Building Circularity 4.0: What are the first steps for your industry?
This Building Circularity 4.0: First Steps to Adoption framework aims to promote circularity and sustainability in buildings and construction. By integrating circularity in the building industry, stakeholders and communities can realise economic and social benefits. This framework suggests actions each player in the building supply chain can take to embed circular economy principles in their operations and links to further resources.
This tool was developed in collaboration with the Circular Economy Ministerial Advisory Group.
Local Government
First Step
Establish requirements for waste and demolition plans that include screening, mapping and sorting valuable building products for further reuse, and provide guidelines and training for demolition companies.
References (5)
- Pathways to circular construction: An integrated management of construction and demolition waste for resource recovery (Ghaff et al., 2020)
- Circular economy and the construction industry: Existing trends, challenges and prospective framework for sustainable construction (Hossain et al., 2020)
- Circular economy in the Nordic construction sector: identification and assessment of potential policy instruments that can accelerate a transition toward a circular economy (2018)
- World Business Council For Sustainable Development – Scaling the Circular Built Environment, Pathways for Business and Government
- GBCA Green Star Buildings Fact Sheet for Government
State Government
First Step
Demand an ‘end-of-life plan’ for building and their physical contents at point of building consent.
References (8)
- World Business Council For Sustainable Development – Scaling the circular built environment, pathways for business and government
- GBCA Green Star Buildings fact sheet for government
- Engage Victoria – Shifting Victoria to a circular economy
- Science Direct – Transitioning to a state-wide circular economy: Major stakeholder interviews
- Eastern Metropolitan Regional Council – Regional circular economy horizon scan
- London Plan Guidance: Circular Economy Statements
- Circular Economy Victoria
- Victoria’s Big Build ‘Recycled First Policy’
Federal Government
First Step
Create a roadmap to guide all actors within the building lifecycle to implement circularity.
Planning Authorities
First Step
Change ‘demolition’ applications to ‘re-use, adaptation, and end of life’ applications.
Regulatory Bodies
First Step
Introduce code requirement to document and publish material and component origins, characteristics and methods of disassembly as part of the building certification process.
References (1)
Peak Industry Groups
First Step
Understand the material impact of your industry segment, develop a circularity plan in collaboration with your members and issue guidance documents.
References (4)
- Australian Government Trade and Investment Commission ‘Circular Economy’
- Parliment of Australia ‘Building Australia’s circular waste economy’
- RIBA Architecture ‘Long Life, Low Energy’
- UKGBC ‘Circular economy guidance for construction clients: How to practically apply circular economy principles at the project brief stage’
Trade Unions
First Step
Understand the material impact of your members’ work and advocacy, develop a circularity plan to help them transition to a circular economy, and develop upskilling courses to facilitate the transition.
References (4)
- International Labour Organisation ‘Decent work in the circular economy’ (2023)
- Syndicat European Trade Union ‘European social partners project on circular economy and the world of work’ (2021)
- ‘Beyond economic growth The role of trade unions in the transition to well-being’ P.Nitsche-Whitfield (2023)
- ‘Enabling productivity goals through construction 4.0 skills: Theories, debates, definitions’ S.Siriwardhana, R.Moehler (2023)
Renewables Sector
First Step
Facilitate whole of life reuse and recycling to consider deconstruction at end of life.
References (1)
Developers
First Step
Undertake project feasibility studies that include whole-of-life cost and operational (user) benefits of sustainable design, to increase returns and reduce environmental impact.
References (5)
- Circular Buildings Coalition ‘Towards a circular economy in the build environment – Overcoming market, finance and ownership challenges’
- AHURI: Informing a strategy for circular economy housing in Australia
- Ellen MacArthur Foundation – Building Lighthouses: How circular economy can transform our approach to buildings
- Green Building Council Australia: Green Star Buildings brochure for developers
- City of Sydney ‘Residential apartments sustainability plan’ (2025)
Not-for-profit Community Housing Providers (CHP)
First Step
Introduce requirement as part of community housing provider (CHP) grant schemes to provide for lifecycle planning for eventual disassembly and end-of-life of assets.
References (4)
- AHURI: Sustainable social housing retrofit? Circular economy and tenant trade-offs
- AHURI: Delivering sustainable apartment housing: new build and retrofit
- Planning Institute Australia: Role of planning in housing, position statement 2022
- NSW Land and Housing Corporation: Environmental Sustainability Strategy 2024-2026
Institutional Investors
First Step
Implement investment policies that require lifecycle assessment (LCA) and circular planning practices in funded projects.
