THE CHALLENGES IN IMPLEMENTING GREEN BUILDING CONCEPT – A STUDY AMONG CONTRACTORS IN SIBU, SARAWAK (MALAYSIA)
LING NENG NIIG
BSC (HONS) QUANTITY SURVEYING AND COST MANAGEMENT 3+0 SCHOOL OF BUILT ENVIRONMENT LIVERPOOL JOHN MOORES UNIVERSITY 2016
DECLARATION
I declare that this dissertation was carried out in accordance with the rules and regulations of Liverpool John Moores University. It is my original work and all the references had been cited adequately by the university required.
Name of Student Student ID Programme Dissertation
Signature of Student Date
: Ling Neng Niig : 706014 : Bsc (Hons) Quantity Surveying and Cost Management 3+0 : The Challenges in Implementing the Green Building Concept – A Study among Contractors in Sibu, Sarawak. (Malaysia) :……………………………………………. : June 2016
ABSTRACT The green movement has been growing constantly while individuals and companies have only been building green homes for past thirty years; still, within that time. Green builders had review a number of ways which can make a building into Eco-friendly. The materials used to construct building is one of the major issues which cause an impact on resource preservation. Several research study had been done to determine the barriers of implementing green building. However, the sustainable development are still considered slow in Malaysia including Sibu. The present study are aim in one place which is Sibu. The main objective of this study is to find out the challenges in implementing green building concept in Sibu. In order to carry out the study, the previous related study had been read through. Hence, the literature review consists of twelve previously validated survey variables. These variables are used in questionnaire design. The present study is using quantitative method to analyze the findings which was questionnaire survey. Total 278 questionnaire were distribute out to the contractor’s firm, 107 of questionnaire were returned. Based on the analysis refer to the mean score and ranking, ‘higher final price’ has indicated the highest mean score and identified as the most challenges variables. While ‘lack of demand’ has the lowest mean score. The environmental friendly product will cost more if compare to the conventional building. The availability of green product are still consider not much in Sibu market. At the last, categorize the variables into different aspects are recommended for the future research. For example, market challenges, financial challenges, management challenges and others. More detailed research information can be find out through this way which can improve the green building implementation in Sibu. Besides that, the government should put more effort in promoting the green building in Sibu such as provide financial support to encourage the players to implement the green concept. Through this way, the green development in Sibu will be promoted and the benefits of green building will be enlarged.
I
ACKNOWLEDGEMENT First of all, I would like to thank God for always listening my pray and leading me when doing this dissertation
I would like to express my sincere gratitude to my dissertation supervisor, Ms Khuzaimah who always share her knowledge and experiences with me. Her patience, motivation and guidance has helped me in all the time of research until the completion of the dissertation.
Next, I would like to thank my parents for always give me encouragement, support and unconditional love. I would also like to thank my friends and classmates for your kindness and friendship.
Last but not least, during the data collection, all the people involved and sacrificed their valuable time to fill the questionnaire. I really appreciate their efforts. I thank them for their unlimited kindnesses and cooperation.
II
TABLE OF CONTENT Contents
Page
ABSTRACT
I
ACKNOWLEDGEMENT
II
TABLE OF CONTENT
III
LIST OF TABLE
IV
LIST OF FIGURE
V
LIST OF ABBREVIATION
VI
CHAPTER 1: INTRODUCTION 1.0 INTRODUCTION
1
1.1 BACKGROUND OF STUDY
1
1.2 PROBLEM STATEMENT
3
1.3 AIM AND OBJECTIVES
6
1.4 RESEARCH QUESTION
6
1.5 RESEARCH METHOD
7
1.6 SCOPE AND LIMITATION
9
1.7 SIGNIFICANCE OF STUDY
9
1.8 SUMMARY
10
CHAPTER 2: LITERATURE REVIEW 2.0 INTRODUCTION
11
2.1 DEFINITION OF TERMS
11
2.2 OVERVIEW OF GREEN BUILDING
12
2.3 GREEN BUILDING INDEX (GBI)
13
2.3.1 GBI Criteria
14
2.3.2 GBI Scoring
15
2.4 GREEN BUILDING BENEFITS
16
2.5 GREEN BUILDING PROJECTS IN MALAYSIA
16
2.5.1 Bangunan Suruhanjaya Tenaga (Diamond Building)
17
2.6 CHALLENGES IN IMPLEMENTATION OF GREEN BUILDING
17
2.6.1 Lack of Incentives
18
2.6.2 Lack of Building Codes and Regulation
18
III
2.6.3 Higher Investment Cost
19
2.6.4 Risk of Investment
20
2.6.5 Higher Final Price
20
2.6.6 Lack of Credit Resources to Cover Upfront Cost
21
2.6.7 Lack of Public Awareness
22
2.6.8 Lack of Demand
23
2.6.9 Lack of Expertise
23
2.6.10 Lack of Professional Knowledge
24
2.6.11 Lack of Database and Information
25
2.6.12 Lack of Technology
26
2.7 FACTORS PROMOTES IMPLEMENTATION OF GREEN BUILDING
28
2.7.1 Economic Factors
28
2.7.2 Social Factor
29
2.7.3 Environmental Factor
29
2.7.4 Organization Factor
30
2.7.5 Market Factor
31
2.8 SUMMARY
32
CHAPTER 3: RESEARCH METHODOLOGY 3.0 INTRODUCTION
33
3.1 RESEARCH APPROACH
33
3.2 RESEARCH DESIGN
34
3.2.1 Research Problem
34
3.2.2 Method of Data Collection
35
3.2.3 Sampling
35
3.3 DATA COLLECTION
36
3.3.1 Structure of Questionnaire
37
3.3.2 Selection Measures
37
3.4 DATA ANALYSIS
38
3.4.1 Reliability and Validity
38
3.5 SUMMARY
39
III
CHAPTER 4: ANALYSIS AND FINDINGS 4.0 INTRODUCTION
40
4.1 PART A: RESPONDENT’S BACKGROUND
40
4.1.1 Part A: Contractor’s Background – Position
41
4.1.2 Part A: Contractor’s Background – Categories of Contractor
42
4.1.3 Part A: Contractor’s Background – Experience in Construction
43
Industry 4.1.4 Part A: Contractor’s Background – Company’s Operating Year
44
4.1.5 Part A: Contractor’s Background – Kind of Project Involved Most
45
4.2 PART B GENERAL PERCEPTION ABOUT GREEN BUILDING
46
4.3 PART C CHALLENGES IN IMPLEMENTING GREEN BUILDING
46
CONCEPT 4.3.1 Descriptive Statistic of Lack of Incentives Variable
47
4.3.2 Descriptive Statistic of Lack of Building Codes and Regulations
47
Variable 4.3.3 Descriptive Statistic of Higher Investment Cost Variable.
48
4.3.4 Descriptive Statistic of Risk of Investment Variable
49
4.3.5 Descriptive Statistic of Higher Final Price Variable
50
4.3.6 Descriptive Statistic of Lack of Credit Resources to Cover Upfront
50
Cost Variable 4.3.7 Descriptive Statistic of Lack of Public Awareness Variable
51
4.3.8 Descriptive Statistic of Lack of Demand Variable
52
4.3.9 Descriptive Statistic of Lack of Expertise Variable
53
4.3.10 Descriptive Statistic of Lack of Professional Knowledge Variable
53
4.3.11 Descriptive Statistic of Lack of Database and Information Variable
54
4.3.12 Descriptive Statistic of Lack of Technology Variable
55
4.3.13 Summary of Average Mean Score for Issue Challenges
56
4.4 RANKING BY VARIABLES
57
4.5 DISCUSSION ON ANALYSIS FOR CHALLENGES IN IMPLEMENTATION OF GREEN BUILDING
61
4.5.1 Higher Final Price
61
4.5.2 Higher Investment Cost
62
4.5.3 Lack of Credit Resources to Cover Upfront Cost
62
III
4.5.4 Lack of Demand
63
4.5.5 Lack of Professional Knowledge
63
4.5.6 Lack of Database and Information
64
4.6 SUMMARY
64
CHAPTER 5: CONCLUSION AND RECOMMENDATION 5.0 INTRODUCTION
66
5.1 LIMITATION OF STUDY
66
5.1.1 Respondent’s Cooperation
66
5.1.2 Time Constraint
66
5.2 SUMMARY OF RESEARCH
67
5.2.1 Objective 1 – To Determine Green Building Concept
67
5.2.2 Objective 2 - To Identify Challenges in Implementing Green Building Concept among Contractors in Sibu, Sarawak
68
5.2.3 Objective 3 - To Suggest Further Improvements in Implementing
68
Green Building Concept 5.3 RECOMMENDATION
68
5.3.1 Government Leadership
68
5.3.2 Promote to Increase the Awareness, Knowledge and Access to Green Concept
69
5.3.3 Implementation of Green Incentive Scheme and Tax Exemptions
69
5.4 RECOMMENDATION FOR FUTURE STUDY
70
REFERENCE
71
APPENDIX: Questionnaire Survey Form
VII
III
LIST OF TABLE Table
Title
Page
Table 2.5
Challenges Implementation of Green Building
27
Table 3.1
Krejcie and Morgan’s Sample Size Determination Table
36
Table 4.1
Respondent’s Analysis
40
Table 4.3
General Perception about Green Building
46
Table 4.4
Table 4.4: Lack of Incentives
47
Table 4.5
Table 4.5: Lack of Building Codes and Regulations
48
Table 4.6
Table 4.6: Higher Investment Cost
49
Table 4.7
Table 4.7: Risk of Investment
49
Table 4.8
Table 4.8: Higher Final Price
50
Table 4.9
Table 4.9: Lack of Credit Resources to Cover Upfront Cost
51
Table 4.10
Table 4.10: Lack of Public Awareness
52
Table 4.11
Table 4.11: Lack of Demand
52
Table 4.12
Table 4.12: Lack of Expertise
53
Table 4.13
Table 4.13: Lack of Professional Knowledge
54
Table 4.14
Table 4.14: Lack of Database and Information
55
Table 4.15
Table 4.15: Lack of Technology
56
Table 4.16
Table 4.16 Challenges in Implementation of Green Building
59
Concept
IV
LIST OF FIGURE Figure
Title
Page
Figure 1.1
Steps to Determine the Barriers Interfere Green Development
5
Figure 1.2
Framework of Research Methodology
8
Figure 2.1
GBI Rating Tools
13
Figure 2.2
GBI Scoring and Rating Award for Non Residential – New Construction Building
15 16
Figure 2.3
Green Building Project In Malaysia
Figure 2.4
Diamond Building
Figure 4.1
Position
Figure 4.2
Categories of Contractor
Figure 4.3
Experience in Construction Industry
43
Figure 4.4
Company’s Operating Year
44
Figure 4.5
Project Mostly Involved
45
Figure 4.6
Summary of Average Mean Score for Challenges Variables
57
17 41 42
V
LIST OF ABBREVIATIONS Abbreviations GBI
Green Building Index
LEED
Leadership in Energy and Environmental Design
BREEAM
Building Research Establishment Environment Assessment Methodology
CASBEE
Comprehensive Assessment System for Built Environment Efficiency
ACEM
Association of Consulting Engineers Malaysia
PAM
Pertubuhan Arkitek Malaysia
BCA
Building and Constuction Authority
SEDA
Sustainable Energy Development Authority
CVA
Completion and Verification Assessment
UCTS
University College of Technology Sarawak
NRNC
Non-Residential New Construction
RNC
Residential New Construction
NREB
Non-Residential Existing Building
INC
Industrial New Construction
IEB
Industrial Existing Building
T
Township
BEI
Building Energy Index
VI
CHAPTER ONE
INTRODUCTION
1.0 Introduction This chapter delivers the research background and overview the overall outline of the dissertation. It designates the research process that includes problem statements,
aim
and
objectives,
research
question,
the
methodology
implemented, the scope of study and limitation of study being explored, the significance of the study and finally the summarization of this chapter.
1.1 Background of Study The green movement has been growing constantly while individuals and companies have only been building green homes for past thirty years; still, within that time. The history of the green building dates back much further than the 1970’s. It was in the midst of the industrial revolution that Henri Becquerel first witnessed the solar energy transformed into electrical energy. The power is which known as photovoltaic power. Solar power plants were built to convert the sun’s energy for steam power. After that, in the 1950’s, solar energy was used on very small-scale which made way for the solar panel solution twenty years later. Beside from using the sun’s energy, green builders had reviewed a number of ways which can make a building into Eco-friendly. The materials used to construct the building is one of the major issues which cause an impact on resource preservation. Nowadays, the green technologies are still considered as a very new concept and the history of green construction only goes back a few era (Patsalides, 2011). Green building as a green approach to the built environment involves a holistic approach to the design of buildings which all the resources that go into a building 1
(Woolley et al, 2002). A green building is a high-performance property that involves complicated design, construction method and maintenance techniques and practices that will reduce the building’s impact on the environment and human health (Yudelson, 2008; Kruger & Seville, 2012). According to Yang (2014), green building can maximize the conservation of resources, reduce the environment pollution, protect the ecological environment and provide healthy, appropriate and high efficiency in using the space. Some European countries have been using the green building assessment tools for the past ten years which are based on the rapid adoption of the LEED system, at the same time the United States is the global leader in adopting the green building concept. Other countries like the United Kingdom, Japan also had moved forward to establish their own green building rating systems in order to further revolutionize in the building industry (Yudelson, 2008). The feature and role of green rating tool are very depending on the location, environment and climate. Today, there are a lot of green rating tools available in the world. With some better known ones include United Kingdom’s BREEAM, United States of America’s LEED,
Japan’s
CASBEE,
Australia’s
GREENSTAR
and
Singapore’s
GREENMARK (Tan, 2009). Malaysia also has its own green rating tool which is known as Green Building Index (GBI). The Green Building Index (GBI) is Malaysia’s industry recognized green rating tool for buildings to promote sustainability in the built environment. It raises the awareness among the construction professions and public about the environment issues. GBI Malaysia is established by Pertubuhan Akitek Malaysia (PAM) and the Association of Consulting Engineers Malaysia (ACEM) (Tan, 2009). The assessment of Green Building Index for the green building are based on six criteria. There are Energy Efficiency, Indoor Environment Quality, Sustainable Site Planning and Management, Material and Resources, Water Efficiency and Innovation (Green Building Index, 2013).
