Building Energy Efficiency
Industry Outlook and Investment Opportunities
INTRODUCTION
Over the last half century global urbanization has increased rapidly, and by 2050 nearly 68% of the world’s population is expected to live in cities. This rapid pace of urbanization has led to the transformation of urban areas through massive investment. Construction activities account for nearly 10% of global GDP, employ 10% of the total workforce and by 2025 will comprise more than 16% of the GDP of emerging markets. Rapid urbanization has also resulted in increasing pressure on resource consumption, and inefficient building construction and usage generate greenhouse gas emissions which negatively impact the health and productivity of residents.
HIGHLIGHTS
Demand for energy from renewable sources has continued to grow globally. The increasing demand for energy efficient buildings is catalysed by:
Excessive resource use: buildings and construction are responsible for 60% of global electricity use; 12% of water use; 40% of waste generation, and 40% of material resource use.
A drive to reduce global emissions: making buildings energy efficient is the most affordable way of cutting global CO2 emissions, compared to reducing emissions in agriculture, industry, energy supply, and transport. Buildings are long-term infrastructure assets, while vehicles and heavy industrial machinery have significantly shorter useful lives. This implies that energy inefficient buildings have a longer time horizon to exact their harmful influence on the environment, thus it is important to invest in … read the full report here