Overview
Chicago’s construction industry is entering a promising phase, driven by the city’s efforts to modernize its infrastructure and meet sustainability goals which include reducing carbon emissions by 62% by 2040. As one of the largest construction markets in the U.S., Chicago is seeing increased demand for energy-efficient technologies, especially in the HVAC sector. Building owners and developers are focusing on incorporating these technologies into new projects and retrofits to comply with evolving regulations and to enhance long-term operational efficiency. The trend toward HVAC electrification is gaining momentum, reflecting a broader shift towards sustainability in Chicago’s construction landscape.
The Chicago HVAC Electrification Market
HVAC electrification is becoming a focal point in Chicago’s push towards decarbonization. The city’s Climate Action Plan aims to reduce greenhouse gas emissions 62% by 2040, which includes an emphasis on transitioning from fossil fuel-based heating systems to electric solutions like heat pumps (referenced in the full report). The adoption of heat pumps is expected to accelerate as Chicago moves closer to its climate goals. According to Northeast Energy Efficiency Partnerships (NEEP), the Midwest region, which includes Chicago, is projected to see a substantial increase in heat pump installations. This is being driven by regulatory incentives and the rising cost of traditional energy sources. Their Developing an Equitable Building Decarbonization Strategy report, for example, notes and objective of developing “a heat pump pilot project to emphasize and encourage the adoption of new but proven technologies, while considering other emerging technologies for pilot projects.” This shift presents a major opportunity for building owners and developers to utilize advanced, high-efficiency HVAC systems that align with Chicago’s sustainability objectives.
New Construction Around Chicago
Significant investments in residential, commercial, and industrial projects are bolstering Chicago’s dynamic construction market. According to the Chicago Department of Buildings, construction spending in the city is projected to exceed $10 billion in 2024, with a significant focus on sustainable building practices. A recent report by the Chicago Metropolitan Agency for Planning (CMAP) indicates that over 55% of new construction projects are integrating energy-efficient technologies, including HVAC electrification. The 194-page 2024 BUDGET OVERVIEW contains details on its drive toward sustainable building. The city’s commitment to reducing its carbon footprint is driving this trend, making green building practices an essential component of Chicago’s construction outlook.
Aftermarket Construction
For building owners and developers in Chicago, staying ahead of these trends is essential and we’re here to help. John Weber, our National Business Development Manager, can help you move toward HVAC electrification with innovative, sustainable building solutions like our latest iCool XC™ All Climate Wall Mounted Heat Pump, a compact and versatile solution. Contact John now John Weber Johnw@ice-air.com or call 914-668-4700 for more information.