2
1.2 Problem Statement The green building still consider as a very new launched building in Malaysia. Much of the people are do not aware about the existing of this new green technology construction in Malaysia. Malaysia owned itself a green building rating system which named as green building index (GBI) and officially launched on 21st May 2009. This rating system has been developed by Pertubuhan Arkitek Malaysia (PAM) and Association of Consulting Engineers Malaysia (ACEM) (Sahat, 2012; Tan, 2009). Malaysia already has its own green building since 2005 which known as GTower, Golden Triangle at Jalan Tun Abdul Razak near to KLCC. Because of the amazing building design and the implementation of green technology, GTower has been recognized by Building and Construction Authority of Singapore (BCA) as Green Mark Gold (Tan, 2011). The first Malaysia’s Green Building Index (GBI) certified building is Pusat Tenaga Malaysia (Malaysia Energy Centre) which known as ZEO (Zero Energy Office) previously. It is also Malaysia’s first completed green-rated office building which is now as Green Energy Office (GEO) (Green Building Index, 2013). Sustainable development act as very important role in the current world because the natural resources are a scarce item and become fewer. The implementation of the green building must speed up. The creation of government agencies such as
the
Sustainable
Energy
Development
Authority
(SEDA)
and
Greenbuildingindex Sdn Bhd that implements the Green Building Index (GBI) rating system caused Malaysia committed to sustainable development (Johan, 2013).According to Mohd Reza et al. (2011), the government has expressed great interest in the implementation of green buildings because Malaysia is still consider as very much lacking behind in green building developments if compared to other Asia Pacific countries. Malaysia certified the green building by using GBI rating tool in two phases, design assessment and Completion and Verification Assessment (CVA). However, the GBI rating tool does not assess on the building operation and maintenance work. It merely assesses how greenness of the buildings based on design and actual building. It makes an unknown to the green 3
buildings in Malaysia whether there are performing as expected. This is because of the green operations and maintenance is not include in green building certification. This becomes an issue that argued by the operations and maintenance contractor including green building owner that the maintenance cost is high, impractical and hard to implement. For example, the need for artificial lighting in the building is reduced by designed largely with glass walls. However this green design has turned out to be not so green because of the glass walls need large amounts of water to clean and in the end, it leads to higher water consumption especially the cleaning contractor who are not considered green cleaning approaches. The old or current construction had caused lots of environmental problems such as pollution, erosion, high energy consumption and global warming. Malaysia’s annual deforestation is getting faster if compare to any other tropical country, which increase almost 86 percent between the year 1999 to 2000 and year 2000 to 2005. Green buildings consume fewer resources and energy. Green buildings are designed to save more energy and resources. It recycle materials and minimizes the emission of acid substances throughout its lifecycle (Green Building Index, 2013). In order to reduce the energy usage in the country by 1%, Malaysia government had decided to stop the import and using of traditional incandescent light bulbs by the year 2014. By this way, it will also reduce the emission of carbon dioxide (Sahat, 2012). Besides, Malaysia’s government has implement series of green tax exemptions and reductions, and investment incentives to foster the investment and adoption of green building among the public and private sectors. For example organization tax incentives for companies which using the green technologies such as hydropower and solar power system. (Hasim et al, 2013). In Construction Industry Master Plan (CIMP) 2006-2015 has highlighted the issues of sustainability includes green building concept. The CIMP has identified that it is necessary to achieve and sustain the social development and economic growth because of demand on environmental sustainability. The mission of CIMP is to encourage construction industry to generate sustainable, technologically4
driven and environment-friendly practices. The government has to establish green building concept which can increase the urban life quality for the residents and conserve the natural resources (Construction Industry Master Plan, 2007). Figure 1.1 below are the three steps that government can take to establish green building concept in the construction industry by determining the barriers that interfere green building development in Malaysia.
STEP 1
Identifying green building development barriers
STEP 2
Analyzing on the barriers
STEP 3
Develop new strategies or make changes on current strategies in order to drive out the barriers
Figure 1.1 Steps to determine the barriers interfere green development. Source: Construction Industry Master Plan (2007).
According to Abidin (2009) and Yaman et al (2011), Malaysia green development industry failed to implement the sustainability in their practices because of lack of enforcement and government intervention. Many experts believe that the way of government in promoting the green development is not effective enough. The government should play a vital role in promoting the green development. New rules and regulations should be enforced and replaced the old one to support the green building development (Atsusaka, 2003). 5
Currently there are only four green buildings in Sarawak which are gold rated UNIMAS Student Pavilion, silver rated Sarawak Energy Berhad, gold rated Sime Darby Idea House and platinum rated University College of Technology Sarawak (Green Building Index, 2013). There are not very much studies have been conducted to show the achievement and workout of green building in Malaysia, including Sibu (Saadatian et al, 2012). University College of Technology Sarawak (UCTS) is the first university to be platinum-rated for the Green Building Index (GBI) award in Sibu.
1.3 Aim and Objectives Aim The aim of this research is to investigate the implementation of green building concept among contractors in Sibu, Sarawak, Malaysia. Objectives: Objective 1: To study green building concept in Malaysia. Objective 2: To identify challenges in implementing green building concept among contractors in Sibu, Sarawak. Objective 3: To suggest further improvements in implementing Green Building concept.
1.4 Research Question The following are the main research questions that used as a guide to find the answer from this research. The research questions are based on the objectives set out. i.
What is green building concept in Malaysia?
ii.
What are the challenges in implementing green building concept among contractors in Sibu, Sarawak? 6
iii.
What are the further improvements that can be made in implementing green building concept?
1.5 Research Method The plans of work and research methodology have eight steps and divided into three main stages.
First stage The first stage involves the process of collecting and writing up a literature
review which is based on the secondary data. The secondary data are collected from reading materials such as books, articles, journals, proceedings and seminar’s paper, unpublished thesis and other published information that supporting the research topic.
Second stage The second stage is collecting primary data which include the data
collection by using a specific selected method. The method of data collection is the quantitative method. The process of data collection will be done by distributing of the questionnaire survey to the targeted respondents. The analysis process of data collected also in this stage. The discussion on the data collected will be based on the analysis of the result gathered.
Third stage The third stage encompasses of conclusion and recommendation which
has been made based on the result and discussion that gathered in the earlier stage.The following in Figure 1.2 below is the framework of research methodology adopted in this study.
7
1. Determine research topic
2. Define the problem, issues and objective of the research
3. Objectives
STAGE 1 i. 4. Literature Review
ii.
On previous research, thesis, journals and other publication.
iii.
To determine green building concept in Malaysia. To identify challenges in implementing green building concept among contractors in Sibu, Sarawak. To suggest further improvement in implementing Green Building concept.
STAGE 2
5. Develop Research Plan
6. Data Collection
Planning on the structure of questions for questionnaires and who will be the targeted respondents. The method of questionnaire distribution and estimate time to collect the data.
The data will be collected from the literature review and the questionnaire survey distributed to the respondents
STAGE 3 7. Data Analysis 8. Conclusion and Recommendation
All the data collected and obtained will be analysed and checked. From the analysis we can process the feedback given by the respondents.
After the data been collected and all the information needed is enough, the conclusion can be made and identify is the conclusion meet with the objectives or not. The conclusion also can lead to the recommendation for the future study.
Figure 1.2: Framework of research methodology 8
1.6 Scope and Limitation This study focuses on challenges in implementing green building concept. This study focuses contractors in Sibu, Sarawak only. The researcher had chosen quantitative research method and questionnaire technique for this study.
1.7 Significance of Study Nowadays, the environmental pollution issues are very common happening in the world. Zolfagharian et al (2012) said construction activity is one of the reason that caused environmental pollution in the world. According to Green Building Congress (2014), in developing countries, buildings are consumed 50% of energy, 5% of energy consumes by construction activity whereas the building lighting, cooling and heating consuming 45% of energy. Which means construction activity consumes a lot of energy in the production of material which may affect the environment, change of climate and cause ecosystem not balance (Rostami et al, 2014). Hence, the construction industry needed to implement the green concept in order to reduce the impacts which cause by the construction activities (Balaban 2013). According to Yudelson (2008), green buildings can reduce the carbon emission by 40 percent if compare to the normal buildings. Until now, the progress of green development in Sibu is still considered as very slow. There is only one green building in Sibu at this moment which is University College of Technology Sarawak (UCTS). This study intent to help the state government and contractors to find out the solution in implementing the green building concept. It is very important to identify and figure out barriers faced by the contractors in adopting green building practices in Sibu. The contractors will be more aware and able to manage the problems if the challenges are well established. Consequently, the negative impact to the environment can be minimized and the green building concept will be established in Sibu. 9
The core of this study is to identify the challenges in implementing Green Building concept among contractors in Sibu, Sarawak. The finding of the study will benefits to the: I.
Government Enable the government sector to develop strategies to drive out the barriers efficiently.
II.
People involved in construction industry Increase
the
construction
industry
player’s
awareness
in
implementing the green building development. III.
Additional Knowledge Can be added knowledge to the contractors, students who read this research and researchers who want to further study about this topic.
1.8 Summary As a summary, this chapter was briefly explained on the whole idea of the study is about. Basically, the determination of the study is to achieve all the objectives that had been mentioned earlier. The next chapter will be discussed in the literature review and other details subjected to the title of the study.
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CHAPTER TWO
LITERATURE REVIEW
2.0 Introduction This chapter will discuss all the matter that related to the definition of terms, green building, challenges in implementing green building concept. This chapter begins by defining the different definition and outline of green building. Lastly, different types of challenges of green building and factors to promotes implementing of Green Building which listed by different researchers are discussed.
2.1 Definition of Terms Cambridge Dictionaries (2015) defined “challenges” as tests a person’s ability at certain condition that requires strong mental or put more physical effort in order to complete the job. Green Building Index (2013) defined “green building” as the building which “reducing building impact on human health and the environment through better siting, construction, operation, design, removal and maintenance during the building’s lifecycle meanwhile increasing the efficiency of resource use include energy, water, and materials. According to Yudelson (2008) and Fischer (2010), green building is a building that operates with high performance and low impacts to the environment and human health if compare to conventional buildings. While Simmons (2010) defined that the green building is designed to achieve environment, economic, health and productivity performance. 11
CIDB (2015) defined contractor is “a person who responsible to execute and finish the construction project. The grade tendering capacity (RM) for contractors are classified out as below: G1 Not exceeding 200,000 G2 Not exceeding 500,000 G3 Not exceeding 1 Million G4 Not exceeding 3 Million G5 Not exceeding 5 Million G6 Not exceeding 10 Million G7 No limit
2.2 Overview of Green Building Since pre-20th century, building professionals incorporated design and construction strategies that considered future climate change which lower the energy usage of operated buildings (Larsen et al, 2011). Despite the increasingly serious environmental problems, green buildings become a crucial strategy which stresses on the concept of sustainable development (Zhang et al, 2011). According to Green Building Index (2013), a green building, in Malaysia context, is referred to a building which focuses on the efficiency of energy, water and materials use and reduce the negative impact to environment and human health through lifecycle of building. To conclude, there is no exact or absolute consent for the definition of green building (Rustom, 2014). However, in Malaysia context, the overall definitions of green building should cover the common aspects include the six criteria assessed by GBI, energy efficiency, site planning and management, use of material and
12
resources, indoor environmental quality, water efficiency and innovative design of building (Green Building Index, 2013). 2.3 Green Building Index (GBI) GBI Malaysia is established by Pertubuhan Akitek Malaysia (PAM) and the Association of Consulting Engineers Malaysia (ACEM) (Tan, 2009). It is specially designed for the tropical climate (Humid and Hot) and Malaysia’s current infrastructure, social and economic development (Green Building Index, 2013). The Green Building Index (GBI) is Malaysia’s industry recognized green rating tool for buildings to promote sustainability in the built environment. It raises the awareness among the construction professions and public about the environment issues. In the GBI rating, it differentiates out into the various type of field including Non-Residential New Construction (NRNC), Residential New Construction (RNC), Non-Residential Existing Building (NREB), Industrial New Construction (INC), Industrial Existing Building (IEB) and Township (T). Data centre, hotel, resort are categorized in non-residential new construction. Non-residential existing building include retail, hotel and resort. Types of field cover in GBI rating tools referred to figure 2.1: NRNC
RNC
NREB
INC
IEB
T
NON-RESIDENTIAL NEW CONSTRUCTION
RESIDENTIAL NEW CONSTRUCTION
NONRESIDENTIAL EXISTING BUILDING RETAIL
INDUSTRIAL NEW BUILDING
INDUSTRIAL EXISTING BUILDING
TOWNSHIP
DATA CENTRE HOTEL RESORT
HOTEL RESORT
Figure 2.1: GBI Rating Tools Source: Green Building Index (2013)
13
2.3.1 GBI Criteria GBI assessed the building refer to the six criteria listed in assessment form which are Energy Efficiency (EE), Indoor Environment Quality (EQ), Sustainable Site Planning and Management (SM), Material and Resources (MR), Water Efficiency (WE) and Innovation (IN) (Green Building Index, 2013) In the GBI rating system, the points achieved in targeted area will mean that the building is more environment-friendly. Based on the GBI six main criteria, energy efficiency (EE) improves and reduces energy consumption by following the best practices in building services. For example, reducing solar heat gain through building ventilation and also harvesting natural lighting through the building envelope. Energy efficiency is also the element that can reduce operating costs through commissioning and regular maintenance. Indoor environment quality (EQ) refers to the features that provide good quality performance in interior environment, which can minimize the respiratory disease such as asthma and allergy. Indoor environment quality can be improved by using low volatile organic compound materials and daylighting. The productivity of occupants will increase by boosting the occupant’s mood with natural light. Materials and resources (MR) refer to the selection of the building materials. Green building should avoid using the chemical or toxic materials such as plastics, petroleum-based adhesives and treated woods which may lower the water and air quality and cause the health problems to the human beings. Besides, it shall reduce the impact to our ecosystems since it can have a negative impact towards the natural environment. Some materials may also release the harmful chemicals to building occupants. Sustainable site planning and management (SM) focus on selecting appropriate sites which have proper access to public transportation, open spaces, community services and landscaping. Besides, it avoid using the conserving areas by redeveloping the existing sites and brownfields. It also implementing a suitable
14
construction management which can reduce the pressure on existing infrastructure capacity. Water efficiency means the use of technologies to deliver better service with less water. For example rainwater harvesting system, reuse of water and water saving fittings. Innovation design which meet the requirement of the GBI. GBI has also concentrate on the landscape design aspect. Green building design should always to match with the environmental sustainability.
