Balancing cost with long-term impact
Decarbonisation projects often involve high upfront costs, raising concerns about public spending and private investment viability. This means that contractors must demonstrate the long-term benefits of sustainable solutions to justify these investments.
Highlighting the total lifecycle value of assets, considering not only cost and carbon savings but also broader impacts on jobs, air quality, and public health, is crucial. The challenge is to show that the economic value of the Net Zero transition outweighs the costs, with benefits perhaps including reduced reliance on fossil fuels and the creation of thousands of skilled jobs.
Incorporating climate change resilience into infrastructure planning is also essential – this after all presents the immediate challenge. The Net Zero transition is not an either-or choice; it’s an economic opportunity that supports jobs, protects against future price shocks, and delivers a range of social and health benefits.
The systemic issue of undervaluing nature’s services, such as air and water quality, further complicates traditional business cases. A broader perspective that includes these factors in decision-making processes is required.