Building the future: Smart and Sustainable Buildings for a connected, low-carbon world

Smart and sustainable buildings are transforming the built environment by integrating automation, digital technologies, and renewable energy solutions to improve efficiency, resilience, and occupant well-being while reducing carbon emissions. ABB is driving this transition with advanced automation, energy management, and electrification technologies that enable smarter, more sustainable, and more connected spaces worldwide.

Web Story

6min

2025-11-18

01

Buildings represent 30 percent of total final energy consumption, and more than half of electricity consumption [1].

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The built environment is undergoing a major transformation with trends such as AI, smart energy management, predictive maintenance, etc.

03

ABB is supporting the sector in its transformation with a range of advanced technologies.

The role of smart and sustainable buildings

Buildings are far more than enclosures of walls and roofs. They are the spaces where people live, work, play, rest and grow. Beyond protecting us from weather, noise, and pollution, they also express our identities: personal, social, and cultural. As they become smarter and more sustainable, these spaces are evolving from passive shelters to intelligent, energy-efficient and thriving environments. 

By 2050, over two-thirds of the global population - an additional 2.5 billion people - is projected to reside in urban areas, placing unprecedented strain on city infrastructures. As cities grow and urbanization continues, smart and sustainable buildings will play a crucial role in reducing environmental impact and making urban infrastructure more sustainable.  

However, according to the International Energy Agency (IEA), buildings are responsible for a staggering 30 percent of final energy consumption and are one of the largest sources of greenhouse gas emissions.

Smart buildings are a smarter choice due to three overarching ways they deliver next-level benefits: savings, security and sustainability.

 

Governments and enterprises worldwide are also playing their part in adopting green building certifications like LEED (Leadership in Energy and Environmental Design) and BREEAM (Building Research Establishment Environmental Assessment Method) to promote sustainability initiatives.

There are several megatrends leading to the transformation for buildings around the world:

AI and digital technologies optimizing building performance

Advanced sensors and AI-powered BMS (building management system) are revolutionizing the way we manage energy in buildings. Smart systems now reduce waste and improve efficiency [2], while taking care of peoples’ comfort and safety.

Electrification (and smart grid integration to expand)

From electrified HVAC to EV charging infrastructure, buildings are becoming key players in the energy transition. These technologies continue to reduce emissions but also enhance buildings’ resilience.

Sustainability and energy efficiency are key priorities

Enhancing energy efficiency in buildings is crucial, as they account for 30 percent of global final energy consumption and 26 percent of energy-related emissions [3].

Circular construction, materials and system components

By recirculating used materials through harvesting, recertifying, and testing, construction projects can be delivered at a lower cost than by using virgin materials with equivalent performance criteria [4].

The world is becoming increasingly urbanized

68 percent of the world's population is projected to be urban by 2050 [5]. Integrated management systems are helping buildings achieve optimal performance, from energy use to tenant comfort, with technologies that predict, adapt and learn.

Digital connectivity

Gartner predicts that by 2028 there will be over four billion connected IoT devices in commercial smart buildings, powered by telecommunications infrastructures, with 5G and High Efficiency Wi-Fi (6 or 6E) at the forefront.

Challenges within the building industry

Policy, codes and regulatory gaps

Many markets still lack building codes, retrofit mandates, or regulations that require/enable low-carbon design, grid-readiness (demand-response) or minimum digital/data standards, which creates uncertainty for investors and developers [7].

Financing & high upfront costs

Deep efficiency retrofits, on-site renewables, batteries and smart systems often require large initial capital and complex financing [8].

Skills, supply-chain and workforce capacity

Scaling retrofits and smart systems needs large numbers of trained installers but reports highlight shortages in trained labour and bottlenecks in manufacturing/installation capacity [9].

Digital maturity, interoperability & data governance

Many buildings lack basic digital instrumentation; where systems exist they’re fragmented (vendor silos, proprietary protocols), making portfolio-level optimisation and digital twins difficult [10].

Electricity system & infrastructure constraints

Widespread electrification (heat pumps, EV charging) and building-level flexibility depend on grid capacity, renewables and storage. In many regions the grid and market arrangements aren’t yet ready to integrate millions of smart, flexible buildings.

Retrofitting complexity & embodied carbon trade-offs

Existing building stocks are heterogeneous: deep retrofits are technically complex, disruptive and can incur high embodied emissions if not managed carefully.

ABB solutions for smart and sustainable buildings

  

Renewable energy integration and storage

Smart buildings pave the way for the integration of renewable energy sources like solar panels, wind turbines and geothermal systems. To truly leverage their potential, we need solutions for storing excess energy generated during peak production times such as microgrids and energy storage systems. ABB's microgrid technology allows buildings to manage their own power generation and consumption, reducing reliance on the traditional grid and minimizing the impact of power outages.

Digital technologies

Integrating IoT in buildings is crucial for evolving property supervision and management methods. It gradually transforms traditional buildings into intelligent structures, capable of dynamically and efficiently addressing user needs and environmental challenges.