2.3.2 GBI Scoring The total points for all six criteria will be 100. Refer figure 2.2, the higher the score, the building will be considered more green environment-friendly. Based on the scoring, the building will be awarded as Platinum, Silver, Gold and GBI Certified (Green Building Index, 2013). Assessment Criteria Energy Efficiency Indoor Environmental Quality Sustainable Site Planning & Management Material and Resources Water Efficiency Innovation Total
Scoring 35 21 16
Total Score 86 and above 76 to 85 66 to 75
Award Platinum Gold Silver
11 10 7 100
50 to 65 -
GBI Certified -
Figure 2.2 GBI Scoring and Rating Award for Non Residential – New Construction Building Source: Green Building Index (2013)
15
2.4 Green Building Benefits Green buildings are designed to reduce the usage of energy and resources by recycling the materials and minimize the emission of harmful substances throughout the lifecycles. It unifies with the local culture, traditions, climate and the environment. Green building can improve the quality of human life and maintain the balance of the ecosystem at local and global levels at the same time. Besides, green building improves the efficiency of the resources usage, operational savings and the workplace productivity (Green Building Index, 2013). Lower energy, water costs and waste disposal, lower maintenance and operations costs, lower emissions costs and environmental costs are the financial benefits of green building (Green Building Index, 2013, Yaman et al, 2011).
2.5 Green Building Project in Malaysia Malaysia is still considered very much lacking behind and fresh in green building developments if compare to other Asia Pacific countries such as Japan, Singapore and Australia (Yaman et al, 2011) Green Building Project Menara Worldwide Bangunan Suruhanjaya Tenaga (Diamond Building) KL Eco City (Sales Gallery) Sarawak Energy Berhad Elken Distribution Centre Menara CIMB, KL Sentral Lot A IOI City Office Towers 1 & 2 University College of Technology Sarawak DIGI Technology Operation Centre
Certification Date
GBI Rating Award
26 April 2010 21 May 2011
Certified Platinum
04 May 2012 21 June 2013 01 December 2014 26 December 2014 06 March 2015 27 May 2015 29 January 2016
Gold Silver Gold Certified Certified Platinum Gold
Figure 2.3 Green Building Project in Malaysia Source: Green Building Index (2013)
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2.5.1 Bangunan Suruhanjaya Tenaga (Diamond Building)
Figure 2.4: Diamond Building Source: Suruhanjaya Tenaga (2013)
Bangunan Suruhanjaya Tenaga which known as Diamond Building. It is energy commission’s headquarters located at Precinct 2, Putrajaya, adjacent to Taman Pancarona, a public landscape garden. The Diamond Building was designed and built based on sustainability concept with consideration to the following aspects, reduction in fossil fuels usage, water conservation, sustainable building materials, waste minimization and avoidance, indoor environmental quality, traffic and transport management and construction and demolition management plan. Based on the building energy index (BEI), the typical office building in Malaysia is 210kWh/m2 per year. The Diamond Building is 65 percent reduction in energy consumption since it is designed with a BEI of 85kWh/m2 per year. Diamond Building has achieved and awarded as Green Mark Platinum in BCA Green Mark Scheme with the score 100 out of 120 (Suruhanjaya Tenaga, 2013).
2.6 Challenges Implementation of Green Building Each research several researches on challenges of the green building had been done by different researchers. There are twelve most commonly highlighted challenges are shown in Table 2.5. 17
2.6.1 Lack of Incentives The government should act as a leader in implementing the green developments. A limited support and incentives from the government have becomes a negative impact which slow down the growth of green development (Samari et al, 2013; Sahat, 2012; Balaban, 2013; Kamaruzzaman & Pitt, 2014). According to Tam (2013), the decision of the contractors affected by the financial incentives from the government. If there are financial advantages to contractors, they are more willing to adopt the green building practices. Furthermore, the contractors are having very low interest in taking part the green building projects if a number of incentives only occupy a small part of the green building cost. According to Samari et al (2013), government incentives are very important to the contractors to involve in green building development. It provide low risk and financial support to the contractors. However, high upfront cost of green development are not able to support and cover by government incentives. Hence, the incentives provided by the government are not able to attract and encourage the contractors to adopt green building practices.
2.6.2 Lack of Building Codes and Regulation The lack of building codes and regulation is one of the barriers to the implementation of green development (Balaban, 2013; Samari et al, 2013; Palanisamy, 2011; Sharif, Kamaruzzaman & Pitt, 2014, Rostami et al, 2014). Government should use regulatory instruments as the main tool in order to increase and boost the green building development. However, according to Balaban (2013) and Rostami et al (2014), fragmentation of legal and institutional frameworks always happen due to the failure of regulation and enforce the legislative frameworks. The policy and legal frameworks related to the green building which established by the local authority are too complicated and make the system hard to comply.
18
Contractors are not prepare yet to adopt the green building practices because of poor regulation and policy although the green building always identified as a key sector to expand (Palanisamy, 2011). The responsibility of public authorities has been divided in inefficient ways because of the lack of enforcement on the subject of mandatory regulations, standards or guidelines for green buildings. This phenomenon is also called institutional disharmony and it will inhibit the achievement set by the government for green building implementation (Balaban, 2013)
2.6.3 Higher Investment Cost Higher investment cost will be a critical challenge of green building (Scheyer, 2007; Langston, 2001; Wilson & Tagaza, 2004; Hwang & Tan, 2012; Liu, 2012; Gundogan, 2012; Balaban, 2013; Chan, Lee & Lee, 2014; Sharif, Kamaruzzaman & Pitt, 2014; Rustom, 2014). Many contractors choose to not involve in green building because of the financial risk is high (Wilson & Tagaza, 2004). High initial cost often view as the biggest obstacle to green building because the construction for green buildings is more expensive than conventional building (Hwang & Tan, 2012; Sharif, Kamaruzzaman & Pitt, 2014). Wilson & Tagaza (2004) stated that, the estimated initial project cost for conventional building will be 1-25% lower than the green building. The green building development require more time and cost investment (Chan, Lee & Lee, 2014). Langston (2001) stated that the cost of the building will increase based on how greener of the building. The imported green materials and technology, computer energy modeling, life cycle costing and complicated green design will increase the cost (Scheuer, 2007; Langston, 2001; Chan, Lee & Lee, 2014; Balaban, 2013). These reasons will make the implementation of green development becomes more complicated and unachievable (Rustom, 2014). Nowadays, the contractor aims to earn more but invest in minimum amount within shortest period (Liu, 2012). Because of this, the contractors unwilling to pursue 19
and involve in green projects. Besides, they also don’t want to bear the high initial investment costs by themselves (Balaban, 2013).
2.6.4 Risk of Investment The risk of investment is one of the challenge which make the contractor to design and construct green buildings become more complicated. According to Wilson & Tagaza (2004), the estimated initial cost are 1-25% higher than conventional buildings. Gundogan (2012) said that the cost will increase due to the complicated electrical and mechanical works in green building. Besides, the risk of investment will increase because of the uncertain payback period (Tam, 2013). Hwang & Tan (2012) stated that the risk of investment is also because of the complicated and several types of contract forms of project delivery. The green projects must consists full details of green design in some contract forms. The problems may arise if the design had not being fully developed. The changes of design may lead to different variation which may increase the project cost and appears the investment risk (Samari et al, 2012).
2.6.5 Higher Final Price High final price also one of the challenges to green building (Scheuer, 2007; Samari et al, 2012; Hwang & Tan, 2012; Wilson & Tagaza, 2004). Samari et al (2012) stated that the higher final price is because of the increased market valuation, high cost of green products and materials, and also green technologies and systems. Green building practices always related to high cost and high risk. Some construction stakeholders feels that green product is expensive and technically unpredictable. They are more familiar with traditional sources but not the green materials (Scheuer, 2007). Besides, because of high supply cost and the availability issues, the agreement has to be made before construction start (Wilson & Tagaza, 2004). 20
According to Hwang and Tan (2012), the final cost is directly affected if the cost of green construction is higher. The cost of green material is 3-4% higher than normal construction materials cost (Hwang & Tan, 2012). The final project cost will increase by use of new technologies and system in order to fulfill the green building’s requirement and performances. According to Wilson & Tagaza (2004), he stated that the complexity of design and modeling costs will increase the final cost due to it takes a longer time to combine green practices into projects.
2.6.6 Lack of Credit Resources to Cover Upfront Cost Lack of credit resources to cover upfront cost also one of the challenges of green building. The lack of credit resources will create a conflict between building life cycle costs and capital costs (Zainul Abidin, 2009; Sahat, 2012; Wilson & Tagaza, 2004; Balaban, 2013; Palanisamy, 2010; Chan, Lee & Lee, 2014; Tam, 2013; Samari et al, 2013; Muthyal, 2013). The financial capability of the contractors depends on its company size. The small contractor company may face the financial problem if they want to engage in green projects due to smaller financial support. They prefer to build in minimum expense but obtain maximum profit. They refuse to spend more time and consideration to green building practices (Chan, Lee & Lee, 2014). According to Samari et al (2013), the contractor companies are not able to cover the high upfront cost of the green project due to the lack of credit resources. Balaban (2013) stated that the payback period for green building is too long to companies that with small financial capacity. The lifetime payback period is higher than the normal buildings. Higher capital value and operational cost will cause the payback period become longer (Muthyal, 2013). Initial capital costs for the green building and payback period are the factors that can be considered in quantifying the costs of green building (Palanisamy, 2011). Because of faulty thinking, they always feel that green building cannot be constructed in the economic way (Zainul Abiddin, 2009). In green building 21
practices, the final project cost will be higher since the project cost will affected by the higher capital cost (Zainul Abidin, 2009; Sahat, 2012). The price of the green building is directly affected by the project cost, if the project cost increased meanwhile the price of green building will also increase and it will transfer to the buyer. Most the contractors want to avoid this situation happens in the project (Zainul Abidin, 2009).
2.6.7 Lack of Public Awareness Several researchers stated that lack of knowledge and awareness about green building practices and sustainability issues has hindered the green building implementation in construction industry (Chan, Lee & Lee, 2014; Zainul Abidin, 2009;
Palanisamy,
2011;
Gundogan,
2012;
Balaban,
2013;
Sharif,
Kamaruzzaman & Pitt, 2014; Samari et al, 2013). According to several researchers (Salama & Hana, 2010; Palanisamy, 2011; Balaban, 2013), buyers are awareness about the benefits of building energy and environmental efficiency of green buildings which will indirectly affected green building projects demand (Sharif, Kamaruzzaman & Pitt, 2014). According to Chan, Lee & Lee (2014), the contractors are more likely to be profit-driven. They are more concentrate on profit. Therefore, contractors are not convinced to implement the green development (Balaban, 2013). According to Zainul Abidin (2009) and Yusof & Awang (2012), the contractors’ interest to obtain knowledge about green building practices will restrained because of lack awareness of buyers. Samari et al (2013) stated that this phenomenon is also called a lack of public awareness on the green issues which buyers are not demanding better products from construction companies and causes green development to be discouraged.
