MONTHLY MARKET UPDATE
Q2 2006

GO GREEN!

If you’ve tuned into the media lately, you have likely noticed the recent “buzz” around CO2 emissions, global warming and energy efficient products. Every industry seems to be jumping on the bandwagon including the building industry. A new resurgence in conservation and public demand is fueling this Earth-friendly trend. Green building, also called "sustainable" or "high-performance" building, means having a significantly reduced impact on the Earth's resources compared to conventional building. It also means creating a building that is healthier and more comfortable for its occupants, consequently enhancing productivity.

Most of the world has been involved in conservation and eco-friendly products for years, but many U.S. builders are now making efforts to incorporate green building into their operations and they’re being rewarded by getting discounted rates from utility companies, reduced insurance premiums and city funding and grants. Ten years ago, it was nearly impossible to find all the products available to properly (and within budget) build green – but nowadays there are thousands of companies manufacturing everything from eco-friendly paint products to alternative methods of heating and cooling systems.

“Current studies show that 48-54 percent of energy consumption and 35-46 percent of CO2 production in the United States is attributed to buildings’ construction and operation. Well designed architecture and efficient construction can reduce that by 50 to as much as 75 percent.” 

— Edward Mazria, Author of The Passive Solar Energy Book.

The cost to build green is reported to be typically less than 12-15% more than conventional building practices. This additional cost is transferred to the homebuyer, who gladly pays a little more upfront, in order to save thousands a year on heating and cooling costs and enjoy the value- added benefit of living in a healthier, earth-friendly environment.

What the public is most concerned about has shifted significantly in the last few years and with pending regulations and growing public demand on the horizon — it will only continue to increase.

YEAR

Percent rating ENERGY as a
Top Priority

Percent rating ENVIRONMENT as a Top Priority

2003

40%

39%

2004

46%

49%

2005

47%

49%

2006

58%

57%

As Builders, if you haven’t already — this is the year to start looking into how you can utilize green products and incorporate certain green building procedures into your operations. The benefits are more than two-fold and you may be able to receive hard cash incentives to do so and be given a pat on the back by your community as well!

For more information about Green Building, please check out these websites:

Have a great July!

Hadley Wood
President, SHW Insurance Services

“Current studies show that 48-54 percent of energy consumption and 35-46 percent of CO2 production in
the United States
is attributed to
buildings’ construction and operation.

Well designed architecture and efficient construction can reduce that by 50 to as much as 75 percent.”

Edward Mazria, Author The Passive Solar Energy Book.

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Copyright 2006 SHW Insurance Services.  All Rights Reserved.