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12 30 2025 - A Nervous "Edge" Moment for the Green Building Industry

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Green Building Year End Update 12 30 2025

Rate It Green Members and Friends - 


I’ve received several news pushes recently about the Thwaites Glacier.  I originally planned to send an optimistic-news-only year-ending email as I have done in some past years.  But the glacier fascinates me, and reading a few of these pieces changed my mind.  Raymond Zhong’s hopeful but also trepidatious excitement in a New York Times piece particularly resonated:

"Like all the best adventures, this expedition has goals but no guarantees.” 

Raymond was anticipating his reporting journey to Antarctica with a ship full of 40 scientists, but the sentiment also describes my current thoughts on the green building industry - and about climate change mitigation more broadly.  We do not have guarantees. We’re using up time we don’t quite have enough of anymore.  And to extend an ill-advised pun from the article, not everyone we need is "on board.”  


Here are some realistic notes on where I think we stand.  First, let’s dig into the positive, summarized at a fairly high level:
  • Awareness is growing. The 2025 Sustainable Construction Barometer across 27 countries finds that a 69% of stakeholders and 60% of the general public view sustainable building as a high priority. 
  • US states and cities - and many of their leaders - are still in.  A 2025 year-end policy review by BDC reported 130 building decarbonization bills introduced across U.S. states, with 41 passing.  A growing number of states and cities have passed building performance standards, including Colorado, Washington, Boston, Denver, New York City, St. Louis, and Washington. DC. For  inspiration, check out America is all In, an organization whose members represent 2/3 of the US population, and several additional coalitions include governors, mayors, congressional representatives, and full municipalities as members.  
  • There is a shift from theory to measurable performance.  Building performance stanrds (BPS), operational KPIs, and energy/emissions tracking are starting to turn goals into accountability.  
  • The green building industry continues to grow by many measures. Global sustainable materials growth is currently reported at 10-14% per yearJLL reports that in many major markets, over 50% of Class A office space is green-certified, with rental premiums reported between 7 and 11%. The UNEP reports that 20% of new commercial buildings report some form of green building certification. Residentially, 34% of home builders and 22% of remodelers reported that more than half of their projects were green in 2023.  
  • Resilience is emerging as a (necessary) demand driver. Extreme heat, wildfire smoke, flooding, and grid instability are increasing interest in buildings that can protect occupants, maintain habitability during disruptions, and recover quickly.  It’s unfortunate this is needed, but it reflects current reality.
  • The industry is continuing to harmonize. The Common Materials Framework (CMF) is standardizing definitions and data to streamline communications and reduce repetitive disclosure requests. Meanwhile, crosswalks, embodied-carbon reporting alignment, and performance pathways are giving teams more flexible routes and fewer barriers when working across programs.
  • We already have much of the needed technology to build smarter with less impact. From low-carbon concrete and electrification to heat pumps, IAQ controls, and high-performance envelopes and more, the solutions exist. One challenge is scaling.
  • Services and financing are growing segments. Decarbonization services, commissioning, energy management, and PACE/green loan programs are rapidly expanding. Commercial financing especially is no longer experimental.
And some challenges, also summarized:
  • Federal instability and recalcitrance really make long-term planning extremely difficult. Recent rollbacks of climate, energy efficiency and clean-energy policies and incentives have created uncertainty at a moment where stability matters most. 
  • Fossil fuel lobbying has counteracted local progressin the US and also globally.  At least 26 U.S. states now preempt cities from restricting natural gas use in new construction, slowing electrification and pushing costs and complexity back onto local governments.
  • Volatility is costly. Supply chain disruptions make it harder to do business globally, and inflation, and higher costs, and economic uncertainty make it difficult for manufacturers and providers to invest in and scale leading-edge technologies. 
  • The skilled-workforce gap is significant.  Associated Builders and Contractors reports roughly 439,000 new workers are needed in 2025 alone, with 1.9 million workers are needed over the next decade to keep up with growth and retirements. One estimate places the green skills shortfall by 2030 was as high as 7 million workers
  • More focus is needed for retrofits.  80% of the buildings the 9.6 billion global residents will inhabit in 2050 are already built - so we're going to have to address existing stock and to make this work worthwhile for building professionals.
  • Awareness is not yet translating to sufficient action. Even with 69% of stakeholders citing sustainable construction as a priority, only 27% reported taking action, and just 35% of professionals report receiving specialized training.

So what's needed to make more progress so that all buildings will be more sustainable and healthy, and resilient?  
  • Lifecycle policies and thinking that outlast election cycles
  • Expanded and accessible funding mechanisms 
  • Increased support for existing buildings/retrofits
  • A sufficient and trained workforce 
  • Greater public awareness to drive political will for lasting, positive change 

It would seem then that this is what I’d describe as a "nervous moment.” as we leave 2025 and move forward into 2026.  There's a lot to build, scale and prove, and there are certainly obstacles, but at least the good news list is longer. 

We know the Thwaites Glacier is weakening, but we don’t know when and if it will snap and release. Many in the green building industry have long worked towards green products and practices to reach mainstream acceptance, but we keep going not knowing exactly when we will get there.  Can we mitigate the worst effects of climate change? One answer is simple: we have to keep trying regardless. 

If you're reading this, your efforts are appreciated and they matter, and you are already part of the solution.  The challenges are real, but so is the momentum. What we do next matters.

Let's work together in 2026 and beyond to rise to the occasion and to do our best for future generations, and for a more livable present for all. Let's get your stories told and your questions asked so more people can learn from you, help you, and feel inspired! 

I welcome your ideas, feedback, and debate. 


Thank you,
Allison Friedman

& The Rate It Green Team

Click to see our Decemer 2025 Newsletter in its original form/format. 
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