ABB Smart Buildings: A Decade Since the Paris Agreement

The Paris Agreement was adopted in December 2015, signed by 196 parties at COP21.

Since this moment a decade ago, buildings have remained one of the biggest contributors to annual global emissions at 40% according to Architecture 2030.

As President of ABB Electrification’s Smart Buildings Division, Mike Mustapha has spent the past half a decade helping to drive transformation in buildings, from accelerating digitalisation and energy efficiency to redefining how buildings interact with the grid.

Mike shares his reflections on what the world has learned about decarbonising buildings and what the next decade must deliver with ClimateTech Digital.

What has the world learned about decarbonising the built environment?

We have learned that progress is possible. A decade ago, the idea of combining growth with lower emissions still felt theoretical. Today, we have proved it can be done.

Since 2015, global emissions growth has slowed dramatically from over 2% a year before Paris to around 0.3% today. Buildings have been central to that shift. They are no longer seen purely as energy consumers but as active players in the energy system.

Digitalisation has been the game-changer. Once we started measuring energy use in real time, we could manage it – and that visibility has created accountability.

What do you see as the biggest achievements in this decade?

Scale. Ten years ago, energy efficiency and smart controls were niche. Now they are mainstream business priorities. We have seen real gains in carbon intensity – commercial buildings down almost 2% per year, residential down 1% – and a huge rise in awareness that sustainability and competitiveness go hand in hand.

Back in 2015, the world was on track for more than 4°C of warming. Today, that trajectory is down to around 2 to 2.5°C. That is not enough, but it is proof that collective action works, and that every target raised brings us closer to where we need to be.

Policy has also caught up. From mandatory reporting to performance standards, the frameworks now exist to support real delivery. The foundations are there, we just need to build faster on top of it.

Where have we fallen short?

Delivery. We have made the promises and proven what is possible, but implementation remains the hardest part.

Too many net zero targets stop at strategy. The global retrofit rate is still far too low – less than 1% of buildings are renovated each year, when we need 2½% to 3½%. And embodied carbon, which accounts for about 11% of global emissions, is only now getting the attention it deserves.

As I often say, we cannot rebuild our way to net zero. The real challenge is not in new construction but in transforming the buildings we already have.

What technologies or innovations will shape the next decade?

The digital layer will be our greatest accelerator.

Smart, connected building systems can cut energy use by up to 30%, often with short payback periods. We see it every day in offices that adjust automatically to occupancy, schools that only use energy when they need it and factories that learn from their own data.

AI and predictive analytics will take this further; creating buildings that anticipate demand, trade energy back to the grid, and communicate across the wider energy network to keep supply and demand in balance.

By 2035, I believe we will advance the ‘smart’ buildings conversation to include ‘intelligent ecosystems’. 

What needs to happen to close the delivery gap by 2035?

First, more collaboration. No single organisation, technology or policy can do this alone. We need open data, shared standards and financing models that make efficiency the easiest decision, not the hardest.

Second, courage. Policymakers must reward implementation, not just intention. Businesses need to move from pilots to scale. And individuals – from facility managers to CEOs – have to see efficiency and digitalisation as core to resilience, not optional extras.

The technology exists; what’s missing is consistent application. The next 10 years must be about turning words into watts saved, buildings upgraded and emissions avoided everywhere, not just in select markets.

What is your vision for the buildings of the future?

By 2035, I hope we will see buildings that think, learn and adapt. Spaces that are safer, healthier and energy-positive.

Every building will be connected to its community and the wider grid, balancing supply and demand, generating and storing energy locally and sharing data to improve performance continuously.

The transformation of our buildings will define the next phase of the energy transition. Because every building is an opportunity to cut emissions, use energy wisely and make life better for the people inside.

We have learned that change is possible. The next decade will decide how far and how fast we go – and how well we build the future we promised ten years ago.