City governments are setting ambitious sustainability targets but plans to tackle the carbon emissions from buildings are frequently given insufficient attention, according to a statement from the american real estate research company JLL. In its recent study of 32 global urban centers, Decarbonizing Cities and Real Estate, JLL found that real estate's contribution to emissions averages 60 per cent. However, the study also revealed a significant gap between the policies enacted, the impact of the real estate industry and climate science.
Guy Grainger, Global Head of Sustainability Services and ESG for JLL, highlighted in the statement that partnerships between the private sector and local governments are critical to driving progress in decarbonizing the economy. With the research identifying that the most successful cities to advance decarbonization will be those that balance regulation, incentives, innovation and accelerators, he warned that if this doesn't happen, local governments may “introduce heavy regulation and penalties on building standards”.
The research highlighted cities including New York, Singapore and Tokyo for their innovative approaches to reducing emissions from buildings, such as the latter’s cap-and-trade program that incentivizes building owners to reduce emissions. However, the research warned that globally, policy is falling behind the latest science, placing a greater emphasis on the private sector to lead the climate action. “Waiting for regulation to take action is not advised,” writes JLL, “and those who act now will have more resilient assets and even a competitive edge.”
