It seems that despite some gains during the global construction slow down caused by Covid-19 we are back where we started on built environment carbon emissions!
The 2022 Global Status Report for Buildings and Construction from the United Nations Environment Programme flags that the global restart of construction activity is returning us to pre-pandemic emission levels. Despite the fact that many of us are skill working from home.
CO2 emissions from buildings operations have reached an all-time high of around 10 GtCO2, around a 5 per cent increase from 2020 and 2 per cent higher than the previous peak in 2019.
2022 Global Status Report for Building and Construction
Although this is a global status report, Australia must take heed, acknowledge the scale to the job to be done and start taking serious action.
The Built Environment remains the major contributor to carbon emissions. Both in constructing efficient new buildings and improving the operations of existing stock. The sector must make significant progress to we are to have a fighting chance of meeting 2030 or 2050 commitments.
How do we get there?
The UNEP report focusses on government policy setting and building certifications as the levers of change, both of which are important tools. Despite the fact that these minimum standards are seen as key, ongoing resistance remains with implementing. Even the small increase (to 7 star NatHERS) in the performance minimums proposed in NCC 22. The other challenge is that these minimum standards barely get us to Net Zero. This is nowhere near undoing the damage we have already done. Particularly if we don’t act faster.
There is however a bigger challenge. The value chain of the built environment is long. It is made up of some large players and global materials supply chains. these big players are working hard to minimise impact. But these sector leaders are dependant of a very large number of smaller business who subcontract and supply services in the chain.
Is ESG enough?
Currently Environmental, Social and Governance (ESG) reporting is only done by larger corporates and suppliers. Driving impact into these long value chains and into SMEs is the next horizon for corporate leaders. To avoid resistance to this shift, supply chain leaders must be leaders, rather than simple expecting SMEs to keep up. They have an important role in informing, educating and supporting their supply chain partners on the journey.
So what can leaders do to help change behaviour?
The big end of town cannot fix this on their own. Changing the trajectory requires a systems thinking approach. Businesses wishing to be leaders in climate action need to consider supply chain impact. They must understand where SMEs in the value chain are now. Help them to set goals. And support them to improve.
The time to act and do business for good is now
Our data is loud and clear – business recognises the benefits of doing business for good but is less clear on what to do next. A cry out for industry leadership and knowing more to top the priority list of what businesses are seeking in sustainable development.
Our research also tells us that those industry leaders that have sustainable development on their business horizon outperform their peers.
Helping supply chain leaders to understand where SMEs stand now, and what help they need to change is a key purpose of the SDG Align Toolkit for Sustainable Development. If you don’t know where your supply chain businesses stand? What they are trying to do? Or how you can help? get in touch.
SDG Align provides a toolkit for Change Champions. We help you demonstrate your commitment to the mission and your supply chain. All the while gaining data driven insights to inform your efforts.
Join others on the SDG Align journey
SDG Align recently welcomed prefabAUS to the list of associations who have committed to supporting their sector on the sustainable development journey.