References (1)
Insurance providers
First Step
Communicate risks to clients and insured parties of not adopting circular principles (e.g. ‘stranded assets’).
References (3)
- Zurich: Circular economy will help shape risk landscape
- Climate Adapt: Buildings
- JLL: Three new factors influencing the value of buildings
Banks
First Step
Implement lending practices that require lifecycle assessment (LCA) and circular planning practices in funded projects.
References (8)
- Ellen MacArthur Foundation: Embracing the circular economy at Italy’s largest bank: Intesa Sanpaolo
- ResearchGate: The role of banks in the circular economy
- Connect Earth: Banking in Circles: Embracing the circular economy
- UN Environment Programme: Finance Initiative: Guidance on resource efficiency and circular economy target setting – version 12
- UN Environment Programme: Finance Initiative: Financing circularity, demystifying finance for circular economies
- Circular City Funding Guide: Growing circular attention from commercial banks
- The role of banks for the transition to circular economy
- Circular City Funding Guide: Commercial banks
Architects
First Step
Where building reuse is not an option, consider building design with a ‘design-for-disassembly’ process in mind to enable easier reuse of material, components and systems.
References (7)
- “Design for Disassembly” in, Prefab Housing and Future of Building (Aitchison et al 2018)
- Circular Construction: Materials, Architecture, Tectonics (CINARK, 2019)
- Arch Daily: No more waste: 10 ways to incorporate the circular economy into an architectural project
- MDPI: Application of Circular Economy Principles to Architectural Design: A Case Study of Serbia
- Architects Climate Action Network: Circular economy design guide
- Architects Climate Action Network
- Greater London Authority London Plan Guidance: Circular economy statements
Certifiers/Building Surveyors
First Step
Ensure you have tools to implement net zero and circular design by making data-based design decision. Tools might include lifecycle assessment (LCA) software.
References (1)
Quantity Surveyors
First Step
Facilitate quantification and information management in the design and documentation of materials, component origins, characteristics and methods of disassembly.
Planners
First Step
Provide a report to governments, regulators and clients that ensures an appropriate circular strategy is in place for the land use and development type.
References (6)
- Circular Benchmark Tool
- ARUP: The role of cities in the transition towards a circular economy
- Urban Design Review: How a circular economy approach to planning and design can transform our rural and regional settlement patterns
- The Fifth Estate: Planning for a network of circular economy villages
- WWF: Circular economy villages
- ARUP: Circular economy in the built environment
Engineers (all)
First Step
Ensure you have tools to implement net zero and circular design by making data-based design decision. Tools might include lifecycle assessment (LCA) software.
Component/System Manufacturers
First Step
Consider using used and recyclable materials, and minimise glues and other fixing or manufacturing processes that restrict the future reuse or recycling of parts and assemblies.
Logistics Companies
First Step
Switch short haul delivery vehicles to electric vehicles (EVs) as a first step to full fleet transition.
Demolition Companies
First Step
Identify methods to better retain ‘whole products’, separate parts and individual components that can be reused and recycled during demolition.
References (3)
- Transformation towards a circular economy in the Australian construction and demolition waste management system (Shooshtarian et al, 2022)
- Pathways to circular construction: An integrated management of construction and demolition waste for resource recovery (Ghaffar, Burman & Braimah, 2020)
Material Suppliers
First Step
Provide detail information about materials, such as composition, origin, treatment processes and adherence to international standards. This crucial data could be managed as part of a ‘material passport’.
Waste Removal Companies
First Step
Encourage the separation of waste and employ waste collection strategies that focus on the use and reuse of ‘waste’ materials.
Product Manufacturers
First Step
Initiate take-back schemes of products at the end of their life cycle.
References (1)
Builders / General Contractors
First Step
Identify one part of your operation that could be switched to an offsite procurement model (i.e. bathroom pods or cassette floors and walls) with a DfMA mindset.
References (1)
Project / Construction Managers
First Step
Ensure that building site waste is separated and that recovery systems are on all job sites and are utilised.
Offsite manufacturers
First Step
Develop components that enable disassembly and reclamation at end of use.
Skilled Trades
First Step
Refer to guidance from your respective regulator/union/government source to ensure compliance. Additionally, consider using mechanical connections, sleeves, flashings, and couplings instead of adhesives whereever possible, to enable eventual disassembly/reclamation.
