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The 6th International Conference on Eco Engineering Development 2022 (ICEED 2022) IOP Publishing
IOP Conf. Series: Earth and Environmental Science 1169 (2023) 012018 doi:10.1088/1755-1315/1169/1/012018

Barrier of Green Building Implementation in Construction

Projects in Indonesia

James Widjaja Susanto, Caroline Maretha Sujana

Civil Engineering Department, Faculty of Engineering, Bina Nusantara University
Jakarta, Indonesia 11480

Corresponding author: james.susanto@binus.ac.id

Abstract. The development of a city that including infrastructure support has a massive impact
on environmental conditions and climate change. Green buildings are the key solution to
environmental problems. However, the implementation of the green buildings are very slow in
Indonesia. Most of dominant inhibiting factors for green building implementation are the
difficulty of obtaining green materials, a lack of understanding of the importance of green
buildings, the additional costs required to build green buildings, and the lack of support from the
government. This research is conducted to sort out the factors inhibiting the
construction/implementation of green buildings from the angle of contractors and owners. Many
questionnaires have been distributed in cities in Indonesia then found that the factors that
hindered contractors were lack of research on green building, lack of demand from owners, lack
of strict regulation from the government, failures in planning, and longer project duration. From
the owner's side, what is anchoring is the lack of attention and interest, limited research on green
building technology, high costs, and lack of cooperation between parties that support the owner
delivering a green building.

Keywords: green building, construction barrier, construction project Indonesia

1. Introduction
Regional population growth will slowly increase the demand for an area, both residential, commercial,
and industrial estates, and their complements. When the existing supply can not accommodate the
people's demand, the construction will continue to new areas. Other solution is construct a densely
populated city consisting of residential, commercial, industrial estates, and other supporting facilities
[1].
On the other hand, there is a familiar environmental issue known as global warming. The rate of
global warming every year is out of control. It will increase the earth's temperature and the destruction
of living things, perhaps due to the extinction or incompatibility of living places [2]. The cause is the
increase in the amount of carbon dioxide in the atmosphere caused by human activity [3]. In 2017, the
United Nations reported that the building construction and operations sectors contributed 11% of global
CO2 emissions [4]. Therefore, the construction will meet human needs, but on the other hand, it will
damage the planet.

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The 6th International Conference on Eco Engineering Development 2022 (ICEED 2022) IOP Publishing
IOP Conf. Series: Earth and Environmental Science 1169 (2023) 012018 doi:10.1088/1755-1315/1169/1/012018

The construction is complex since it involves various parties and methods. The differences in
perspectives, concepts, and knowledge are often obstacles to the construction process. All parties need
to compromise to achieve a goal [5]. The barriers to implementing green buildings have made the
problems even larger. Fortunately, there are currently solutions that can solve both problems. Green
building has become a new trend in the global construction world. With its significant impact on
reducing CO2 emissions, green buildings should already be implemented massively in the construction
world [6]. The application of green buildings can have an impact on reducing emissions by 50% of
greenhouse gases due to reduced water consumption, 48% of greenhouse gases due to reduced solid
waste management, and 5% of greenhouse gases due to reduced transportation compared to conventional
buildings [7].
However, the application of green buildings in Indonesia is still low [8]. Its implementation is lacking
due to the low number of committees from various parties to implement this green concept, and only
state-owned companies have implemented it [9]. This research seeks to find factors that hinder the
implementation of green buildings faced by contractors, consultants, and owners.

2. Factors Inhibiting the Implementation of Green Buildings

Many studies tried to determine the obstacles to green building implementation in several countries,
including Indonesia. All factors can summarize into:
1). Lack of cooperation between internals/stakeholders to achieve the concept of green building [8,
18, 20, 23, 26, 29]
2). Lack of research related to green building technology [6, 9, 16-18, 23, 31]
3). Lack of systematic planning toward the application of green building [3, 5, 13, 16, 29, 31, 33]
4). Lack of public/market attention to green building [1, 8-10, 16, 18, 20-22, 24, 26-29, 33, 35]
5). Lack of industry understanding of green building [2, 5-9, 15-16, 18-19, 21-24, 26-30, 32-33, 35]
6). Lack of demand to build green building concept buildings [5, 9, 16, 21-23, 25, 27-29, 34]
7). Lack of material public/industry information on green building [1, 3, 5-10, 13, 16, 19-22, 24, 26-
27, 29-33, 35]
8). The amount of time experienced a significant impact due to green building [14, 19, 34]
9). The benefits of implementing green building are not proven [1, 9, 30]
10). Green building design is difficult [3, 13, 15, 29-32]
11). The obstacles encountered during green building construction are quite significant [3, 6, 15-16,
18, 26-27, 29-31]
12). High cost of green building application [9-12, 16-25, 27-30, 33-35]
13). Lack of incentives from the government for the implementation of green building [17-19, 21-
25, 27-28, 30-31, 33]
14). Lack of assistance/ease of financing related to green building [8, 17-18, 22, 27, 32]
15). Lack of strict regulation and enforcement regarding green building [2, 7-10, 12-13, 16, 20-22, 24-
26, 28-29, 31-33, 35]
16). Lack of facilities from the government in the development of green building technology [7, 12, 14,
16-17, 20]
17). Lack of desire from internal companies to change the culture and implement green building [9, 11,
16, 18-19, 24-26, 28-30, 32]
18). Lack of awareness of the benefits of implementing green building [5]
19). Land Clearing/Land acquisition process is not environmentally friendly [4]
20). Lack of comfort for residents around the construction [13]

From 20 factors obtained from previous research, the factors that most often appear as barriers in the
application of green building: are the difficulty of obtaining green materials, a lack of understanding of
the importance of green building, the additional costs required to build green buildings, and the lack of
support from the government.

