Tracking energy usage, automating carbon impact calculations, and tokenizing the savings.
Context & Challenges
Energy usage tracking and carbon credit calculation are becoming paramount topics as expanding environmental legislation and new ecological preferences from end users are driving many sectors to reduce their carbon footprint.
Greenhouse Gas (GHG) Emissions for Buildings
GHG legislation exists at all levels of regulation, from international to hyper-local. NYC’s Greater Greener Buildings Act for example requires buildings to be carbon neutral as soon as 2025. By 2029, most NYC building owners will pay fines of $268 per ton of carbon emission in excess of their cap. Similar fines, caps and costs are now also being implemented in other cities, regions and nations.
Most building GHG (greenhouse gas) emissions are created from heat and cooling activities that use antiquated systems, making it impossible to:
— Measure & report (annual) the carbon impact of a building
— Perform proper cost-benefit analysis of building upgrades
— Automate services & monetize carbon credits
CO2 emission tracking and carbon credit programs exist as financial incentives to “lean in” on an ecological direction. To qualify for carbon credits, however, businesses need a very clear, secure, and reliable record of carbon credits that traces back to the carbon credit creation. Involved parties face the following challenges:
— Real Estate Managers: No clear path to reduce carbon emissions, compounded by the need to maintain building availability for tenants and stay profitable.
— Energy Providers: Unclear costs to digitize energy reporting driven by a lack of standards and interoperability with other energy sources
— Service Providers: Uncertainty about what level of attention to give emissions reduction and how to adapt their current business model
— Regulators: Lack of frequent, reliable energy data and feedback from community that limits benchmarking and slowing down effective legislation
Businesses are leveraging STRATO Mercata for energy usage tracking and carbon credit calculation.
The creation of an energy data ledger on STRATO Mercata to track building emissions from both manual and automated (IoT) sources provides the following features and benefits:
✓ A single source of truth for building emission data integrated with existing systems and new IoT data sources such as efficient cogenerators
✓ Use of smart contract to calculate and forecast CO2 reduction and compliance level
✓ Use of shards for granular data visibility control, limiting regulator and service provider visibility to only what’s needed
✓ Residual energy cost reductions of 20+% with industry-leading 92-96% efficiency
✓ Standardized, simplified compliance reporting
✓ Eligibility for incentive & regional FIT programs
✓ Preventative building maintenance and energy tracking alerts using smart contracts
✓ Carbon credit (token) trading and other contractors with CO2 reduction technology