New CaGBC market impact report demonstrates green buildings are an
engine of economic growth in Canada
Report shows green building industry employed nearly 300,000 and
generated $23.45 billion in GDP in 2014 alone
OTTAWA, ON – February 10, 2016 – A new Canada
Green Building Council (CaGBC) and The Delphi Group report titled Green Building in Canada: Assessing the Market Impacts &
Opportunities, is detailing the wide economic impact that
the green building industry has had in Canada over the past decade, including
generating $23.45 billion in GDP and representing 297,890 full-time jobs in
2014. This represents more jobs than Canada’s oil and gas extraction, mining
and forestry industries combined, which collectively employed approximately
270,450[1] workers in 2014.
Canada is a global leader in green building with the highest number of LEED buildings per capita in the world. The report finds, when indirect and induced contributions are
included, the overall economic impact of Canada’s LEED projects certified from
2005 – 2015 will lead to $128 billion in gross output over their
lifetime, $62.3 billion in total GDP, and create 701,700
jobs.
“This report showcases the impressive market transformation that is
underway across the country in the green building and sustainability
industries. By quantifying the significant economic value and growth of green
building and LEED certification in Canada, we are demonstrating that green
building is not just good for the environment, but it is also good for the
economy,” says Thomas Mueller, President and CEO of the Canada Green Building
Council. “It is clear that Canada’s current economy would benefit from
increased investment in green building and sustainable infrastructure. We
believe that a national, cross-sector strategy, led by industry and supported
by all levels of government, could help further accelerate the market
transition toward an economy that benefits from reducing greenhouse gas
emissions.”
Designed to support accelerated market transformation to
high-performing, healthy green buildings and communities in Canada, the report
provides an overview of the current status of activities in Canada’s green
building industry. The report, sponsored by Toronto and Region Conservation Authority (TRCA) highlights many significant impacts and findings including:
- Ontario and British Columbia have more green building jobs as a
percent of their total labour force than any other areas of the country in 2014
– equal to 2.1 and 1.6 per cent respectively, due in part to greater
market leadership, progressive building code requirements, provincial and
municipal green building policies.
- Companies active in the Construction and Trades segment
accounted for the largest percentage (55 per cent) of green building employment
and GDP in Canada, equal to approximately 164,445 jobs (approximately 13 per
cent of Canada’s total construction work force) and $13.13 billion dollars in
GDP.
The market penetration of LEED certified buildings in Canada
has been growing over the last decade, from 0.8 per cent across all asset
classes for the period of 2004-2009, reaching 10.7 per cent for all new
construction floor space (for the period of 2009 to 2014). Leading the way, 22
per cent of all new commercial buildings, and approximately 30 per cent of all
new institutional buildings constructed in Canada over the last five years were
LEED certified.
The Green Building in Canada report also
makes a number of suggestions as to how to accelerate industry growth and
maximize economic opportunities. Expansion in these areas will positively
impact jobs and the economy, along with providing significant environmental,
health and societal benefits.
- Investing in Research and Innovation. The construction
sector in Canada ranks at the bottom of all industries in terms of its
expenditures in research and development (R&D). Greater federal and
provincial government support for green building on the research and innovation
agenda would help, with both economic and export development.
- Addressing the Gap between Building Design and Performance. Benchmarking, reporting and disclosure, along with greater standardization of
modeling building performance in Canada, would result in buildings with better
end-use performance and enhanced environmental and business benefits.
- Supporting Industry Training and Continuing Education. Green building requires professional expertise and a better trained workforce.
Investing in education and training, as well as the policy, regulatory, and
incentive frameworks to support skills development and ongoing learning will be
essential to industry growth.
- Developing Supportive Policy and Incentives. Closing the
gap between the market leaders who have embraced green building and the bulk of
the building industry, through a range of incentive and financing options,
progressive policies and changes to building codes, is the key to long-term
market transformation.
“Canada is on the brink of an economic transition and the green
building industry will be an important part of that transition,” says Paul
Shorthouse, co-author of the report and Regional Director with The Delphi
Group. “As the policy landscape shifts and lower-carbon products and services
become the norm, green building represents a huge opportunity for Canada.
We are hopeful that the report findings spur more interest in and greater
support for the sector as we look to diversify Canada’s economy and tap into
the talent and expertise we have in this country.”
The report was generated through extensive secondary research and
literature review, 35 industry stakeholder interviews, and economic impact
assessments quantifying GDP, job and industry strengths and capabilities. The
full 94-page Green Building in Canada report is available to members through the CaGBC. The
Executive Summary is free to the public. For details on CaGBC
membership, visit the website here.
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Media Contacts and Information
Full copies of the Report are available to media upon request. Please
contact CaGBC Media Relations, listed below, for interview and information
requests.
Communications and Content Strategy, CaGBC
Media Contact:
media@cagbc.org
Desk: 613-288-8075
Alex Carr, Senior Associate, The Delphi Group
acarr@delphi.ca
778-384-8711
About CaGBC
The CaGBC (www.cagbc.org)
is the leading national industry organization advancing green building and
sustainable community development practices. We work closely with our member
organizations who are involved in the design, construction and operation of
buildings and homes in an effort to make every building greener. The
CaGBC reduces environmental impacts from the built environment through education/training,
project certification, advocacy and research. The CaGBC is the license holder
for the LEED green building rating system in Canada. In addition to LEED, the
CaGBC also supports the WELL Building Standard and GRESB (Green Real Estate
Sustainability Benchmark) in Canada, and oversees the Canada Coalition for
Green Schools. The CaGBC is member of the World Green Building Council
supporting international efforts to reduce environmental impacts from the built
environment.
About LEED
LEED® (www.cagbc.org/leedcanada) is a third-party certification program and an internationally accepted
benchmark for the design, construction and operation of high performance green
buildings. It provides building owners and operators the tools they need to
have an immediate and measurable impact on their building’s performance. LEED
rating systems encourage and accelerate the global adoption of sustainable
green building and development practices through the creation and implementation
of universally understood and accepted tools and performance criteria.
About The Delphi Group
As a pioneer in sustainability, environmental strategies, and business
solutions, The Delphi Group (www.delphi.ca) has more than 25 years of
experience helping some of Canada’s best-known organizations improve their
sustainability – as well as the local and global communities in which
they operate. The Delphi Group brings a unique combination of policy expertise,
strategic thinking, and technical know-how to every project, which has allowed
it to work with a wide range of organizations, including 32 of the top 100
companies. The Delphi Group’s clients also include some of Canada’s largest and
leading real estate and construction companies.
Toronto and Region Conservation
(TRCA) works with its partners to ensure The Living City is built on a natural
foundation of healthy rivers and shorelines, green space and biodiversity,
sustainable communities, and green infrastructure projects.
[1] Employment estimates for oil and gas, mining, and forestry industries come from Statistics Canada's Employment and Earnings Survey for 2014 (CANSIM table 281-0024). The estimate does not include jobs in processing or related value-add product sectors.