Enabling environments for a sustainable and circular construction sector

Type of action: HORIZON Innovation Actions (HORIZON-IA) Consortium: standard Horizon Europe rule for this type of action, at least three independent legal entities from three different member or associated states, unless the call document says otherwise. Expected Outcome: Project results are expected to contribute to all of the following expected outcomes: Demonstrated environments that effectively enable the testing, validation, deployment and upscaling of NEB-aligned innovative construction solutions[1] are available to construction companies. Insights, data, evidence for replication and policy uptake, and practical blueprints are generated on the design, implementation and effectiveness of enabling environments and feed the three pillars of the NEB Academy[2]. Scope: The construction sector plays a central role in delivering on the EU’s climate, environmental, economic and social objectives. Accelerating its transition towards more sustainability and circularity is key to strengthen the competitiveness of the European construction industry and enhance global leadership. However, the uptake and deployment of innovation in the traditional[3] and offsite[4] construction sector is hampered by regulatory, institutional, fiscal, financial and societal barriers such as inadequate fiscal incentives, fragmented value chains, limited access to finance, insufficient standardisation, skills gaps, or low societal acceptance. In addition, access to real-life testing and demonstration environments remains insufficient, further constraining the validation and market uptake of innovative solutions. Accelerating the transition towards more sustainability and circularity in the construction sector thus requires supportive enabling environments that provide companies with spaces to test and validate their NEB-aligned innovative construction solutions in real-life conditions as well as appropriate regulatory, institutional, fiscal, financial and societal conditions where they can be deployed and scaled up. This topic should therefore support the development and demonstration of enabling environments which can take the form of: Physical innovation spaces, such as living labs or testbeds, where solutions can be tested and validated in real-life conditions; Frameworks providing supportive regulatory, institutional, fiscal, and financial conditions, such as regulatory sandboxes or innovations deals, to generate evidence on how existing conditions can be adapted to enable the deployment and scale-up of NEB-aligned construction solutions; Or a combination of both. Actions funded under this topic should contribute to bridging research, innovation and the deployment of solutions, enabling the transformation of the construction sector. By doing so, they will be an integral part of the NEB Academy, the NEB’s core infrastructure for capacity building and skills development, knowledge and research, and innovation and business development in the built environment. This topic contributes to and aligns with the Communication on the New European Bauhaus and the accompanying proposal for Council Recommendation, the Clean Industrial Deal, the Strategy for a Competitive and Sustainable EU Bioeconomy, the European Strategy for Housing Construction, the Affordable Housing Plan, the Innovation Act[5]) and the Circular Economy agenda and future Act. Proposals are expected to address all of the following: Develop and demonstrate at least one enabling environment(s), supporting at least two different companies – including at least one start-up – in developing a NEB-aligned construction solution(s). The enabling environment(s) will: Facilitate the interaction and actively involve relevant actors across the construction value-chain including industries, companies, researchers, designers, public authorities, investors, and civil society to ensure alignment; Develop a place-based approach taking into account local ecosystems, governance structures, regulatory frameworks and specific opportunities and risks. Ensure the NEB-aligned innovative construction solution is co-designed with end-users and answers societal needs. Contribute to the NEB Academy by proposing and applying structural feedback loops, ensuring, among others, that the results of the project inform the identification of potential skills policy as well as policy and regulatory learning. Proposals are expected to follow a participatory and transdisciplinary approach through the integration of different actors and disciplines in the development of the enabling environment. Proposals are expected to allocate at least 0.8% of their budget for engaging with the NEB Academy and the Horizon Europe-funded 'New European Bauhaus hub for results and impact' to share their intermediate and final results, findings and learning, as well as to contribute to impact assessment. Technology Readiness Level - Technology readiness level expected from completed projects Activities are expected to achieve TRL 6-8 by the end of the project – see General Annex B. Activities may start at any TRL. [1] “Construction solutions” include solutions related to renovation, retrofitting, and refurbishment, the latter being understood as changes to space plan or of function to new use, not typically covered by renovation, in line with the standards set by the European Committee for Standardisation (CEN). [2] Find more information on the NEB Academy and its three pillars here. [3] Traditional construction involves carrying out all phases of a building’s development directly at the project site. [4] Offsite construction involves pre-fabricating