Clean Air, Clear Returns: The Economic Imperative for Improving IAQ

Beyond the well documented health impacts of poor indoor air quality, and with much still unknown regarding the full extent of harmful effects, the damage to the environment and to human health carries a substantial economic cost. The Clean Air Fund estimates that the economic cost of air pollution as a whole amounts to approximately EUR 3 trillion, representing around 2.9 per cent of total GDP. The European Environment Agency does not assign a precise figure but notes that air pollution results in significant health burdens, each of which entails considerable economic consequences. In some countries, the damage to ecosystems alone is estimated to exceed 5 per cent of GDP. A recent Bruegel analysis further highlights losses in productivity, increased absenteeism, and reductions in in-job performance linked to exposure to polluted air.

At the same time, research from Columbia University and the London School of Economics finds that every one dollar invested in air pollution control, particularly indoors, could generate up to thirty dollars in economic benefits. The European market for indoor air quality management is also growing rapidly and is projected to exceed one billion euros in the coming years. Integration of indoor air quality technologies is increasingly becoming a standard feature of sustainable building design, supporting both economic growth and public health improvements. In addition, the mainstreaming of smart ventilation systems has the potential to unlock substantial business opportunities to improve indoor environments across Europe and beyond.

In this context, the KHEALTHinAir and EDIAQI projects, both members of the IDEAL Cluster, are convening the latest session of the EDIAQI Webinar Series to examine the following questions:

• What are the economic costs of failing to address indoor air quality in Europe?
• Which mechanisms and sectors explain these economic costs, and where is indoor air pollution having the strongest impact?
• What economic and commercial opportunities arise from effective indoor air quality management across Europe?
• Which emerging solutions illustrate this economic potential, including data driven tools such as the KNOW Centre indoor air quality dashboard?