Arloid Automation, a global leader in AI-based solutions designed to simplify MEP (mechanical, electrical and plumbing engineering) systems management for a broad portfolio of real estate, states that the use of AI within any building management system could lead to significant savings of up to 30% on energy and coolant
Glodon Gsite, a cloud-based software for construction management and information handling, has been shortlisted for Construction Software of the Year at the London Construction Awards, which will be held on 23 September 2022. The London Construction Awards is part of London Build, the UK’s leading construction and design show. The awards
Legrand has strengthened its data centre solutions offering with the acquisition of Bedford-based infrastructure specialist USystems. Acquiring USystems’ entire portfolio, which includes the world-leading ColdLogik cooling technology, the deal further strengthens Legrand’s position in providing added-value solutions in the growing data centre market. The acquisition will help Legrand expand its
LEADING contract management software provider Sypro is seeking to demystify the usage of NEC contracts within the construction industry through a series of free online drop-in sessions hosted by Dr Stuart Kings. Dr Kings is one of the drafters of NEC4 and co-author of NEC3 and NEC4 Practical Solutions. He
Johnson Controls, the global leader for smart, healthy and sustainable buildings has announced that it will open an OpenBlue Innovation Centre in its global HQ at One Albert Quay, Cork, Ireland. The OpenBlue Innovation Centre in Cork aims to create a future-ready built environment for both local and global customers
Countries around the world are setting accelerated targets for decarbonization. In the UK, the government’s latest Carbon Budget features plans to reduce emissions by 78% by 2035 – compared to 1990 levels – taking the nation more than three-quarters of the way to reaching net zero by 2050.[1] Moreover, in
A new study from Juniper Research has found that the number of buildings globally deploying smart building technologies will reach 115 million in 2026, from 45 million in 2022. This growth of over 150% reflects increasing demand for energy efficiency from businesses and residents alike, as energy costs spike. Juniper
The first two episodes of a new podcast have already caught the attention of construction bosses this month, exploring urgent issues around the skills shortages in construction and the best ways to train the new generation. The new ‘Construction Talk’ podcast interviewed Alasdair Reisner, chief executive of the Civil Engineering
– Climate targets across the world are accelerating the implementation of smart, decarbonized, energy-efficient buildings. – In order to meet climate change commitments however, building stock requires significantly higher investment – around 3 times the current rate. – Smart financing can enable greater rates of investment in a financially sustainable
Construction firms are being targeted by cyber criminals with fake invoices and bank details as part of a sophisticated fraud netting more than £100m a year in the UK. Mandate Fraud, also known as Payment Diversion Fraud (PDF) and Business Email Compromise (BEC), tends to affect businesses and customers where
Arloid Automation, a global leader in AI-based solutions designed to simplify MEP (mechanical, electrical and plumbing engineering) systems management for a broad portfolio of real estate, states that the use of AI within any building management system could lead to significant savings of up to 30% on energy and coolant use. In this sense, AI could be further used by EU member states to help reach the voluntary 15% gas reduction target. Member states agreed to reduce their gas demand by 15% compared to their average consumption in the past five years, between 1 August 2022 and 31 March 2023, with measures of their own choice, according to the Council of the EU. The importance of reducing energy demand cannot be overemphasised largely due to supplies from Russia being significantly reduced, erratic and they may be stopped altogether. Arloid’s AI system can be implemented without any hidden costs, which makes it one of the cheapest and easiest ways for EU states to significantly reduce energy consumption with no upfront costs and get a step closer to reaching their gas target. Once installed, companies can start savings and, once those savings have been established, a percentage fee can be charged. For a company to reduce its energy usage with Arloid’s AI system, it needs to follow a series of simple steps. In the first instance, a virtual building identical to the one where savings are to be made is produced. This digital building has the same construction materials, location, climate and personnel attributes as the real one in order to help AI make a series of simulations based on live data from the real building. This process takes about a month, which is a lot faster than if it was done by building services engineers or property managers in the real world. The AI intuitively adjusts the heating, ventilation and cooling settings, thus resulting in real savings. Imagine a world where all these changes are automatically done – then imagine what can be achieved. It’s not only saving energy and money, but improving comfort too. Arloid’s AI uses Deep Reinforcement Learning to automatically manage the operation of HVAC systems in a wide range of buildings via a secure Virtual Private Network (VPN). It then makes decisions based on reinforcement behaviour and real-time data to provide