components in a controlled factory environment, which are then transported on-site. [5] Not yet published Destination 2 aims to make neighbourhoods[1] more sustainable[1], circular[3] and regenerative[1] but also inclusive[1], accessible, affordable and beautiful[1], turning them into resilient places where nature and biodiversity can thrive, contributing to a better health and well-being for all, as well as clean air, soils, water and energy, in line with the Davos Declaration 2018[7]. It does so by contributing to making the built environment[1] – including cultural heritage buildings – and its composing construction materials and products more sustainable and circular and by rethinking their design, construction, use, maintenance and disassembly. Specific attention is paid to the reuse and to extending the lifespan of existing infrastructure in order to minimize extraction of resources from the natural environment. It also explores the potential of digital tools and technologies to achieve these objectives as well as the potential of the cultural and creative sectors. The solutions developed should be user-centred and placed-based, and consider cultural heritage and vernacular knowledge[1] while reflecting local diversity and cultural identity and meeting people's (long-term) needs. Destination 2 thus addresses three of the Commission political guidelines 2024-2029, namely: A new plan for Europe’s sustainable prosperity and competitiveness Supporting people, strengthening our societies and our social model Sustaining our quality of life: Food security, water and nature By looking into the entire life cycles of buildings, from extraction of resources, manufacturing of products, construction, use and end-of-life while keeping reusable products and materials in multiple use cycles as long as possible, Destination 2 contributes to the achievement of the Clean Industrial Deal, the EU Green Deal, the Circular Economy Action Plan, the EU Bioeconomy Strategy and the forthcoming Circular Economy Act thereby supporting Europe’s leading position in the green transition[1] and sustainable prosperity. Moreover, by exploring how the existing built environment can be used more efficiently, it contributes to the Renovation Wave and potentially the European Affordable Housing Plan[11]. Destination 2 explores how the built environment can contribute to restoring its environment by leveraging nature-based-solutions[1], biomimicry and regenerative designs. This includes clean soil, water and air and thus contributes to the Zero Pollution Action Plan[13], the EU Biodiversity Strategy[14], the Nature Restoration Regulation articles[15], as well as the EU Strategy on Green Infrastructure[16] and the Water Resilience Strategy[17]. Such innovative designs and solutions should also improve the climate adaptability and resilience of buildings, neighbourhoods, cities and regions, thus contributing to the European Climate Adaptation Strategy. In Work Programme 2026-2027, this Destination contributes to the following overarching expected impacts set out in the Horizon Europe strategic plan 2025-2027: Living and working in a health-promoting environment Achieving global leadership in climate-neutral, circular and digitised industrial and digital value chains Putting biodiversity on a path to recovery, and protecting and restoring ecosystems and their services Sustainably developing rural, urban and coastal areas The Destination aims to deliver on these objectives by: Advancing the development and integration of innovative, bio-based[1] and more circular construction materials and products in new construction and building renovations, while complying with current European standards and regulations, as well as informing them. Rethinking the way we design, build, use, renovate and disassemble our built environment over its entire life cycle to reach a more circular and sustainable built environment, better health and well-being of their occupants, better resources management, better biodiversity and regenerated ecosystems. Leveraging digital tools and technologies, local cultural identity and heritage as well as traditional and vernacular knowledge and knowhow. Developing new methods or improve existing ones to assess environmental performance and associated impacts of solutions, designs and techniques for the built environment. Proposals for topics under this destination should set out a credible pathway to the development of circular and regenerative approaches for the built environment and more specifically to one or several of the following impacts: The built environment, including cultural heritage buildings, and its composing elements and materials in neighbourhoods are more sustainable, circular, adaptable, multi-purposed, long-lasting, and have net-zero GHG emissions (and beyond) over their entire life cycles, resulting in an overall more sustainable, and climate-neutral building stock. Neighbourhoods are more beautiful, healthier places where human beings, natural ecosystems and biodiversity can thrive. Spaces, existing buildings and resources for construction and renovation are optimally used without compromising affordability, comfort and living conditions. The solutions developed are sustainable, beautiful, user-centred and place-based, connect with local cultural identity, historical knowledge and cultural heritage, answer the needs of and are accepted by users – including minorities, underrepresented groups and groups in a vulnerable situation. Information on long-term environmental, social, economic impacts of sustainable and circular construction and renovation solutions for built assets are