Cement Energy and Environment

The ongoing rebalancing of global economic power also brings major implications for investments in infrastructure. Worldwide, we estimate that annual spending on infrastructure will grow from US$4 trillion in 2012 to more than US$9 trillion by 2025 with a total of close to US$78 trillion expected to be spent globally between 2014 and 2025. The Asia Pacific market, driven by China's growth , will represent nearly 60°/c. of global US$8 trillion in infrastructure investments. The numbers living in urban slums have risen by a third since 1990. Cities occupy 0.5% of the world's surface, but consume 75% of its resources. Initiatives and opportunities demonstrate, technology is changing the reason why cities exist. Their main attraction used to be jobs. Now people come seeking a better quality of life at any age. infrastructure spending by 2025. In contrast, Climate Change and Resource Scarcity Western Europe's share will shrink to less than This megatrend is to be addressed on top 10% from twice as much just a few years ago. urgent basis. Such global shifts are remarkable not only for At current rates of consumption we may have their scale, but also for their sheer speed. As a just half a century's worth of oil & gas left. Yet to result, there is no question that in a decade's time, meet our development needs we're highly the global economic landscape will be vastly dependent on fossil fuels, which drive carbon different from that of today. To begin to understand emissions . That's why we look set to miss the what that landscape will be, we need a new view carbon target to keep temperature rises to 2oc by of the global economy. Here are four features that 2034. we lhink will become more prominent in the global economy: • Emerging markets will challenge developed economies in the production of high-end consumer durables. • Today's 'F7' frontier markets E~angladesh , Colombia, Morocco, Nigeria, Peru , Philippines and Vietnam will be-come tomorrow's growth markets. • An expanding pool of highly skilled talent will fuel this emergence , with people from emerging markets increasingly leading global multinationals. • Developed countries will benefit from 'reshoring' as wage differentials close. To prepare for this new landscape and succeed in tomorrow's changed environment, today's business leaders need to identify which markets hold the greatest growth potential. Rapid Urbanization In 1800, 2% of the world's population lived in cities. Now it's 50%. Every week, some 1.5 million people join the urban population, through a combination of migration and childbirth. (see Figure 3) Inevitably, this rapid expansion is putting cities' infrastructure, environment and social fabric under pressure. Over the next decade, New York, Beijing, Shanghai and London alone will need The impact of our economic development model is amplified by the linkage between climate change and resource scarcity. Our resulting projection could lead to either of two extreme outcomes: • A policy shock, with a global agreement that severely penalises carbon emissions; or • A climate or resource shock, where a natural event causes massive environmental and economic damage. Corporate responsibility is no more a 'luxury' but an essential business imperative. Ultimately, sustainability is the lens through which every business will be judged by its consumers, workforce, society and even investors. And as businesses move to embrace sustainability, they also need to be able to report on it in a credible and trustworthy way. As a result, an increasingly important area of focus for businesses worldwide is understanding, measuring and reporting on the environmental and social impacts of the decisions and actions they take. This need is driving the development of innovative ways of measuring and reporting more transparently and holistically on companies' overall impacts. Today the measure for investor is how sustainable its business model really is. 30