private developers, Tong Eng Group. The proceeds from the loan will be used to finance the development of its next Belgravia Ace residential project.
The new BEEA online tool makes it easier and more convenient to forecast and improve the energy performance of real estate projects, providing assessments in minutes. This contrasts with the existing process for green loans which requires obtaining green building certifications, a process that can take several weeks with consulting services depending on the scale and complexity of the project.
By simplifying green loan eligibility to include BEEA tool assessments, real estate developers such as Fairview Development and others in the value chain will have easier access to green loans to support them in the transition to developments. and green constructions. Buildings account for over 20% of Singapore’s carbon emissions and the potential to encourage more building owners, developers and SMEs in the real estate industry to switch to sustainability is significant.
As part of the online appraisal, real estate developers are required to provide information on air conditioning and mechanical ventilation systems and lighting, among others. The tool also provides options for additional measures that can be implemented to reduce the property’s energy consumption as well as associated costs.
Green features of Belgravia Ace
Several green features will be incorporated into Tong Eng Group’s newest off-shore housing development, Belgravia Ace, to achieve energy efficiency standards equivalent to the BCA Green Mark 2021 GoldMORE certificate.
These include optimizing the window-to-wall ratio and using low-emission glazing that reduces harmful UV and infrared rays from the sun to facilitate better ventilation and minimize heat gain in the building, providing water-saving items and accessories. , as well as an air conditioning system and appliances with the highest energy efficiency rating.
In addition, the air conditioning system in the Living & Dining area will be equipped with an air purifying filtration device that uses the latest Plasma technology to eradicate various types of viruses, bacteria, pollutants, dust and PM2.5, and in the process deliver cleaner air.
Charging stations for electric vehicles will also be installed in the development. In addition, development will focus on sustainability at the source, with the use of environmentally friendly cement and aggregates as well as the use of low volatile organic compound (VOC) paints, adhesives, sealants. approved by local authorities. certification bodies.
This S $ 148 million green loan was issued under the Tong Eng Group Green Loan, which was developed in 2020 in accordance with the principles of green loans issued by loan market associations. The framework has been broadened to include projects assessed by the BEEA as having an energy performance comparable to that of a BCA Green Mark 2021 GoldMORE certified building.
Mr. Linus Goh, Head of Global Commercial Banking, OCBC Bank, said, âWe are delighted to partner with BCA to leverage their new business energy efficiency assessment tool to enable developers and SMEs to obtain simpler and more profitable green financing. and accelerate the transition to green buildings and construction. We are delighted to partner once again with our longtime client, Tong Eng Group, for another industry first green loan leveraging this new tool for their Belgravia Ace project.
Mr. Ang Kian Seng, Director of Environmental Sustainability Group, BCA, said, âWe are encouraged that OCBC is using BCA’s Building Energy Efficiency Assessment Tool. This is another energy assessment tool as part of BCA’s Super Low Energy Building Smart Hub platform. This collaboration with OCBC will help developers design more energy efficient buildings and is a step towards a low carbon Singapore. We look forward to seeing ultra-low energy buildings become the mainstream, in line with our Singapore Green Building Masterplan ambitions.
Mr. Teo Tong Lim, Managing Director of Tong Eng Group, said, âWe recognize that living in an environmentally sustainable space is good for health and well-being. We strive to reduce the environmental impact of buildings by improving energy and water efficiency, air quality and the use of renewable building materials.Through these sustainable practices, we conserve natural resources and let’s protect global ecosystems.
It may be a small step, but it is the social responsibility of every business to help make our built environment more sustainable. ”
The sustainable development efforts of Banque OCBC
OCBC Bank has done its part to drive the transition to a more sustainable world. In 2019, OCBC Bank became the first bank in Southeast Asia to stop funding new coal-fired power plants. Last year, amid the Covid-19 pandemic, the bank also pledged to increase its sustainable financing portfolio to S $ 25 billion by 2025, having achieved its previous target of $ 10 billion. Singaporeans by 2022 two years in advance.
On the SME side, in 2020, the Bank launched the OCBC SME Sustainable Finance Framework which enables Singapore SMEs to access sustainable financing of up to S $ 20 million more easily and at less cost to accelerate their business plans. sustainable development.
Later that same year, OCBC Bank adopted the Equator Principles, an internationally recognized risk management framework adopted by financial institutions around the world that will guide how the Bank identifies, assesses and manages environmental risks and social in projects. The voluntary adoption by OCBC Bank of the Equator Principles is an extension of its responsible financing framework that the Bank has put in place since 2017.
OCBC – Oversea-Chinese Banking Corporation Ltd. published this content on October 26, 2021 and is solely responsible for the information it contains. Distributed by Public, unedited and unmodified, on October 26, 2021 04:15:02 AM UTC.