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2.6.8 Lack of Demand Three researcher agree the same view which lack of demand for green building is one of the challenges of green buildings implementation (Liu, 2012; Yusof & Awang, 2012; Samari et al, 2013). The lack of demand happened continually due to the local green market is still considered as freshly begin (Zainul Abidin, Yusof & Awang, 2012). In most cases, buyers experience green building is not worth in such high costs. In most buyers’ opinion, the use of green elements and technologies towards the building will increase the overall cost. In other words, unconcerned of public is restraining the implementation of green building (Zainul Abidin, Yusof & Awang, 2012). Contractors are more focused about the public demand as well as the affordability of the public. Generally, the market is still dominated by medium and low cost building. This situation has inhibited the buyers to demand for the green building (Yusof & Awang, 2012). The rate of demand will affect the contractors whether wants to build or not to build the green buildings. According to Liu (2012), the contractor’s motivation to involve in sustainable development will affected by the rate of demand.
2.6.9 Lack of Expertise Zainul Abidin (2009) and Hwang & Tan (2012) mentioned that lack of expertise has discouraged the implementation of green development. A lot of construction practitioners are not the expert in the sustainable issues and practices (Samari et al, 2013). The designers or consultants need to propose a good design with good quality within the project budget so that their proposal is accepted. Therefore, the responsibility of promoting green building practices lies on them. However, due to the lack of expertise in green building, the contractors not willing to take the risk to construct green building (Zainul Abidin, 2009). The complicated green buildings design and construction method makes it harder for the contractors without the expertise advice. According to Rostami et al (2014), the green knowledge and information are frequently depend on 23
professionals from the other advanced country. The project team members who are not professionally qualified on this subject matter are not interested to understand the green concept. This will affect their attention to pursue knowledge in green features (Hwang & Tan, 2012). The project team will need to spend time and resource to do research about the suitable green technologies or materials even if they are willing to pursue the knowledge (Gundogan, 2012). Thus, the other team members who are not expertise in green building practices cannot provide a precise and clear suggestion for the contractors to build green buildings (Hwang & Tan, 2012). During the developing process of green buildings, lack of expertise to provide professional advice to the project team on contract and tender matters, the green regulations, application of technologies and use of green materials which will cause a lot of troubles to happen. The risk in using the new green technologies and materials will cause the contractor not willing to building the green building (Gundogan, 2012).
2.6.10 Lack of Professional Knowledge According to Zainul Abidin (2009), Gundogan (2012), Yusof & Awang (2012), due to the existing contractors are lack of professional knowledge, the implementation of green building will be more difficult. In most cases, contractors’ knowledge for green building is not enough and most of them are basic information and theoretical part only (Zainul Abidin, Yusof & Awang, 2012). The delays and increase of project initial cost is because of contractor’s lack of knowledge about green building (Gundogan, 2012). They are not able to learn the new green knowledge including the application of green technologies because they are mostly more emphasize on handling the cost, quality and time of the project. The lack of green knowledge among existing contractors makes it hard to achieve the common agreement
between
experienced and younger contractors.
Experienced contractors are concerned about environmental issue such as 24
climate change, whereas younger contractors have been exposed to sustainable construction which is green building in their higher education level. Hence, Zainul Abidin (2009) stated that the existing experienced contractors tend to decline younger contractors’ ideas and this causes green building implementation to become tougher.
2.6.11 Lack of Database and Information There are three researchers Griffin et al (2010), Balaban (2013) and Samari et al (2013) defined that the barriers of implementing the green building concept in developing countries is lack of green database and information. Balaban (2013) and Samari et al (2013) stated that buyers are facing a situation of lacking access and expose to the information of the advantage and efficiency of building performance. This is why the buyers are not concerned about the benefit of green buildings. Griffin et al (2010) stated that the challenge often happens during the design process because of the complexity of green building design and construction as well as the availability of information about the environmental performance of the green building and green materials. Green building database and the information is crucial in promoting the production of green buildings. Nevertheless, database and information about green building materials are often inadequate or difficult for contractors to interpret. The low understanding of buyers and contractors (i.e. stakeholders) about green products are caused by lack of related information about green buildings. The insufficient of green information has causes the stakeholders unaware and has no interest to do research about it. Therefore, the contractors have less motivation to construct the green building because of low demand of green building buyers (Griffin et al, 2010).
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2.6.12 Lack of Technology According to Hwang & Tan (2012), Samari et al (2013), and Saleh & Alalouch (2015) the lack of technology one of the barrier to green building implementation Application of green technologies are usually more complicated. Green development involve high techniques and complicated method (Hwang & Tan, 2012). The implementation of green development in some country are still in fresh stage. The contract documents and related specification may not been properly established (Saleh & Alalouch, 2015). Other than that, some of the green technologies are not easy to get in some countries especially the countries that still developing. Thus, it often requires green technologies to bring from advanced countries (Samari et al, 2013). The contractors’ role is to construct the building according to client’s requirement, and yet the contractors are unfamiliar with the performance of green technologies. Hwang & Tan (2012) stated that this phenomenon will affected the performance of green buildings. The contractor are not familiar on how to use the green tool and technologies which causes the construction players refuse to involved in the green development (Saleh & Alalouch, 2015).
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Table 2.5: Challenges Implementation of Green Building No. 1.
Types of Challenges Lack of Incentives
Researchers (Tam, 2013; Balaban, 2013; Sahat, 2012; Mohd Muzar, 2011; Samari et al, 2013; Sharif, Kamaruzzaman & Pitt, 2014)
2.
Lack of Building Codes and
(Balaban, 2013; Palsanisamy, 2011; Rostami et al,
Regulation
2014; Sharif, Kamaruzzaman & Pitt, 2014; Samari et al, 2013)
3.
Higher Investment Cost
(Langston, 2001; Wilson & Tagaza, 2004; Scheuer, 2007; Hwang & Tan, 2012; Dumus-Pedini & Ashuri, 2010; Liu, 2012; Gundogan, 2012; Balaban, 2013; Chan, Lee & Lee, 2014; Samari et al, 2013; Sharif, Kamaruzzaman & Pitt, 2014; Rustom, 2014)
4.
Risk of Investment
(Tam, 2013; Samari et al, 2013; Gundogan, 2012; Wilson & Tagaza, 2004; Hwang & Tan, 2012)
5.
Higher Final Price
(Samari et al, 2013; Scheuer, 2007; Wilson & Tagaza, 2004; Hwang & Tan, 2012)
6.
Lack of Credit Resources to Cover
(Zainul Abidin, 2009; Palanisamy, 2010; Sahat, 2012;
Upfront Cost
Balaban, 2013; Muthyal, 2013; Samari et al, 2013; Tam, 2013; Chan, Lee & Lee, 2014; Wilson & Tagaza, 2004; Hwang & Tan, 2012)
7
Lack of Public Awareness
(Zainul Abidin, 2009; Salama & Hana, 2010; Palanisamy, 2011; Gundogan, 2012; Zainul Abidin, Yusof & Awang, 2012; Balaban, 2013; Samari et al, 2013; Chan, Lee & Lee, 2014; Sharif, Kamaruzzaman & Pitt, 2014)
8
Lack of Demand
(Zhang et al, 2011; Liu, 2012; Zainul Abidin, Yusof & Awang, 2012; Samari et al, 2013)
9
Lack of Expertise
(Zainul Abidin, 2009; Hwang & Tan, 2012; Samari et al, 2013; Rostami et al, 2014)
10
Lack of Professional Knowledge
(Zainul Abidin, 2009; Gundogan, 2012; Zainul Abidin, Yusof & Awang, 2012)
11
Lack of Database and Information
(Griffin et al, 2010; Balaban, 2013; Samari et al, 2013)
12
Lack of Technology
(Hwang & Tan, 2012; Samari et al, 2013; Saleh & Alalouch, 2015)
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2.7 Factors Promotes Implementation of Green Building Factors of green building are a framework of advantages that can be categorized into economic, social, organizational, market and environmental.
2.7.1 Economic Factors Economic motivators are factors that can enhance green building implementation in terms of economic benefits imposed by green building. According to Gundogan (2012), green buildings can lead to lower annual energy and water cost. This statement is supported by Ng (2013) which stated that green elements in green buildings will reduce the operation and maintenance cost. In another word, lower operating expenditure will increase the net income which in turn causes a positive impact on the building value. Green building has 40-year useable life cycle and it can save more than 250 percent of its up-front cost (Ng, 2013). Furthermore, the budget of the green construction project is also reduced through more efficient usage of water, material and energy. Specifically, green building that adopts efficient design and utilizes green material can maximize function and performance of the building while optimizing the use of natural resources, which in turn lowers the construction budget. (Ehmida Abdel Aziz, 2011). In addition, green building that saves cost in the long term can maximize the profit. The special features of the green building will attract more buyers and increase demand (Gundogan, 2012; Nurul Diyana & Zainul Abidin, 2013). According to Usman & Mohammed Gidado (2015), not only savings through resources efficiency and material used, the economic benefits of green building that enhances green building implementation also include higher rents and sales price, lower cost of occupancy, higher tenant demand, and human capital savings.
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2.7.2 Social Factor The social motivators refer to the factors that increase the productivity of occupants which in turn promote green building in the construction industry. Kats (2003) discovered that the most important feature that the occupants or tenants seek for is comfortable air temperature and indoor air quality. According to Ehmida Abdel Aziz (2011), green building has the features of day lighting, natural ventilation and improved air quality that can bring to improve quality of life. Increased control over ventilation, temperature and lighting have significantly enhanced occupants’ productivity and health, as well as reduced illness such as respiratory illness, allergy and asthma symptoms. The gain in health and productivity will therefore lead to economic earnings (Kats, 2003; Gundogan, 2012). According to Gundogan (2012), green building also promotes better comfort and well-being of occupants. Green building that results in improved environmental quality enhances health and safety, including compliance with legislation, occupant satisfaction and productivity. Ng (2011) also mentioned that green building promotes healthier environments which include improved comfort, better ventilation and lighting quality. Furthermore, greater occupancy control over light levels results in much lower source emissions from building material.
2.7.3 Environmental Factor Another factor that promotes the green building implementation is the environmental motivators. According to several researchers (Howe, 2010; Ehmida Abdel Aziz, 2011; Ng, 2013; Nurul Diyana & Zainul Abidin, 2013), green building can reduce negative impact on the environment. This is because the green building has the features of water and energy resource efficiency, sustainable construction materials and reduced construction waste (Howe, 2010). The green building design and use of green materials of resources, indoor environmental quality and innovation also impose a positive impact on the environment (Ehmida Abdel Aziz, 2011; Ng, 2013). 29
In addition, the construction process of the green building keeps the environment clean and cool and lowers greenhouse gas emissions by avoiding harmful activity towards the environment. Through energy-efficient design, use of green materials, and building commissioning, green building has helped to reduce ecosystem impacts and control of climate change (Nurul Diyana & Zainul Abidin, 2013). Furthermore, the construction process is based on ecological sound principles and will not damage the surrounding environment. It brings positive impact on the beauty and comfort of the surroundings in consideration for a more balanced ecosystem (Ehmida Abdel Aziz, 2011).
2.7.4 Organizational Factor Several researchers (Gundogan, 2012; Nurul Diyana & Zainul Abidin, 2013) mentioned that organizational motivators can drive green building implementation. In the content of construction organization, the development of green practices and strategies that lead to the change in organization culture will impose an improved public image. Organizations that blend green strategies into their management and strategy plans are more likely to develop new green products and services. Moreover, there will be a sustainable competitive advantage among developers by having them contributing to environmental protection, ecological responsiveness and social responsibility (Gundogan, 2012). By having green certification and award or recognition, the public image of the organization is enhanced and competitiveness in the construction industry is also increased. This will provide an opportunity for the organization to mark achievements as part of the company performance (Nurul Diyana & Zainul Abidin, 2013).
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2.7.5 Market Factor Last but not least, the market motivators can also promote green building implementation. According to Gundogan (2012), the green building trend is increasing all over the world. Furthermore, green building certification standards and systems are being developed and implemented in many countries. This innovation in the construction sector will lead to increased media attention as well as becoming the main subject of conferences. This trend imposes an impact on triggering the green building market. In another word, better environmental performance through greener materials and practices allows the construction companies to use a different strategy to exploit specialized and profitable position in sustainable market segments. According to Sahat (2012) and Ng (2013), the green buildings are more marketable and have more competitive advantage than conventional buildings. Moreover, certified green buildings will increase the property rental and value (Ng, 2013). Green buildings with superior design and green technologies motivate the developers and construction companies to construction green buildings in order to venture into future green projects and attract buyers (Balaban, 2013). The demand for green building increase and this business strategy will trigger the green market (Nurul Diyana & Zainul Abidin, 2013).
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2.8 Summary This chapter concludes an overview of the green building, challenges and factors that promote the implementation of Green Building. Many researchers had upheld their studies to investigate the barriers in implementing the green building concept. Despite the concept of green building is still fresh in the country; the green building implementation is still lagging behind in Sibu (Yaman et al, 2011). Hence, to identify the challenges in implementing green building concept is essential.This study is to find out the challenges in implementing the green concept among contractors in Sibu and promote the implementation of green building concept. From there onwards, it will give the better understanding on the issues of the study which is to be further expanded in the upcoming chapter.
