Dar and PwC team up to tackle the sustainability issue in the built environment of the Middle East

The global built environment is a significant contributor, responsible for nearly 40% of annual global greenhouse gas (GHG) emissions. In the Middle East, where over USD 2 trillion is earmarked for construction and infrastructure projects, there exists a unique opportunity to position the region as a pioneering hub for sustainable solutions. In alignment with the Middle East's ambitious net-zero agenda, PwC and Dar Al-Handasah Consultants (Shair and Partners), known as Dar, have officially announced a strategic partnership. They aim to drive sustainability initiatives within the regional built environment.

This collaboration will harness the extensive advisory capabilities of PwC Middle East, particularly in sustainability, finance, and emerging technologies. Complementing this, Dar brings to the table its global expertise as a leading consultancy specializing in the built environment and engineering. Together, these two firms will work towards delivering climate-ready development solutions for their clients. Their collective efforts will focus on curbing carbon emissions in the built environment, enhancing the quality of life in urban centres, and bolstering economic performance for regional investors, governments, and communities.

Commenting on the strategic collaboration, Hani Ashkar, Middle East Senior Partner, PwC Middle East, said: "At PwC, we believe connected and well-functioning buildings are at the heart of any leading cognitive and sustainable city's goals and aspirations. Our partnership with Dar Al-Handasah, who have led numerous award-winning sustainability projects globally across key horizontal and vertical infrastructure, will tap into their unique expertise to deliver innovative solutions for the most complex engineering and design needs in the region."

The urban built environment is responsible for a staggering 75% of global greenhouse gas emissions, with buildings and conventional construction contributing nearly 40% of solid waste within this sector. MEED Projects, a regional project tracking resource, reveals that the Middle East currently boasts over USD 2 trillion worth of construction and infrastructure projects in the pipeline or underway. This creates a significant opportunity to embed sustainability practices firmly within the region's built environment.

Dr Yahya Anouti, Partner and ESG leader, Strategy& Middle East, said: "The new wave of regional investment in the industry over the coming decade represents a once-in-a-lifetime opportunity to move away from traditional labour-intensive techniques and reimagine the region into an innovation and start-up hub in the field of sustainable construction, with the potential to pioneer new material and construction technologies that empower the region as an export hub.

He added: “The region shows great promise in this field. With countries including Saudi Arabia, UAE, Qatar and Egypt announcing net zero related commitments, we strongly believe the Middle East is well-positioned to lead a paradigm shift in the built environment. Yet, given the scale of the spend, decision makers in the region will need to drive a balancing act of five objectives: fast, affordable, sustainable, smart, wellbeing centric, and localised developments."

Tailored to the region's unique needs, this partnership will highlight best practices, governance structures, cutting-edge technologies, sustainability initiatives, and circular economy principles in collaboration with businesses and governments across the Middle East. It will also address sustainable construction methods and materials, with a particular emphasis on future greenfield developments. In anticipation of and during the COP28 summit this year, this partnership will bring together leading experts in urban planning and smart cities. These experts will convene in workshops and panels to emphasize the sustainability prospects present in the infrastructure and real estate industry.

Commenting on the MoU signing, Danny Aoun, Regional Director, Dar, said: "We are on a clear mission; to support the built environment – both buildings and infrastructure – on its path to decarbonize by 2050 with significant progress being made by 2030. As a signatory to the World Green Building Council’s Net Zero Carbon Buildings Commitment, Dar promotes pragmatic sustainability strategies for our built environment, driven towards a zero-carbon future.

“We are committed to working with PwC Middle East to help clients in the region attain net zero operational carbon by 2030 and ensure that all new buildings and major retrofits within direct control attain net zero whole-life carbon by 2030. Our work with PwC will also tackle our industry’s major trends that strongly align with the United Nations’ Sustainable Development Goals."

Balsam Nehme, Head of Sustainability, Dar, said: "The overall built environment sector demands clear climate and sustainability targets, frameworks, methodologies, and greater alignment. As a leading built environment consultancy, we promote a low whole life carbon approach and net-zero carbon pathways in our work to clients. We also actively collaborate with industry partners to advance thought leadership on sustainable infrastructure and policy activation. We believe that an integrated approach to the whole built environment is essential to deliver change in line with the commitments of the Paris Agreement."

Guided by its strategic approach known as "The New Equation," PwC remains committed to assisting the Middle East's government and public sector clients in responding to the dynamic global changes. They aim to build public confidence and trust while delivering outcomes that have a positive and long-lasting sustainable impact on organizations, stakeholders, and communities.