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Please enable JavaScript to view the site. VIEWING OFFLINE CONTENT Limited functionality available Dismiss * Services WHAT'S NEW * Register for Dbriefs webcasts * Unlimited Reality™ Metaverse solutions that drive value * Sustainability, Climate & Equity Cultivating a sustainable and prosperous future * TAX * Tax Operate * Tax Legislation * Tax Technology Consulting * Mobility and Payroll * Legal Business Services * Tax Services * CONSULTING * Core Business Operations * Customer & Marketing * Enterprise Technology & Performance * Human Capital * Strategy & Analytics * AUDIT & ASSURANCE * Audit Innovation * Accounting Standards * Accounting Events & Transactions * DELOITTE PRIVATE * M&A AND RESTRUCTURING * RISK & FINANCIAL ADVISORY * Accounting & Internal Controls * Cyber & Strategic Risk * Regulatory & Legal * Transactions and M&A * AI & ANALYTICS * CLOUD * DIVERSITY, EQUITY & INCLUSION * Industries WHAT'S NEW * The Ripple Effect Real-world client stories of purpose and impact * Register for Dbriefs webcasts * Industry Outlooks Key opportunities, trends, and challenges * CONSUMER * Automotive * Consumer Products * Retail, Wholesale & Distribution * Transportation, Hospitality & Services * ENERGY, RESOURCES & INDUSTRIALS * Industrial Products & Construction * Power, Utilities & Renewables * Energy & Chemicals * Mining & Metals * FINANCIAL SERVICES * Banking & Capital Markets * Insurance * Investment Management * Real Estate * GOVERNMENT & PUBLIC SERVICES * Defense, Security & Justice * Federal health * Civil * State & Local * Higher Education * LIFE SCIENCES & HEALTH CARE * Health Care * Life Sciences * TECHNOLOGY, MEDIA & TELECOMMUNICATIONS * Technology * Telecommunications, Media & Entertainment * Insights WHAT'S NEW * Deloitte Insights Magazine Explore the latest issue now * Deloitte Insights app Go straight to smart with daily updates on your mobile device * Weekly economic update See what's happening this week and the impact on your business * STRATEGY * Business Strategy & Growth * Digital Transformation * Governance & Board * Innovation * Marketing & Sales * Private Enterprise * ECONOMY & SOCIETY * Economy * Environmental, Social, & Governance * Health Equity * Trust * Mobility * ORGANIZATION * Operations * Finance & Tax * Risk & Regulation * Supply Chain * Smart Manufacturing * PEOPLE * Leadership * Talent & Work * Diversity, Equity, & Inclusion * TECHNOLOGY * Data & Analytics * Emerging Technologies * Technology Management * INDUSTRIES * Consumer * Energy, Resources, & Industrials * Financial Services * Government & Public Services * Life Sciences & Health Care * Technology, Media, & Telecommunications * SPOTLIGHT * Deloitte Insights Magazine * Press Room Podcasts * Weekly Economic Update * COVID-19 * Resilience * Top 10 reading guide * * * Careers WHAT'S NEW * Our Purpose Exceptional organizations are led by a purpose. At Deloitte, our purpose is to make an impact that matters by creating trust and confidence in a more equitable society. * Day in the Life: Our hybrid workplace model See how we connect, collaborate, and drive impact across various locations. * The Deloitte University Experience Explore Deloitte University like never before through a cinematic movie trailer and films of popular locations throughout Deloitte University. * CAREERS * Audit & Assurance * Consulting * Risk & Financial Advisory * Tax * Internal Services * US Delivery Center * STUDENTS * Undergraduate * Advanced Degree * Internships * EXPERIENCED PROFESSIONALS * Additional Opportunities * Veterans * Industries * Executives * JOB SEARCH * Entry Level Jobs * Experienced Professional Jobs * Recruiting Tips * Explore Your Fit * Labor Condition Applications * LIFE AT DELOITTE * Life at Deloitte Blog * Meet Our People * Diversity, Equity, & Inclusion * Corporate Citizenship * Leadership Development * Empowered Well-Being * Deloitte University * ALUMNI RELATIONS * Update Your Information * Events * Career Development Support * Marketplace Jobs Dashboard * Alumni Resources * US-EN Location: United States-English * Contact us All resultsProfilesEventsArticlesTopicsSolutions All results Open in new window * * US-EN Location: United States-English * Contact us * * * Dashboard * Saved items * Content feed * Subscriptions * Profile/Interests * Account settings * Log out Sustainable construction has been saved My Deloitte × Sustainable construction has been removed Undo My Deloitte × An Article Titled Sustainable construction already exists in Saved items My Deloitte × Analysis SUSTAINABLE CONSTRUCTION DESIGNING AND BUILDING A GREENER FUTURE The pursuit of net-zero emissions is placing a lot of pressure on engineering and construction companies to lower the carbon footprint of new and retrofit construction. But the amount of capital needed to meet that goal can be an added challenge. Explore strategies to help the industry increase sustainability in construction—while keeping costs under control. * * * * * * Save for later REDUCING CARBON EMISSIONS IN CONSTRUCTION The engineering and construction (E&C) industry is focusing on sustainable development, overall energy consumption, and greenhouse gas (GHG) emissions. Globally, the built environment accounts for 39% of gross annual carbon emissions. This includes operational carbon—the ongoing carbon emissions from day-to-day use—and embodied carbon—all the carbon emitted in producing, transporting, and disposing of construction materials. E&C companies and suppliers are feeling the pressure to lower the carbon footprint of new and retrofit construction in their pursuit of net-zero emissions. According to a survey by Dodge Construction Network, more than 90% of US E&C companies receive requests from customers to lower the amount of embodied carbon used in construction projects. However, the capital expenditure required to realize this vision can be considerable. A