simplified, detailed and reliable, and better support decision-making process for built environment. When possible and relevant, actions are strongly recommended to collaborate with and build on the results of past and ongoing research projects, including regional, national or European funded projects, to ensure consistency and continuity in research. Legal entities established in China are not eligible to participate in both Research and Innovation Actions (RIAs) and Innovation Actions (IAs) falling under this destination. For additional information please see “Restrictions on the participation of legal entities established in China” found in General Annex B of the General Annexes. [1] See definition in the Glossary section of the NEB part of the HE WP26-27. [2] See definition in the Glossary section of the NEB part of the HE WP26-27. [3] See definition of ‘Circular economy’ in the Glossary section of the NEB part of the HE WP26-27. [4] See definition in the Glossary section of the NEB part of the HE WP26-27. [5] See definition in the Glossary section of the NEB part of the HE WP26-27. [6] See definition in the Glossary section of the NEB part of the HE WP26-27. [7] Davos Declaration, ‘Davos Declaration 2018’, 2018, https://davosdeclaration2018.ch/en/. [8] See definition in the Glossary section of the NEB part of the HE WP26-27. [9] See definition in the Glossary section of the NEB part of the HE WP26-27. [10] See definition in the Glossary section of the NEB part of the HE WP26-27. [11] This document is not yet published at the time of writing. The Commission adoption is currently planned for the first quarter of 2026. [12] See definition in the Glossary section of the NEB part of the HE WP26-27. [13] European Commission, Directorate-General for Environment, 'Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions.. Pathway to a Healthy Planet for All EU Action Plan: 'Towards Zero Pollution for Air, Water and Soil', COM/2021/400 final, 12 May 2021, accessed 5 August 2025, https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A52021DC0400&qid=1623311742827. [14] European Commission, Directorate-General for Environment, ‘Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions. EU Biodiversity Strategy for 2030. Bringing nature back into our lives’, COM/2020/380 final, 20 May 2020, accessed on 5 August 2025, https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=celex%3A52020DC0380. [15] European Parliament, Council of the European Union, ‘Regulation (EU) 2024/1991 of the European Parliament and of the Council of 24 June 2024 on nature restoration and amending Regulation (EU) 2022/869’, 29 July 2024, accessed on 5 August 2025, https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A32024R1991&qid=1722240349976. [16] European Commission, ‘Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions. Green Infrastructure (GI) — Enhancing Europe’s Natural Capital’, COM/2013/0249 final, 6 May 2013, accessed on 5 August 2025, https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=celex%3A52013DC0249. [17] European Commission, Directorate-General for Environment, ‘European Water Resilience Strategy’, 3 June 2025, accessed on 5 August 2025, https://environment.ec.europa.eu/publications/european-water-resilience-strategy_en. [18] See definition in the Glossary section of the NEB part of the HE WP26-27. ">General conditions 1. Admissibility conditions: Proposal page limit and layout described in Annex A and Annex E of the Horizon Europe Work Programme General Annexes. Proposal page limits and layout: described in Part B of the Application Form available in the Submission System. 2. Eligible countries described in Annex B of the Work Programme General Annexes. A number of non-EU/non-Associated Countries that are not automatically eligible for funding have made specific provisions for making funding available for their participants in Horizon Europe projects. See the information in the Horizon Europe Programme Guide. 3. Other Eligibility Conditions described in Annex B of the Work Programme General Annexes. 4. Financial and operational capacity and exclusion described in Annex C of the Work Programme General Annexes. 5a. Evaluation and award: Award criteria, scoring and thresholds described in Annex D of the Work Programme General Annexes. 5b. Evaluation and award: Submission and evaluation processes described in Annex F of the Work Programme General Annexes and the Online Manual. 5c. Evaluation and award: Indicative timeline for evaluation and grant agreement described in Annex F of the Work Programme General Annexes. 6. 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Additional documents: HE Main Work Programme 2026-2027 – 1. General Introduction HE Main Work Programme 2026-2027 – 2. Marie Skłodowska-Curie Actions (MSCA) HE Main Work Programme 2026-2027 – 3. Research Infrastructures HE Main Work Programme 2026-2027 – 4. Health HE Main Work Programme 2026-2027 – 5. Culture, Creativity and Inclusive Society HE Main Work Programme 2026-2027 – 6. Civil Security for Society HE Main Work Programme 2026-2027 – 7. Digital, Industry and Space HE Main Work Programme 2026-2027 – 8. Climate, Energy and Mobility HE Main Work Programme 2026-2027 – 9. Food, Bioeconomy, Natural Resources, Agriculture and Environment HE Main Work Programme 2026-2027 – 10. European Innovation Ecosystems (EIE) HE Main Work Programme 2026-2027 – 11. Widening participation and strengthening the European Research Area HE Main Work Programme 2026-2027 – 12. Missions HE Main Work Programme 2026-2027 – 13. New European Bauhaus Facility (NEB) HE Main Work Programme 2026-2027 – 14. 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