The inaugural Archify Sustainable Futures Report 2024 — which surveyed over 700 industry professionals across New Zealand and Australia — reveals that while the industry is making strides, significant challenges remain. The report provides a strategic roadmap for architects, developers, and policymakers navigating the complexities of sustainable construction, highlighting both progress and ongoing barriers to meaningful change.

Many organisations are integrating sustainability into their operations, with over half employing specialists to oversee project sustainability and a similar proportion focusing on the impact of their organisation, such as reducing their carbon footprint. 

However, nearly half have yet to take such steps. While 69% have set carbon reduction targets, 64% measure their footprint and 60% engage in offsetting carbon emissions, gaps remain in carbon accounting, as some companies reduce emissions through renewable energy adoption without formally tracking their impact.

Sustainability: A priority with persistent barriers

Sustainability is widely recognised as crucial, with environmental considerations ranking as the most important among respondents. While 90% of professionals acknowledge its importance, only a fraction report consistently achieving sustainable outcomes on projects.

One of the most significant barriers is cost, cited by 54% of respondents. Other challenges include a lack of client demand, the complexity of sustainability processes and insufficient government regulations. These findings align with industry discussions on embedding sustainability into standard practice rather than treating it as an optional extra.

“Climate change is arguably the most critical issue of our time. While progress is underway, it is slower than needed and reversing the trend of rising temperatures will take considerable time”, Dr. Lee Jones, Head of Sustainability at Hubexo, said.

Jones continues, “Globally, the built environment is responsible for around 40% of all global carbon emissions. In Australia and New Zealand, the construction sector emits around 20% of regional carbon emissions — that’s 98 million tonnes of carbon apportioned solely to construction in ANZ, the same as 0.3 billion flights between Sydney and Auckland. We must do more to reduce our impact.”

Architects, as key decision-makers in project design, are pivotal in advancing sustainability. While clients and financiers are perceived to have the greatest influence over project sustainability, architects and consultants are uniquely positioned to educate stakeholders on the long-term benefits of sustainable design.

However, sustainable features are frequently removed during value engineering. To combat this, stronger prescriptive specifications and enhanced client education are essential to ensuring that sustainability remains integral rather than an afterthought.

The growing focus on embodied carbon

While operational carbon reduction has long been a focus, the report signals a growing awareness of embodied carbon. Despite this, it remains underrepresented in regulations and sustainability requirements. A lack of accessible supplier data further complicates efforts to source reliable information on product sustainability.

Encouragingly, 76% of respondents agree that more manufacturers need to provide sustainability performance information to bridge this gap, reinforcing the critical role of material transparency in advancing sustainability goals.

“Though we have a long journey ahead of us, achieving a sustainable future depends on a widespread commitment to high-integrity practices that foster resilience, reduce emissions and genuinely support both people and the planet,” said David Baggs, CEO, Technical Director & Co-founder of Global GreenTag International.

The report identifies a strong expectation for more robust government intervention, with 71% of respondents calling for increased support to transition existing buildings and infrastructure to net zero.

As one respondent noted, “There needs to be accountability for achieving sustainability standards through government-mandated legislation. Too often, there are ambitious sustainability goals that are never met because there are no consequences for not meeting them.”

Although half of respondents believe government policies are moving in the right direction, many feel that current measures lack the urgency and enforcement needed for large-scale industry transformation. The sentiment reflects a growing recognition that sustainability cannot be left solely to market forces and requires regulatory backing.

Moving toward a sustainable future

The report underscores the necessity of a collective approach to sustainability. While architects and designers continue to lead by integrating sustainable principles into their work, overcoming financial and regulatory barriers will be key to long-term success.

While awareness of sustainability is increasing within the industry, translating this recognition into consistent, tangible outcomes remains a challenge. Overcoming barriers such as cost pressures and client demand will require a shift in mindset — one that prioritises long-term environmental and economic benefits over short-term savings.

As one respondent noted, “Clients need to buy into the economic advantages of constructing and operating sustainable buildings.”

Stronger policy frameworks, early integration of sustainability in project planning and more prescriptive specifications could help embed sustainable practices as standard rather than exception.

Want to learn more about the current state of sustainability in the New Zealand construction industry? 

Download the full and free report here.

The free Sustainable Futures webinar can be watched on demand here.

This content has been created with support from Archify.

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