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Green Buildings: Why water efficiency is gaining greater importance in sustainable construction?

6 min read
ESG certification goals with water

GREEN BUILDINGS

Green buildings play a crucial role in the transition toward a society that no longer relies on the overexploitation of natural resources and fossil fuels. 

 

  

Buildings account for significant global resource consumption, and thus, it is important to promote green buildings as a comprehensive approach that considers construction phases, operational stages, and the entire building lifecycle.

The role of water in sustainable construction is clear—the UN warns that global freshwater demand is predicted to exceed supply by 40% by 2030.

Discover in this article what role smart water use plays in achieving green building goals.  

Content

Tackling construction's climate impact
Why water efficiency matters in green buildings?
Certifications and ESG actions demonstrate sustainable development — and improve property value
How to improve water efficiency in green buildings?
Smartvatten's solutions for water efficiency
Make your buildings greener, one drop at a time!

The objective is clear: reduce the built environment's impact on human health and the natural environment through efficient resource use and pollution reduction.

Green building refers to structures and processes that are environmentally responsible and resource-efficient throughout a building's entire life cycle. 

GREEN BUILDINGS

Tackling construction's climate impact 

The concept of sustainable construction isn't new, yet its urgency has intensified. In the era of the climate crisis, green buildings are essential for creating a sustainable future for the construction industry.

Buildings account for a significant share of global resource consumption—37% of global energy use and energy-related CO₂ emissions as of 2020.

In Finland, for example, the built environment accounts for 35% of the country's greenhouse gas emissions, with the majority from building energy consumption and 6% from construction itself.  The construction sector ranks as the fifth-largest industry affecting land use in Finland, consuming nearly one-third of all raw materials.

The modern green building approach addresses this through fundamental principles:  

  • siting and structure design efficiency

  • energy efficiency

  • water efficiency

  • materials efficiency

  • indoor environmental quality enhancement

  • and waste reduction.  

Why water efficiency matters in green buildings?

Responsible water management demonstrates a genuine commitment to global resource security. Research indicates that by 2050, two-thirds of the population—potentially 5 billion people—will face a shortage of clean freshwater, making conservation efforts in buildings critical to future water security.

The link between water and energy consumption creates a multiplier effect: saving water also reduces the energy required to heat, treat, and distribute it.

Globally, 12% of total electricity production goes toward water production and heating tap water, so reducing water use simultaneously cuts both water expenses and the energy needed for heating. Properties that achieve 20% water savings typically see a roughly 5% reduction in energy costs—a dual benefit that directly supports carbon reduction targets.

The financial implications extend beyond utility bills. Water costs across Europe are outpacing inflation, with ageing infrastructure requiring substantial investment. Early leak detection prevents costly property damage that can reach thousands of euros per incident.   

The environmental imperative resonates strongly with stakeholders. Every cubic meter of water consumed generates carbon emissions through production, distribution, heating, and wastewater treatment.

Read more about saving water and energy

Certification requirements have become increasingly stringent around water management, with BREEAM's methodology shifting from technical installations to management practices and performance improvements based on usage data.

Water efficiency also delivers measurable progress toward certification requirements.

Smartvatten customers can earn up to 18 points for BREEAM certification and 4.916 points automatically for GRESB through comprehensive monitoring and reporting capabilities. 

Read more about sustainability certifictions

Certifications and ESG actions demonstrate sustainable development — and improve property value 

Well, how do you know how energy-efficient or sustainable a building is?

Demonstrating sustainability with certifications, ESG actions, and data has become critically important—not merely as "added value," but as a significant competitive advantage and a requirement for real estate operators.  

Certifications and recognitions are key indicators that green building principles are being applied in practice. Green building credentials directly impact asset value and business success.

Properties with strong sustainability performance achieve better financing terms, as lenders view environmental responsibility as risk mitigation. Institutional investors and tenants actively seek verified credentials through certifications like BREEAM, GRESB, and LEED.

Mandatory ESG reporting through frameworks such as the CSRD and the EU Taxonomy has transformed sustainability from a voluntary initiative into a business necessity.  

How to improve water efficiency in green buildings?

Effective water conservation in green buildings encompasses multiple interconnected strategies. First, residents must have access to information about their water consumption and practical ways to save water in daily life, whilst properties are equipped with modern, water-efficient fixtures.

And at the property management level, solutions must be in place to address leaks immediately, whilst monitoring long-term trends. 

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Smartvatten's solutions for water efficiency

Leak detection

Advanced algorithms detect water leaks immediately, preventing costly property damage and water waste through minute-by-minute tracking with accuracy down to a tenth of a litre.  

Data solutions

Real-time monitoring provides comprehensive consumption data, enabling immediate insights and portfolio-level decision-making. 

Sub-metering

Detailed monitoring at the building and floor level provides granular insights into water usage patterns, supporting targeted efficiency improvements.

ESG reporting

Automated data collection and comprehensive reporting capabilities support BREEAM, GRESB, and LEED certifications as well as CSRD compliance requirements. 

The Smartvatten sub-metering system accurately measures water consumption in real time for each apartment or space, identifying potential leaks and maintenance needs.  

Read more about sustainable water management

Ready to improve your property's green building performance? Start by calculating how much your portfolio could save with smart water management.  

Contact us and learn more

Make your buildings greener, one drop at a time! 

As a member of the Finnish Green Building Council (FIGBC), we actively advance water efficiency as a cornerstone of sustainable construction. Through FIGBC events and industry collaboration in Finland, we raise awareness about water's critical role in energy savings whilst demonstrating how intelligent water management systems contribute to green building performance.

Powered by precise data, years of experience, and deep water and tech expertise, we help organisations conserve water, reduce costs, and drive sustainable impact through scalable digital solutions. 

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