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CHAPTER THREE
RESEARCH METHOD
3.0 Introduction This chapter provides a research design and methodology of the study undertaken. The research design is developed to show the overall strategy to achieve the aim and objectives of this study. Aside from research design, different research methods also have been discussed in order to achieve the research’s aim and objectives.
3.1 Research Approach Research approach refers to the approach that will be used to conduct this study. For this study, the quantitative method will be used to collect the data for the study. Based on Ross (2005) quantitative method is used for: i. Emphasized on understanding ii. Focus on understanding from the information’s perspective iii. Interpretive approach iv. Observation and measurement in natural settings v. Subjective insider view of the data vi. Explorative orientation vii. Generalization by comparison of properties and context of individuals Creswell (2013) explained that a quantitative research method is observing the connection between variables in order to test the objective theories. By using 33
variables to measure, numbered data can be analyzed using the statistical technique. When measuring the quantitative research, it need the validity and reliability in order to test theories, create facts and to state the relationship between the variables under investigation (Chua, 2012).
3.2 Research Design According to the Ayob (2005), the qualitative and quantitative is the approaches to do the research. The findings of the research can be analyzed analytically or descriptively based on data and the approach implemented in the research. Yin (2002) stresses that the main purposes of the research design are to help to avoid a situation in which the evidence does not address the initial research questions. It means that a research design deals with the logical problem and not a logistical problem. Rani (2004) has mentioned a research design is a blueprint or a plan for action, specifying the methods and procedures for collecting and analyzing the needed information, for fulfilling the research objectives and finding the solutions.
3.2.1 Research Problem Research cannot proceed until a problem is identified. When doing a research, the essential things to do is identifying and formulating a problem (Rani, 2004). According to the Sekaran (2000), a problem is not necessarily something seriously happened in the current situation, which need further action immediately. Through the identified problem, the right answer can be found and it might help to improve an existing situation, or to minimize a gap between the actual and the desired. From the research problem, the general question can be transformed into the specific questions to be distributed to the respondents who will answer those questions.
34
3.2.2 Method of Data Collection In any research, data can be collected in various ways, in different settings, and from different sources. As observed by Sekaran (2000), data collection methods include face to face interviews; telephone interviews; computer-assisted interviews; questionnaires that are either personally administered, sent through the mail, or electronically administered. According to Ayob (2005) data sources can be primary or secondary. On primary data, the researcher must specifically set up respondents of a research - individuals, groups, and a panel of respondents whose opinion may be sought on specific issues. Data also can be get from secondary sources such as company record, industry analysis offered by official publication, government publication and document from the government or private sector and others (Sekaran, 2000).
3.2.3 Sampling Sampling is the process of selecting a sufficient number of elements from the population so that by studying the sample and understanding the properties and characteristics of the sample, generalization of the properties and characteristic of the population elements can be made. The reasons for using a sample rather than collecting data from the entire population is obvious; in research investigations involving the large size of elements, it would be impossible to collect data, to test or to examine every element due to the constraint of time, cost and human resources (Ayob, 2005). The present study aims to find out the challenges in implementing green building concept among contractors in Sibu. The number of respondents for the questionnaire survey was obtained by referring to the directory by CIDB. There were 278 construction companies in Sibu according to the CIDB directory. Total 278 questionnaires were sent out by hands and via email in June 2016.The questionnaire survey was adopted as recommended by Kothari (2004) as this was an economical way. For this study, Krejcie and Morgan’s sample size will be used for the population of data collection. Refer to the Krejcie and Morgan’s sample size determination table below, Krejcie & Morgan (1970) calculated that if the 35
population for the research is 500, the number of respondents needed is 217, whereas if the population is 10,000, the number of respondents is needed is 370 (Chua, 2012). In this study, total 278 questionnaires will distribute out and expected return will be 162. Population 10 15 20 25 30 35 40 45 50 55 60 65 70 75 80 85 90 95 100 110 120 130 140
Sample 10 14 19 24 28 32 36 40 44 48 52 56 59 63 66 70 73 76 80 86 92 97 103
Population 150 160 170 180 190 200 210 220 230 240 250 260 270 280 290 300 320 340 360 380 400 420 440
Sample 108 113 118 123 127 132 136 140 144 148 152 155 159 162 165 169 175 181 186 191 196 201 205
Population 460 480 500 550 600 650 700 750 800 850 900 950 1,000 1,100 1,200 1,300 1,400 1,500 1,600 1,700 1,800 1,900 2,000
Sample 210 214 217 226 123 242 248 254 260 265 269 274 278 285 291 297 302 306 310 313 317 320 322
Population 2200 2400 2600 2800 3000 3500 4000 4500 5000 6000 7000 8000 9000 10,000 15,000 20,000 30,000 40,000 50,000 75,000 100,000
Sample 327 331 335 338 341 346 351 354 357 361 364 367 368 370 375 377 379 380 381 382 384
Table 3.1: Krejcie and Morgan’s Sample size determination table Source: Chua, 2012
3.3 Data Collection According to Ayob (2005) data sources can be primary and or secondary. On primary data, the researcher must specifically set up respondents of a research individuals, groups, and a panel of respondents whose opinion may be sought on specific issues. Questionnaires to the contractors in Sibu, Sarawak is the main data collection methods in survey research. Surveys are useful and powerful, but they can do more harm than good if not correctly targeted (Sekaran, 2000). Data can also be obtained from secondary sources, for example, company records or
36
archives, government publications and files, industry analysis offered by official publications and etc.
3.3.1 Structure of Questionnaire In the present study, the questionnaire survey was adopted because it is an economy way as the respondents are the contractor firms that located at Sibu. Moreover, by using the questionnaire survey it can reach the targeted respondents easily. The questionnaire survey also gave the respondents decent time to consider of the questions before choosing and answering. Through this way, it had increased the reliability of the results. However, Kothari (2004) the rate of return for the questionnaire survey was consider low. The questionnaire survey was distributed out through email to the contractors firms in Sibu. The questionnaire was structured based on the past literature. The questions prepared for the questionnaire survey are contained three parts. The questions will be based on the target respondent questionnaire survey distribution. The structure of the questionnaire as follow: Part A: Respondents Background Part B: General Perception about Green Building Part C: Challenges in Implementing Green Building Concept 3.3.2 Selection Measures As recommended by Losby and Wetmore (2012), the five-point Likert scale (i.e. 1 = strongly disagree, 2 = disagree, 3 = neutral, 4 = agree, and 5 = strongly agree) was used in the third section of the questionnaire survey. The five-point Likert scale can produced the most effective way in identifying the respondents’ choices.
37
3.4 Data Analysis Statistical Packages for Social Science (SPSS) version 22 was adopted in the present study to examine the data quantitatively. By applying descriptive analysis, the data collected was analyzed in form of frequencies and mean including the percentage. According to Emberson et al (2005), the means of responses were extrapolated by:
To less than 1.49 = Unimportant
1.5 to 2.49 = Less Important
2.5 to 3.49 = Moderately Important
3.5 to 4.49 = Important
From 4.5 to 5.0 = Very Important.
3.4.1 Reliability and Validity This section starts with explaining the reliability and validity of the research. Finally, the measures used to improve the reliability and validity of the present study are discussed. Reliability is the degree of a measure’s internal consistency. A study is treated as reliable if there some responses measuring the specific things consistently. Thus, the same results were produced on repeated trials (Zikmund et al, 2012). Validity indicates whether the study produces results that can be adopted by other researchers in relative to their research area (Kothari, 2004). According to Herbst & Coldwell, (2004), there are two types of validity which are internal validity and external validity. Internal validity is related to how relevant the findings of study can be done that no other variables can cause the result. External validity is the extent to generalize findings of a study to other same situation.
38
3.5 Summary As mentioned by Kothari (2004), the quantitative method is convenient in case of big inquiries and also practical in producing results which are more reliable. Hence, the quantitative methods had been adopted for this study. SPSS was used to analyze the collected data. As mentioned above, the present study also adapted several measures to improve the reliability and validity.
39
CHAPTER FOUR
ANALYSIS AND FINDINGS
4.0 Introduction This chapter provides a brief explanation and discussion about research findings and result. The analysis had done based on the data collection through questionnaire survey and literature review. The objectives of the data analysis is to find out the challenges in the implementation of green building concept. The respondent’s background information will be presented and also include the information
table.
Aside
from
respondent’s
background,
challenges
in
implementing the green building concept also have been presented and all the variables will be discussed based on the result from the questionnaire survey. The result and findings are very important as it is a core objective which interrelated to the research.
4.1 PART A: Respondent’s Background The respondent were contractor Grade 1 to Grade 7 from Sibu, Sarawak. The total number of respondents based on the questionnaire is 278. Table 4.1 show the details of respondent’s analysis. Refer to the table 4.1, the returned questionnaire is 107 which achieved 38 percent. The obtained samples only achieved 38 percent of total sampling size. The response rates for the questionnaire survey considered as low, because lack of respondent’s cooperation and time constraint. Frequency
Percent
Targeted questionnaire
278
100
Achieved questionnaire
107
38
40
Not achieved questionnaire
171
62
Table 4.1: Respondent’s Analysis
Respondent’s background was attached in part A of the questionnaire. This part include questions about the position and years of experience of the respondent in the company. Part A also include questions about the categories of the contractor (Grade 1 to Grade 7), types of the project mostly involved and others. The purpose of this part is to find out the background of respondent for detail investigation.
4.1.1 Part A: Contractor’s Background – Position Thirty five of the respondents (32.7%) were civil engineers of the contractor firm in Sibu. Thirty of the respondents (28.0%) are quantity surveyors. Seventeen of the respondents (15.9%) were architect. The remaining respondents were mechanical engineer, electrical engineer, site supervisor and manager.
5.6% (6) 7.5% (8) 2.8% (3) 28% (30) 7.5% (8)
15.9% (17)
32.7% (35)
Quantity Surveyor
Civil Engineer
Architect
Electrical Engineer
Site Supervisor
Manager
Figure 4.1: Position Source: Questionnaire Survey 41
Mechanical Engineer
4.1.2 Part A: Contractor’s Background – Categories of Contractor All of the contractor’s firm were registered under CIDB with grade 1 to grade 7. There were twenty one grade 1 contractor’s firm (19.6%), grade 2 and grade 5 were same with frequency 18 which occupied 16.8% out of 100%. The remaining contractor’s firms were grade 3 (15.0%), grade 4 (11.2%), grade 6 (4.7%) and grade 7 (15.9%).
15.9% (17)
19.6% (21)
4.7% (5)
16.8% (18)
16.8% (18)
15% (16)
11.2% (12)
Grade 1
Grade 2
Grade 3
Grade 4
Grade 5
Figure 4.2: Categories of Contractor Source: Questionnaire Survey
42
Grade 6
Grade 7
4.1.3 Part A: Contractor’s Background – Experience in Construction Industry In terms of the experience of the respondents, Thirty six respondents (33.6%) have 1 to 3 years experiences in the construction industry. While thirty four respondents (31.8%) were 4 to 6 years experiences and nineteen respondents (17.8%) were 7 to 9 years involved in construction industry. There were eighteen respondents (16.8) were 10 years experiences or more.
16.8% (18) 33.6% (36)
17.8% (19)
31.8% (34)
1-3 years
4-6 years
7-9 years
10 years and above
Figure 4.3: Experience in Construction Industry Source: Questionnaire Survey
43
4.1.4 Part A: Contractor’s Background – Company’s Operating Year Fifty two contractor’s firm (48.6%) were operated between 11 to 15 years, follow by thirty three contractor’s firm (30.8%) were operating from 6 to 10 years. Seventeen contractor’s firm (15.9%) were 0 to 5 years. Three contractor’s firm (2.8%) were operated in 16 to 20 years. While there is only two contractor’s firm are operated 20 years or above. 1.9% (2) 2.8% (3) 15.9% (17)
48.6% (52) 30.8% (33)
0-5 years
6-10 years
11-15 years
16-20 years
Figure 4.4: Company’s Operating Year Source: Questionnaire Survey
44
20 years and above
4.1.5 Part A: Contractor’s Background – Kind of Project Involved Most There were forty five contractor’s firm (42.1%) were mostly involved in residential building projects. Thirty five of the contractor’s firm (32.7%) were involved in commercial building projects. While the remaining were infrastructure (5.6%), industrial building (14.0%) and others (5.6%)
5.6% (6)
5.6% (6)
14% (15)
42.1% (45)
32.7% (35)
Infrastructure
Industrial Building
Commercial Building
Residential Building
Figure 4.5: Project Mostly Involved Source: Questionnaire Survey
45
Others
4.2 PART B: General Perception about Green Building There were different view on the green development among the respondents. Most of the respondents (95.3%) agreed that green developments can lower the negative impact on the environment and increase the quality of occupant’s life while five respondents (4.7%) were disagreed. Furthermore, there are sixty nine respondents (64.5%) chose not to embrace green building practices in every types of construction development in Sibu, whereas the remaining respondents (35.5%) thought that it is essential to embrace. There were ninety two respondents (86.0%) denied that the government are doing well in promoting the green development in Sibu. Fifty five respondents (14.0%) agreed that the government actually playing active role in promoting the green development. PART B: General Perception About Green Building Do you agree that green developments can lower the negative impact to the environment and increase the quality of occupant’s life? Agree Disagree
Frequency
Percent
102 5
95.3 4.7
Do you think it is essential to embrace green building practices in every types of construction development in Sibu? Yes No
38 69
35.5 64.5
Do you think government is doing well in promoting green development in Sibu? Yes No
15 92
14.0 86.0
Table 4.3: General perception about green building Source: Questionnaire Survey
4.3 PART C: Challenges in Implementing Green Building Concept Challenges in implementing green building concept were located in Part C of the questionnaire. This part include twelve variables about the level of challenges and issues of each variables that will faced for. The value of likert scale has been determined from 1 until 5. The values are: 1 = Not Challenging at all, 2 = Fairly Challenging, 3 = Moderate, 4 = Challenging, 5 = Very Challenging. 46
4.3.1 Descriptive Statistic of Lack of Incentives Variable Table 4.4 indicated detail findings regarding the one of the challenges in implementing green building concept which are lack of incentives. Based on the analysis that been done, the respondents were given three issues for them to choose and evaluate. The result is revealed in table 4.3 with mean value ranging from 2.96 to 3.11. Generally, majority of respondents unsure about the issues or chose moderate in level of challenge (69.2%, 83.2%, 80.4%). The respondents who choose ‘fairly challenging’ with the issues ‘government incentives provide low risk and financial advantages to the contractor’ with total of percentage 17.8%, 2.8% and 5.6%. A. Lack of Incentives
Level of challenge (%) 1
2
3
4
5
Mean Value
A.1. Limited support and incentives from government has slow down the green building development.