faster optimisation and better HVAC performance. By controlling each HVAC device in the system and dividing the building into distinct heating and cooling micro-zones, arloid.ai provides more control of the environment and better user comfort. The technology is gaining ground not just in Europe but across the world with actual savings being achieved over 56 million square feet. This includes real estate and many types of commercial building such as retail premises, hotels, medical centres, warehouses. By reducing energy use the cost savings can counter the effects of energy supply issues, higher prices and inflation. AI should now top the political agenda right across the EU to help member states reach their voluntary gas reduction target of 15%. It’s not as difficult to achieve as it may first seem because new technology can play a huge part for very little outlay. At any rate it’s an obvious and achievable first step towards EU goals and for those countries encouraging dimmed lights and shorter showers there is another way! Building, Design and Construction Magazine | The Home of Construction Industry News
Glodon Gsite, a cloud-based software for construction management and information handling, has been shortlisted for Construction Software of the Year at the London Construction Awards, which will be held on 23 September 2022. The London Construction Awards is part of London Build, the UK’s leading construction and design show. The awards recognise achievements, projects and innovation in the construction industry and feature a wide range of categories for tech companies, contractors, architects, civil engineers, developers and local authorities. “We‘re pleased to be a finalist for Construction Software of the Year”, says Tom Young, Construction Director at MagiCAD Group Ltd. “Regardless of the final outcome of the competition, we consider it recognition for our efforts and the growing position in the market. We look forward to representing our company brand and product at the upcoming event. I am proud of my colleagues’ fantastic work with our clients to develop a product that improves the construction management between site and the office.” Gsite is a flagship construction platform for construction management and information handling in building projects. Gsite users include Operatives, Supervisors, Project managers, Engineers, as well as all other members of the Construction team. Gsite is used in over 30,000 construction projects all over the globe. With a robust mobile application and web browser interface, it enables users to be as mobile as the construction project requires while still being able to work on the same tasks when back at the office. Glodon Gsite is used in over 30,000 construction projects all over the globe. With a powerful mobile application and web browser interface it enables users to be as mobile as the construction project requires while still being able to work on the same tasks when back at the office. Gsite provides a single, easy to use unified construction management platform. It allows you to handle multiple use-cases, tasks, and operations from a single application with integrated instant communication functions.
Legrand has strengthened its data centre solutions offering with the acquisition of Bedford-based infrastructure specialist USystems. Acquiring USystems’ entire portfolio, which includes the world-leading ColdLogik cooling technology, the deal further strengthens Legrand’s position in providing added-value solutions in the growing data centre market. The acquisition will help Legrand expand its presence in the UK data centre market, while also helping to grow USystems’ international business. USystems’ portfolio of cooling solutions and racks help data centres reduce their overall energy bills, subsequently bringing down their carbon footprint. USystems’ efficient technologies allow customers to reach the IT densities required, combined with unprecedented levels of sustainable cooling efficiency. The range of retrofit and new build ColdLogik Rear Door Coolers, for example, provides an efficient and sustainable cooling range from 0.1 to 200kW plus per rack. This is particularly impactful in the growing micro data centre (MDC) market, where USystems has developed its ColdLogik technology to occupy less than one square metre of floor space to fit most edge applications. Pascal Stutz, CEO, Legrand UK & Ireland, said: “The acquisition of USystems enables us to strengthen our position in the fastest growing segments of the data centre sector – HPC (high performance computing) and MDCs; complements our existing offering in the data centre white space market in both the UK and globally; and provides Legrand with additional expertise and capabilities in specialist cooling and energy efficiency technologies. All of which allows us to better serve customers’ needs through value-add, problem solving and an increasingly solutions-based approach to the markets we serve.” Scott Bailey, MD, USystems Ltd, said: “USystems’ ColdLogik technology is in a prime position to support the data centre industry’s move towards a more sustainable, energy efficient future, as well as to meet HPC’s higher cooling requirements easily. Our EDGE range of micro data centres complements Legrand’s existing portfolio and fits with their philosophy of developing a more integrated, solutions-based approach to helping their customers, as opposed to simple product-based deployments. We are excited to join the Legrand Group and to expand the USystems portfolio internationally.” For more information, visit www.legrand.com.
