Industry Trend Analysis - Sustainability Driving Building Materials Innovation - AUG 2017
BMI View : I nnovation in building material s will drive cost savings , energy efficiency in buildings , and overall industry sustainability . Companies in the construction space will need to increasingly adopt the latest building material technology to satisfy growing environmental, social, and governance considerations on the part of governments and investors. We note further that doing so will afford them access to the burgeoning ' green bond ' market, allowing them to complement traditional sources of financing.
We expect advances in building material technology to pay significant dividends in terms of environmental sustainability and cost savings across the building and infrastructure sectors, as the construction industry looks to reduce its environmental impact. The building materials industry - in particular cement - has long been under pressure to reduce its environmental impact as one of the largest emitters of carbon dioxide. At the same time, building standards and more stringent energy efficiency targets have seen designers and architects look to more innovative materials. With both building material producers and end-users looking to utilise new materials, and building materials like Portland cement still preeminent, we expect continued investment in the sector over the coming years.
From a sustainability perspective, more environmentally friendly ways of producing concrete will reduce the carbon footprint of constructing buildings, while photovoltaic technology and pollution reducing technology will help to address the impact of operating them. With regard to cost savings, innovations like 'self-healing' concrete will serve to reduce maintenance costs, while advances in the insulating properties of materials will reduce energy costs.
|Cement Still Preeminent Building Material Globally|
|Cement Production Capacity Of Projects Currently In Pipeline By Status & Region, '000 Tonnes|
|Source: BMI Key Project Database|