OCBC extends S$148m green loan to Tong Eng Group unit

It is the bank’s first green loan to use the BCA’s BEEA tool.

OCBC has extended a S$148m green loan to Fairview Development, a unit of developer Tong Eng Group, to finance the upcoming residential project Belgravia Ace.

This is the bank’s first green loan that leverages the Building Energy Efficiency Assessment (BEEA), the latest tool launched by the Building and Construction Authority of Singapore (BCA) to predict the energy performance of buildings. 

Projects assessed under the BEEA are reportedly able to achieve a level of energy efficiency which is comparable to the certification standard of a BCA Green Mark 2021 GoldPLUS building.

Clients will be able to make use of the BEEA online tool, which provides green assessments within minutes. Using the tool, property developers are required to provide information on air conditioning and mechanical ventilation systems and lighting, amongst others. 

The tool also provides options for additional measures that can be implemented to lower the energy consumption for the property along with the related costs.  

Buildings account for over 20% of Singapore’s carbon emissions and the potential to encourage more building owners, developers and SMEs in the property sector to make the shift to sustainability is significant, according to OCBC.

With the loan, Tong Eng Group plans to incorporate several green features in the housing development Belgravia Ace. These include the optimisation of window-to-wall ratio and the use of low emission glazing that reduces harmful UV and infra-red rays from the sun to facilitate better ventilation and minimise heat gain to the building.

In addition, the air conditioning system in the living and dining area will reportedly be fitted with an air-purifying filtration device that uses the latest Plasma technology to eradicate various kinds of viruses, bacteria, pollutants, dust and PM2.5, and in the process deliver cleaner air.  

Electric vehicle charging points will also be installed within the development. 

The development will also use eco-friendly cement and aggregate together with the use of low volatile organic compounds paints, adhesives, sealants, etc. that are approved by the local certification bodies.