-
17.8
69.2
12.1
0.9
2.96
A.2. Government incentives provide low risk and financial advantages to the contractor.
-
2.8
83.2
14
-
3.11
A.3. Amount of incentives affect the contractor’s interest in taking part the green building project.
-
5.6
80.4
13.1
0.9
3.09
Average mean score
3.05
Table 4.4: Lack of Incentives
4.3.2 Descriptive Statistic of Lack of Building Codes and Regulations Variable Table 4.5 examines three issues regarding to the lack of building codes and regulation variables. Refer on the findings analysis it is show that mean score ranging from 2.76 until 2.93. The highest mean score indicated at 2.93 mentioned a result that ‘lack of enforcement on the subject of mandatory regulations, standards or guidelines for green buildings’. The mean score of three issues are very close. The outcome reveals that a majority of respondents choose ‘fairly challenging’ and ‘moderate challenging’ (94.4%, 90.6% and 87.8%) with all the items. In contrast, only (1.9%) disagree and choose not challenging at all. When 47
refer to the percentage, 1.9% of the respondent choose not challenging at all with the item ‘lack of regulatory instruments from the government has decreased the green building development’ even though the mean value is indicated at 2.76, which means this item does not affect the highest mean value.
B. Lack of Building Codes and Regulations B.1. Lack of regulatory instruments from the government has decreased the green building development. B.2. The policy and legal frameworks established by local authorities are too complicated and make the system hard to comply. B.3. Lack of enforcement on the subject of mandatory regulations, standards or guidelines for green buildings. (Institutional disharmony)
Level of challenge (%)
Mean Value
1
2
3
4
5
-
27.1
67.3
5.6
0.9
2.79
1.9
28
62.6
7.5
-
2.76
-
19.6
68.2
12.1
0.9
2.93
Average mean score
2.83
Table 4.5: Lack of Building Codes and Regulations
4.3.3 Descriptive Statistic of Higher Investment Cost Variable Table 4.6 showed the results of descriptive analysis on higher investment cost. This result has been demonstrated in table 4.5 revealed that the mean score is 3.92 to 3.99. The item of ‘the green building development require more time and cost’ indicated the highest mean score with 3.99. The result shows that there is no respondent choose the option not challenging at all and fairly challenging. In general, the respondents feel the three issues for higher investment cost variable are challenging (71%, 77.6% and 74.8%). The average mean value among three issues are very close (3.92, 3.96 and 3.99) which means most of the respondents feel that the ‘higher investment cost’ variable are challenging in the implementation of green building concept.
48
C. Higher Investment Cost
Level of challenge (%)
C.1. Initial cost for green building are high. C.2. Green building are more expensive than conventional building. C.3. The green building development require more time and cost.
1
2
3
4
5
Mean Value
-
-
18.7
71
10.3
3.92
-
-
13.1
77.6
9.3
3.96
-
-
13.1
74.8
12.1
3.99
Average mean score
3.96
Table 4.6: Higher Investment Cost
4.3.4 Descriptive Statistic of Risk of Investment Variable Table 4.7 showed the results of descriptive analysis on risk of investment. The result has been showed in table 4.6 with the mean score between 2.90 to 3.11. The issue of ‘changes of design may lead to different variation and increase the overall project cost’ indicated the highest mean score (3.11). In general, the respondents choose moderate with three issues for the risk of investment variables (78.5%, 76.6% and 73.8%), another (15.9%, 12.1% and 7.5%) fairly challenging and the last (5.6%, 11.2% and 18.7%) feel it is challenging. From the result it shows that the variable ‘risk of investment’ achieve mean value for three issues are very close. D. Risk of Investment
Level of challenge (%) 1
2
3
4
5
Mean Value
D.1. Risk of investment will increase due to uncertain payback period.
-
15.9
78.5
5.6
-
2.90
D.2. Different types of project delivery will increase the risk of investment.
-
12.1
76.6
11.2
-
2.99
D.3. Changes of design may lead to different variation and increase the overall project cost.
-
7.5
73.8
18.7
-
3.11
Average mean score
Table 4.7: Risk of Investment
49
3.00
4.3.5 Descriptive Statistic of Higher Final Price Variable Table 4.8 showed the results of descriptive analysis on higher final price variable. The result that has been demonstrated in table 4.7 revealed that the mean score of two issues are similar (4.09). Majority of the respondent choose challenging and very challenging (91.6% and 90.7%) on the issues ‘green products, material, green technologies and system are higher cost’ and ‘complexity of design and modeling costs will increase the final cost’. There are only 8.4% and 9.3% respondents choose moderate regarding the both issues. E. Higher Final Price
Level of challenge (%) 1
2
3
4
5
Mean Value
E.1. Green products, materials, green technologies and system are higher cost.
-
-
8.4
73.8
17.8
4.09
E.2. Complexity of design and modeling costs will increase the final cost.
-
-
9.3
72
18.7
4.09
Average mean score
4.09
Table 4.8: Higher Final Price
4.3.6 Descriptive Statistic of Lack of Credit Resources to Cover Upfront Cost Variable The respondents were given four issues to choose and evaluate. The result is revealed in table 4.9 with recorded mean value from 3.09 to 3.44. The descriptive analysis indicated that the respondents mainly choose the moderate and challenging (85%, 90.6% and 95.3%) with all the issues. However, the issue for ‘the financial capability of the contractors depends on its company size’ indicated the highest mean score with 3.44. In contrast only some of the respondents who choose fairly challenging (13%) in total of three issues. Table 4.9 will illustrated the detail percentage of voting including the mean score.
50
F. Lack of Credit Resources to Cover Upfront Cost
Level of challenge (%)
Mean Value
1
2
3
4
5
-
2.8
62.6
22.4
12.1
3.44
F.2. Smaller company may face financial problem if they want engage in green building project due to smaller financial support.
-
6.5
57
33.6
2.8
3.33
F.3. Payback period for green building is too long for the companies with small financial capacity.
-
3.7
84.1
11.2
0.9
3.09
F.1. The financial capability of the contractors depends on its company size.
Average mean score
3.29
Table 4.9: Lack of Credit Resources to Cover Upfront Cost
4.3.7 Descriptive Statistic of Lack of Public Awareness Variable Table 4.10 showed the results of descriptive analysis on lack of public awareness. The result that demonstrated in table 4.9 showed that the mean score is between 2.74 to 2.84. The issue of ‘lack of awareness among buyers will restrain the contractors interest to obtain knowledge about green building practices’ indicated the highest mean score (2.84), followed by issue of ‘buyers are aware about benefits of building energy and environmental efficiency of green buildings’ with mean score 2.83. In general, majority of respondents choose fairly challenging and moderate (92.5%, 85.1% and 83.2%) for three issues and other are 7.5%, 15% and 16.9%. G. Lack of Public Awareness
Level of challenge (%) 1
2
3
4
5
Mean Value
G.1. Buyers are aware about benefits of building energy and environmental efficiency of green buildings.
-
24.3
68.2
7.5
-
2.83
G.2. The public awareness affected the demand for green building projects.
-
43
42.1
13.1
1.9
2.74
-
34.6
48.6
15
1.9
2.84
G.3. Lack of awareness among buyers will restrain the contractors’ interest to
51
obtain knowledge about green building practices.
Average mean score
2.80
Table 4.10: Lack of Public Awareness
4.3.8 Descriptive Statistic of Lack of Demand Variable Table 4.11 examines three issues regarding the variable ‘lack of demand’. Refer to the findings analysis, it shows that the mean score ranging from 2.37 to 2.58. The highest mean value indicated at 2.58 mentioned a result that ‘incorporating green elements and technologies into building will increase the project cost’. In general, the outcome reveals that a majority of respondents choose fairly challenging and moderate (90.6%, 98.1% and 9602%) with all issues. In contrast, there are only (9.3% and 1.9%) choose not challenging at all. When refer to the percentage, 9.3% of respondents feels the issues ‘the demand of the green building are consider as new and fresh in Malaysia’ are not challenging at all. Even though the mean score is indicated at 2.37, it shows that this issues does not affect the highest mean value. H. Lack of Demand
Level of challenge (%) 1
2
3
4
5
Mean Value
H.1. The demand of the green building are consider as new and fresh in Malaysia.
9.3
43.9
46.7
-
-
2.37
H.2. Buyers experience that an environmentally-friendly green building is not worth any extra cost.
1.9
55.1
43
-
-
2.41
H.3. Incorporating green elements and technologies into building will increase the project cost.
-
46.7
49.5
2.8
0.9
2.58
Average mean score
Table 4.11: Lack of Demand
52
2.45
4.3.9 Descriptive Statistic of Lack of Expertise Variable Table 4.12 indicated detail findings regarding the lack of expertise in implementation of green building concept. Based on the findings, the knowledge and information on green buildings frequently depends on expertise from the developed country is the highest score with the mean value of 3.04. In other hand, issues on lack of expertise to provide advice just recorded 2.87 total of mean value. It can be concluded in general that issues on the knowledge depends on expertise from the developed country have been took seriously compared to the lack of expertise to provide advises. In general, the outcome reveals that a majority of respondents choose fairly challenging and moderate (86%, 85% and 90.7%) with all the issues. In contrast, there are very less respondents choose very challenging (2.7%). I. Lack of Expertise
Level of challenge (%) 1
2
3
4
5
Mean Value
I.1. Many construction practitioners are not professionally qualified in the context of sustainable issues and practices.
-
26.2
59.8
13.1
0.9
2.89
I.2. The knowledge and information on green buildings frequently depends on expertise from the developed country.
-
12.1
72.9
14
0.9
3.04
I.3. Lack of expertise to provide advice on contracting and tendering process, regulations and standards, green materials and technologies will cause many uncertainties to happen.
-
23.4
67.3
8.4
0.9
2.87
Average mean score
2.93
Table 4.12: Lack of Expertise
4.3.10 Descriptive Statistic of Lack of Professional Knowledge Variable Table 4.13 examines three issues that related to lack of professional knowledge. Refer on the findings analysis, its shows that mean score ranging from 2.07 to 2.77. The highest mean score indicated at 2.77 mentioned a result that ‘contractor’s lack of professional knowledge about green building will cause delays and also 53
increase the initial cost of the projects’. In general, the outcomes reveals that a majority of respondents choose fairly challenging and moderate (96.3%, 95.3% and 93.5%) with all issues. In contrast, there are only (2.8% and 1.9%) choose not challenging at all and (3.7%, 1.9% and 4.7%) choose challenging. J. Lack of Professional Knowledge
Level of challenge (%) 1
2
3
4
5
Mean Value
-
27.1
69.2
3.7
-
2.77
J.2. Limited knowledge makes it hard in reaching agreement between experienced and younger contractors.
2.8
34.6
60.7
1.9
-
2.62
J.3. Experienced contractors are not exposed to environmental issue such as climate change, whereas younger contractors have been exposed to sustainable construction which is green building in their higher education level.
1.9
93.5
-
4.7
-
2.07
J.1. Contractor’s lack of professional knowledge about green building will cause delays and also increase the initial cost of the projects.
