The Scotsman

COP26 conference is wake-up call for Scotland’s constructi­on industry

Constructi­on faces challenges in the drive to net zero in Scotland by 2045, says Mark Macaulay

- Mark Macaulay is a Partner, Dentons

Scotland's target of reaching net zero was put under the spotlight at COP26 and the constructi­on industry is well aware it has a vital role to play.

Constructi­on faces its own challenges­in the drive to net zero in scotland by 2045, (2050 across the rest of the UK). We see three main areas where the industry can help: the transition to carbon-efficientm­ethods of constructi­on and materials; de carbonisin­g theuk' s heat supply; and adapting buildings.

Firstly, the industry must find ways to cut carbon emissions in constructi­on materials and the way in which it builds. Techniques for manufactur­ingcommon materials, including steel and concrete, currently produce high levels of carbon emissions.

Secondly, decarbonis­ing heat requires a radical shift to lower car

bon forms of energy. The UK Government has put forward several proposals to encourage this, including its Ten Point Plan for a Green Industrial Revolution that sees a massive scaling-up of the heat pump sector. westminste­r' s Build back better plan puts the case for a‘ thriving low carbon hydrogen sector’ and the UK Hydrogen Strategy sets a goal for low carbon hydrogen production capacity by 2030.

Most recently, the UK government published its heat and buildings strategy setting out how the UK will de carbonise homes, and commercial, industrial and public sector buildings.

The third challenge is how to design new buildings and retrofit existing buildings to maximise carbon efficiency.

Many in the constructi­on industry will find this demanding. For some,

acknowledg­ing that climate change is here, and needs to be addressed now, requires a change of mindset. Businesses need to invest time and money into researchin­g new methods of constructi­on, technology, carbon-efficient materials and ways of working and collaborat­ing with supply chains.

The UK and Scottish government­s must also implement policies and funding strategies to support the industry both in reducing carbon emissions across the supply chain and in enabling the wholesale retrofitti­ng of existing properties. Industry bodies are already playing their part, such as the Scottish Constructi­on Leadership Forum with its Recovery Plan.

Companies that don’t adapt their business practices will come under increasing pressure from customers and face damaging their reputation and commercial interests. We are guiding clients through the framework of internatio­nal agreements and treaties and domestic legislatio­n and regulation that governs climate change. Adapting early to change can enable the developmen­t of new supply chain relationsh­ips, more rapid scaling-up of new products and processes, long term cost reduction, an enhanced reputation and an ability to win work and attract the best staff.

Businesses without a robust net zero policy may find it hard to attract young talent. Younger generation­s' desire for change is strong and their energy and perspectiv­e could produce new ideas and solutions. COP 26 has hopefully given the constructi­on industry a wakeup call to increase its efforts to reach net zero. this will benefit the industry, its supply chain, the wider economy and society as a whole.

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