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Building owners may be unaware of their building’s carbon footprint but a new algorithm aims to change that knowledge gap.

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Starting this year, thousands of buildings in New York City will be required to reduce their carbon emissions. However, before owners can make any changes, they need to understand the extent of their pollution.

The Impact of Electricity on Commercial Buildings

According to the U.S. Energy Information Administration, electricity accounts for a staggering 60% of total energy use in commercial buildings. This is why it’s essential to track and monitor energy consumption accurately.

While there are tools available that can convert an electric bill into estimated carbon emissions, many rely on rough estimates. The increasing adoption of intermittent wind and solar power means knowing when energy is being used is just as crucial as understanding how much is being consumed.

NZero’s Innovative Algorithm: Accurate Carbon Emissions Tracking

This is where NZero, a carbon-tracking startup, comes in. Their new algorithm provides building owners with detailed reports that estimate carbon pollution down to the hour. This level of accuracy can be particularly valuable for property owners who already have advanced meters and sensors installed.

However, many buildings lack this data, making it challenging for owners to make informed decisions about reducing their emissions.

The Challenge Faced by REITs: Access to Energy Data

One specific class of real estate investment trusts (REITs), known as triple net leases, faces an additional hurdle. These REITs are responsible for a building’s emissions but often have limited insight into the pollution generated due to the lack of access to utility bills.

"They’re begging their customers to provide this data and with very little success," John Rula, NZero’s CTO, told TechCrunch.

NZero’s Solution: Accurate Emissions Estimates for Building Owners

Using a building’s address, along with any additional information the owner can provide (such as square footage and heating/cooling systems), NZero generates more accurate estimates of carbon emissions than owners previously had. The company’s software then helps building owners identify cost-effective upgrades and retrofits to reduce emissions.

"There are all these different steps and hurdles of which data collection is one, compliance reporting is another," R