March 21, 2025

The latest Global Status Report for Buildings and Construction (GSR 2025) reveals that 2023 marked a key milestone for the buildings sector where growth in building construction was decoupled from greenhouse gas emissions from energy use in the sector, which had previously plateaued.

The report, from the UN Environment Programme and the GlobalABC, highlights notable advances in specific areas in 2024, including increasing adoption of renewable energy and electrification, green building certifications, and circular construction practices, alongside global initiatives including the Buildings Breakthrough.

What else stands out from the report’s findings? And how is WorldGBC contributing to accelerate these positive trends and deliver globally on the sustainable transformation of the buildings and construction sector?

Progress needs scaling

The GSR 2025 report recognises that sustainable building policies prove to be working, so need to be implemented faster and on a greater scale. Building energy performance codes are among the most effective tools for curbing operational emissions, yet over 50 per cent of new global construction remains uncovered by such codes.

Finance sector is increasing commitments and action

The growth of green bonds and sustainability-linked debt highlights their pivotal role, but more targeted financing, policy support and private-public collaborations are needed to accelerate the transformation of the sector. There were also signs of progress in the banking sector with 43 banks globally having set sector specific targets for real estate emissions reductions, compared to 23 banks in 2022.

International initiatives gaining momentum

Over the past few years, international cooperation has been building momentum through several initiatives, including the Intergovernmental Council for Buildings and Climate (ICBC), the Declaration de Chaillot, the Buildings Breakthrough demonstrating an international commitment to advance sustainability of the buildings sector.

Action still needed to overcome gaps

Despite these positive signs, the report suggests that deeper collaboration is needed between industry, governments and finance to aim at delivering wider progress and actions such as:

• Building codes: Major carbon-emitting countries should adopt zero-carbon building codes by 2028.
• Retrofit: The rate of building energy efficiency retrofits should be tripled by 2030 to achieve 35% reduction in energy intensity.
• Renewable energy adoption: The global goal of tripling renewable energy in buildings should be progressed.
• NDC integration: Major emitters and G20 governments must include detailed building code reform plans in their Nationally Determined Contributions (NDCs, or climate plans) and use Biennial Update Reports to track progress and ensure accountability.
• Embodied carbon: Major emitters and G20 countries should adopt embodied carbon limits in building codes by 2030, with clear guidance on reporting.
• Financing: Global building energy efficiency investment should be doubled, from US$270 billion to US$522 billion by 2030.

How our network is delivering

The World Green Building Council (WorldGBC) and our network of 75+ Green Building Councils (GBCs) are already working to scale the solutions to overcome these challenges. In particular:

• Buildings Breakthrough: Alongside the GlobalABC, WorldGBC is leading on Priority Action 1 of the Buildings Breakthrough on “Standards and Certification”. As part of this work, we have convened a working group consisting of national GBCs, key international organisations and countries, and are working to develop and build consensus on definitions and principles and related indicators to facilitate political dialogue and progress some of the calls for collaboration from the UNEP GlobalABC report.
• National decarbonisation and resilience roadmaps to drive implementation: The report highlights the role of roadmaps in building coalitions and commitments for action, providing locally relevant paths to decarbonisation while fostering economic growth and inclusivity. Through our #BuildingLife project, we have delivered an EU Whole Life Carbon Roadmap, alongside 12 national roadmaps. Also, globally, we are working with the GBC network to co-create national roadmaps for the sector and focus on local implementation.
• NDC Scorecard for Sustainable Buildings: We are co-developing an NDC Scorecard for Sustainable Buildings to support the evaluation and strengthening of national-level plans on the built environment, and ensure nations are being bold on buildings in their NDC submissions in 2025 and support their efforts in ongoing improvements to their national policies.

We look forward to continuing to build momentum alongside our network and the wider built environment community to advance resilient and sustainable buildings and, together, create a better future for all.