A growing number of countries are working to decarbonize buildings, but sluggish progress and financing puts global climate goals at risk.
These are the key findings of an annual review of the buildings and construction sector, published today by the UN Environment Programme (UNEP) and the Global Alliance for Buildings and Construction (GlobalABC).
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The Global Status Report for Buildings and Construction 2024-2025 – Not just another brick in the wall highlights progress made on related global climate goals and calls for greater ambition on six challenges, including building energy codes, renewable energy, and financing.
Global frameworks and initiatives such as Intergovernmental Council for Buildings and Climate, the Buildings Breakthrough and the Declaration de Chaillot are sustaining momentum towards adopting ambitious climate action plans, Nationally Determined Contributions (NDCs), for net-zero buildings ahead of the UN Climate Change Conference (COP30) in Belem, Brazil.
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“The buildings where we work, shop and live account for a third of global emissions and a third of global waste,” said Inger Andersen, Executive Director of UNEP. “The good news is that government actions are working. But we must do more and do it faster. I encourage all countries to include plans to rapidly cut emissions from buildings and construction in their new NDCs.”
Reviewing the decade since the signing of the Paris Agreement in 2015, the report finds 2024 was the first year when continued growth of building construction was decoupled from associated sector greenhouse gas emissions, which have previously plateaued.
By adopting mandatory building energy codes aligned with net-zero emissions, mandatory performance standards and seizing energy efficiency investments, the sector’s energy intensity has reduced by almost 10% while the renewable energy share in final energy demand has increased by nearly 5%.
Additional measures such as circular construction practices, green leases, energy efficient retrofitting of existing buildings, and prioritizing the use of low carbon materials can further reduce energy consumption, enhance waste management and reduce emissions overall.
Despite this progress, the sector remains a key driver of the climate crisis, consuming 32 per cent of global energy and contributing to 34 per cent of global CO2 emissions. The sector is dependent on materials like cement and steel that are responsible for 18% of global emissions and are a major source of construction waste.
Given nearly half of the world’s buildings that will exist by 2050 have not yet been built, the adoption of ambitious energy building codes is critical. However, data points to a recent decline in highly effective measures like heat pump installations and over 50 per cent of newly constructed floorspace in emerging and developing economies is still not covered by building codes.
The report sets out a challenge to major carbon-emitting countries to adopt zero-carbon building energy codes by 2028, to be followed by all other countries no later than 2035. Building codes and integrating building code reform plans in the ongoing submission of NDCs are critical to achieve the COP28 Global Renewables and Energy Efficiency Pledge.
Finally, all governments, financial institutions and businesses need to work together to double global building energy efficiency investment from USD 270 billion to USD 522 billion by 2030.
Adoption of Extended Producer Responsibility measures, and circular economy practices – including longer building lifespans, better material efficiency and reuse, recycling, passive design, and waste management – are key to help bridge gaps in financing, while workforce development programmes are essential to fill skill gaps in the sector.
UNEP, GlobalABC members, and other partners will continue to support countries and businesses to decarbonise new and existing buildings and the entire building value chain, including using this data to support ambitious NDCs ahead of COP30.
About the UN Environment Programme (UNEP)
UNEP is the leading global voice on the environment. It provides leadership and encourages partnership in caring for the environment by inspiring, informing and enabling nations and peoples to improve their quality of life without compromising that of future generations.
About the Global Alliance for Buildings and Construction (GlobalABC)
Founded at COP21, hosted by UNEP and with 291 members, including 42 countries, the GlobalABC is the leading global platform for all built environment stakeholders committed to a common vision: A zero-emission, efficient and resilient buildings and construction sector.
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