Renting equipment cuts carbon footprint of construction equipment

The European Commission published its new Circular Economy Action Plan in March and is expected to retain its focus on the circular economy as part of the green recovery from the COVID-19 pandemic. ERA has high hopes for the EU to recognise the full potential of the sharing and rental business models to deliver this transition to a circular economy. 

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Rental ticks all the boxes in fulfilling circular economy principles and is, therefore, the perfect circular model. Rental allows for less waste through shared usage of assets, extending the lifetime of equipment and putting emphasis on proper recycling. The Circular Economy Action Plan also recognises the need for circular business models to retain value in the economy, and rental does just that.

In parallel, the importance of cutting carbon in the construction industry is increasingly being recognised, as demonstrated by the new Circular Economy Action Plan’s focus on the construction and building sector. In this context, the use of construction equipment is one of the areas where the climate impact can be minimised – which is where rental enters into play.

“Rental is a great way to minimise the carbon footprint of construction equipment and bring us closer to meeting the Paris climate goals,” said ERA Secretary General Michel Petitjean. “By sharing equipment and optimising its use, the rental industry lowers the construction sector’s overall climate impact. Renting helps reduce CO2 emissions by around 30%, sometimes even up to 50%, depending on how the equipment is used, by optimising equipment adequacy, transportation, utilisation rate and maintenance, as a recent major study shows.”

ERA calls on decision makers to recognise and encourage practices that minimise the climate impact of construction equipment, particularly in view of the upcoming ‘Renovation Wave’, which will incorporate circularity principles, as well as in the context of public procurement.

For more information on ERA or if you wish to know more about the study published last year by ERA on the “Carbon Footprint of Construction Equipment”, please visit the ERA website or contact the ERA team at era@erarental.org.