6 Steps to Decarbonize Your Building

In the U.S., commercial buildings generate 16% of all carbon dioxide emissions. As climate concerns escalate, businesses must take decisive action. Decarbonizing — the process of reducing carbon emissions — is crucial for companies looking to decrease their environmental impact. The following six steps allow you to help the planet and reduce your energy costs.

1. Prioritize energy efficiency

Creating and using energy generates carbon emissions, and commercial buildings account for 35% of the energy consumed in the U.S. To cut your usage, here are some simple actions you can take.

• Switch to LED lighting, which uses significantly less energy than traditional bulbs.
• Install occupancy sensors and other controls to make sure lights are only on when needed.
• Choose ENERGY STAR®-rated equipment, which is independently tested for energy efficiency.
• Weatherize windows and exterior doors to prevent energy loss.
• Use building automation controls optimize lighting, HVAC and other building systems for efficiency and comfort.

2. Integrate renewable energy

Renewable energy sources, like solar panels, significantly decrease a building’s reliance on fossil fuels. To offset installation expenses associated with solar panels, take advantage of federal tax credits. For example, with the federal investment tax credit (ITC), businesses installing solar panel systems can receive a credit equal to 30% of the system's total cost.

For businesses unable to install on-site renewables, green power purchase agreements (PPAs) offer a viable alternative. These contracts typically last 10 to 25 years and allow companies to purchase renewable energy credits without investing in solar panels.

3. Implement energy storage

Energy storage systems, such as batteries, can maximize the benefits of renewable energy by storing surplus power for later use. This stored energy can reduce reliance on the grid, especially during peak demand periods, and potentially lower energy costs. Additionally, these storage systems enhance resilience, providing a buffer against power outages and price fluctuations.

4. Electrify systems

The transition from fossil fuel-dependent systems to electric alternatives represents a critical step in the decarbonization journey. This process, known as electrification, includes:

• Switching to high-efficiency electric heat pumps for space heating and cooling.
• Swapping fuel-fired boilers and water heaters for electric units.
• Replacing natural gas cooking equipment with electric models
• Installing electric vehicle charging stations to encourage sustainable transportation.

5. Embrace AI-driven building management systems and IoT devices

Artificial intelligence (AI) and Internet of Things (IoT) technologies optimize energy use by learning and adapting to your building's energy patterns. AI-driven systems can autonomously adjust lighting and HVAC based on real-time occupancy data, weather forecasts and time of day. IoT sensors, strategically placed throughout the building, provide constant temperature, humidity and air quality data. This wealth of information allows for precise, automated control of building systems, eliminating waste without sacrificing comfort.

6. Monitor and report progress

Establish a comprehensive system to track your decarbonization efforts by:

• Investing in energy management software to collect and analyze data from all building systems.
• Setting specific carbon reduction targets and regularly measuring progress.
• Creating a sustainability dashboard to visualize energy use, emissions and cost savings in real time.
• Using insights to refine your strategy and prioritize future investments.
• Considering participation in industry benchmark programs to validate your efforts.

By following these steps, your business can significantly reduce its carbon footprint. These actions will help protect the planet, lead to long-term cost savings and improve your building's overall efficiency and sustainability. Contact your TXU Energy sales executive or email us at business@txu.com to learn how we've assisted companies similar to yours, and discover how we can help you move closer to reducing your carbon footprint.