ABOUT THE THEME:
A GREEN URBAN FUTURE FOR
AFFORDABLE HOUSING​

As the world pursues strategies to combat climate change and promote greater sustainability and resilience, this has particular relevance for affordable housing. Low-income communities are very clearly impacted upon by climate change and the environment, often finding themselves in disaster-prone areas, and in accommodation that is poorly suited to withstand climate events.

At the same time, the commitment to deliver affordable housing at scale necessarily impacts on the environment – carbon emissions are significant in the building process, as well in the ongoing life of buildings once erected. In recognition of the very significant interaction of housing and the environment, regulators as well as investors are increasingly demanding a climate-responsive approach, setting standards for “green construction” and “green buildings”. This gets reinforced through the development of “green finance”, which has become central to the focus and capacity of the residential construction industry. But what does this mean for affordable housing?

While “green” impacts favourably on the long-term operating costs of housing, with reduced services costs, it is often expensive, adding to the capital costs associated with delivery. This can have an effect of placing “green” outside the reach of low-income consumers; or placing affordable housing delivery outside the scope of “green” investors and the capital they offer.​