How circular economy and digital technologies can support the building sector to cope with its worldwide environmental challenge?

The building sector can address pressing environmental problems by leveraging two major trends: circular economy and digital technologies. Circular building practices emphasize restorative design principles, which can significantly reduce the amount of virgin material used and the environmental footprint of buildings. When combined with digital technologies, circular practices can achieve even higher environmental benefits. Such technologies enable visualization of the environmental impact along the entire value chain, facilitating smart design, production, and use to increase material- and eco-efficiency. However, realizing the full potential of these trends requires more than just technological advancements. Institutional, behavioral, and socio-economic system changes are essential to effect a transition towards a circular and digital economy. To facilitate such a transition, a new form of governance is needed, in which network governance complements conventional public governance. Network governance fosters the formation of coalitions of willing partners that jointly strive towards the goal of system change, creating a fertile ground for a new economic paradigm, behavioral change, government regulation and innovation. The effectiveness of network governance in supporting public governance depends on the specific socio-cultural and political context of a country. However, a thoughtful application of this governance model can facilitate the building sector’s journey towards greater material- and environmental efficiency.