LEADING contract management software provider Sypro is seeking to demystify the usage of NEC contracts within the construction industry through a series of free online drop-in sessions hosted by Dr Stuart Kings. Dr Kings is one of the drafters of NEC4 and co-author of NEC3 and NEC4 Practical Solutions. He holds more than 20 years’ experience within the healthcare and construction sectors, having provided NEC consultancy services on some of the UK’s biggest schemes. The series of online sessions have been designed to give attendees an insight into the NEC contract that is not available anywhere else. They are free to attend and open to clients, contractors and consultants from across the industry and will provide top tips, best practice and answers to the most current questions associated with the NEC engineering and construction contract. Dr Kings said: “The NEC contract itself has been around for three decades, outlining not just purely contractual procedures, but focusing on good project management principles and modern practice. Several iterations have been released over the years, and indeed the move from NEC3 to NEC4 was seen as an ‘evolution, not a revolution’ – building on and improving what was already in place. “NEC covers every procurement exercise around and embodies those principles of good project management, which is why it’s the dominant contract within the construction industry. That being said, making sure project teams are making the most of the contract still requires much understanding and nuance, which is exactly why we’ve set up these sessions to help people across the industry get the most out of NEC4. “Whether it’s running through secondary options and how to use them, how to assess compensation events, or how to successfully close out a project, each session aims to provide attendees with practical knowledge to take away and apply to their own projects.” Each session will have a key area of focus, identifying key terminology and related clauses from the contract, along with discussing any common pitfalls and how to avoid them. They will also conclude with a live question and answer session, allowing attendees to put their specific queries to Dr Kings directly. Sypro’s Contract Manager has a track record of delivering projects across the globe with a combined value of more than £30 billion and has created software solutions developed to help organisations perform better every day. The next session will take place on 7 July at 11am, focusing on new quality amendments in ECC4 and understanding the defects date and the defect correction period. To register for any of the upcoming sessions, please visit https://sypro.co.uk/webinars/.
Johnson Controls, the global leader for smart, healthy and sustainable buildings has announced that it will open an OpenBlue Innovation Centre in its global HQ at One Albert Quay, Cork, Ireland. The OpenBlue Innovation Centre in Cork aims to create a future-ready built environment for both local and global customers and is part of an international network of OpenBlue Innovation Centres working to pioneer new ways to provide smart, healthy and sustainable spaces for customers. “We are very pleased to be launching our OpenBlue Innovation Center in Cork. This centre will be focused on working with our customers to identify solutions for them to hit decarbonisation and renewable energy goals while optimising building performance,” said Tomas Brannemo, vice president and president, Building Solutions EMEALA at Johnson Controls. “This centre will serve as our regional centre of excellence to bring clients to see Johnson Controls’ latest cutting-edge innovations on how to solve for net zero”. Fitted with the most advanced Johnson Controls building technology solutions, the OpenBlue Innovation Centre will be a showcase of the latest and most innovative solutions from the company in a live environment. The research and development grant Johnson Controls received from the Irish government will support engineering activities at the centre, including developing a professional services hub for the Europe, Middle East, Africa and Latin America region over a two-year period. Johnson Controls’ research and development presence has grown substantially in recent years and it is expected that 18 new research and development roles will be created as a result of the OpenBlue Innovation Center, in addition to 40 roles already in place working on the next generation solutions for Johnson Controls and its customers. Research and development at the OpenBlue Innovation Centre will focus on the global priority to reduce carbon emissions in the building sector. The building sector accounts for nearly 40 percent of global annual CO2 emissions, making it a key focus area in the pursuit of a net zero world. “Our partnership with the Irish government through IDA Ireland shows how governments and industry can drive real change. The financial support will allow us to increase our headcount, which will contribute not only to the local economy, but also to the development of our OpenBlue net zero solutions globally to have a positive impact on climate change,” said Eamonn Hughes, vice president and general manager, Digital Solutions EMEALA at Johnson Controls. Welcoming the investment, IDA Ireland’s Head of Engineering and Green Economy, Eileen Sharpe added: “IDA Ireland is committed to supporting the work of world class companies such as Johnson Controls to utilise the