Over the past decade, momentum for sustainable energy has been swelling worldwide, with more and more cities embracing environmentally friendly initiatives.
As a result of collaboration between town planners, citizens, the corporate sector and law makers, many international cities have adopted clean energy projects and Australian cities are among world leaders, according to First National Real Estate chief executive, Ray Ellis.
‘Adelaide is planning to be the world’s first carbon neutral city. It has establishing a Green Industries SA renewable energy investment agency and is building solar PV plants. These steps are in line with the state’s target of 50 per cent renewable energy by 2025’ said Mr Ellis.
New research by the New Climate Economy (Global Commission on Economy and Climate) has found that if more cities take steps similar to Adelaide, the savings could amass a current value of US$17 trillion (AU$24 trillion) by 2050.
‘The sustainable energy initiatives that cities, towns and villages undertake reduce their energy costs, improve public health, and help them attract new residents and businesses,’ said Mr Ellis.
‘Green communities attract residents and this bodes well for real estate values. People want to live in homes capable of generating clean energy, whether that be through solar panels installed on the roof, or geothermal pumps dug beneath the house foundations. The level of interest in Tesla’s low cost Powerwall, soon to be made available in Australia, appears to underline the appetite for more sustainable home energy’.
As investment in renewable energy becomes commonplace and cheaper, and as more effective energy storage becomes commercialised, buying a property that is ‘green’ will eventually become more affordable for a wider range of people.
By streamlining the costs of producing green technologies, more houses will come already equipped with these features. In time, expectations will be such that energy efficient houses will be more highly sought after, thereby rising in value more quickly.