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The 6th International Conference on Eco Engineering Development 2022 (ICEED 2022) IOP Publishing
IOP Conf. Series: Earth and Environmental Science 1169 (2023) 012018 doi:10.1088/1755-1315/1169/1/012018

3. Research Methodology
The research begins with a literature study of factors that hinder green building implementation in
national/international scientific journals then all collected factors are used in surveys. This survey
consists of 20 factors described above. The research conducted using quantitative methods with
disseminated questionnaires to two stakeholders: contractors and owners.
Samples took by random sampling method on projects that implement green buildings in several
provinces in Indonesia, the most in Jakarta, West Java, Central Java, and Banten, the rest provinces in
Sumatra, Maluku, Bali, Kalimantan, and Nusa Tenggara. The survey was conducted by distributing a
Likert-scale questionnaire of 46 projects, obtained results of 37 pieces from the contractor project team
and 30 pieces from the owner or MK as the owner's representative.
The data is processed using factor analysis in the SPSS program to obtain the dominant factors in
each group: contractors and owners. This research was validated by three Indonesian green building
experts.

4. Result
Meyer Olkin's Kaiser value for contractors and owners is 0.89 and 0.782 >0.5. The process could
continue with factor analysis and the results are presented in Table 1.

Table 1 Factor Analysis Result

Group Rotated Component
Factor
Matrix
Lack of research related to green building technology 0,893
Lack of demand to build green building concept buildings 0,892
Lack of strict regulation and enforcement related to green building 0,886
Contractor
Lack of systematic planning for the implementation of green building 0,884
The amount of time experienced a significant impact due to green 0,878
building
Lack of public/market attention to green building 0,837
0,734
Lack of research related to green building technology
0,734
The high cost of implementing green building
Owner
Lack of desire from internal companies to change the culture and 0,668
implement green building
Lack of cooperation between intervals/stakeholders to achieve the 0,666
concept of green building

5. Discussion
Previous studies revealed factors that most often appear as barriers to the application of green
buildings were the difficulty of obtaining green materials, a lack of understanding of the importance of
green buildings, the additional costs required to build green buildings, and the lack of support from the
government.
Meanwhile, the study conducted in Indonesia this time tried to sort out the barrier factors of the
contractor and owner:
a. From the contractor side, what causes obstacles to the implementation of green building is the lack of
research carried out on the green building, lack of demand from owners, lack of strict regulation from
the government, failures in planning, and longer project duration.
b. From the owner's side, what is gaining is the lack of attention and interest, limited research on
green building technology, high costs, and lack of cooperation between parties who support the owner
building green buildings.

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The 6th International Conference on Eco Engineering Development 2022 (ICEED 2022) IOP Publishing
IOP Conf. Series: Earth and Environmental Science 1169 (2023) 012018 doi:10.1088/1755-1315/1169/1/012018

The survey result of contractors and owners in Indonesia both feel the need for further research on
green buildings. Further research on materials and technologies that support green building needs to
carry out. In addition, research also understands the benefits of green building for each party to increase
the enthusiasm of all parties in supporting the green building. Contractors and owners said the need for
research on green buildings. It could be an indicator of the contractor's and owner's ignorance of the
extent of research progress and the development of existing technology. So researchers need to socialize
practitioners (contractors) and owners about the development of green building technology.
Green building is a new thing in Indonesia, and it presents challenges because there are still limited
stakeholders who understand how to design and build green buildings. No wonder the owner said there
is a lack of cooperation between parties to create green buildings. Contractors say the obstacles lie in
parties who can plan well and lack government support in regulations. Unlike Singapore, regulation is
not an obstacle because, in Singapore, they have clear and strong regulations [19]. Singapore requires
all construction projects to work under the umbrella of sustainability so that there are no more excuses
or loopholes for those who do not want to implement them. Meanwhile, in Indonesia, the obligation to
build new green buildings is applied in the capital city, Jakarta
Another thing that hinders the desire of owners to build green buildings is regarding the higher costs.
In line with the explanation presented by [17], they said that the length of time of the return on
investment and the large initial cost burden are the main concerns of the owner, as well as the uncertainty
of the future of implementing green buildings that can lead to failure. Therefore, the owner seeks
guarantees from this implementation so that the project does not lose profits and internal commitments
are needed to implement green buildings. This problem can be solved if, from the regulatory side,
policymakers can accommodate owners such as providing incentives and other facilities such as green
building training. It is also the case in the United States [14], where the implementation of green
buildings is able to increase construction costs to 2-7%, so incentives are needed to encourage the
implementation of green buildings.

6. Conclusions and Suggestions

From the contractor side, what causes obstacles to the implementation of green building is the lack of
research carried out on the green building, lack of demand from owners, lack of clear regulations from
the government, failures in planning, and longer project duration. From the owner's side, the result is a
lack of attention and interest, limited research on green building technology, high costs, and a lack of
cooperation between parties that support owners to realize green buildings. The government needs to
be active in making regulations regarding green building, research on the green building still has a lot
to do, and it is important to provide socialization of research results to the community. Companies
need to provide training and produce teams that are experts in green construction and green building
technology.
Further research can focus on measuring how much people understand green buildings, which can
use as a reference for policymakers; measuring the level of savings on buildings that have
implemented green buildings as a reference for developers in building green buildings; Measures how
long it takes to repay buildings that implement green buildings.

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The 6th International Conference on Eco Engineering Development 2022 (ICEED 2022) IOP Publishing
IOP Conf. Series: Earth and Environmental Science 1169 (2023) 012018 doi:10.1088/1755-1315/1169/1/012018

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