GREEN LOANS TO SPUR SUSTAINABLE DEVELOPMENT IN SINGAPORE BUILT ENVIRONMENT, WITH CASE STUDIES ON ASIA PACIFIC COUNTRIES: SOUTH KOREA, JAPAN & AUSTRALIA

Abstract

This paper discusses issues regarding Green Loans. A comprehensive literature review is conducted on the background of the topic. This includes defining sustainable development and Green Loans, discussing the role of finance in sustainability development and exploring the benefits of “green economy”. The review also summarized past works on sustainable development in Singapore’s built environment, BCA Green Building Masterplans and a review of BCA’s Green Building Masterplans.

Case studies on South Korea, Japan and Australia are presented to illustrate how Green Loans have been implemented in the Asia Pacific region. An analysis is used compare the practices in these three countries and discuss about the pros and cons of Green Loans. Subsequently, a framework of guidelines for implementing Green Loans was established from the case studies.

The report also investigated the possible reasons for not implementing Green Loans in Singapore and realized that it was due to the industry’s preference for a grant that directly reduce the cost. As the professionals in Singapore building and finance industries have very limited or no knowledge of Green Loans, the framework of guidelines is recommended for implementing Green Loans in Singapore. A “Green Hub” that provides all green services including Green Loans is also recommended to simplify “greening” process.