Steffen Robbi, CEO of Digital Findet Stadt tells Laura Hochegger, Executive Assistant (Strategy, Sustainability, Innovation) at GrECo International Holding about how digitalization can contribute to a sustainable transformation and risk minimization in the construction and real estate industry, especially in the circular economy and in the refurbishment of existing buildings.
Hochegger: The construction sector accounts for 35% of the total waste generated in the EU and is also a huge consumer of resources. In your opinion, what are the most important levers for making the construction sector more sustainable?
Robbi: For decades, the narrative of ecological sustainability in the construction sector consisted of reducing energy consumption and switching to fossil-free energy sources. More recently however, massive progress has been made in regulatory, technical, and economic terms. Energy saving and the switch to renewable energies have also become part of public perception.
The impact of the Circular Economy Action Plan on construction
However, the situation is completely different when it comes to the consumption of resources in construction. That which is a matter of course in waste management is only just beginning in construction. Driven by increasing scarcity (and now also rising raw material prices), the European Union initiated a paradigm shift in our entire economic system in 2021 with the Circular Economy Action Plan, which was developed as part of the Green Deal. It focuses on seven economic sectors, one of which is the construction industry.
The circular economy in construction begins with the design of products and construction systems. Firstly, in the future these must be non-destructively dismantled, separable into individual elements, and repairable. Secondly, to ensure that products can be reused, a higher degree of freedom from harmful substances is required. And thirdly, an increasing proportion of recycled material is being demanded and promoted in production itself.
The circular economy is currently working well in downcycling, particularly in the use of demolition material for backfilling. The landfill ban for important construction materials (concrete demolition, asphalt, road demolition, technical fill material, etc.) came into force in January 2024. These building materials may no longer be sent to landfill, but must be sorted, processed, and reused. A requirement for the separability and reprocessing of plasterboard is also due to be adopted in 2024. To answer these new demands and ensure the construction industry is well prepared and can make the technical transition in terms of recycling, the first large-scale recycling plants have been commissioned or are in the pipeline.
The infancy of the reuse supply and demand market
However, the situation is different when it comes to the reuse of products and materials at an equivalent quality level, i.e., not recycling, but reuse. So far there is only a very small supply and demand market. The first industrial partners are beginning to refurbish old wooden parquet floors and bring them back onto the market, used raised floors are being reused in large quantities, leasing models are being offered for lights and partition walls, and trading platforms for used building materials are emerging. The market is in its infancy, but it is growing. The transformation from a linear to a circular economic system cannot be solved purely technically with new construction principles; it also requires new business and financing models. As great a challenge as this may be, it also creates new business and growth opportunities for companies. It is an enormous lever in terms of sustainability and economic growth.
Attention to detail: Differentiating circular refurbishment from conventional methods
Hochegger: Digital Findet Stadt is working with its partners to increase resource, energy and cost efficiency in the construction and real estate industry with the help of digitalization. One of the Digital Findet Stadt projects deals with “circular refurbishment”. How does circular refurbishment differ from conventional methods?
Robbi: In line with the principles of the circular economy, avoiding the use of natural resources is the top priority. A building that does not have to be rebuilt is the most efficient building from a circular economy perspective. This means that the refurbishment and value retention of buildings is particularly important. As part of a circular refurbishment, it is important to reuse and refurbish as many of the available building materials and products as possible. It is only in the third step that consideration is given to the use of new products, (partially) based on recycled materials.
In contrast to conventional conversion work, circular refurbishment can only be achieved by carrying out a very detailed survey of the existing building. This is utilization-oriented conversion and demolition instead of straightforward demolition. The inventory itself includes the creation of plans and documentation of the materials used, including their location in plans or 3D models. This goes far beyond the mere exploration of damaged and contaminated materials and requires experts with constructive knowledge as well as a creative aesthetic understanding – a certain creativity as to what things could be used for again is essential. As there is currently little experience in this area, we offer further training with leading experts at our Digital Akademie.
Once the inventory, documentation and evaluation of the existing buildings have been carried out, the recycling-oriented dismantling and conversion begins, in which all the materials that are to be reused or recycled are separated and processed according to type. As mentioned above, there are more and more industrial partners and trade companies that are taking on the task of reprocessing. However, the market is currently still small, and a great deal of personal commitment is required.
During the planning stage, particular attention is paid to the principles of separability, non-destructive dismantling, and freedom from harmful substances. It must be possible to separate, replace and repair building systems even after 20 years or more of operation or, ideally, to use them elsewhere. Ultimately, most projects will also require certification or other proof of their commitment to conserving resources. To this end, there are several providers of building certification that have integrated the topic of the circular economy as well as companies that create material building passports.
Digitalization helps to minimise investors’ risks
Hochegger: How can digitalization help to allay investors’ fears of incalculable risks and refurbishment costs and thus promote the transformation to sustainable construction?
Robbi: Digitalization can help minimize risk for investors in many ways. Above all, it is about cost transparency in terms of ongoing control and quality assurance. It is becoming increasingly easy to develop, simulate and compare scenarios right from the preliminary design stage. The building resource passports mentioned above are not only used for final certification but can also be used for variant studies as part of the planning process. The more data is available in digital form, the easier and faster the decision-making process. Especially if planning changes have to be made later in the project.
An important tool here is Building Information Modeling (BIM), which offers the possibility of combining all necessary building data in specialist models and exchanging it between planning disciplines. This data can then be prepared specifically depending on the application. Investors, for example, require information on areas, types of use, costs, etc., whereas the building physicists mentioned above require material types, volumes, and masses for the creation of building passports – all data that can be combined in a BIM model. With and without BIM, it is becoming increasingly necessary to create a digital image of the building before construction begins. The increasing complexity and regulatory requirements can no longer be managed with analogue working methods. The digitalization toolbox will be needed at the very latest when the EU Taxonomy Regulation forces companies to regularly provide data on the carbon footprint, energy efficiency, and resource consumption of properties and when investors must provide evidence of this data as part of audits.
About Steffen Robbi:
DI Dr. Steffen Robbi is founder and managing director of the innovation lab Digital Findet Stadt, platform for digital innovations in the construction and real estate industry. Prior to this, he was Business Manager and Senior Engineer at the AIT Austrian Institute of Technology, where he was responsible for Digital Building Technologies. The digital transformation of the construction industry towards greater sustainability and productivity are the main driving forces behind his work.
About Digital Findet Stadt:
Digital Findet Stadt offers research and consulting services on digitalization and sustainability, events and trainings for the industry at www.digitalakademie.at
You can find a current and free publication on the topic of the circular economy at SPRINGER Verlag under the following link: E-book Digital basics for circular planning and building – Digital Findet Stadt
For more information about Digital Findet Stat follow this link: Digital Findet Stadt – The platform for digital innovations in the construction and real estate industry
Steffen Robbi
CEO
Digital Findet Stadt
Laura Hochegger
Deputy Head of Sustainability & Innovation
GrECo Group
T +43 664 822 18 66
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