Many real estate developers now have net zero commitments.
Many are improving operational efficiency.
Many are buying renewable electricity.
But one of the biggest decarbonisation challenges is becoming harder to ignore:
embodied carbon.
For many buildings, a significant portion of lifecycle emissions comes from materials such as:
- Steel
- Concrete
- Aluminium
- Glass
And this is where many sustainability strategies hit a wall.
Because identifying lower-carbon materials is only the first step.
The harder question is:
๐๐ผ๐ ๐ฑ๐ผ ๐ฑ๐ฒ๐๐ฒ๐น๐ผ๐ฝ๐ฒ๐ฟ๐ ๐ฎ๐ฐ๐๐๐ฎ๐น๐น๐ ๐ฝ๐ฟ๐ผ๐ฐ๐๐ฟ๐ฒ ๐๐ต๐ฒ๐บ?
There are typically two different procurement models emerging:
1. ๐๐ถ๐ฟ๐ฒ๐ฐ๐ ๐ฃ๐ฟ๐ผ๐ฐ๐๐ฟ๐ฒ๐บ๐ฒ๐ป๐
- This is more common when developers procure materials such as:
- Concrete
- Ready-mix materials
- Lower-carbon alternatives directly through existing supplier channels
Procurement teams may evaluate:
โ price
โ embodied carbon reduction
โ EPD / PCF data
โ supplier capability
โ lead times
โ compliance with project specifications
This directly impacts Whole Building Life Cycle Assessment (WBLCA) outcomes.
2. ๐๐ถ๐ฟ๐ฒ๐ฐ๐๐ฒ๐ฑ ๐๐๐
This becomes more relevant for harder-to-access materials such as lower-carbon steel.
In many projects:
developers may not directly purchase upstream steel from mills.
Instead:
fabricators, contractors, distributors and intermediaries sit between developers and material producers.
This creates a challenge:
How does a developer create demand signals for lower-carbon steel upstream?
This is where directed buy models may emerge:
Developer
โ contractor/fabricator
โ steel producer
supported by:
- Product carbon data
- Traceability
- Commercial agreements
- Carbon allocation mechanisms
And over time, we may even see:
๐๐ผ๐ผ๐ธ-๐ฎ๐ป๐ฑ-๐๐น๐ฎ๐ถ๐บ ๐ ๐ผ๐ฑ๐ฒ๐น๐
for harder-to-scale lower-carbon materials.
This challenge is not unique to construction.
We are seeing similar dynamics emerge in automotive supply chains where OEMs are working more directly with upstream steel producers.
This is why embodied carbon reduction is increasingly becoming:
๐ ๐ฃ๐ฟ๐ผ๐ฐ๐๐ฟ๐ฒ๐บ๐ฒ๐ป๐ ๐๐ต๐ฎ๐น๐น๐ฒ๐ป๐ด๐ฒ
not just a reporting challenge.
And why trusted carbon data alone is not enough.
The market also needs better procurement models to scale lower-carbon materials.
This is one of the topics we look forward to discussing during Ecosperity Week Singapore alongside PACT.
Because real decarbonisation happens when carbon data influences actual buying decisions.
#EcosperityWeek hashtag#EmbodiedCarbon hashtag#Construction hashtag#GreenProcurement hashtag#WBLCA hashtag#Scope3 hashtag#Steel hashtag#SteelIndustry hashtag#Concrete hashtag#Cement hashtag#Aluminium hashtag#Decarbonisation hashtag#SupplyChain
