Climate change is one of the most urgent and complex challenges facing humanity today. To avoid the worst impacts of global warming, such as rising sea levels, extreme weather events, and biodiversity loss, we need to limit the increase in average global temperature to well below 2°C above pre-industrial levels, and preferably to 1.5°C, according to the Paris Agreement. This requires a rapid and profound transformation of our energy systems, industries, transport, buildings, and land use. But what does this mean for businesses and the environment? How can we measure and communicate our progress towards a low-carbon future? And what are the benefits and challenges of adopting different approaches to reducing greenhouse gas (GHG) emissions? 

In this blog post, we will explore some of the key concepts and terms that are often used in the context of climate action, such as net zero, carbon neutral, and zero carbon. We will also discuss how building analytics software can help you monitor and reduce your GHG emissions from your facilities, and how different sectors and regions can achieve their net zero or carbon neutral targets. 

 

Net Zero 

Net zero is a state where the amount of GHG emissions that are added to the atmosphere is equal to the amount that is removed from it. This means that any remaining emissions from human activities are balanced by negative emissions, or carbon removals, that capture and store carbon from the air. 

Net zero can be achieved at different levels: for a building, company, a sector, a country, or the whole world. The Intergovernmental Panel on Climate Change (IPCC) has stated that to keep global warming below 1.5°C, we need to reach global net zero CO2 emissions by around 2050, and net zero for all GHGs by around 2070. 

To reach net zero, we need to drastically reduce our GHG emissions from all sources, especially from burning fossil fuels for energy, transport, and industry. We also need to enhance the natural sinks that absorb carbon from the atmosphere, such as forests, soils, and oceans. And we may need to develop and deploy technologies that can remove carbon from the air and store it permanently or use it for other purposes. 

One of the ways to achieve net zero is by using carbon offsets. Carbon offsets are credits that represent a reduction or removal of one tonne of CO2 equivalent from the atmosphere by a project or activity elsewhere. For example, a company can buy offsets from a project that protects forests, installs renewable energy systems, or improves energy efficiency in developing countries. By doing so, the company can claim to have offset its own emissions and achieved net zero. 

However, carbon offsets have some limitations and drawbacks: 

 

  • Offsets do not reduce the actual emissions from the source; they only compensate for them by reducing emissions elsewhere.  

 

  • They may not be additional, meaning that they would have happened anyway without the offsetting scheme.  

 

  • There is no assurance that the offsets will be permanent, meaning that they could be reversed in the future by natural or human causes.  

 

  • Sometimes they are not fully verifiable, meaning that they could be overestimated or fraudulent. 

 

  • We can question whether they are socially beneficial, meaning that they could harm local communities or ecosystems in other ways, despite providing the desired carbon offsets. 

Therefore, carbon offsets should not be seen as a substitute for reducing emissions at the source. They should only be used as a last resort after all possible emission reduction measures have been taken. They should also be subject to strict standards and regulations to ensure their quality and credibility. 

 

Carbon Neutral 

Carbon neutral is a term that is often used interchangeably with net zero, but they are not the same. Carbon neutral refers to achieving a balance between GHG emissions and removals for a specific building, activity, product, service, or organization. This means that the net GHG impact of that activity or entity is zero. 

Carbon neutral can be achieved by reducing GHG emissions as much as possible, and by compensating for any residual emissions by purchasing carbon credits or offsets from projects that avoid or reduce emissions elsewhere. For example, a company can claim to be carbon neutral if it reduces its own emissions by improving its energy efficiency and switching to renewable sources, and if it buys offsets from projects that protect forests or install solar panels in developing countries. 

However, carbon neutral does not necessarily mean that the activity or entity has no GHG emissions at all. It also does not specify how long the emissions are balanced by removals or offsets. And it does not guarantee that the offsets are additional, permanent, verifiable, and socially beneficial, as noted above. 

For buildings, which account for about 40% of global energy consumption and 36% of CO2 emissions, reaching carbon neutral means using only as much energy as can be generated from renewable sources on-site or off-site, and offsetting any remaining emissions from building materials and operations. This can be achieved by: 

 

  • Improving building design, envelope, and insulation to reduce heat loss and gain 
  • Upgrading heating, ventilation, and air conditioning systems to improve efficiency and comfort 
  • Installing renewable energy systems such as solar panels, heat pumps, or biomass boilers to generate clean electricity or heat 
  • Implementing smart building technologies such as sensors, controls, and analytics to optimize energy use and performance 
  • Reducing energy demand by changing occupant behavior and preferences 
  • Buying carbon offsets from certified projects that reduce or remove emissions elsewhere 

Zero Carbon 

Zero carbon is a term that implies that an activity or entity has no GHG emissions at all. This means that no fossil fuels are used or burned, no GHGs are released into the atmosphere, and no offsets are needed to compensate for any emissions. 

Zero carbon can be achieved by using only renewable energy sources that do not emit any GHGs during their operation, such as wind, solar, hydro, geothermal, or tidal power. It can also be achieved by using technologies that capture and store any GHGs that are produced during their production or use, such as hydrogen fuel cells or electric vehicles. 

However, zero carbon does not account for the life cycle emissions of an activity or entity. This means that it does not consider the GHGs that are emitted during the extraction, processing, transportation, manufacturing, installation, maintenance, and disposal of the materials and equipment involved in an activity or entity. For example, a solar panel may not emit any GHGs during its operation, but it may have significant emissions associated with its production and end-of-life management. 

For buildings, reaching zero carbon means using only renewable energy sources for both construction and operation, and avoiding any GHG emissions from building materials and processes. This can be achieved by: 

 

  • Choosing low-carbon, reused or recycled materials such as timber, bamboo, hemp, or steel 
  • Minimizing waste and embodied energy during construction and demolition 
  • Using passive design strategies such as orientation, shading, ventilation, and daylighting to reduce energy demand
  • Using renewable energy systems such as wind turbines, solar panels, or biogas generators to meet all energy needs
  • Using carbon capture and storage technologies such as biochar, mineralization, or sequestration to store any residual emissions

Conclusion 

Net zero, carbon neutral, and zero carbon are different ways of expressing the goal of achieving a balance between GHG emissions and removals. They are important for businesses and the environment because they reflect the level of ambition and action that is needed to address the climate crisis. They also provide a way to measure and communicate the progress and impact of different strategies and solutions. 

However, these terms are not synonymous, and they have different implications and challenges. Net zero allows for some residual emissions that are offset by removals or credits. Carbon neutral requires a balance between emissions and removals or offsets for a specific activity or entity. Zero carbon implies no emissions at all from any source. 

For buildings, which are a key sector for climate action, reaching net zero, carbon neutral, or zero carbon means using only renewable energy sources for both construction and operation, and reducing or avoiding any GHG emissions from building materials and processes. Building analytics software can help monitor and reduce GHG emissions from buildings by collecting and analyzing data from building systems, identifying and diagnosing performance issues, prioritizing and implementing actions to optimize energy use, measuring and reporting the results and savings of emission reduction projects, and helping with regulatory and standards compliance. 

Achieving net zero, carbon neutral, or zero carbon is not easy, but it is possible. It requires a combination of technological innovation, policy support, market incentives, stakeholder collaboration, behavioral change, and public awareness. It also requires a clear understanding of the concepts and terms involved, and a critical evaluation of the methods and tools used. By doing so, we can make our buildings more sustainable, our businesses more competitive, and our environment more livable. 

Written By:

Keith La Rose

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