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87% of office occupiers want half of their commercial portfolios powered by green energy sources by 2030: JLL
As many as 43% of these office occupiers are based in Delhi, followed by Mumbai at 27%, Bengaluru and Chennai at 17% and 13% respectively, the JLL report said
As many as 87% of office occupiers believe that at least half of their commercial portfolio should be powered by renewable sources by 2030 to align with broader net zero carbon (NZC) goals, according to a recent survey by JLL. The analysis revealed that 43% of these occupiers are based in Delhi, followed by Mumbai at 27%, Bengaluru and Chennai at 17% and 13% respectively.
Banking and finance sectors are the most likely to demand on-site renewable power sources for green spaces, according to JLL, followed by the construction, manufacturing, and consultancy industries.
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One in three (33%) occupiers believe that on-site renewable energy will become non-negotiable for their organizations by 2030. Furthermore, 87% expect more than half of their energy needs to be met by renewables. Respondents also recognize that there exists a significant demand-supply gap for sustainable buildings, with demand projected to surpass supply, said the JLL survey.
“Investors and occupiers are increasingly recognizing the importance of prioritizing green energy sources in their office portfolios, emphasizing the need for a well-crafted and thoughtful renewable energy strategy. The real estate sector has a tremendous opportunity to become a key player in the electricity infrastructure and shape the future of renewable energy, thereby advancing our aspirations for a greener and more sustainable future,” said Radha Dhir, CEO and Country Head, India, JLL.
Transitioning to renewable energy is a critical step for the real estate industry to redefine buildings as active contributors through on-site renewable energy generation.
“This trend extends beyond India, with real estate asset owners and occupiers across the Asia Pacific region increasingly demanding renewable energy and on-site renewable power sources. By strategically choosing renewable energy sources and investing in buildings that are ready to actively engage with renewables-powered grids, there is significant scope to reduce long-term energy costs, while achieving sustainability goals within real estate portfolios,” said Kamya Miglani, Head of ESG Research, Asia Pacific, JLL.
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The JLL survey reveals that a combination of on-site generation, such as solar PV installations, and/or off-site renewable energy procurement through Renewable Energy Certificates (REC) and Power Purchase Agreements (PPA), could be the solution according to corporate real estate leaders.
It is recommended to assess sites for their feasibility for solar PV installation and local grid connections, as well as the potential for energy sharing with other buildings within the portfolio, it noted.
