Risk analysis and investment feasibility for green retrofits in high-rise office buildings using the life cycle cost method

Abstract

Greenhouse gases (GHGs) have caused extreme temperature changes. In January 2023, temperatures were 0.1°C higher than the normal 30-year monthly average. Construction, especially high-rise offices, which occupy 42% of Jakarta, contributes significantly through energy con-Sumption. To reduce carbon emissions, Indonesia has started to implement green retrofits as part of the Net Zero Emission 2050. Due to high costs and lack of public education on new and existing green buildings, the implementation of green retrofits is inhibited, and owners prefer conventional buildings. This research aims to analyze the feasibility and investment risk of implementing green retrofits in high-rise office buildings using the life cycle cost method and the Minister of Public Works and Public Housing Regulation No. 21 of 2021 to generate a feasible and safe in-vestment. It has been proven with cost savings in energy and water consumption of up to 15% compared to conventional office buildings. Profits have also been achieved by providing 9 benefits to the building owner, building manager and building occupants. Therefore, this research has the potential to accelerate the green revolution through feasible and safe green retrofit investments in Jakarta's office buildings.