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Brussels planning digital push to green the EU’s construction sector

(EurActiv, 20 Dec 2022) The European Commission has outlined possible “transition pathways” to address the environmental impact of the construction sector, with plans to set up a “European Construction Data Space” to pull together industry-generated information.

Europe’s construction ecosystem employs approximately 24.9 million people, generating €1,158 billion in value added to the EU’s economy, according to the European Commission.

But it is also extremely fragmented: 99.9% of the companies are SMEs, which account for 90% of employment, the EU executive says in a paper outlining possible “transition pathways” for the construction sector.

This high fragmentation is a key driver of inefficiency. “Construction has suffered for decades from remarkably poor productivity relative to other sectors,” says a study by the McKinsey Global Institute. And lagging productivity in construction is driving up building costs, adds another study by ING.

At the same time, the sector faces a multitude of related issues, including lack of skilled labour, high cost of raw materials and energy, as well as growing concerns about its environmental impact.

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EurActiv, 20 Dec 2022: Brussels planning digital push to green the EU’s construction sector