Businesses striving to meet net-zero goals by reducing emissions must optimize energy consumption across all assets. This requires thinking beyond standard decarbonization efforts like pursuing renewable energy sources and investing in energy-efficient lighting and appliances. Accelerating progress toward sustainable change calls for bold action backed by technology.
At Capgemini’s Business to Planet Connect event, part of New York Climate Week 2024, sustainability leaders converged to collaborate on action plans for energy transition.
“It’s not just a question of doing better for the environment. If there isn’t a business case for it, it is not sustainable,” says Stuart Brodsky, Professor at Columbia University. A common theme emerged among these leaders: evolution or incremental improvement is not enough; we need a revolution.
Illuminating opportunities to improve
Nearly every business has physical assets that require energy. Every step to minimize the impact of these assets contributes to reducing the organization’s carbon footprint. For instance, companies can digitize their electric systems for energy efficiency. This can ensure operations are smart by using sensors and control systems that allow real-time monitoring and energy optimization.
With the right technology tools, a business can have the necessary energy stability while also saving money and cutting emissions.
Natasha Nelson from Schneider Electric suggests a “strategize, digitize, and decarbonize” approach that allows a business to understand its energy use, build a plan, create benchmarks, and track progress.
Capgemini worked with Schneider Electric to develop a solution that makes effective energy management easier. Our Energy Command Center (ECC) is an enterprise-wide architecture that enables users to reduce the energy consumption of their buildings by up to 30 percent. This control tower measures and predicts metrics including indoor air quality, energy intensity, water intensity, health of critical assets, and overall performance across all energy assets.
Scaling for a sustainable difference
Imagine applying the same energy-optimization tactics on a broader scale. The benefits become exponential – but there must be policies that push for change.
U.S. commercial buildings comprised 97 billion square feet as of 2018. Imagine if those building owners were required to adhere to rigorous environmental standards? Many find it easier to write a check to pay a fine rather than make a change to protect the environment.
According to Brodsky, “There’s no incentive in these building performance standards to pursue energy efficiency upgrades.”
More sophisticated policies and performance standards that incentivize, rather than punish, building owners will have far-reaching impact. Many businesses take the easy route of paying fines rather than pursuing improvements. Stringent standards that require building owners to incorporate energy-efficient materials, systems, and technologies will reduce energy use and carbon emissions. Such standards may also lead to higher market valuation.
Energy-efficient buildings have lower operating costs, can qualify for tax breaks, and may have greater appeal for environmentally conscious consumers.
Tapping into the power of data and AI
Data analysis can inform energy management decisions, but businesses often do not have the information they require.
“Everyone thinks we have better data than we do,” says Vardahn Chaudhry, Vice President of Investments and Digital Infrastructure at real estate investment trust JBG Smith. Businesses need to focus on the quality and quantity of the data they gather to build more accurate insights about energy efficiency.
The right data can program large language models (LLMs) and develop rules engines and AI systems that govern how buildings operate. Predictive analytics can help find patterns and predict future energy usage, so owners can make proactive adjustments that reduce waste. LLMs can also help automate tasks such as scheduling maintenance.
Legacy models won’t leave the legacy we want
Some businesses have lost sight of why they must make the energy transition. It is no longer just a moral imperative; doing better for the planet is now essential for corporations serving an increasingly aware and demanding customer and partner community. Adopting a business-to-planet mindset is the first step in accelerating sustainability efforts.
Businesses can play a key role in fostering innovations that transform legacy ways of working. Leaders can push for policy changes that make energy efficiency necessary, not just a “nice to have.”
Sustainability leaders at Business to Planet Connect shared key takeaways that summed up the spirit of the day:
- “Don’t be afraid to fail.”
- “We shouldn’t accept incremental progress. Swing for the fences.”
- “It’s all hands to the pump. We need everyone in the room to make revolutionary change.”
It is time to begin building a new legacy for our planet. If business leaders work together, anything is possible.
Author Miguel Sossa is VP and Americas sustainability go to market lead at Capgemini. Related: Read Capgemini guest blogs.
