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Home Pakistan

Real state and climate change

by Web Desk
May 29, 2024
in Pakistan
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Real state and climate change
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Pakistan’s housing sector has long been a double-edged sword, creating economic opportunities while harming the environment and contributing to economic inefficiencies.

The latest data released in Dubai highlights the main problem of Pakistani investors’ investment in the UAE: the country’s economic leaders have failed to create attractive, safe and profitable investment opportunities at home.

This failure has diverted significant capital from Pakistan, exacerbating the country’s economic and environmental problems.

The impact of real estate on the environment

Housing development in Pakistan is largely unchecked and leads to environmental degradation. Fertile agricultural land, important for food security, has been consumed by many settlements. Public spaces that are important to biodiversity and the well-being of citizens have been lost.

This unregulated development increases dependence on fossil fuels and contributes to air pollution, further exacerbating the country’s vulnerability to climate change.

Despite these challenges, the housing sector offers a unique entry point for economic development and climate impact. With backward and forward linkages to more than 40 industries, industrial transformation can stimulate broad-based economic growth while addressing environmental challenges. A commitment to sustainable, sustainable and low-carbon cities can make Pakistan’s capital to access international climate investment.

The lack of effective national and provincial policies, coupled with the lack of local authority governance and land use mechanisms, has contributed to the uncontrolled expansion of housing communities.

Often made with ancient engineering designs and outdated building materials, these developments exacerbated environmental degradation and increased vulnerability to climate disasters.

As identified by the Financial Action Task Force (FATF) and the International Monetary Fund (IMF), the real estate sector in Pakistan has become a hotspot for money laundering, tax evasion and other illegal activities. However, in addition to financial crime, the influence of industry contributes significantly to environmental damage and urban instability.

To solve this problem, Pakistan needs to align its housing sector with national climate sustainability and low carbon development goals. These changes involve several key strategies:

Policy and regulatory reform

Develop and implement comprehensive national and provincial policies to regulate land use and housing development. This policy should evolve from horizontal to vertical expansion to preserve agricultural land and reduce urban decline.

Climate Smart Development

To encourage the adoption of weatherproof building design and construction practices. Real estate developers must integrate resilience into the design, construction and management of buildings and infrastructure to reduce the impact of climate change.

Stakeholder engagement

Foster partnerships between government agencies, real estate developers and communities to ensure development projects take climate vulnerability into account. This collaboration can help map climate-related risks and make informed decisions.

Encourage green investment

Create attractive opportunities for local and international investors to finance real estate projects. Aligning investment strategies with climate resilience can attract committed investment in net-zero initiatives, reduce industrial carbon footprints and improve sustainability.

Transfer money

Direct remittances from the Pakistani diaspora to climate resilient infrastructure projects. Countries like the Philippines, Mexico, and India have successfully moved into sectors like tourism, education, and health as Pakistan’s role model.

Role of key players

Leading real estate companies in Pakistan such as Bahria, Goranmak, Emaar, Graana and Zameen played a key role in this transformation. By applying global best practices and partnering with international firms experienced in climate risk assessment, these companies will lead the industry towards sustainability. They can understand the physical and temporary risks associated with climate change and implement measures such as flood protection and disaster management plans.

In addition, housing companies can contribute to the protection of public spaces, avoiding hazardous areas and the development of climate-resistant building designs. In doing so, they not only increase their own resilience, but also contribute to national climate adaptation efforts.

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