A green forest blending into a modern city skyline with wooden skyscrapers, symbolizing sustainable wood construction.

Building a Greener Future: Can Wood Construction Meet Ambitious Environmental Targets?

"Exploring the potential and challenges of wood-frame multi-story construction in achieving sustainability goals."


The European Commission is championing the bioeconomy as a solution to critical global challenges. These challenges include reducing our dependency on non-renewable resources and mitigating the increasingly severe impacts of climate change. The construction and building sector, a significant contributor to global environmental strain, holds immense potential for cost-effective solutions. By embracing environmentally conscious practices, this sector can drastically reduce its ecological footprint.

Green building is an increasingly popular approach. It refers to construction methods that prioritize environmental, economic, and social sustainability. Government policies worldwide are beginning to reflect this emphasis, encouraging the adoption of bioeconomy and green building strategies. Many are recognizing the potential of forest-based industries and wood construction to lead the way toward a circular bioeconomy, especially in Nordic countries.

This article will delve into the viability of long-term targets for green building, specifically focusing on wood-frame multi-story construction in Finland. By examining the measures needed to meet these targets, we can gain valuable insights into the future of sustainable construction practices and the role of wood in building a greener future.

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The Green Building Boom by the Numbers

The global green building market reached $500 billion in 2023, with LEED-certified properties commanding a 7–10% value premium and delivering average energy paybacks of 19% over five years. Net-zero projects are cutting lifetime costs by roughly 25%, while certified buildings achieve 39% lower water usage. Research into wood construction specifically shows a tendency toward lower greenhouse gas emissions compared to conventional builds, though existing studies are often limited by methodological inconsistencies and small sample sizes.

Established Methods and Where They Fall Short

Engineered wood products such as cross-laminated timber (CLT) and glulam have gained widespread attention for structural applications, yet the use of lower-grade wood and industrial residues remains underexploited. The U.S. Green Building Council, founded in 1993, has promoted sustainability through consensus-based standards like LEED, but emerging frameworks increasingly call for upcycling irregular off-cut wood into new components—a practice not yet mainstream. These gaps suggest that while accepted methods have advanced green building, significant material efficiency opportunities are still being overlooked.

From Crisis Response to Global Movement

The modern green building movement traces its origins to the 1970s oil crisis, which spurred research into energy efficiency and renewable energy sources for construction. Green building is defined as practices that are environmentally responsible and resource-efficient throughout a building's life cycle—from planning and design through construction, operation, maintenance, and demolition. Over the decades, this movement has expanded from a niche response to energy insecurity into a globally recognised framework for reducing the built environment's impact on human health and natural ecosystems.

What are the Hurdles to Widespread Adoption of Wood Construction?

A green forest blending into a modern city skyline with wooden skyscrapers, symbolizing sustainable wood construction.

While the advantages of wood construction are well-documented, the industry faces several challenges in breaking established patterns and achieving ambitious sustainability targets. A study was conducted using Delphi backcasting techniques to identify viable public and private sector measures for pursuing selected green building targets. The study focused on three interlinked targets for 2030:

Despite the quantified targets, the study adopted a qualitative approach due to the ambiguous reference levels and regional variations in construction practices. The scope was limited to wood-frame multi-story construction (WMC) in Finland, where previous targets for market share increase proved overly ambitious.

  • Tripling the market share of wood construction.
  • Doubling the value added of woodworking industries.
  • Reducing embodied energy and carbon in construction products by 30%.
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Cutting-Edge Findings in Wood Construction

Recent reviews highlight fast-growing woods as promising structural materials, examining advances in mechanical modification, structural application, and performance evaluation to support the low-carbon transition of construction. Research on wood building envelopes and structural systems is increasingly emphasising building physics principles to ensure quality as new designs and materials emerge. A 2023 commentary in Nature warns that without a material-first approach to efficient wood use, severe raw material shortages could result as the renaissance of timber in climate-friendly cities accelerates.

Barriers to Widespread Adoption

High initial costs remain a persistent obstacle, as green buildings frequently require specialised materials and technologies that are more expensive than conventional alternatives. A critical review of existing research acknowledges that while green construction offers clear environmental benefits, implementation challenges—particularly around upfront investment—continue to slow adoption. The wood sector specifically faces questions around certification complexity and the need to demonstrate cost-competitiveness at scale against entrenched building methods.

Wood vs. Conventional Materials

Direct comparisons between wood and conventional construction materials vary significantly by context, regional availability, and building type. Life-cycle assessments generally favour timber for embodied carbon metrics, though operational performance depends heavily on design quality, local climate, and energy sources. More large-scale, standardised comparative studies are needed to resolve lingering inconsistencies in the literature and provide clearer guidance for builders and policymakers weighing material choices.

The research utilized backcasting, a normative scenario approach that involves looking back from a preferred future to identify the steps needed to achieve it. The study combined consensus and dissensus-based Delphi techniques to explore a range of possible futures and address the limitations of traditional backcasting methods.

Looking Ahead: The Future of Sustainable Wood Construction

The study's findings highlight the need for significant changes in the construction and wood product sectors to meet ambitious environmental targets. This requires addressing fragmented industry characteristics, risk aversion, and the need for innovative measures to promote business opportunities in green building. Whether through revised industry targets or reconsidered strategies, the path forward demands a commitment to sustainable practices and a willingness to embrace change.