new look at sustainable buildings may help offset the needed investment, either as new construction or a retrofit of an existing building. The industry's trifecta of potential solutions—sustainable materials, sustainable methods, and sustainable models—can help drive sustainable buildings. This report provides some approaches and recommendations to help E&C companies lower the carbon footprint from buildings within the bounds of realistic capital expenditure. Sustainable construction Download the PDF FACTORING SUSTAINABILITY INTO NEW PROJECTS To reach net-zero emissions by 2050, some E&C, real estate, and building management services (BMS) companies have started integrating renewable energy and efficient construction into new builds. The 2021 World Green Building Trends report highlighted those commitments to boost green building efforts remain strong. For example, 34% percent of surveyed companies in the US were focused on green buildings, and 46% reported that they would do so in the next three years. The increasing global focus on climate change could incentivize construction companies to factor sustainability into their construction projects, processes, and designs. A typical building constructed today could still be in use in 2070 and beyond, but the climate that it will encounter would have likely changed significantly. So, there’s a need to implement effective, low-carbon solutions to decarbonize buildings along their life cycle. Innovation, digital technologies, policy incentives, and supportive regulation are some factors driving the industry's progress toward net-zero emissions. SUSTAINABLE MATERIALS, METHODS, AND MODELS The route to reduced emissions requires architects, designers, builders, subcontractors, suppliers, technology service providers, and operating owners to come together in new ways to solve for sustainability. It will likely also involve developers accurately measuring all carbon sources to reduce, reuse, and recycle wherever possible, as well as considering many aspects of their business models. Sustainable materials, methods, and models offer a route toward cutting embodied carbon and creating a zero-emissions construction industry. Sustainable materials require end-to-end strategic sourcing capabilities, including cost, quality, and supplier management. Sustainable methods require effective supplier collaboration and development programs to manage cost and risk. And sustainable models require oversight across procure-to-pay processes and a high focus on spending compliance. But sustainable construction doesn’t necessarily have to be more expensive, especially when pricing strategies, program management, and environmental plans are incorporated from the beginning into the development process. * Sustainable materials: Costs of sustainable or low-carbon construction materials will likely gradually decline compared to conventional materials due to lower ingredient costs of recycled or by-product materials. The higher upfront cost of sustainable buildings can be offset by a lower long-term life cycle cost. * Sustainable methods: Prefabrication and modular construction, 3D-printing, advanced manufacturing, and material use optimization leveraging generative design can reduce the waste lifecycle of construction projects, thereby saving costs. * Sustainable models: Low-carbon business models and strategies can speed up many phases of construction and lower the costs of projects. A connected construction ecosystem can help ensure that developers and operators have a continuous flow of data and information. SCALING NEW TECHNOLOGIES AND SOLUTIONS So, what are some things the E&C industry can do to overcome current challenges and increase the successful implementation of sustainable buildings? Engineering and construction companies could consider four areas to scale new technologies and solutions needed to solve the challenges associated with reducing the adverse effects of climate change: 1. Define a vision and develop a roadmap 2. Drive and prioritize sustainability-targeted construction and retrofitting projects 3. Use incentives to promote alternate materials 4. Promote data-sharing standards Achieving the vision for sustainable buildings and creating a zero-carbon built environment will likely require adopting transformational approaches, collaborating through global platforms, and working with governments for incentives that can take new solutions to a commercial scale. GET IN TOUCH MICHELLE MEISELS PRINCIPAL | DELOITTE CONSULTING LLP mmeisels@deloitte.com +1 213 688 3293 Michelle is a principal in Deloitte Consulting’s Technology practice and leads our Engineering & Construction practice. Michelle brings more than 27 years of consulting experience with a focus on lead... More LATEST NEWS FROM @DELOITTE4ENERGY SHARING INSIGHTS, EVENTS, RESEARCH, AND MORE Fullwidth SCC. Do not delete! This box/component contains JavaScript that is needed on this page. This message will not be visible when page is activated. * Contact us * Submit RFP Did you find this useful? Yes No * * * * * * Save for later RECOMMENDATIONS 2023 ENGINEERING AND CONSTRUCTION INDUSTRY OUTLOOK Preparation is key for the year ahead THE FUTURE OF THE CONSTRUCTION INDUSTRY Preparing for fundamental shifts in connected construction × WELCOME BACK Still not a member? Join My Deloitte Email* Invalid special characters found Password* Keep me logged in Forgot password To stay logged in, change your functional cookie settings. OR Social login not available on Microsoft Edge browser at this time. LINK YOUR ACCOUNTS YOU PREVIOUSLY JOINED MY DELOITTE USING THE SAME EMAIL. LOG IN HERE WITH YOUR MY DELOITTE PASSWORD TO LINK ACCOUNTS. | | DELOITTE USERS: LOG IN HERE ONE TIME ONLY WITH THE PASSWORD YOU HAVE BEEN USING FOR DBRIEFS/MY DELOITTE. YOU'VE PREVIOUSLY LOGGED INTO MY DELOITTE WITH A DIFFERENT ACCOUNT. 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