latest developments in AI, Data Analytics and Cloud Architecture to build new technologies to enable a more sustainable world. This is a most welcome investment for Cork and for Ireland and is in line with our strategy aim to develop Ireland as a leading location for Sustainability Engineering solutions.” OpenBlue, Johnson Controls’ suite of connected solutions, is a key enabler changing the face of sustainability for customers today, through smart buildings technologies designed for operational energy efficiency, occupant comfort and sustainability. Cutting-edge solutions such as OpenBlue Net Zero Buildings can help drive significant improvements in energy efficiency and corresponding carbon emissions. The OpenBlue Innovation Centre in Cork will launch on May 12, 2022. Building, Design and Construction Magazine | The Home of Construction and Property News
Countries around the world are setting accelerated targets for decarbonization. In the UK, the government’s latest Carbon Budget features plans to reduce emissions by 78% by 2035 – compared to 1990 levels – taking the nation more than three-quarters of the way to reaching net zero by 2050.[1] Moreover, in its ‘Ten Point Plan for a Green Industrial Revolution’ this administration has highlighted the decarbonization of buildings as a key aspect of its policy towards reaching these targets.[2] Given buildings account for 36% of final energy use, they are a prime target for energy efficiency initiatives and will be a major contributor to climate target attainment.[3] In order to achieve these goals, more attention needs to be paid to the existing commercial and public building stock. In Europe, for instance, roughly 75% of the building stock is energy-inefficient[4]. This means that a large part of the energy consumed is in effect wasted. Renovating existing buildings could reduce the EU’s total energy consumption by 5-6% and lower carbon dioxide emissions by about 5%. Yet, on average, less than 1% of the national building stock is renovated each year. To meet climate and energy objectives, experts state that the current rates of renovation should at least double[5]. To get on track to net-zero carbon building stock by 2050, the International Energy Agency (IEA) estimates that by 2030, direct building CO2 emissions need to fall by 50 percent and indirect building sector emissions by 60 percent. A recent study[6] from Siemens Financial Services estimates the gap between the existing rate of investment in energy-efficient smart buildings and the accelerated rate which experts are saying needs to be reached to achieve sustainability and climate change targets. This gap is where smart finance can step in to enable the investment that should be made but is not yet happening. To bridge the investment gap, building owners and managers are having to look at changing how their buildings operate, their business models and how they are going to finance the required upgrades. Regarding operational technology, commercial and public buildings are going to have to become smarter to cope with these new demands for decarbonization. Smarter buildings allow flexible working – whether from the perspective of hot-desking, agile changes of use, security and safety, greater efficiency and flexibility or adapting to cope with volatile circumstances. While there is wide consensus around the need to make buildings smarter, all countries and sectors need a way of making that conversion financially sustainable. Yet how can this be done in practice? The starting point is to use smart technology to reduce building energy consumption. This produces hard financial savings that – through smart financing arrangements – can be harnessed to significantly subsidize the energy efficiency renovation of existing buildings. In selected cases, the energy savings might even pay for overall conversion. This can be done at an enterprise level, or in small incremental steps, each of which proves its return on investment. Typical building energy efficiency savings are usually at least 20%[7] (often far higher) representing very substantial operating economies. New models for smart financing Smart financing takes a variety of forms, depending on the business processes that need to be enabled. At the technology component level, financing tools are available to help vendors and distributors add value with cash flow capabilities for their buyers. For larger installations or systems, smart financing arrangements can be flexed and tailored to align costs with the rate of benefit gained from the energy-efficient technology. At the most complex level, Smart-Buildings-as-a-Service provides the financing solution, with future expected savings from energy efficiency being harnessed and used to pay for the capital investment and more. Conclusions Renovation projects to decarbonize buildings by transforming them into smart, energy-efficient environments are falling behind governments’ declared climate goals around the world. Many experts have declared that the annual investment rate should scale by three times or more to reach those declared targets. In order to bridge the gap between current investment rates and the required volumes, smart financing methods are being offered by private sector finance. They all seek to make the conversion to decarbonized, energy-efficient, smart buildings affordable for owners. At the least, these financing tools ease cash flow and align costs to the rate of