Body Corporates
First Step
Initiate building upgrades to improve sustainability with measures for energy, water, waste and biodiversity.
References (1)
- Impact of energy efficiency measures on the economic value of buildings (Popescu et al., 2012)
Clients
First Step
Demand your consultant teams present you with long term operational and lifecycle costings of projects that include maintenance and end-of-life scenarios.
Building Owners
First Step
Owners demand a report outlining the intended lifespan of a building and how it has been designed to be flexible, adaptable and minimise maintenance.
References (4)
Asset Managers
First Step
Ensure assets are designed for minimal repair and eventual reuse.
Facilities Managers
First Step
Promote reuse of assets and equipment and create plans and scenarios that can help extend the lifespan of assets and equipment.
Leasing Agents
First Step
Develop new contractual means for ownership that comprise the transfer of materials within a building (e.g. part of ‘material passport’ solution).
References (3)
Real Estate Agents
First Step
Work with asset owners and ratings organisations to grow awareness and enable incentives that reward the use of circular principles.
Authors & Contributors
Prof. Mathew Aitchison | CEO | Building 4.0 CRC | Author/Editor |
Prof. Chris Knapp | Research Director | Building 4.0 CRC | Author/Editor |
Dominique Hes | Zero Carbon Buildings Lead | City of Melbourne | Author/Editor |
Dr Duncan Maxwell | Director, Future Building Initiative (Monash University) & Research Program Lead (Building 4.0 CRC) | Monash University / Building 4.0 CRC | Co-Author |
Prof. Tuan Ngo | Professor and Program Leader (Building 4.0 CRC) & Research Director (ARC Centre for Advanced Manufacturing of Prefab Housing) | Building 4.0 CRC / ARC Centre for Advanced Manufacturing of Prefab Housing | Co-Author |
Dr Phil Christopher | Postdoctoral Research Fellow | University of Melbourne / Building 4.0 CRC | Co-Author |
Dr Sara Omrani | Senior Lecturer in Virtual Design & Construction | QUT / Building 4.0 CRC | Co-Author |
Dr Dane Miller | Associate Professor (Bond University) / Lighthouse Projects Manager (Building 4.0 CRC) | Bond University / Building 4.0 CRC | Co-Author |
Ross Digby | Associate Director: Centre for Energy & Infrastructure (Holmesglen) / Skills and Training Lead (Building 4.0 CRC) | Holmesglen / Building 4.0 CRC | Co-Author |
Dr Priyadashani Das | Postdoctoral Research Fellow | Monash University / Building 4.0 CRC | Co-Author |
Dr Siddhesh Godbole | Postdoctoral Research Fellow / Structural Engineer | Cerecon / Building 4.0 CRC / University of Melbourne | Co-Author |
Corrie Williams | Director, Collaboration and Innovation Centre | Master Builders Association Victoria | Co-Author |
Joana Correia | Policy Advisor | Master Builders Association Victoria | Co-Author |
Phil Alviano | Sustainability Advisor | Master Builders Association Victoria | Co-Author |
Megan Peacock | Executive Director Public Affairs | Master Builders Association Victoria | Co-Author |
Tony Bugeja | Policy and Technical Manager | Master Builders Association Victoria | Co-Author |
Prof. Leonie Barner | Director – Centre for a Waste-Free World | QUT | Co-Author |
Dr Judith Herbst | Faculty of Science, School of Chemistry & Physics | QUT | Co-Author |
Karl-Heinz Weiss | Founder & Director | Weiss Insights | Co-Author |
Daryl Patterson | Chief Product Officer | Lendlease | Co-Author |
Dr Victor Bunster | Lecturer in Architecture, Technology, Construction and Fabrication | Monash University | Co-Author |
Brendan Pope | Head of Design & Innovation | Fleetwood Building Solutions | Co-Author |
Tim Butler | MX Studio Products Lead | Lendlease Digital | Co-Author |
Prof. Usha Iyer-Raniga | Professor RMIT / Lead/Co Lead, Sustainable Buildings and Construction, United Nations 10YFP | RMIT / United Nations | Co-Author |
Bryon Price | Strategic Development Director | A.G Coombs Group | Co-Author |
How to use this tool
Click on your piece of the pie to see what your recommended first steps for circularity are, along with resources to support you. This tool has been built with the intention to evolve through input from the Industry. Please use the Feedback tab to let us know if you want anything added or amended.