Islamabad, March 17, 2025 – Senator Sherry Rehman, Chairperson of the Senate Standing Committee on Climate Change, has emphasized the urgent need to integrate the construction industry’s concerns into national climate policies.
She proposed tax incentives to encourage green construction projects while advocating for higher taxes on non-compliant sectors.
Speaking at a high-level consultative webinar organized by the Sustainable Development Policy Institute (SDPI) on Monday, Senator Rehman underscored the importance of sustainable practices in the construction industry. She highlighted the escalating solid waste crisis in major metropolitan areas and its detrimental effects on the Indus River, which ranks as the second most polluted river globally. “While the informal sector is already engaged in circular practices such as recycling and reusing materials, it is imperative to incorporate the formal sector into national policies to ensure widespread sustainability,” she stated.
The senator further called for the establishment of a dedicated task force within the Environmental Protection Agency (EPA) to enforce building codes and implement zero-waste strategies in construction projects. She stressed that regulatory oversight must be strengthened to ensure the sector’s contribution to climate resilience.
Dr. Abid Qaiyum Suleri, Executive Director of SDPI, described the consultation as a pioneering step in linking construction with circularity and zero-emission targets. He warned that unsustainable resource extraction and high carbon emissions are aggravating environmental challenges, contributing to severe air pollution and climate hazards such as smog. “Pakistan must align its green construction efforts with a taxation framework that rewards sustainability,” he asserted.
The CEO of the National Disaster Risk Management Fund (NDRMF), Bilal Anwar, acknowledged the construction sector’s historic role as a key employment generator. However, he noted its current stagnation and the urgent need for policy interventions. “Despite its economic significance, the construction sector has largely been absent from discussions on climate change and green construction,” he remarked, urging reforms to integrate modern, eco-friendly materials.
Akbar Mahmood Zaidi, Resident Engineer at ACES 18, pointed out that globally, the construction industry contributes 30-40% of greenhouse gas emissions, with Pakistan alone producing 25-30% of construction waste. He cautioned that unchecked resource extraction, particularly in Islamabad, has led to the depletion of Margalla Hills National Park’s reserves, including sand, cement, and clean water—essential resources for construction.
Kamil Khan Mumtaz, CEO of Kamil Khan Mumtaz Architects, stressed that industrial development, including construction, is a primary driver of the climate crisis. He urged policymakers to either continue with business-as-usual or adopt stringent circular economy regulations to promote sustainable construction practices.
Dr. Saeed Ahmad from NED University highlighted Pakistan’s housing deficit, stating that 10 million housing units are required in urban centers. He cited past sustainable housing models such as ‘Khuda Ki Basti’ and government-led initiatives like the Naya Pakistan Housing Programme and the Sindh Peoples Housing for Flood Affectees (SPHF), advocating for their replication using low-carbon construction materials.
Ahad Nazir, Director of Private Sector Engagement at SDPI, proposed the creation of a used-materials database and a certification system to enhance the construction sector’s resilience. “Without tax incentives, transitioning to sustainability will remain a challenge,” he observed.
Nauman Amin, a Development Sector Specialist at UNOPS, highlighted that infrastructure accounts for 79% of greenhouse gas emissions and 88% of climate adaptation costs. He urged policymakers to incorporate sustainability into the taxation framework to drive green construction initiatives.
The consultation concluded by emphasizing a whole-of-government and whole-of-society approach to advancing green construction. Senators, industry leaders, and policymakers agreed on the need to ensure climate resilience and sustainability in the construction sector for future generations.