The number of net-zero energy buildings worldwide will experience significant expansion in the coming years, according to a new report from global technology intelligence firm, ABI Research.
Driven by climate imperatives, policy support, and maturing technologies, the market is forecast to grow at a 29% compound annual growth rate (CAGR) through to 2027, it says.
Dominique Bonte, vice president, end markets at ABI Research, said:”With buildings accounting for over one-third of global energy consumption, the real estate sector is under mounting pressure to embrace net-zero.
“Governments, corporations, and society at large recognise the pivotal role buildings play in reducing emissions and energy use.”
Despite currently representing just 0.023% of global buildings, the net-zero segment is gaining strong momentum, says ABI. The report projects over 5,500 commercial and residential net-zero buildings globally by 2027, up from 1,200 in 2022.
While still a niche, the company says this growth signals the accelerating transition towards “high-performance” real estate.
The evolution is enabled by progress across renewable energy, efficiency software, and sustainable materials.
Solar photovoltaics, geothermal heating, and battery storage make onsite zero-carbon energy generation achievable. Digital twin systems and building management software from companies such as Siemens, Schneider Electric, and Univers optimize performance. Carbon-storing materials, and circular construction techniques reduce lifecycle impacts.
According to ABI, regions leading the net-zero building charge include North America, Western Europe, and progressive urban centres in Asia Pacific. Supportive policies, technology leadership, and climate awareness drive these markets.
Upfront, net-zero buildings carry a 5-19% premium for commercial and 5-15% for residential. However, the investment pays back over decades of operations through dramatically lowered utility and maintenance costs. Demonstrating positive value impacts for owners and occupants remains a priority.
Bonte added: “Technologies now exist to make net-zero energy feasible at scale. But the real estate ecosystem must continue collaborating across construction, policy, finance, and technology to make it accessible and attractive for owners globally.”
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