Buildings have a critical role to play in limiting global warming. A third of the total emissions from the energy system come from the buildings, and emissions from this sector have grown at an average rate of 1% since 2015, according to the Breakthrough Agenda Report of the International Energy Agency released last year. Emissions from the building sector can be reduced through various ways, such as using a clean power supply to operate a building, reducing emissions from materials used to construct buildings like steel and cement or reducing the energy needed to operate a building by improving the energy efficiency of appliances used in the buildings such as air conditioners.
Every week, a floor area as big as Paris is added globally, making reducing emissions from this sector important. Over 80% of the increase in this floor area is expected to be built in emerging markets and developing economies.
The building sector is not on track to reach zero carbon emissions. Just 5% of buildings were zero-carbon ready in 2020, and the ambition is to get 100% by 2030. Zero-carbon-ready buildings are highly energy-efficient and resilient buildings that either use renewable energy directly or rely on a fully decarbonized energy source, such as electricity or district energy.
The United Nations, International Energy Agency and World Bank have recently published helpful recommendations for the building sector to be net-zero aligned; based on those reports, there are three areas where more work needs to be done.
1. Expand And Enforce Mandatory Building Codes
Building codes are instrumental in helping reduce emissions from this sector. These building codes can be understood as rules that prescribe specific minimum standards for different types of building structures—residential or non-residential—although no comprehensive definition exists. They can specify criteria that help reduce emissions through design and type of materials. By 2023, 81 and 77 national buildings adopted codes for residential and non-residential buildings, respectively, with 80% mandatory, according to the 2024 Global Status Report on Buildings and Construction.
In regions where some building code is in place, stringency in the criteria is uneven. For instance, of the 70 countries with requirements for building envelopes, only 60 cover water heating and lighting, according to an analysis of the World Bank based on a new dataset on building energy efficiency code compliance and enforcement released in May this year. Even among countries with similar climates, there is a difference. For instance, Sweden has less strict standards for roof insulation than Finland.
One region where these codes are particularly lagging is Africa. Although 45 of the 48 African countries have some building regulations, they lack the comprehensiveness needed, sometimes not including crucial aspects such as improving energy efficiency and promoting green building practices or rules that could help reduce the risks of natural hazards or extreme weather events.
2. Set Updated Targets For Buildings In National Climate Commitments
National Determined Commitments are a mechanism by which a country submits its climate commitment to the United Nations. Under the Paris Agreement, governments must submit NDCs every five years. The coming year is a unique opportunity, as countries are expected to submit the next version of their NDCs.
There is scope for improving the coverage of buildings in the upcoming version of these commitments. As of December 2023, 194 countries and the European Union have submitted their NDCs with 48 updates since 2022. However, only 11 updates expanded on building related actions. The United Arab Emirates, in its update, included the target of a 56 percent reduction in building emissions by 2030 through updated codes and renewable energy initiatives. Such updates are important because without them these codes may fall short of the high-performance standards of buildings, according to the 2024 Global Status Report on Buildings.
3. Increase Procurement Demand For Energy-Efficient Building Appliances
Building appliances have a significant role to play in reaching the goal of reducing emissions from the building sector. Appliances that are more energy efficient can deliver the same service with less power, thereby reducing the operational emissions of running a building. Energy efficiency and clean energy can be seen as two sides of the same goal of reducing emissions. Take, for example, in nine countries where energy-efficient labels were in place, annual electricity consumption reduced by about 1580 TWh, a magnitude similar to the total electricity generated by solar and wind in those countries.
Energy efficiency labels are progressing well in developed countries such as the United States and the European Union, but more must be done in other regions. The United States and the European Union are among the regions with the largest impact of energy efficiency standards and labeling programs in terms of contributions of appliances to reducing total electricity consumption. In COP 21, the International Energy Agency initiated a global call to action to double the efficiency of key appliances sold globally. The Call to Action also highlighted that energy efficiency benefits should not be limited to a small group of countries.
One way energy-efficient appliances can be scaled is by creating demand for energy-efficient appliances through aggregate procurement schemes. The Government of India in 2011 promoted the procurement of energy-efficient appliances in all ministries/departments. Such schemes allow governments to create markets and encourage public investment. Other private sector initiatives include EP 100, a global corporate initiative of 125 businesses on energy efficiency; members have saved 1.2 USD billion while reducing their emissions.
Tackling the emissions from the building sector is far from easy. However, addressing these areas of work could play a significant role in helping us move closer to the goal of a world where all buildings are zero-carbon.
