Substitution impacts of Nordic wood-based multi-story building types: influence of the decarbonization of the energy sector and increased recycling of construction materials

BACKGROUND: The building and construction sectors represent a major source of greenhouse gas (GHG) emissions. Replacing concrete and steel with wood is one potential strategy to decrease emissions. On product level, the difference in fossil emissions per functional unit can be quantified with displacement factors (DFs), i.e., the amount of fossil emission reduction achieved per unit of wood use when replacing a functionally equivalent product. We developed DFs for substitution cases representative of typical wood-frame and non-wood frame multi-story buildings in the Nordic countries, considering the expected decarbonization of the energy sector and increased recycling of construction products. RESULTS: Most of the DFs were positive, implying lower fossil emissions, if wood construction is favored. However, variation in the DFs was substantial and negative DFs implying higher emissions were also detected. All DFs showed a decreasing trend, i.e., the GHG mitigation potential of wood construction significantly decreases under future decarbonization and increased recycling assumptions. If only the decarbonization of the energy sector was considered, the decrease was less dramatic compared to the isolated impact of the recycling of construction materials. The mitigation potential of wood construction appears to be the most sensitive to the GHG emissions of concrete, whereas the emissions of steel seem less influential, and the emissions of wood have only minor influence. CONCLUSIONS: The emission reduction due to the decarbonization of the energy sector and the recycling of construction materials is a favorable outcome but one that reduces the relative environmental benefit of wood construction, which ought to be considered in forest-based mitigation strategies. Broadening the system boundary is required to assess the overall substitution impacts of increased use of wood in construction, including biogenic carbon stock changes in forest ecosystems and in wood products over time, as well as price-mediated market responses. SUPPLEMENTARY INFORMATION: The online version contains supplementary material available at 10.1186/s13021-022-00205-x.