benefits gained. At the best, smart financing makes the transition to decarbonization budget neutral, by harnessing future savings to pay for current investment. [1] Gov.uk, ‘UK enshrines new target in law to slash emissions by 78%’, https://www.gov.uk/government/news/uk-enshrines-new-target-in-law-to-slash-emissions-by-78-by-2035 [2] Gov.uk, ‘The Ten Point Plan for a Green Industrial Revolution’, 2021 https://www.gov.uk/government/publications/the-ten-point-plan-for-a-green-industrial-revolution/title#point-7-greener-buildings, 2020 [3] GlobalABC, Status Report 2019 [4] European Commission, In focus: Energy efficiency in buildings, 17 Feb 2020 [5] European Commission, In focus: Energy efficiency in buildings, 17 Feb 2020 [6] Siemens Financial Services, Bridging the Investment Gap: Smart Financing for Decarbonization in Buildings, 2021 https://www.siemens.com/financing-decarbonization-manufacturing [7] IPF Research Programme, Costing Energy Efficiency Improvements in Existing Commercial Buildings, Oct 2017
A new study from Juniper Research has found that the number of buildings globally deploying smart building technologies will reach 115 million in 2026, from 45 million in 2022. This growth of over 150% reflects increasing demand for energy efficiency from businesses and residents alike, as energy costs spike. Juniper Research defines a smart building as a building that uses connectivity to enable economical use of resources, while creating a safe and comfortable environment for the occupants. The new research, Smart Buildings: Key Opportunities, Competitor Leaderboard & Market Forecasts 2022-2026, found that by enabling buildings to monitor and automate common functions, significant efficiency gains can be made, while improving the environment for workers and residents. The report recommends that vendors focus on building analytics platforms for the most value to be driven from deployments. Non-residential Smart Buildings Driving Spend The research found that non-residential smart buildings will account for 90% of smart building spend globally in 2026; at a similar level to 2022. This dominance is due to the larger economies of scale in commercial premises driving this spend, as well as the commercial focus of most smart building technologies. “Smart building platform vendors will understandably focus on non-residential use cases, as these provide a stronger return on investment, but they should not neglect the importance of residential deployments, as environmental concerns intensify,” explained research co-author Dawnetta Grant. Smart Building Sensor Shipments to Accelerate Quickly The research found that the global shipments of sensors used in smart buildings will exceed 1 billion annually in 2026 from 360 million in 2022; representing a growth of 204%. Sensors, when combined with intelligent management platforms, will allow smart buildings to adapt to conditions; matching elements such as lighting, heating and ventilation to live requirements. The report recommends that smart building vendors partner with AI vendors to maximise the benefits of automation, such as reduced energy costs and improved working environments. Building, Design and Construction Magazine | The Home of Construction Industry News
The first two episodes of a new podcast have already caught the attention of construction bosses this month, exploring urgent issues around the skills shortages in construction and the best ways to train the new generation. The new ‘Construction Talk’ podcast interviewed Alasdair Reisner, chief executive of the Civil Engineering Contractors Association (CECA), for its first episode, taking a hard look at the skills crisis in construction and the impact of the Construction Leadership Council (CLC) Skills Plan to support the recruitment and retention of talent in the industry in 2022. Alasdair Reisner talks on the podcast about how COVID-19 acted as a catalyst for a new collaborative approach to skills issues: “As an industry we’ve never been able to work collectively. But through the CLC, it’s been the first chance to say ‘look, we’re all facing a problem with talent’ – there’s not a single bit of industry saying no, we’ve got all the talent we need. Our whole industry really struggles to recruit the employees we need, to deliver what looks like a pretty good future,” he says. “It’s crazy that, until last year, there wasn’t a single plan for our industry about how we were going to do that. So I was delighted when we did publish the CLC’s Skills Plan. For the first time we’ve got a skills plan that covers the whole industry, including measures around the attractiveness and culture of the industry, the routes into the industry and the skills for the future.” The interview goes on to talk about the new Government-backed Construction Talent Retention Scheme and Talentview Construction which gets young people into apprenticeships, traineeships and entry roles, as well as exploring the huge impact of major infrastructure projects like HS2, creating 20-year careers and cutting-edge skills that can be exported around the world. “2022 is the year of recruitment,” says Alasdair Reisner. “The skills shortages have got worse. We really have to go out there and sell this industry. People won’t just come to us because we want them to – we have to go out there and market the brilliant opportunities that are opening up to everyone.” Episode 2 of Construction Talk tells the story of Nicola Bird, director