How is the property industry working towards ‘Net Zero’?
COP26 in Glasgow was an opportunity for the real estate industry to showcase its commitments to climate change. This encompassed how it would engage with governments from around the world to combat and mitigate the impacts of climate change.
The property sector is working towards addressing its significant contribution to global emissions, approximately 40% globally. One of the main focuses of decarbonisation within the property sector is on Energy Performance Certificates (EPC’s) and its minimum energy standards. The legislation has marked impact on behaviour with targets now accelerated to a minimum of ‘C’ rating by 2027 and ‘B’ by 2030.
The challenge facing the sector is finding more commitments and engagement with governments to promote work between the public and private sector to meet net zero targets.
It is a predicted change in relation to the investment within the property industry to see an increased focus upon the opportunities presented by natural and eco-friendly projects, particularly land use focused upon carbon sequestration. This is an obvious example of where forward-thinking policy could unleash substantial capital and accelerate a wide range of new projects that benefit both the industry and the environment.
The market is demonstrating how sustainable buildings and land creates value, and in many ways private sector innovation is overtaking policy, with governments around the world lagging behind the process.