Aavas Financiers, a leading affordable housing finance company in India, has recently announced that it has successfully financed the construction of 100 EDGE (Excellence in Design for Greater Efficiencies) certified self-built green homes in the country. This accomplishment is in line with the company’s commitment to promote sustainability in the development of affordable homes in rural and semi-urban regions of India.
In collaboration with the International Finance Corporation (IFC), a member of the World Bank Group, Aavas Financiers has pioneered the concept of green self-built housing in India. With the urban population expected to reach 607 million by 2030 and with 62% of new housing being self-built in the country, the development of green homes becomes crucial in ensuring a sustainable future.
Aavas Financiers’ Green Housing program aims to integrate environmentally friendly construction practices into the mainstream infrastructure of India. By simplifying the auditing and certification process through a streamlined prescriptive approach, the company has been able to enable lower and middle-income households to construct eco-friendly homes while complying with the technical guidelines required for green financing.
The company’s commitment to green financing and sustainable practices has led to the prestigious EDGE certification, verified by Sintali, a UK-based environmental verification company. EDGE certification makes it easier to design and certify resource-efficient and zero carbon buildings. Aavas’ success can be attributed to its dedication to customer service, innovative financial products, and inclusive climate action. The company customizes its offerings to meet the unique requirements and goals of its clients, ensuring affordability, transparency, and convenience throughout the home loan process.
Among the states in India, Rajasthan has shown the highest interest in green housing, with 38 green homes built. Gujarat and Karnataka follow with 27 and 21 homes respectively. Maharashtra and Chattisgarh are emerging regions with great potential for the concept of green housing. Since the program’s inception in October 2020, Aavas has been committed to providing practical solutions that facilitate a seamless transition to green housing in the country. The company has played a vital role in raising awareness and fostering willingness to adopt green practices across the housing value chain.
Sachinder Bhinder, MD & CEO of Aavas Financiers Ltd, expressed his pride in the company’s achievement, stating, We are immensely proud to have facilitated the financing of 100 certified green homes across the country. It is an honor to be a pioneer, driving tangible change and constructing environmentally friendly houses for low-income communities, offering them and future generations a better quality of life. He emphasized that reaching 100 green homes is just the first step towards the ultimate goal of expanding the ecosystem and inspiring other financial institutions to provide access to such homes.
Aavas Financiers has actively participated in discussions on climate action and has established The Green India Drive program in collaboration with IFC. This initiative aims to bring together regional stakeholders to identify challenges and opportunities related to green structures and financing. In order to further contribute to the sustainable development of communities and drive the development of affordable housing solutions, Aavas will continue to foster innovation and collaboration with stakeholders across the housing ecosystem.
Aavas Financiers’ achievement of financing 100 EDGE certified green homes underscores the company’s commitment to sustainability and affordable housing in India. By integrating environmentally friendly practices into the mainstream infrastructure, Aavas is leading the way in creating a greener future for low-income communities.