of groundworks contractors K W Bell Group and founder of AccXel, the UK’s first industry-led education centre and a multimillion-pound facility established to tackle industry skills shortages. Nicola describes how she set out initially to develop an apprenticeship scheme to help safeguard the future of the family business, but then became motivated to pursue a much bigger project, funded by government and her local enterprise partnership, to build AccXel – the aspirational and high-tech construction skills accelerator centre based near the Forest of Dene. Nicola Bird also talks eloquently on the podcast about the importance of digital skills in construction and the expectations of young people curious about the sector. “They expect that technology to be in our industry,” she says. “The only way we are going to start getting people inspired by our industry is by a quicker introduction into digitalisation, and it will make us more efficient in the long run anyway.” The bi-weekly Construction Talk podcast forms part of a new community that Causeway Technologies is creating for its customers and the wider industry, including a monthly newsletter with six question quick-fire interviews with guest contributors, and plans for community events like roundtables, dinners and other networking opportunities later in the year. The podcast is hosted by Peter Haddock, a well-known voice in construction, and is freely available via both iTunes and Spotify. Peter Haddock says: “It’s great to be working with Causeway Technologies on creating a community that can share ideas, experiences and views on key topics impacting the construction sector now and in the future. Our podcast guests share their passion for how we improve skills development and technology integration, showing us how we can do things differently, collaborate properly and embrace change.” The most recent episode of the podcast features Mathew Ayres, group managing director at the Bennie Group, talking on the theme of “Winning the competitive edge with early technology adoption.” To listen to the first three episodes of the Construction Talk podcast, go to: https://www.causeway.com/construction-talk-podcast Causeway Technologies was established in 1999. Headquartered in Buckinghamshire in the United Kingdom, it serves over 2,500 customers and has over 350 employees. Causeway provides enterprise and cloud software solutions to the construction and infrastructure maintenance industries and spans the full value and supply chain. www.causeway.com
– Climate targets across the world are accelerating the implementation of smart, decarbonized, energy-efficient buildings. – In order to meet climate change commitments however, building stock requires significantly higher investment – around 3 times the current rate. – Smart financing can enable greater rates of investment in a financially sustainable way. – New research from Siemens Financial Services (SFS) estimates the ‘investment gap’ between current investment levels in energy efficient renovation of buildings stock, and those needed to achieve decarbonization targets in 4 regions across 3 sectors. Siemens Financial Services (SFS) has released a new insight study entitled “Financing Decarbonization: Smart Buildings” which estimates the ‘investment gap’ between current levels of investment in renovating the office, hospital, and education estate and the actual level needed to meet accelerated decarbonization targets by 2050. Part of a series on financing decarbonization, the research focuses on buildings – which account for 36% of final energy use – as a prime target for energy efficiency initiatives, and a major potential contributor to climate target attainment. The ‘gap’ represents a substantial shortcoming in each of the 4 countries studied, specifically: USA ($5.3bn for offices, $1bn for hospitals, $3.8bn for education) China ($12.7bn, $2.7bn, and $10.8bn respectively) India ($0.9bn, $0.6bn, and $6.2bn respectively), and Europe ($7.8bn, $2.2bn, and $5.5bn respectively). The research finds that smart buildings – which incorporate hot-desking, health and safety, information access controls, security, infection mitigation, and much more – are best suited to ensure more efficient use of commercial and public buildings, significantly reduced energy usage and emissions, and the transformation of buildings into far more sustainable assets for society. In order to bridge the gap between current investment levels and the required volumes, smart financing methods are being offered by private sector finance. These solutions seek to make the conversion to decarbonized, energy-efficient, smart buildings affordable for owners. Financing tools can ease cash flow and align costs to the rate of benefits gained. Smart financing also has the potential to make the transition to decarbonization budget neutral, by harnessing future savings to pay for current investment. “Our use of buildings has been disrupted and altered by the pandemic,” says Jo Harris, Sales Director, Commercial Finance UK, Siemens Financial Services. “Not only can smarter building stock better cope with this change, it will contribute significantly to a cleaner and greener future. Smart financing solutions can accelerate the rate of transformation, helping buildings owners to achieve net-zero carbon building stock by 2050. Methodology Proprietary data from Siemens Financial Services on cost of energy efficiency renovation per m2 (existing buildings) was applied to total m2 of the hospital, office and education estate for each country/region studied. The total cost of energy efficiency renovation was calculated based on the Global Alliance for Building and Construction’s estimate of the % of building stock that would have to be converted by 2040 to meet current climate targets (rising to 2% by 2030 and 3% by 2040). Then, the cumulative % of actual current renovation rates (approx. 