How ESG regulations will transform the construction sector by 2030?

The construction sector is one of the largest contributors to greenhouse gas emissions, natural resource consumption and waste production. In fact, buildings are responsible for about a third of global energy consumption, a quarter of global water consumption and a third of greenhouse gas emissions.

Every year, more than four billion tons of cement are produced, which represents almost 10% of global carbon emissions. With the Climate and Resilience Act adopted in August 2021, a roadmap aimed at decarbonization for the most emitting sectors in France, including the construction sector, is expected. The objective is to reduce carbon emissions over the entire life cycle of the building. To mitigate these environmental impacts, the construction industry must launch a transformation that emphasizes sustainability and innovation. With the entry into force of all ESG regulations at the European level, how will the construction sector, a key driver of economic growth, undertake its transformation towards sustainability? To do this, we will look at the practices that enable the sustainable transformation of the construction sector.

Act with more responsible resource management

Global awareness of climate change has increased investor scrutiny and regulatory requirements. This is a first step that is leading to a change in the way construction companies approach their business. By adopting ESG principles and obligations, construction companies can differentiate themselves in a competitive market, foster positive relationships with all stakeholders, reduce their environmental footprint and ultimately ensure long-term profitability and sustainability. And taking concrete action starts with the materials used.

In recent years, materials have undergone major changes with the development of more sustainable materials such as recycled steel, bamboo and ecological alternatives to concrete. Builders who choose these materials reduce their dependence on raw materials and promote the circular economy. An economy where materials are reused, transformed and recycled, particularly boosted by the adoption of more responsible waste management, which helps reduce the environmental footprint of construction projects.

Another major issue directly related to primary resources in construction is water and environmental management. The construction industry has developed water-efficient designs and technologies, such as wastewater recycling and low-water consumption systems. This is a critical issue that is driving construction companies to take steps to prevent water contamination by improving site management practices.

Finally, to limit the impact of construction projects on ecosystems, the sector is increasingly integrating biodiversity protection into its project planning by carrying out environmental impact studies, protecting endangered species and rehabilitating natural habitats after the completion of a construction site.

Moving towards the construction of more virtuous buildings by combining science and technology

The industry is not only focusing on materials, but also on making buildings more sustainable through technology. For example, Building Information Modelling (BIM) and other digital tools are revolutionising the way projects are designed, controlled and executed. By improving resource management and accuracy, these technologies help reduce waste, improve efficiency and enhance sustainability throughout a building’s lifecycle.

In recent years, energy-efficient designs have been growing in the building sector, including “greener” roofs, solar panels and highly efficient heating, ventilation and air conditioning systems that reduce energy consumption and carbon footprint. This is a path that is constantly developing thanks to research that is discovering different design techniques to save energy. Finally, climate change, which poses significant risks for construction, is pushing construction companies to develop infrastructures that are increasingly resilient to climate hazards and capable of withstanding extreme weather events.

In 2025, more than ever, the topic of ESG is expected to be increasingly central to companies in the construction sector. With regulatory frameworks expected to continue to tighten and investor expectations set to evolve, companies are at the crossroads of transformation between challenges and opportunities. Companies that prioritize ESG today will be able to build a better future, based on a balance between economic growth and preserving the needs of the planet and its inhabitants.

Tribune by Vincent Canu, Country Manager osapiens France (LinkedIn).