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The Circular Economy: Innovative Solutions for Sustainable and Affordable Housing

Written by Divine Akplehey | December 16, 2024

 

The global housing crisis continues to exacerbate inequality and environmental challenges, leaving millions without adequate shelter (G20 Brazil 2024). “Approximately 1.6 billion people live in inadequate housing conditions, lacking access to basic sanitation services, and struggling to afford their own homes,” (G20 Brazil 2024). Addressing these issues requires urgent, comprehensive solutions to ensure access to safe and sustainable housing for all. 

Furthermore, the scale of the housing crisis will impact millions of people around the world. It is estimated that 100 million people around the world are homeless (G20 Brazil 2024).  Each year, approximately 2 million people are forced to leave their residences, and by 2030, 3 billion people —nearly 40 percent of the global population—will require adequate housing (G20 Brazil 2024). As the demand for affordable housing grows, the construction industry remains one of the most resource-intensive sectors, contributing significantly to greenhouse gas emissions and waste generation (US Department of Agriculture, 2022). However, a shift toward a circular economy presents an innovative pathway to not only provide affordable homes, but to also reduce the environmental footprint of housing. Circular economy principles focusing on reuse, recycling, and resource efficiency can create sustainable housing solutions that promote long-term affordability and environmental stewardship. 

The Environmental Toll of Traditional Housing 

Traditional housing construction and demolition processes are responsible for immense waste and environmental damage. According to the US Environmental Protection Agency (EPA), construction and demolition (C&D) activities generated nearly 600 million tons of debris in 2018, most of which ended up in landfills (Sustainable Management of Construction and Demolition Materials, 2024). This level of waste, coupled with the high energy consumption of conventional buildings, contributes to the global climate crisis. The World Green Building Council (WorldGBC), the largest and most influential local-regional-global action network, is leading the transformation to sustainable and decarbonized built environments for everyone, everywhere. WorldGBC estimates that buildings account for nearly 39 percent of global energy-related carbon emissions (Advancing Net Zero).