Do you feel the planet calling? You might not see it, but the signs are clear, and the global community is responding with an imperative: we must transition towards a development model that reduces carbon emissions. This isn’t just a conversation for governments and climate summits; it’s a reality directly impacting one of the pillars of modern civilization: the construction sector.
As professionals and key players, we know our current impact is massive. The sustainability of tomorrow’s cities hinges on our decisions today. Therefore, this blog is dedicated to exploring how the sector must not only adapt but also lead the transformation towards a low-carbon future.
Why Construction Must Lead the Transition
Let’s be frank. The Low-Carbon Economy is, in essence, a system that seeks to minimize the emission of greenhouse gases (GHG), especially CO2, through innovation, policy changes, and modifications in consumption and production habits. It’s a model that pursues an accentuated and long-term decarbonization across all productive sectors.
But as you read this, you might be asking: why is this vital for construction?
The answer is simple, though it might not always sound good: our industry is a central part of the problem, and therefore, has the potential to be a central part of the solution. From the extraction of raw materials to a building’s end-of-life, every stage of our work leaves a significant carbon footprint. However, we can reduce this by incorporating small changes that will undoubtedly become the essence of a new era marked by actions aimed at reducing carbon emissions.
This transition is intimately linked to global sustainability goals. The Paris Agreement compels us to limit global warming to 1.5ºC, requiring carbon neutrality by mid-century (net-zero emissions by 2050). The UN’s 2030 Agenda, with its SDG 9 (Industry, Innovation and Infrastructure) and SDG 11 (Sustainable Cities and Communities), directly challenges us. If we don’t act, it will be impossible to meet global ambition.
Decarbonization: Beyond Solar Panels
A low-carbon economy is much more than just installing solar panels, though that’s certainly a positive step. But what if we look beyond? It involves systemic re-engineering. It implies transforming the energy and production matrix to utilize resources and energy more efficiently, or to source them directly from CO₂ emission-free sources. Its main pillars are:
- Renewable Energies: Transitioning from fossil fuels to sources like solar, wind, and hydropower.
- Energy Efficiency: Reducing the energy needed to provide products and services (think building insulation or process optimization).
- Sustainable Mobility: Adopting electric vehicles and low-emission public transport.
- Circular Economy: Moving from a linear model (“extract, produce, dispose”) to one that prioritizes the reduction, reuse, and recycling of materials.
For carbon-intensive industries like ours, this implies a radical transformation. It’s no longer enough to be “less bad”; we need to be net-zero. This means re-evaluating every brick, every steel beam, every cubic meter of concrete, and every hour of a building’s operation.
The Double Footprint: Embodied and Operational Carbon Under Scrutiny
With the data in hand, we must be critical. We have the capacity to turn things around, but first, we need to understand the magnitude of the challenge.
According to UNEP reports, the buildings and construction sector was responsible for approximately 34% of global energy and process-related CO2 emissions in 2024. This percentage is divided into two critical challenges:
- Operational Carbon: The energy required for building operation (heating, cooling, lighting).
- Embodied Carbon: Emissions from the manufacturing, transport, and construction of materials.
Current Problems:
- Hyper-Emissive Materials: The production of cement and steel are energy-intensive processes. Cement alone is responsible for approximately 8% of global emissions.
- Inefficient Processes: Construction machinery still relies on fossil fuels, and supply logistics are wasteful.
- Colossal Waste Volume: The disposal of debris and materials on construction sites depletes virgin resources and generates landfills.
The need for transformation is twofold: technological (new materials, digitalization) and cultural (mindset shift, training). We must build the infrastructure the world needs without mortgaging the Earth’s future.
5 Keys to Net-Zero Construction
The good news is that change is already underway. Innovation, driven by technology, has become our main ally in decarbonizing the sector. We are witnessing the rise of green Contech (Construction Technology).
Key Technologies for Decarbonization:
- Sustainable Materials: Use of low-carbon cement, mass timber (CLT), bio-based materials, and the development of “green cement” with additives that reduce clinker content.
- Building Information Modeling (BIM): Allows for simulating a building’s energy and carbon performance before construction, optimizing design for operational and material efficiency.
- Artificial Intelligence (AI) and Robotics: AI optimizes the supply chain and reduces waste. Robotics and 3D printing enable faster construction with less waste.
- Carbon Capture, Utilization, and Storage (CCUS): Technologies that capture CO2 emitted by industrial processes and use it in new products, like concrete, or store it permanently.
- Digitized Circular Economy: The use of Material Passports allows for the reuse of structural components at a building’s end-of-life.
Role of Venture Capital
Corporate and Venture Capital (VC) funds play a crucial role. By investing in these high-risk, high-impact solutions, they act as catalysts, accelerating the technology adoption curve and providing a climate return, not just a financial one.
Examples of Startups Leading the Transition:
- Terra CO2: Leads the fight against embodied carbon by developing supplementary cementitious materials (SCMs) from industrial waste, achieving cement with a significantly lower carbon footprint.
From Strategy to Action: Cemex Ventures’ Commitment to “Future in Action”
In this decarbonization journey, corporate companies with global reach have unique potential. Cemex Ventures has made a firm commitment to Green Construction as one of its main investment verticals.
Cemex Ventures is not just investing; it is actively seeking technologies compatible with its parent company’s decarbonization strategy, “Future in Action“. This strategy has ambitious goals, including a substantial reduction in CO2 emissions from cement manufacturing by 2030, with the ultimate goal of being a net-zero emissions company by 2050.
This translates into accelerating projects that directly contribute to:
- Reducing clinker in cement.
- Using alternative fuels with a lower carbon footprint.
- Implementing CCUS technologies.
The inclusion of Green Construction startups in their annual Top 50 Contech Startups report is a clear declaration of their vision. It shows the way for capital and innovation to target the most critical points of the industry’s carbon footprint.
3 Trends Redefining Sustainable Construction
The sector faces a massive challenge, but the response from innovation is encouraging. What are the emerging trends that will define the next decade?
- Embodied Carbon Regulations: We expect to see a proliferation of regulations imposing limits not only on operational emissions (building use) but also on embodied carbon (materials and construction). This will make EPDs (Environmental Product Declarations) and life cycle analysis standard practice.
- Bio-Based Materials at Scale: Mass timber (CLT) and other agriculturally derived materials (bamboo, mycelium) will become serious competitors to concrete and steel in medium and and low-rise applications.
- Digitalization for Circularity: The massive use of digital twins and Material Passports will enable selective demolition and the reuse of structural components, effectively closing the material life cycle.
The decarbonization of construction is a multi-trillion-dollar market, and those who are first to offer scalable and affordable solutions for cement, steel, and waste will be the leaders of the next industrial generation.
