Green Building Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, 2018-2028F

Green Building Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, 2018-2028F

Global Green Building market is expected to register a high CAGR during the forecast period. The green building market refers to the market for buildings that are designed, constructed, and operated in an environmentally sustainable manner. This includes buildings that are energy-efficient, use renewable energy sources, conserve water, reduce waste, and promote indoor environmental quality. The market for green buildings has grown significantly in recent years as more people have become aware of the benefits of sustainable building practices.

The growth of the green building market has been driven by a variety of factors, including government policies and regulations, rising energy costs, and increased public awareness of environmental issues. Many countries have introduced regulations or incentives to encourage the development of green buildings, such as tax credits, grants, and building codes that require higher energy efficiency standards. In addition to government policies, many businesses and consumers have also embraced the green building movement. For example, many companies are seeking to reduce their environmental footprint by building or renovating their facilities to be more energy-efficient and sustainable. Consumers are also increasingly interested in living and working in buildings that are healthier and more environment-friendly.

The green building market encompasses a wide range of building types, from residential homes to commercial office buildings to industrial facilities. While the initial cost of building a green building may be higher than a traditional building, the long-term cost savings in energy and water bills, as well as improved health and productivity of occupants, often make green buildings a worthwhile investment.

Government Regulations and Initiatives for Green Building

Government policies and regulations related to global green building vary by country, but some common examples include:

• Building codes: Many countries have building codes that require new construction to meet certain energy efficiency and environmental standards. For example, the European Union has set energy performance standards for new buildings and many US states have adopted the International Energy Conservation Code (IECC) as part of their building codes.
• Green building certification: Governments may offer incentives or require buildings to obtain certification from organizations such as LEED (Leadership in Energy and Environmental Design) or BREEAM (Building Research Establishment Environmental Assessment Method). For example, the government of Singapore offers financial incentives for buildings that achieve the green mark certification.
• Energy efficiency standards: Governments may set energy efficiency standards for buildings, appliances, and lighting. For example, the European Union has set minimum energy efficiency standards for buildings and the US Environmental Protection Agency has set standards for Energy Star certification.
• Renewable energy incentives: Governments may offer incentives for the installation of renewable energy systems such as solar panels or wind turbines. For example, Germany's Renewable Energy Sources Act requires utilities to purchase renewable energy at a fixed price, which has helped to spur the growth of the country's solar industry.
• Green procurement policies: Governments may require public buildings and infrastructure projects to meet certain environmental standards, such as energy efficiency or sustainable materials. For example, the US federal government has adopted the Guiding Principles for Sustainable Federal Buildings, which require new construction and major renovations to meet green building standards.

Overall, government policies and regulations can play a significant role in promoting the growth of the green building market by setting standards, providing incentives, and creating a level playing field for sustainable building practices.

Increased Public Awareness of Environmental Issues is Driving Green Building Market Across the Globe

The increased public awareness of environmental issues has been a significant driving force behind the growth of the green building market worldwide. People are becoming more conscious of the impact that buildings and construction have on the environment and are demanding more sustainable and eco-friendly options.

Green building practices aim to reduce the negative impact of buildings on the environment by promoting the use of renewable resources, reducing waste and pollution, and increasing energy efficiency. This can be achieved using sustainable materials, energy-efficient designs, and renewable energy sources such as solar and wind power.

As a result, governments, developers, and investors are increasingly adopting green building practices, and many countries have introduced regulations and incentives to promote sustainable construction. For example, in the United States, the Leadership in Energy and Environmental Design (LEED) certification system is a widely recognized standard for green building design and construction.

The growth of the green building market has also been driven by the economic benefits of sustainable construction. Green buildings can reduce operating costs through lower energy and water usage, which can lead to significant savings over time. Additionally, green buildings often have higher property values and are more attractive to tenants, which can provide a competitive advantage in the real estate market.

Overall, the increased public awareness of environmental issues has been a driving force behind the growth of the green building market across the globe, as people seek more sustainable and eco-friendly options in all aspects of life, including the construction and operation of buildings.

High Cost of Green Building Materials

Green building material is expensive than their conventional counterparts because the production of green materials may involve more expensive or complex manufacturing processes or sourcing of sustainable materials, which can drive up the cost of production.

Moreover, the demand for green building materials is still relatively low compared to conventional materials, which means that economies of scale have not yet fully developed. As demand increases, production costs may decrease.

Some green building materials may have a longer lifespan or require less maintenance, which can offset their initial cost over time. Adoption of sustainable development across the globe faces difficulties because of these substantial investments. Even while design costs make up only 3% of all building costs, sustainable development has a considerable impact. For instance, study indicates that designs of green buildings cost 32% more than non-green buildings. These factors are expected to restrain revenue growth of the market.

Increase in Demand for Green Infrastructure

Green infrastructure refers to the network of natural and semi-natural spaces, features, and systems that provide a range of ecological, economic, and social benefits to communities. These include green spaces such as parks, forests, wetlands, and green roofs, as well as water management systems like rain gardens and permeable pavements.

There has been an increase in the demand for green infrastructure in recent years due to a growing awareness of the benefits it provides. The demand for green infrastructure is likely to continue growing as more people become aware of its benefits and as the impact of climate change becomes more apparent. Governments, businesses, and individuals will need to work together to develop and implement green infrastructure solutions that meet the needs of communities while protecting the environment. Green infrastructure can help manage stormwater runoff, reducing the risk of flooding and improving water quality. This is particularly important in urban areas where traditional infrastructure such as sewers and drainage systems may be overwhelmed during heavy rainfall events. Green infrastructure can also provide economic benefits, such as increasing property values, attracting tourism, and creating jobs in areas such as landscaping and horticulture.

Market Segmentation

Based on product type, the market is further bifurcated into exterior and interior. Based on application, the market is further divided into residential and non-residential. On the basis of region, the market is divided into North America, Europe, Asia-Pacific, South America, and Middle East & Africa.

Company Profiles

The Green Building market is a growing industry and is becoming increasingly competitive. As more companies seek to reduce their carbon footprint and meet sustainability goals, the demand for Green Buildings is expected to increase. This has led to the emergence of new players in the market and increased competition among existing providers. This trend has led to the development of new technologies and solutions for Green Buildings, further increasing competition in the market.

Some of the major players in the Green Building market include Alumasc Group Plc, Bauder Ltd., Binderholz GmBH, Certain Teed Corporation, Forbo International SA, Clark Group, The Turner Corp., Hensel Phelps, Gilbane Building Co., and The Whiting-Turner Contracting Co.

Report Scope:

In this report, the global Green Building market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Green Building Market, By Product Type:
• Exterior
• Interior
• Green Building Market, By Application:
• Residential
• Non-residential
• Green Building Market, By Region:
• Asia-Pacific
• China
• Japan
• India
• Australia
• South Korea
• North America
• United States
• Canada
• Mexico
• Europe
• United Kingdom
• Germany
• France
• Spain
• Italy
• Middle East & Africa
• Israel
• Turkey
• Saudi Arabia
• UAE
• South America
• Brazil
• Argentina
• Colombia

Competitive Landscape
Company Profiles: Detailed analysis of the major companies present in the global Green Building market.

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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