Average mean score
2.49
Table 4.13: Lack of Professional Knowledge
4.3.11 Descriptive Statistic of Lack of Database and Information Variable The respondents were given three issues to vote and evaluate when discuss variable regarding lack of database and information in implementation of green building concept. From the finding in table 4.14, indicated that the highest mean score (2.93) mentioned about buyers are facing situation of lacking access to information on the issue of energy and environmental performance of green building. In general, the outcome reveals that a majority of respondents choose fairly challenging and moderate (88.8%, 96.2% and 95.3%) with all the issues. In contrast, there are some that choose challenging (11.2%, 1.9% and 4.7%). There are only 1.9% of respondents choose not challenging at all with issue ‘database and information about green building materials are often inadequate or difficult for contractors to interpret with mean value indicated at 2.54 and it is shows that this 54
issues does not affected with the highest mean score. Table 4.14 shows the detail of the findings analysis. K. Lack of Database and Information
Level of challenge (%) 1
2
3
4
5
Mean Value
K.1. Buyers are facing a situation of lacking access to information on the issue of energy and environmental performance of green building.
-
18.7
70.1
11.2
-
2.93
K.2. Database and information about green building materials are often inadequate or difficult for contractors to interpret.
1.9
43.9
52.3
1.9
-
2.54
K.3. Insufficient information about green buildings causes the stakeholders unaware and has no interest to do research about it.
-
28
67.3
4.7
-
2.77
Average mean score
2.75
Table 4.14: Lack of Database and Information
4.3.12 Descriptive Statistic of Lack of Technology Variable Table 4.15 showed the result of descriptive analysis on variable ‘lack of technology’. The result that has been demonstrated in table 4.14 revealed that the mean score is 3.01 to 3.20. The issue ‘green technologies are usually more complicated and lot different than conventional buildings’ indicated the highest mean value with 3.20. In general, the respondents choose moderate (82.2%, 86% and 71%) with the three issues for lack of technology variable. However for the issue of ‘green technologies are difficult to obtain developing countries. It often required green technologies to be imported from foreign countries’ with mean value 3.01 shows that 7.5% of respondents feel this issue is fairly challenging and does not give a negative impact to the implementation of green concept.
55
L. Lack of Technology
Level of challenge (%) 1
2
3
4
5
Mean Value
L.1. Green technologies are usually more complicated and a lot different than the conventional buildings.
-
0.9
82.2
13.1
3.7
3.20
L.2. Green technologies are difficult to obtain in developing countries. It often required green technologies to be imported from foreign countries. (Malaysia)
-
7.5
86
4.7
1.9
3.01
L.3. Unfamiliar with the performance of green technologies will affect the performance of the green building.
-
9.3
71
15
4.7
3.15
Average mean score
3.12
Table 4.15: Lack of Technology
4.3.13 Summary of Average Mean Score for Issue Challenges Figure 4.6 illustrated in detail a summary of average mean score for challenges in implementation of green building concept. The mean score for each variable ranging from 2.45 to 4.09. From the analysis finding that higher final price are indicated as the highest mean score (4.09) compared to other variable. Through this, we know that the study area (Sibu) has faced this challenge in implementation of green building concept. Meanwhile, the lowest mean score indicated that lack of demand (2.45) is the lowest challenge that they are faced.
56
Average Mean Score Lack of Technology
3.12
Lack of Database and Information
2.75
Lack of Professional Knowledge
2.49
Lack of Expertise
2.93
Lack of Demand
2.45
Lack of Public Awareness
2.8
Lack of Credit Resources to Cover Upfront Cost
3.29
Higher Final Price
4.09
Risk of Investment
3
Higher Investment Cost
3.96
Lack of Building Codes and Regulations
2.83
Lack of Incentives
3.05 0
0.5
1
1.5
2
2.5
3
3.5
4
4.5
Average Mean Score
Figure 4.6: Summary of average mean score for challenges variables
4.4 Ranking by Variables Table 4.16 illustrated the summary of challenges in implementation of green building concept in Sibu. There are two variables – ‘higher final price’ and ‘higher investment cost’ were the achieved the highest mean score which regarded as most challenges variable the contractors in Sibu. ‘Higher final price’ was regarded as ‘important’ variable with a mean value 4.09. Based on the respondent comment, the use of green materials and technologies will increase the price of green building. Another respondent said the using of green products will cost more in the final price due to the availability of green product in Sibu market. ‘Higher investment cost’ was the second highest of challenges which regards as ‘important’ among the other variables. The mean score of this variable is 3.96. Some of the respondents said that the upfront cost for conventional buildings are cheaper than green building. Which means the investment cost for green building will increase and cause the payback period to become longer. Besides, the respondents also mentioned that the interrelationship between ‘investment cost’ 57
and ‘final price’ because the increase of final price of green building will also increase the investment cost too. ‘Lack of credit resources to cover upfront cost was ranked third highest mean score 3.29. Refer to several respondents, most of the contractor firm in Sibu were mainly small and medium sized. For the small firm, they are not enough financial support to constrcut the green building. While the medium sized firm, the implementation of green building may lead them to the financial risk. Some respondent said they not willing to take risks due the insufficient credit resources to cover upfront cost. The fourth ranked variable was ‘lack of technology’ with a mean of 3.12. Few respondents had mentioned that the implementation of green building concept in Sibu was still consider as lagging behind. Many contractors firm were not convinced to use the green technology because it still consider very new in Sibu construction industry. ‘Lack of incentives’ was ranked fifth highest by the Sibu contractor firm with a mean score 3.05. Based the respondent’s comment, the green building were still consider fresh in Sibu. The local government are not doing well in promoting the green development in Sibu. The financial support and incentives from government were not enough to convince the contractor’s will to implement the green building concept. They are more willing to construct the conventional building rather than green building. Insufficient incentives was not enough to attract the contractor to go for green concept. One of the respondent said that, the financial issues were the key point that to lead them to the implementation of green buildings. The sixth highest ranked challenges in implementation of green building concept in Sibu were ‘risk of investment’ (3.00). A few respondents mentioned that they are unfamiliar with the delivery of sustainable project which means the variation may occur and at the same time the overall project cost will increase too. This will likely increase the risk of investment. Another respondent said that the demand of green building in Sibu market are low, which means the risks to invest in green buildings
58
will increase if there are less people would consider to purchase green buildings. Or we can say that, the risk may occur when supply is more than demand. The seventh highest ranked challenges is ‘lack of expertise’ with a mean score 2.93. Four respondents said that lack of expertise was one of the barriers that having in Sibu currently. The local construction professionals were not specialized in green buildings. They are not equipped with enough of green knowledge. Besides that, the respondents further mentioned about the insufficient of expertise to advice will restrict the implementation of green building concept on Sibu. Variable
Mean
Rank
Means of Responses*
Higher Final Price
4.09
1
Imp.
Higher Investment Cost
3.96
2
Imp.
Lack of Credit Resources to Cover Upfront Cost
3.29
3
Mod. Imp.
Lack of Technology
3.12
4
Mod. Imp.
Lack of Incentives
3.05
5
Mod. Imp.
Risk of Investment
3.00
6
Mod. Imp.
Lack of Expertise
2.93
7
Mod. Imp.
Lack of Building Codes and Regulations
2.83
8
Mod. Imp.
Lack of Public Awareness
2.80
9
Mod. Imp.
Lack of Database and Information
2.75
10
Mod. Imp.
Lack of Professional Knowledge
2.49
11
Less. Imp.
Lack of Demand
2.45
12
Less. Imp.
(Note: *means 1.0 to less than 1.49=unimportant, 1.5 to 2.49=less important, 2.5 to 3.49=moderately important, 3.5 to 4.49=important, 4.5 to 5.0=very important) Source: Questionnaire Survey
Table 4.16: Challenges in Implementation of Green Building Concept
‘Lack of building codes and regulations’ is eighth highest ranked with the mean of 2.83. Two respondents said that although the awareness in implementation of green building concept was still low in Sibu, but the government was still promoting the green practices continuously. Some of the respondents claimed that Sibu actually had already moved a great step forward in green construction. University College of Technology Sarawak in Sibu was the first green university college in
59
Sarawak state. Even though there are still consider as lack of building code and regulation, but the green buildings concept still can be implemented. The ninth highest ranked challenges was ‘lack of public awareness’ with the mean of 2.80. Several respondents claimed that they are not aware about the environmental issues and brought the issue of education. They commented that the education about the green concept was insufficient. Besides, the participation rates was very low when education fair is going on. One of the respondent said that they were not concerned on environmental issues and choose not involved in implement the green concept. ‘Lack of database and information’ is tenth highest ranked challenges with mean score 2.75. Several respondents stated that this challenges was not a main issue as one of the challenge in implementation of green concept in Sibu. As we know, the green information can be easily search and founded in the online website such as GBI (Malaysia Green Building Index). We can search a lot of information about green building in this website. It provide the related information and also the rating tools. Besides, there were more exposure of green concept to the younger construction professionals in their education. One of the respondent commented that there were a lot of green building being constructed in Malaysia. They could get the related database and information easily. However, some of the contractors who tended to follow the old way of construction but not choose to go for green concept. They were inactive in gathering the green knowledge and information at the website. ‘Lack of professional knowledge’ has achieved the mean score of 2.49 which ranked in eleventh position. Some of the respondents said that, the current construction
practitioners
are
limited
knowledge
about
green
concept.
Experienced contractors in Sibu construction industry were unaware about the implementation of green building concept. They are more prefer involved in conventional buildings. Furthermore, one of the respondent said they were not willing to spend their time expose to green knowledge and not interested in learning new professional green knowledge because of busy working days. 60
Majority of the respondents said that ‘lack of demand’ (twelfth) was not a major challenge in implementation of green concept in Sibu. The first ever green building (University College of Technology Sarawak) was implemented in Sibu. Some of the respondents claimed that they are willing to involve in green project after experience such benefits that brings by green building. Another respondents said that they are more willing involved the green project in the venture way. However, there are four of the respondents said that they are prefer to buy the conventional buildings because the price of green building were high. Based on the respond from the respondents, most of them agree that the buyers will go for green buildings because it bring a lot of benefits. ‘Lack of demand’ will not be a big issue in implementing green building concept in Sibu.
4.5 Discussion on Analysis for Challenges in Implementation of Green Building Concept The highest ranked challenge (i.e. higher final price & higher investment cost) will be discussed, followed by the moderately important challenges (i.e. lack of credit resources to cover upfront cost & lack of technology) and the least important challenge (i.e. lack of professional knowledge & lack of demand).
4.5.1 Higher Final Price Chapter two has mentioned about the higher final price is due to increased market valuation, the high cost of green materials, green technologies and systems operating. The present study agrees with statement made by previous studies that final price of green building will affected by the higher construction cost. The findings of present study found out that Sibu’s contractors agree that the green building are more expensive than conventional buildings. According to previous studies from three different countries (Australia, United States & Singapore), they also found and agree that low implementation of green buildings is because of higher final price (Wilson & Tagaza, 2004; Scheur, 2007; Hwang & Tan, 2012). 61
The conventional materials are cheaper than green materials. This scenario can be found by previous study by Hwang & Tan, 2012 in Singapore with a statement mentioned that the cost of ordinary plywood is ten times cheaper than compressed wheat board. Higher green construction cost had affected the contractors to participate and build green. Furthermore, the use of green materials and technologies including modeling costs and design complexity, will affect the project cost which will increase the final price of the building. Besides, green project are still consider new to Sibu construction industry. The industry still facing insufficient supply of green materials, technologies and systems. However, the previous study from West Malaysia (Samari et al, 2013) does not agree with this finding. The previous study indicated that the higher final price was not the main challenges for the contractors because they are more aware of credit resources at the initial stage.
4.5.2 Higher Investment Cost The present study agree with the study done by Gundagon (2013), Balaban (2013) and Chan, Lee & Lee (2014) which ‘higher investment cost’ is challenging variable. The previous study showed that conventional cost is cheaper than green building because the design and construction method are much more complicated and high cost in green strategies. According to Balaban (2013), he stated the main reason that contractor not willing to invest much in green project because of the payback period is to long for the small firm with low financial support. The findings of the present study indicated because of the use in green products and technologies, the final price of green building will increase.
4.5.3 Lack of Credit Resources to Cover Upfront Cost As mentioned in Chapter Two (refer Section 2.6.5), lack of credit resources to cover upfront cost is one of the barriers in implementing the green building. The financial capability of the contractors are depends on the company size. The present study agree with Samari’s at el (2013) findings which contractor 62
companies are not able to cover the high upfront cost of the green project because of lack of credit resources. According to Balaban (2013), he stated that the payback period for green building is too long to companies that with limited resources. Due to this reason, the companies which lack of credit resources may not able to cover the high upfront cost.
4.5.4 Lack of Demand ‘Lack of demand’ was twelfth ranked challenge and it is regarded as an unimportant issues in Sibu. Zainul Abidin (2012) and Yusof & Hwang’s (2012) stated that the lack of demand issue was because of buyer’s purchasing power are weak but not related to the rate of demand. Which means it more concerned on affordability but not the demand issue. Besides that, according to Zainul Abidin (2012) and Yusof & Hwang’s (2012) they stated that the higher price will decrease the rate of demand and the buyers are not able to purchase in such high price. The present study does not agree with Zhang, et al (2011) findings which showed that the low demand of green building was because of low publicity of successful green buildings. The green project (University College of Technology Sarawak) which achieved highest rating in Green Building Index had been implemented in Sibu. University College of Technology Sarawak (UCTS) has become the first university to be platinum-rated for the Green Building Index (GBI) award (Chua, 2015).