ABB Ability™ BuildingPro Vision

 

A cybersecure integration platform that connects and manages building systems using edge technology.

ABB Ability Digital Powertrain

 

Empowering teams with digital intelligence to monitor powertrain health, analyze performance, and plan maintenance proactively.

Energy management technologies

As commercial and industrial buildings evolve to meet the demands of a more electrified and data-driven world, the need for streamlined energy management has become increasingly urgent. Energy management technologies transform the way facilities manage energy, optimize performance, and ensure long-term reliability.

Building automation and management solutions

ABB’s building automation offers powerful technologies and flexible systems that provide comprehensive and efficient energy management solutions. Building management systems bring together data coming from various systems in a building to monitor and manage these systems from a central location. 

Key case studies from around the world

Germany

Advanced HVAC Building Automation transforms a health center in Germany

 

The health, fitness, and therapy center in Nabburg, Germany chose ABB's ClimaECO for heating, ventilation, and air conditioning (HVAC) based on the KNX standard - a commitment to sustainability and innovation.

 

Electrical engineering provider, BAUER Elektroanlagen, has achieved energy self-sufficiency in its pioneering Berlin operations through ABB buildings control and automation systems.

Korea

ABB Powers Korea's Luxury Residences

 

At the MONA YONGPYONG Premium Condominium, residents enjoy direct access to world-class winter sports, while inside, they experience seamless comfort, control, and connectivity powered by ABB’s KNX smart building system, engineered to enhance every moment.

Poland

From Office to Showroom: Enhanced Comfort and Energy Savings at Hanza Tower

 

As a workspace where architectural designs are created, ArchiCe's office in Hanza Tower in Szczecin, Poland, also functions as a live showroom. To achieve this, ArchiCe invested in ABB's i-bus® KNX system, integrating digital sensors, touch screens, and switches throughout the office.

Finland

ABB’s smart tech reinvents a Finnish hospitality icon 

 

The Original Sokos Royal Hotel upon completion, will offer 655 beds across 260 rooms. ABB has provided the intelligent backbone of the transformation, delivering an advanced building automation and energy management system that continues to shape the hotel’s operations today.

Belgium

Smart, integrated solutions to the challenges of Living Tomorrow

 

ABB has joined forces with Belgian technology research and innovation organization Living Tomorrow to provide energy-saving solutions for a new flagship low-carbon Innovation Campus in Brussels. The new building features both KNX and BACnet building automation solutions – the ABB i-bus® KNX and ABB Cylon® HVAC Building Automation.

Egypt

ABB cooling solutions save up to 30% annual energy use in New Alamein City

 

ABB, working together with the system integrator Quasi systems, is supplying over 470 units of ACH580 drives including ultra-low harmonics units for major buildings in the New Alamein City development, including the presidential palace, Al Alamein University, New Alamein City towers and a luxury hotel.

Australia

ABB synchronous reluctance motors and drives enable reduced carbon emissions in an energy efficiency upgrade for Hobart building

 

The Sypkes Group’s property at 85 Macquarie Street - a multi-tenancy commercial building recognized issues with aging equipment used to manage the heating, ventilation, and air conditioning (HVAC) operations. They finally selected  ABB synchronous reluctance motors (SynRM) and ACH580 variable speed drives (VSD) to address the challenges associated with the project.

India

ABB’s HVAC solution helps JW Marriott Hotel to cut down energy losses by 35%

 

Heating, Ventilation and Air Conditioning (HVAC) consume an average of about 50 percent of the energy in buildings. By installing ABB’s Cooling Tower Direct Drive solution in its hotel, JW Marriott Pune, an iconic landmark in the city of Pune, has set new benchmarks in energy efficiency, saving about 35 percent energy annually.

Spain

Soler & Palau Chooses EC Titanium to Help Improve Indoor Air Quality

 

Soler & Palau (S&P) chose ABB’s Baldor-Reliance EC Titanium motors to power its air filtration cabinets, offered to a partner OEM for use in supply air units in the health market. These units help address air quality and health needs by increasing filtration in indoor environments in residential and commercial buildings.

USA

FridgeWize: Redefining energy efficiency in HVACR retrofits

 

The partnership between FridgeWize and ABB has seen both companies collaborating to develop custom motor packages, including the first 56-frame motor for the U.S. market. ABB’s EC Titanium integrated motor drives and SP4 motor range have become core components of FridgeWize’s retrofit solutions, offering unmatched reliability and efficiency.

Enginnered to outrun

In conclusion, the integration of smart buildings with sustainability goals offers a synergy that can lead us towards a more sustainable future. The benefits of smart and sustainable buildings in achieving energy efficiency, resource conservation, and occupant well-being are undeniable. By fostering partnerships and collaborations, sharing knowledge, and embracing ABB technologies, we help the building industry outrun leaner and cleaner.

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