7 minute read
Demand increasing for green and sustainable designs for commercial buildings in Thailand
Marian Kusy
Green buildings are increasing in Thailand. The number of such buildings in Thailand rose more than three times during 2012-2017. The majority of the green buildings comprise office premises (40 per cent) and retail establishments (40 per cent), according to the SCB Economic Intelligence Centre. This increasing trend of green buildings is driven by the new Building Energy Code (BEC), enforced in 2021, and the higher return on investment when compared to traditional buildings. However, one of the main challenges to developing green buildings in Thailand is the lack of green building consultants.
Archetype Thailand provides consulting services in sustainability and green design. It is part of the world’s leading private construction consultancy company Archetype Group. The company’s core services are architecture and master planning, building and infrastructure engineering, industrial and process engineering (which is one of the differences of Archetype from other architecture/construction firms), and project and cost management. Archetype’s services cover three sectors – building and real estate, industry and manufacturing, and energy and infrastructure
Archetype’s Mr. Marian Kusy is an experienced Managing Director and Engineering Director with more than 16 years of experience in engineering, procurement and project management in a wide range of industrial sectors, including manufacturing, agriculture, and food and beverage. In this Interview, Mr. Kusy discusses the challenges that the construction Industry is facing, the future of Archetype Thailand and sustainable development.
As Archetype Thailand offers consulting services in sustainability and green design, could you briefly explain the green building trend?
There has been an increasing demand for green and sustainable design in Thailand in recent past years. However, compared to some parts of the world, such as the European Union, it’s still just at an early stage. Some activities have been put in place and even some regulations are starting to appear in Thailand. In addition, the number of consultants providing this service is also increasing, although the overall numbers are still behind the more developed countries.
I have checked some statistics based on the current number of green certified buildings in Thailand, and I have found that around 265 (around 80 per cent) are offices and commercial buildings, but there are almost no green residential buildings). This number is increasing slowly, but compared to the total number of new investments this number is still small. The green building trend currently in Thailand mostly covers offices and commercial buildings, followed by industrial buildings. In addition, there is almost no green building initiative for housing projects. To conclude, there needs to be more awareness regarding the need for green buildings.
How is the green building trend affecting the building and construction industry in Thailand?
When you invest in green building it always comes with an extra cost. This cost is a problem for the clients who want to invest in green buildings; the effect occurs in the later stages of the operational cost. So, the number of projects are increasing but more awareness needs to be spread among investors about the benefits and advantages of investing in green buildings.
How has the building and construction industry changed due to this trend?
I would say that more consultants and construction companies are now aware of the green building trend and are able to provide the regarding the specific services required. An increasing number of seminars and events are focusing on this topic, and more clients are understanding the benefits of investing in a green building. There is an increasing number of green building projects in Thailand and there is a spike in the increase of utilities (e.g., electricity) This higher utility consumption will push towards a sustainable design solution for the going number of green building. There will be new markets, new methodology and technologies which will have to be implemented in the Thai market, but which are not being used yet. One of the challenges in Thailand is that they stick to the conventional methods and technologies, while there are newer systems being put in place in other countries. The problem is that these technologies come at an increase in cost; however, the benefit will be created during the operational stage.
What further challenges are facing the building and construction industry in Thailand?
In the past two years, the major challenge has been the worldwide Covid-19 challenge. Recently, one of the biggest challenges has been the increased cost of construction; triggered by geopolitical issues in Europe it forced us to increase fuel prices, which are having an adverse impact on prices in transportation and therefore also materials. This has slowed down the progress of many projects that were planned to start or restart after the Covid-19 pandemic.
The pandemic has led to some potential investors be stuck in their countries and unable to travel. Another challenge is, for example, is the use of newer technical solutions in construction, newer more sustainable materials as well as better, more efficient technologies. Initially, these new technologies come at a higher cost, but provide significant savings at a later stage of operation. However, most clients are focusing on the initial investment rather than on the future savings; this viewpoint should be changed by the provision of the latest related knowledge.
Can you describe one example of an important green building project in Thailand?
In mentioning some of the green building designs and achievements by Archetype, I would include the Mars Petcare project in Chonburi which obtained LEED Gold level about two years ago and Mars Pet Center project which received the LEED Gold the beginning of this year. It is an industrial production plan and research center for producing high quality animal food. We are also currently working on another project (still at a design stage) from Europe, for which we are trying to achieve LEED Gold.
More and more clients are starting to set sustainability targets as global KPIs. Most of them are international companies that are already forced by regulations to reach a certain sustainability level in other parts of the world. They are realizing the benefits of such investment and are implementing it further on all projects. The pressure for green and sustainable solutions will be higher with the increase of utility costs in Thailand, which already started in the past couple months.
What is the industry’s most important challenge, and why?
The challenge to change and adapt to new trends in design and construction. We can see the use of many of the old ways of construction methodologies or conventional conservative designs. This is something that should be changed by proper education. Universities should promote and teach about what is new in the world, including more about sustainability. In my opinion, the reason is mostly the initial cost, which in most of the cases is higher than that for conventional ways and/or the lack of knowledge.
What kind of obstacles do you face in green building projects?
There are a few but, in my opinion, the most significant are (a) the lack of education and consequently current consultants providing this type of service to the Thai market, (b) higher investment costs compared to those for standard construction methods and (c) the lack of regulations that would force each party to proceed into this direction.
How do you visualize the future of Thailand’s building and construction industry?
The construction industry in Thailand will grow, like in every other part of the world. There are indications of many new projects which are still on hold with the clients waiting for the right moment to launch. Thailand, and specifically Bangkok, has many old hotels, offices and other old buildings that are waiting for full renovation. Many of them are 20 to 30 years old. To maintain their competitiveness with new buildings, these offices and hotels need to undergo a full renovation which should include proper upgrading in line with some green design principles.
Contact details: Marian Kusy Managing Director Archetype Thailand Info-bkk@ archetype-group.com www.archetype-group.com