4.5.5 Lack of Professional Knowledge Llack of professional knowledge is regarded as an unimportant issue in Sibu with the mean score 2.49, although the old contractors many not exposed much new knowledge about green concept. In most cases, the contractors are having limited knowledge on green concept which are basic information and theoretical part only (Yusof & Awang, 2012). The present study does not agree with Yusof & Awang (2012). Nowadays, there are a lot of fresh graduate set up the new firm or joining the other construction company. According to Zainul Abidin (2009), younger 63
contractors have been exposed to sustainable construction in their higher education level. The implementation of green building may become much easier because they had equipped professional knowledge on green concept.
4.5.6 Lack of Database and Information The findings showed that ‘lack of database and information’ is regarded as moderate important. According to Samari et al (2013), the lack of database and information is not the important challenges in implementing the green building concept. These studies showed that the advantages of green building which were enough to exclude this barriers. The findings of this study does not agree with Balaban (2013) which stated that there are lack of green information and difficult to access to related green issues. Balaban’s (2013) finding showed that the investors did not get enough the information about green buildings. Malaysia owned itself a green building rating system which named as green building index (GBI).This rating system has been developed by Pertubuhan Arkitek Malaysia (PAM) and Association of Consulting Engineers Malaysia (ACEM). All the green information can easily access and get from GBI (Sahat, 2012; Tan, 2009)
4.6 Summary Analysis for study of challenges in implementation of green building concept – A study among contractors in Sibu is divided into three parts which are i) Analysis for Contractor’s Background; ii) Analysis for general perception about green building; and iii) Analysis for the Challenges in Implementing Green Building Concept. For the contractor’s background analysis, this analysis has investigated the contractor firm based on respondent’s position, experience, categories of contractor, duration of operating, kind of projects involved and any involvement in green development before.
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After look over the basic information for the contractor’s background, and further analysis is been doing by analyzed the on the contractor general perception about green building. Followed by the analysis on the part three, level of challenges in implementing the green building concept that their being faced it. Subsequent, mean score analysis is been used to determine the level of challenges based on twelve variables and thirty two items. After determining the main variables, the discussion were presented.
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CHAPTER FIVE
CONCLUSION & RECOMMENDATION
5.0 Introduction This chapter presents the summary of research. Based on applied of study methodologies, present study managed to carry out the survey, collect data and information for the challenges in implementing green building concept. This information is very significant and important because it has exposed the current situation in Sibu. This chapter will discuss the overall summary of the study, research limitations and recommendations for the future.
5.1 Limitation of Study The objective of the present study had achieved, but the study still having some limitation.
5.1.1 Respondent’s Cooperation The respond rate may not reach the expectation by distributing the questionnaire through email. Because the email often being ignored by the respondents. The email which not related to the company, often not be entertained.
5.1.2 Time Constraint Another limitation of the study was the time constraint. The total time allocated for collecting the returned questionnaires was too short. Besides, the email which not 66
related to the company may treated as unimportant email. Late respond may consume a lot time. Due to these reasons, the respond rate may not meet the expectation.
5.2 Summary of Research The research objective of the study has been achieved which find out the challenges in implementing green building concept among contractors in Sibu.
5.2.1 Objective 1 - To determine green building concept. Green building concept can be determined through study in detail of green concept theories and Green Building Index (GBI). Green Building Index (2013) defined ‘green building’ as the building that reduce negative impact to the environment and human health. The overall definition of green building in Malaysia context are six criteria that included in Green Building Index (GBI) which known as
Energy Efficiency
Indoor Environmental Quality
Sustainable Site Planning and Management
Material and Resources
Water Efficiency
Innovation
Implementation of green development will brings a lot of benefit to human being and environment. Green buildings are designed to reduce the energy use by recycling the materials. It also minimize the harmful substances throughout the lifecycles. Besides, green building also improve the human life quality and maintain the balance of the ecosystem.
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5.2.2 Objective 2 - To identify challenges in implementing green building concept among contractors in Sibu, Sarawak. There are twelve challenges were listed in current study. This study had discovered the main challenges in implementing green concept among contractors in Sibu are higher final price, higher investment cost, lack of credit resources to cover upfront cost. ‘Higher investment cost’ achieved the highest mean score, 4.09 followed by ‘Higher investment cost’ with the mean score 3.96. ‘Lack of credit resources to cover upfront cost achieved 3.29 mean score. All the top three variables are financial challenges. The least important challenges are lack of demand, lack of professional knowledge and lack of database and information with the mean score 2.45, 2.49 and 2.75.
5.2.3 Objective 3 - To suggest further improvements in implementing Green Building concept. Based on the analysis, contractors in Sibu are aware of benefits bring by green buildings but majority of the contractors are not willing to involve in green development in Sibu. The identified challenges in present study are all financial challenges. The government should put more effort in promoting the green development in Sibu. Besides that, government should contribute more in financial support or assist to the local contractor’s firm. Besides that, small contractor’s firm will limited financial resources can consider joint venture with other firm to implement the green development.
5.3 Recommendation 5.3.1 Government Leadership The government need play an active role by giving example to promote the green building. Government can propose to build or renovate all the government sectors building to GBI standards. The established government procurement process need 68
to ensure that the green materials are purchased. Besides, the government should provide education, green information, technical assistance or training so that the green practices can adopted successfully. The government also can encourage the public and private sector to adopt the green building standards and purchase of environmental friendly materials.
5.3.2 Promote to increase the Awareness, Knowledge and Access to Green Concept The educational programs should be carry out in private and government sector in order to increase the green knowledge, concept and improve the public awareness. The programs that already providing should be widely expand. Besides, some courses and seminars should provide to the construction industry players in order to enhance them with specific green knowledge, strategies, techniques and materials. Furthermore, collaboration of local universities, colleges to establish green building practices in their schoolwork.
5.3.3 Implementation of Green Incentive Scheme and Tax Exemptions The private sector should prepared their on green strategies but only rely on the government. They need to think and prepare their own financial utilities. For example, financial institution such as bank can provide more attractive credits for green development investors. Green incentive schemes and tax exemptions are provided for construction companies and the players involved in green development. Green investment always not first choice of the investors because of high initial capital cost. The incentive programs should be established and act as financial support to the local manufacturer. A lot of green materials are imported from foreign country. The local suppliers and manufacturers should strengthen by government incentives. Besides, the use of local green materials should be promoted and encouraged by the government. The local construction firms, suppliers or manufacturers will tend to be more green if supported by government 69
and green building certification systems (GBI). Besides that, the incentive schemes and tax exemptions policies should advertised and exposed to public. So that the public are know that there are such kind of policy existed.
5.4 Recommendation for further study The present research study the aims to find out the challenges in implementing green building concept among the contractors only.
More related research is required to improve and enhance better implementation of green building concept in Sibu.
For future research, the targeted respondents can be other construction professionals in the Sibu such as owners, developers but not only restrict to contractors.
The present study only listed twelve variables as suggested by previous studies conducted by other researchers. Suggest to list more variables to make the study better and more precise.
The present study provides only a list of challenges in implementation of green building. Categorize the variables into different aspects are recommended for the future research. For example, market challenges, financial challenges, management challenges and others. More detailed research information can be find out through this way which can improve the green building implementation in Sibu.
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APPENDIX I
VII
The Challenges in Implementing Green Building Concept – A Study Among Contractors in Sibu, Sarawak, Malaysia.
Dear Respondents, I am a Degree student doing BSC (Hons) in Quantity Surveying & Cost Management in Imperia Institute of Technology & Liverpool John Moores University. I am conducting a study entitled “The Challenges in Implementing Green Building Concept – A Study Among Contractors in Sibu, Sarawak, Malaysia”. The objectives of this survey is to investigate the challenges in implementing green building concept among contractors in Sibu. This questionnaire is significantly designed to gather data from the contractors on related matters. The questions consists 3 sections which are:
PART A: CONTRACTOR’S BACKGROUND PART B: GENERAL PERCEPTION ABOUT GREEN BUILDING PART C: CHALLGENGES IN IMPLEMENTING GREEN BUILDING CONCEPT
All the data and information provided by the respondent is strictly for the purpose of academic and will be treated confidentially. No information of any respondent will be disclosed in any form. It would be grateful if you could spend your time answering this questionnaire. You entire cooperation will be appreciated.
LING NENG NIIG BSC (HONS) in Quantity Surveying & Cost Management IMPERIA INSTITUTE OF TECHNOLOGY Suite 11.01, Level 11, Menara Summit Persiaran Kewajipan USJ 1, 47600 UEP Subang Jaya, Selangor Darul Ehsan, MALAYSIA. Tel: + (60) 12 872 4015 Email:
[email protected] VII
PART A: CONTRACTOR’S BACKGROUND 1. Please state your position / professional in the company __________________________ 2. Categories of contractor Grade 1 Grade 2 Grade 3 Grade 4 Grade 5 Grade 6 Grade 7 3. Your experience in construction industry 1-3 years 4-6 years 7-9 years 10 years and above 4. How long has your company been operating in Sibu? 0-5 years 6-10 years 11-15 years 16-20 years 20 years and above
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5. Your company mostly involved in what kind of project? Infrastructure Industrial Building Commercial Building Residential Building
Other: ______________________ 6. Did your company involved in any green development before? Yes No
PART B: GENERAL PERCEPTION ABOUT GREEN BUILDING 1. Do you agree that green developments can lower the negative impact to the environment and increase the quality of occupant’s life? Agree Disagree
2. Do you think it is essential to embrace green building practices in every types of construction development in Sibu? Yes No
3. Do you think government is doing well in promoting green development in Sibu? Yes No
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PART C: CHALLENGES IN IMPLEMENTING GREEN BUILDING CONCEPT Please indicate the challenges that contractor face with regards to implementation of green building concept in Sibu. (Please tick one box only) Meaning of scale: 1= Not Challenging At All 2= Fairly Challenging 3= Moderate 4= Challenging 5= Very Challenging
A. LACK OF INCENTIVES A.1. Limited support and incentives from government has slow down the green building development. A.2. Government incentives provide low risk and financial advantages to the contractor. A.3. Amount of incentives affect the contractor’s interest in taking part the green building project.
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B. LACK OF BUILDING CODES AND REGULATIONS B.1. Lack of regulatory instruments from the government has decreased the green 1 2 building development. B.2. The policy and legal frameworks established by local authority are too complicated and make the system hard to comply. B.3. Lack of enforcement on the subject of mandatory regulations, standards or guidelines for green buildings. (Institutional disharmony)
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C. HIGHER INVESTMENT COST C.1. Initial cost for green building are high. C.2. Green building are more expensive than conventional building. C.3.The green building development require more time and cost investment.
D. RISK OF INVESTMENT D.1. Risk of investment will increase due to uncertain payback period. D.2. Different types of project delivery will increase the risk of investment. D.3. Changes of design may lead to different variation and increase the overall project cost.
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E. HIGHER FINAL PRICE E.1. Green products, materials, green technologies and system are higher cost.
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E.2. Complexity of design and modeling costs will increase the final cost.
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F. LACK OF CREDIT RESOURCES TO COVER UPFRONT COST F.1. The financial capability of the 1 2 3 contractors depends on its company size. F.2. Smaller company may face financial problem if they want engage in green 1 2 3 building project due to smaller financial support. F.3. Payback period for green building is too long for the companies with small 1 2 3 financial capacity.
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G. LACK OF PUBLIC AWARENESS G.1. Buyers are aware about benefits of building energy and environmental efficiency of green buildings. G.2. The public awareness affected the demand for green building projects. G.3. Lack of awareness among buyers will restrain the contractors’ interest to obtain knowledge about green building practices.
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H. LACK OF DEMAND H.1. The demand of the green building are consider as new and fresh in Malaysia. H.2. Buyers experience that an environmentally-friendly green building is not worth any extra cost. H.3. Incorporating green elements and technologies into building will increase the project cost.
I. LACK OF EXPERTISE I.1. Many construction practitioners are not professionally qualified in the context of sustainable issues and practices. I.2. The knowledge and information on green buildings frequently depends on expertise from the developed country. I.3. Lack of expertise to provide advice on contracting and tendering process, regulations and standards, green materials and technologies will cause many uncertainties to happen.
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J. LACK OF PROFESSIONAL KNOWLEDGE J.1. Contractor’s lack of professional knowledge about green building will cause delays and also increase the initial cost of the projects. J.2. Limited knowledge makes it hard in reaching agreement between experienced and younger contractors. J.3. Experienced contractors are not exposed to environmental issue such as climate change, whereas younger contractors have been exposed to sustainable construction which is green building in their higher education level.
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K. LACK OF DATABASE AND INFORMATION K.1. Buyers are facing a situation of lacking access to information on the issue of energy and environmental performance of green building. K.2. Database and information about green building materials are often inadequate or difficult for contractors to interpret. K.3. Insufficient information about green buildings causes the stakeholders unaware and has no interest to do research about it.
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L. LACK OF TECHNOLOGY L.1. Green technologies are usually more complicated and a lot different than the conventional buildings. L.2. Green technologies are difficult to obtain in developing countries. It often required green technologies to be imported from foreign countries. (Malaysia) L.3. Unfamiliar with the performance of green technologies will affect the performance of the green building.
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Please give any recommendation for improvements in implementing green building concept. ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ________________________________________________________________ ______
We have now reached the end of the questionnaire. Thank you for your participation.
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