OPINION | Paving the way for green buildings in India: Insights for 2025 and beyond

In 2024, India made significant progress in reducing carbon emissions, achieving two out of three Nationally Determined Contributions (NDCs) under the Paris Agreement ahead of schedule

construction-infrastructure

As the world grapples with the realities of climate change, India has emerged as a key player in the global effort to reduce carbon emissions and promote sustainable development. The green building sector, in particular, stands at the intersection of environmental responsibility and economic opportunity, offering a viable pathway to mitigate the environmental impact of rapid urbanisation. Looking ahead to 2025, the adoption of green building technologies in India is poised to accelerate, underpinned by policy support, technological advancements, and growing stakeholder awareness.

The story so far

In 2024, India made significant progress in reducing carbon emissions, achieving two out of three Nationally Determined Contributions (NDCs) under the Paris Agreement ahead of schedule. While fossil fuel emissions are projected to rise by 4.6 per cent, increased investments in renewable energy and strengthened regulatory frameworks demonstrate the country’s commitment to its net-zero targets. In parallel, this dedication is further reflected in a rapid adoption of green building practices, driven by initiatives such as the annually occurring Green Building Congress and supportive measures in the Union Budget this year, which emphasise net-zero construction and resource-efficient design. By implementing strategies that cut energy consumption by up to 30 per cent and water usage by 50 per cent, India’s construction sector is aligning with global sustainability goals. Market forecasts project a compound annual growth rate (CAGR) exceeding 5 per cent in the green building market through 2028, highlighting the growing demand for environmentally conscious construction solutions.

Key trends shaping green building technology in 2025

Green buildings have been a focal point for conversations around net-zero and decarbonisation for quite some time now, with the trend steadily intensifying. The reasons are clear: (a) buildings in India consume 30 per cent of all the electricity generated; (b) buildings account for more than 60 per cent of the carbon emissions in cities; and (c) buildings contribute to nearly 40 per cent of global emissions. At the same time, the opportunity is also ripe, with the real estate sector not only being on a steady growth path, but the fact that 70 per cent of our real estate hasn’t even been built yet!

As 2024 comes to a close, it merits examining some key trends and technologies that will likely shape the green building sector in the coming year. With advancements in AI, Generative AI, and other advanced technologies like IoT, building management systems, building information modelling, HVAC and security systems will no doubt become more agile and robust. Additionally, we expect a sharp shift towards greater integration within these systems which enables different discrete functions within the building to work in tandem, learn from each other and result in enhanced efficiency overall. Buildings will also increasingly incorporate renewable energy sources, as they become readily available. We see solar power in particular at the helm of this trend, right at the building design stage itself. Innovations such as building-integrated photovoltaics (BIPV) and advanced solar panel technologies will empower structures to generate their own clean energy, therefore reducing the dependence on fossil fuels.

As information and knowledge becomes more readily available, and policy frameworks continue to evolve with a view to expedite India’s net-zero vision, it will come as no surprise that these technologies will see greater adoption, particularly across new building stock that are currently under construction or yet to be developed. With an increasing number of modern commercial buildings (hospitals, educational institutions), industrial parks and smart cities mushrooming rapidly, building technology and renewable energy integration will play a huge role in not only enhancing sustainability, but also delivering an elevated experience of these built environments.

Where we expect to see a significant uptick is in the residential buildings space. Consumers today are extremely conscientious and are uncompromising in their choices, especially when it concerns real-estate investments. In fact, we have seen first hand how ‘green haven’ residential buildings have gotten sold out within mere days of completion. For the renewable energy space, this will also mean a proliferation of ‘micro units’ meant for independent homes, residential apartment buildings/complexes (aside from industrial parks and large commercial properties).

Towards a nuanced approach for decarbonising buildings

While, on the one hand, the increased adoption is all but a foregone conclusion, truly affecting impact in the green building sector in India requires a multifaceted approach, where technology, policy, and community efforts work in harmony. From integrating renewable energy sources and smart building technologies for greater energy efficiency, to waste and waste water management strategies, to adopting localised, sustainable materials, the path to decarbonising buildings must be tailored to accommodate the diverse and evolving needs of India’s construction sector and India’s complex climactic patterns. Whether dealing with the challenge of retrofitting existing structures or planning for the 70 per cent of real estate yet to be built, a one-size-fits-all strategy is insufficient for addressing the unique requirements of the nation’s building stock. Rather, a consultative approach might be prudent to recommend customised solutions on a case by case basis. The journey to net-zero buildings is as much about innovation as it is about collaboration. As India stands on the cusp of a green revolution in its construction sector, the integration of tailored solutions will be pivotal in driving progress toward a resilient, low-carbon future.

Arun Awasthy is the president & managing director, Johnson Controls India.

The opinions expressed in this article are those of the author and do not purport to reflect the opinions or views of THE WEEK.

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