RSSThe Pervasive Influence of Fossil Fuels in Construction
 | Seed Newsvine |
With the price of oil rocketing upward, it is important to keep in mind the pervasive impact that fossil fuels have on the construction industry. While these influences are varied and wide-ranging, they still break down into mainly supply and demand issues.
On the supply side, there are questions of availability and impacts on costs. On the demand side, rising fossil fuel prices provide incentive to proceed with certain kinds of construction projects. At the same time, they are a reason to seek alternative energy sources and more efficient energy design. Let’s look at each of these in turn.
A: The supply and costing aspect
(1) Oil and natural gas are inputs in several major building product areas including:
a) plastics (piping) and vinyls (windows and doorframes − ethane, ethylene and polyethylene are all derivatives of oil and gas);
b) roofing materials and tar (from oil);
c) paint (synthetic rubber/latex is made from oil); and
d) asphalt paving material (heavy oil).
(2) Oil and gas are also part of the production process, mainly through providing heat in the manufacture of:
a) brick (natural gas);
b) cement (natural gas);
c) steel, to some extent (i.e., electric arc furnaces may use electricity generated from natural gas; otherwise heat in steel-making comes from burning coal and coke);
d) aluminum (although it is not used extensively in construction).
(3) Their third major input roles are in the areas of transportation and equipment operation.
a) gasoline and diesel fuel (both oil); and
b) propane (natural gas or oil) for heating winter job sites.
B: Creating demand for construction products and services
(1) Directly, through capital investment in:
a) oil refineries
b) Tar Sands plants and related infrastructure;
c) heavy oil plants;
d) natural gas plants;
e) oil pipelines;
f) natural gas pipelines;
g) gas distribution systems;
h) gas-based fertilizer plants (ammonia and urea);
i) petrochemical plants; and
j) co-generation electric power plants.
(2) Indirect demand influences through:
a) demographic shifts as workers and their families move to find jobs on mega energy projects − the need for housing, schools and other amenities becomes altered between regions; and
b) the movement towards “Green” buildings and LEED certification (Leadership in Energy and Environmental Design as promoted by the Green Building Council).
Much of the indirect demand is in terms of lowering costs through substitution of products and design systems and/or finding more eco- friendly ways to build, which will lead to a cleaner environment and reduced maintenance charges long-term.