1% of existing building stock) was projected to 2040 and the cost of renovation calculated at those current rates. The Investment Gap is the difference between current energy efficiency renovation rates and the projected rate of renovation needed to meet climate targets. For further information, please see: www.siemens.com/financing-decarbonization-smart-buildings For further information on SFS, please see www.siemens.com/finance
Construction firms are being targeted by cyber criminals with fake invoices and bank details as part of a sophisticated fraud netting more than £100m a year in the UK. Mandate Fraud, also known as Payment Diversion Fraud (PDF) and Business Email Compromise (BEC), tends to affect businesses and customers where electronic financial transactions are common place, such as the construction industry. Criminals will contact businesses or customers via email, usually claiming to be from a company that the business or customer has been dealing with. They will request a payment to be made via fake but very plausible invoices, or payment details to be changed. It is estimated that mandate fraud costs the UK more than £100m annually, with the average loss per business around £27,700. In 2019 alone, 3,577 reports were reported to the police. One historical mandate fraud cost a single construction company £1.1m. The scams are becoming ever more sophisticated with the criminals often creating fake e-mail addresses which are very similar or identical to genuine business, down to the e- signatures and disclaimers. These directs payments from businesses and customers go straight into the criminal’s bank account where it is quickly moved on. The scammers do their homework and will often go to extraordinary lengths to mimic their victim’s online presence and email branding. The NEBRC – North East Business Resilience Centre – which advises businesses on how to prevent such fraud are currently advising across the construction sector including prevention, recovery from an attack and putting in robust IT protection. Supt Rebecca Chapman (pictured) , head of the not-for-profit NEBRC, said: “Mandate fraud aimed at construction businesses is becoming more commonplace as the nature of the sector with complex supply chains, multiple third-party contractors and a fast-moving work environment often meaning there’s little time to double check authentic looking requests that come in on email. “But the construction industry needs to be aware of this threat and ensure they have robust systems and checks in place. The NEBRC can advise businesses who don’t know where to start with audits to check current security measures, IT enhancements and, most importantly, staff training. It only takes a split second for a member of staff to unwittingly allow a mandate fraud to take place, and the criminals will take no time at all to move any monies on from genuine customers and bank accounts.” CASE STUDY: Tom is the managing director of a successful medium-sized construction-based firm with a £3m turnover based in Yorkshire: “I operate a small construction-based business and we have a reasonable customer base; we’ve been trading a long time and had all the relevant standard industry protection you would expect for a company our size. We thought we were safe. “We had a customer who owed us a substantial amount of money and when we were chasing them for our monthly payment they announced they had already paid us – which they hadn’t. “It turned out, they showed us an email purporting to be our offices that was instructing them to change our payment banking details and they paid our monthly payment into someone else’s bank account on what seemed to be our instruction. We realised this was a very serious situation that can affect anybody. We never thought we were vulnerable to this sort of thing, and obviously it causes an awful lot of stress, undue heartache, and financial. “We have been consulting with NEBCR who have been extremely helpful and informative on these issue and we have put systems in place to hopefully make sure this sort of thing can’t happen again. All I would say to anybody out there is make sure this is front of mind , it can happen to you, it can happen to anyone, and it happens every day.” Tom’s full interview can be seen here: General advice to follow an possible attack includes: STOP: Taking a moment to stop and think before parting with your money or information could keep you safe. CHALLENGE: Could it be fake? It’s ok to reject, refuse or ignore any requests for your financial or personal details. Only criminals will try to rush or panic you. PROTECT: Contact your bank immediately if you think you’ve fallen for a scam. TO PROTECT EMAIL IDENTITY AND AUTHENTICATION: Use a strong and separate password for your email. Create strong passwords using 3 random words. Save your passwords in your browser. Turn on two-factor authentication (2FA). Update your devices. Back up your data. For further information go to the NEBRC website www.nebrcentre.co.uk