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What the Evidence Tells Us

The collective body of research points toward wood construction as a genuinely promising pathway for reducing the environmental footprint of the built environment, though it is not a silver bullet. Experts broadly agree that realising wood's full potential requires addressing supply-chain sustainability, material efficiency, and cost barriers in parallel. Success will likely depend on integrating timber construction within a broader strategy that includes energy-efficient design, responsible sourcing, and supportive policy frameworks.

Engineered Wood and the Next Generation of Construction

Breakthroughs in engineered wood products, including cross-laminated timber and new hybrid systems, are reshaping skylines as cities race to build faster, greener, and smarter. Sustainable timber—sourced from responsibly managed forests that balance environmental, social, and economic benefits—is positioned to play an increasingly central role in global construction. As these technologies mature and supply chains scale, engineered wood could fundamentally redefine what is structurally and architecturally possible in low-carbon building.

Beyond Individual Buildings

Scaling wood construction to meet ambitious environmental targets requires confronting systemic challenges that extend beyond any single project or material choice. Supply chain resilience, forest management governance, building code modernisation, and workforce training all represent interconnected barriers that must be addressed in concert. Without coordinated action across these fronts, even the most promising timber technologies risk remaining niche solutions rather than transformative industry shifts.

Learning from Buildings Already Standing

Real-world case studies from organisations such as the World Green Building Council provide concrete evidence of sustainable construction's environmental performance in operational buildings across climate action, health, and resource circularity. Life-cycle assessments of wood-based residential buildings have evaluated impacts across categories including climate change, acidification, eutrophication, and resource depletion, offering granular data on where environmental benefits are most pronounced. These built examples demonstrate that sustainable construction practices—encompassing energy efficiency, water conservation, and material selection—can deliver measurable outcomes in diverse international contexts.

About this Article -

Written with AI assistance from published research, and reviewed by the Mystum team. See our About page for more information.

This article is based on research published under:

DOI-LINK: 10.1016/j.jclepro.2017.08.031, Alternate LINK

Title: Long-Term Targets For Green Building: Explorative Delphi Backcasting Study On Wood-Frame Multi-Story Construction In Finland

Subject: Industrial and Manufacturing Engineering

Journal: Journal of Cleaner Production

Publisher: Elsevier BV

Authors: Elias Hurmekoski, Jouni Pykäläinen, Lauri Hetemäki

Published: 2018-01-01

Everything You Need To Know

1

What is the European Commission's view on the bioeconomy, and how does it relate to the challenges of climate change and resource dependency?

The European Commission views the bioeconomy as a key solution for reducing dependency on non-renewable resources and mitigating the impacts of climate change. The construction and building sector, a significant contributor to environmental strain, can benefit from bioeconomy strategies, particularly forest-based industries and wood construction. Embracing environmentally conscious practices in this sector can drastically reduce its ecological footprint, aligning with the goals of a circular bioeconomy. However, the Commission's broader strategy involves not only wood but also other biological resources to create a sustainable economy.

2

How can wood-frame multi-story construction contribute to achieving green building targets, particularly in the context of Finland?

Wood-frame multi-story construction (WMC) has the potential to significantly contribute to achieving green building targets by increasing the market share of wood construction, doubling the value added of woodworking industries, and reducing embodied energy and carbon in construction products. A study focusing on Finland explored measures for meeting specific targets by 2030. WMC provides a sustainable alternative to more carbon-intensive materials like concrete and steel. While the concept seems viable, the practical implementation requires overcoming hurdles related to industry fragmentation and risk aversion.

3

What are the primary obstacles preventing the widespread adoption of wood construction in the building sector?

Several challenges hinder the widespread adoption of wood construction, including breaking established patterns, fragmented industry characteristics, and risk aversion. The industry needs to adopt innovative measures to promote business opportunities in green building. Overcoming these obstacles requires significant changes in both the construction and wood product sectors and a commitment to sustainable practices. Addressing these challenges could unlock wood construction's potential in achieving ambitious environmental targets.

4

What is 'backcasting,' and how was it used in the study focusing on wood construction targets in Finland?

Backcasting is a normative scenario approach that starts by envisioning a preferred future and then working backward to identify the steps needed to achieve it. In the study on wood construction targets in Finland, backcasting was used to identify viable public and private sector measures for pursuing green building targets related to increasing the market share of wood construction, doubling the value added of woodworking industries, and reducing embodied energy and carbon in construction products. The study utilized both consensus and dissensus-based Delphi techniques to explore a range of possible futures and address limitations of traditional forecasting methods.

5

What specific targets were set for the wood construction industry in the study, and why were they approached qualitatively?

The study focused on three interlinked targets for 2030: tripling the market share of wood construction, doubling the value added of woodworking industries, and reducing embodied energy and carbon in construction products by 30%. Despite these quantified targets, the study adopted a qualitative approach due to ambiguous reference levels and regional variations in construction practices. The scope was limited to wood-frame multi-story construction in Finland. Understanding the nuances required a deeper exploration beyond simple numbers.

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