Page number 6
About WorldGBC Statement Foreword Introduction The Broader Value Proposition for a Sustainable Built Environment DRIVERS OF BUSINESS CASE • Policy change, nationally, and at city level • Incoming finance regulation, such as carbon pricing • The growth of sustainable finance and ESG (Environmental, Social and Governance) reporting THE BUSINESS CASE • Greater access to investment • Corporate reputation • Higher asset value and desirability • Resilient investment & lower risk of stranded assets • Lower operational costs and enhanced return on investment • Reduced build costs and circularity opportunities • Preferential insurance premiums • Better occupant productivity in commercial sector DRIVERS OF SOCIAL VALUE • The impact of COVID-19 • Increased awareness from the private sector, and rise of CSR • Public drivers, including policy and procurement THE SOCIAL VALUE CASES • Health and wellbeing at building level • Community benefit. including jobs, resilience and equity • Protecting people in material supply chain and construction sector, including construction worker welfare, human rights and justice THE FUTURE VALUE COSTS • In a 3º climate change scenario, sustainable buildings present a strong business case in terms of occupant benefits, risk mitigation and asset values • In a 1.5º climate change scenario, costs, finance and reputation are stronger drivers • In an unhealthy, inequitable world, sustainable buildings present a business case through occupant benefits, cost and risk mitigation. In a healthier, equitable future, costs, asset values, investor reputation and the wider role of business are key themes in the value proposition 606 | | BEYOND THE BUSINESS CASE
Page number 7
Drivers of the Business Case The Business Case Strengthening the Case: Social Value The Social Value Case Future-Proofing The Value Proposition Seven Ways to Identify Value from a Sustainable Built Environment Seven themes consistently emerge in both the financial business case and social value sections of this report. Together these themes outline some of the co-benefits that enhance the value proposition for a sustainable built environment. Wider role of business Environmental, social, wider than financial business case, corporate social responsibility (CSR) Occupant Benefits Productivity & wellbeing Finance Access to finance for green buildings, bonds Investments Protecting investment - supporting share prices, increasing requirements Why you cannot afford not to invest in sustainable buildings Asset Values Higher asset values linked both to performance and asset desirability Operating Costs Supply chain, construction, operation Risk Mitigation Environmental and financial resilience, legislative changes, reputation A WORLD GREEN BUILDING COUNCIL REPORT | | 07
