Construction and demolition activities are among the European Union’s largest consumers of natural resources. The sector uses about half of all materials extracted from nature and generates more than a third of the EU’s waste. For this reason, the Union has in recent years paid increasing attention to circular-economy solutions in construction and building design. By clarifying building life-cycle assessment, the EU aims to significantly reduce both climate impacts and the amount of waste. According to studies, emissions from construction and building materials can be reduced by up to 80 percent by improving material efficiency.
The EU’s new strategy for promoting a sustainable built environment emphasizes that buildings should be designed to be long-lasting, adaptable over time, and ultimately reusable. Digital logbooks play a key role: they document material properties and environmental impacts throughout the life cycle, providing valuable information to support investments and public procurement.
A significant step was taken in January 2025, when the new Construction Products Regulation entered into force. As a result, digital product passports were introduced, giving each construction product a unique digital identity. The passport compiles information on durability, performance, and safety, and makes it possible to calculate the carbon footprint of an entire building.
The regulation also supports the use of prefabricated and modular building elements. In this way, the amount of construction waste can be reduced by up to 15 percent already during the construction phase, while buildings become easier to adapt, dismantle, and reuse.
Renovation gains prominence
The EU is currently revising its targets for recycling and the reuse of materials, focusing particularly on challenging material streams—such as insulation. At the same time, renovation is being elevated to a key priority. The so-called Renovation Wave combines energy efficiency with the principles of the circular economy.
For actors in Finland and Ostrobothnia, where NGR serves as a regional platform for resource-smart construction and circular solutions, the EU’s new direction is a clear signal.
This direction creates the conditions for local initiatives in which companies, municipalities, and the construction sector can leverage digital solutions and common standards. NGR can do its part to advance the transition toward construction where waste is seen as a valuable resource, not a problem, says NGR’s CEO, Tobias Hästbacka.
Sources
European Commission: Buildings and construction – Single Market Economy
European Commission: New EU rules for safety and sustainability of construction products
