In Short : Major global energy-tech companies are increasingly investing in real estate sustainability initiatives. They are integrating advanced technologies, such as IoT sensors, smart grids, and energy-efficient systems, into buildings to reduce energy consumption and carbon footprint. These initiatives aim to enhance energy efficiency, optimize resource usage, and promote eco-friendly practices within the real estate sector. By aligning technology with sustainability, these companies contribute to a greener future and create energy-efficient spaces for businesses and residents alike.
In Detail : At the headquarters of American energy technology major Honeywell, in Charlotte, the building tech team displays a series of demos on its connected buildings technology. Much of what is seen, including CO2 capture, cooling and efficiency controls, may find relevance in the Indian real estate market.
Earlier this year, the Indian real estate sector announced that it would target 2050 as the year it turned carbon-neutral — a whole two decades ahead of the national target of 2070. A NAREDCO and Knight Frank study, released in August, estimates that the sector could be valued at $5.8 trillion by 2047 — three years ahead of its net-carbon-zero deadline.
Honeywell, for one, is positive that the Indian market will offer it a huge opportunity, especially given its large stable of sustainable technology. “We want to be the number one energy-tech player soon,” said Manish Sharma, VP and Chief Product Officer, Connected Buildings at Honeywell.
“Our solution allows you to switch dynamically different power sources, and use the right source at the right time of the day because of tariff, up-time, and to cut peak-power, because peak (power) saving is also equally important”, he added.
Honeywell has firmly set its sights on taking pole position in the real estate energy-tech space; Manish said he would like for this to happen by 2030 when CREDAI has pledged to construct 4,000 green buildings. But this won’t be easy; competition is heating up.
At the launch of its innovation centre in Bengaluru, American HVAC, fire and security firm Johnson Controls said it was prioritizing de-carbonization of buildings through digitisation, as its primary goal in India. This target comes even as internal estimates project that buildings account for 40% of carbon emissions all the world over.
Swiss-headquartered Hitachi Energy, meanwhile, is banking on its new global technology centre in Chennai to drive its work in energy-transition in sectors like mobility and buildings, in India and overseas. The newly inaugurated centre will see 2,500 engineers work on over a thousand projects across 40 countries.
“We need to continue to enable the integration of more renewables into the energy system, and India is doing great work there,” said Claudio Facchin, CEO at Hitachi Energy, in an exclusive chat with CNBC-TV18, “Then there’s the need to electrify, transport, industry and buildings. In order for us to do that demand-supply, we need to continue to invest in our core, which is the grid.”
Facchin added, “We need some key technologies that are here at the centre — power electronics, because you need power across the value chain; and then there’s digitalization — the system will be more complex, but the good news is that the technology is there and digitalization is an essential part of that.”
Earlier this week, a NITI Aayog study projected that India’s GDP would hit $30 trillion by 2047. The Knight Frank and NAREDCO study added that real estate would contribute 15.5% to the GDP by this time, more than double its present-day share of 7.3%. Green technology firms believe there’s a strong chance that these projections will drive investment in sustainability initiatives.