Building is one of the key areas of energy consumption and carbon emissions in China. In 2021, the total carbon emissions from the whole process of China's building sector were 5.01 billion tCO2, accounting for 47.1% of the country's energy-related carbon emissions, an increase of about 1.6 times compared with 2010, with an average annual growth rate of 4.2%. Among them, building materials production stage and building operation stage are the main sources of carbon emissions, contributing 24.4% and 21.6% respectively. With the increasing demand of the people for the built environment, building emissions will continue to grow rapidly, and it is of great significance to accelerate building decarbonization.

Meanwhile, building sector has huge potential for emission reduction and job creation. Nearly half (48%) of China's urban emissions reduction potentials come from the building sector. Compared with agriculture, industry, transportation and other sectors, building energy efficiency is one of the most cost-effective emissions reduction strategies. This is also a great opportunity for job creation: the economic modelling suggests that new construction and deep retrofits to maximise energy efficiency could generate 13.7 million new jobs in 2030.

Therefore, accelerating building decarbonization is of great significance to achieving the dual carbon goals and promoting high-quality development, and is also conducive to building a more prosperous and inclusive society. Through exchanges and cooperation with relevant government departments, financial institutions, authoritative think tanks and research institutions at home and abroad, we have adopted the following four strategies to implement actions throughout the entire life cycle of buildings and promote building decarbonization in China:

  • Cross-departmental dialogues: We organize cross-departmental exchanges and discussions with planning departments, housing and construction departments, development and reform departments, financial departments, private sectors, etc., to identify the challenges and opportunities of building decarbonization, and explore solutions to achieve carbon reduction throughout building life cycle;
  • Assessment methods and tools: We analyze the social, environmental and economic costs and benefits of low-carbon construction and renovation of buildings and communities, evaluate the coverage of urban climate policies in the field of the building sector, and provide a basis for local government decision-making;
  • Local pilot projects: We work closely with local governments in the Yangtze River Delta and Greater Bay Area, research institutions such as Tsinghua University and Chinese Society for Urban Studies, enterprises such as local institutes of building research, and financial institutions, to jointly design and implement pilot projects to provide demonstrations for policies and actions for building decarbonization and urban renewal;
  • Innovative green finance mechanisms and products: We work with housing and construction departments, financial institutions, private sectors, etc. to explore innovative green finance mechanisms and products that support building decarbonization and urban renewal, and promote the establishment of sustainable business models.