Big Jump in Growth, Profits Projected for Green Building Worldwide: Report
A study of construction professionals around the world has found that the majority expect more than 60 percent of their projects will be focused on green building within the next five years.
A study of construction professionals around the world has found that the majority expect more than 60 percent of their projects will be focused on green building within the next five years.
Environmentally friendly building currently accounts for more than 10 percent of domestic projects for almost a third of the respondents who participated in the study. It is the first to examine green building market trends and drivers on a global scale, according to McGraw-Hill Construction Analytics, which conducted the research and produced a report on the findings in partnership with the World Green Building Council.
The 50-page report, "Global Green Building Trends: Market Growth and Perspectives from Around the World," is based on a survey of early market adopters in 45 countries in seven regions: Europe, North America, South America, Australia and New Zealand, Asia, the Middle East and North Africa, and Sub-Saharan Africa.
The highlights of the report were presented at McGraw-Hill Construction’s 2008 Green Building and Energy Efficiency International Conference, September 19 and 20, at the Shanghai World Financial Center.
The bottom-line impact of eco-friendly building is expected to be strong, according to the study. It found that 86 percent of firms expect rapid or steady growth in sales and profits associated with green building.
Of the seven global regions, the fastest-growing green building market is Asia, where 73 percent of the firms are expected to be dedicated to green building by 2013 compared with the 36 percent that now do so, the study found.
The study also found that solar power is the most common form of renewable energy around the globe. Fifty-two percent of industry professionals reported using solar power today, and usage is expected to reach 76 percent in five years. The biggest growth spurt among renewables was projected for wind power: 20 percent reported using it today and a jump to 57 percent is expected by 2013. Use of geothermal power is expected to rise from a current 22 percent to 45 percent in five years.
Looking at drivers, the study found the top reason businesses around the world cited for green building is that it is "the right thing to do." In Sub-Saharan Africa and the Middle East-North Africa, "supporting the domestic economy" was frequently cited. And firms in Asia and Europe said “environmental regulations” are a big motivator.
"Green building has truly become a global movement," said Harvey M. Bernstein, McGraw-Hill Construction’s vice president of Industry Analytics, Alliances and Strategic Initiatives.
"Firms around the world are awakening to the positive business, environmental and societal impacts of green building," Bernstein said in a statement announcing release of the report. "We are seeing widespread growth as green becomes increasingly visible throughout the global marketplace."
World Green Building Council Executive Director Andrew Bowerbank noted that buildings and infrastructure globally account for 40 percent of greenhouse gas emissions. “This is more than what the transportation or manufacturing sectors contribute,” said Bowerbank in a statement. "It is critical now that industry leaders recognize current environmental opportunities in the marketplace and begin to collaborate to demonstrate effective solutions."
Environmentally friendly building currently accounts for more than 10 percent of domestic projects for almost a third of the respondents who participated in the study. It is the first to examine green building market trends and drivers on a global scale, according to McGraw-Hill Construction Analytics, which conducted the research and produced a report on the findings in partnership with the World Green Building Council.
The 50-page report, "Global Green Building Trends: Market Growth and Perspectives from Around the World," is based on a survey of early market adopters in 45 countries in seven regions: Europe, North America, South America, Australia and New Zealand, Asia, the Middle East and North Africa, and Sub-Saharan Africa.
The highlights of the report were presented at McGraw-Hill Construction’s 2008 Green Building and Energy Efficiency International Conference, September 19 and 20, at the Shanghai World Financial Center.
The bottom-line impact of eco-friendly building is expected to be strong, according to the study. It found that 86 percent of firms expect rapid or steady growth in sales and profits associated with green building.
Of the seven global regions, the fastest-growing green building market is Asia, where 73 percent of the firms are expected to be dedicated to green building by 2013 compared with the 36 percent that now do so, the study found.
The study also found that solar power is the most common form of renewable energy around the globe. Fifty-two percent of industry professionals reported using solar power today, and usage is expected to reach 76 percent in five years. The biggest growth spurt among renewables was projected for wind power: 20 percent reported using it today and a jump to 57 percent is expected by 2013. Use of geothermal power is expected to rise from a current 22 percent to 45 percent in five years.
Looking at drivers, the study found the top reason businesses around the world cited for green building is that it is "the right thing to do." In Sub-Saharan Africa and the Middle East-North Africa, "supporting the domestic economy" was frequently cited. And firms in Asia and Europe said “environmental regulations” are a big motivator.
"Green building has truly become a global movement," said Harvey M. Bernstein, McGraw-Hill Construction’s vice president of Industry Analytics, Alliances and Strategic Initiatives.
"Firms around the world are awakening to the positive business, environmental and societal impacts of green building," Bernstein said in a statement announcing release of the report. "We are seeing widespread growth as green becomes increasingly visible throughout the global marketplace."
World Green Building Council Executive Director Andrew Bowerbank noted that buildings and infrastructure globally account for 40 percent of greenhouse gas emissions. “This is more than what the transportation or manufacturing sectors contribute,” said Bowerbank in a statement. "It is critical now that industry leaders recognize current environmental opportunities in the marketplace and begin to collaborate to demonstrate effective solutions."
