Energy efficiency is no longer just a goal, it’s a necessity. As new regulations come into force to reach our climate policy goals and energy costs rise, building owners face increasing pressure to optimize performance, reduce emissions, and enhance sustainability. The good news? We can turn this into an opportunity and the solutions already exist. Our expert paper explores how Building Automation and Control Systems (BACS) for HVAC are transforming the way buildings operate. These intelligent systems integrate room controls, software, and automation to maximize heating, cooling, and ventilation efficiency, adapting in real time to usage patterns and building upgrades.

Energy consumption in buildings accounts for approximately 40% of global energy use, making it a critical area for sustainability efforts. Residential buildings alone contribute about 20-25% of this total, driven by heating, cooling, lighting, and appliance use, while commercial structures like offices and retail spaces make up the remaining 15-20%, with higher demands from ventilation systems and round-the-clock operations. In regions with extreme climates, HVAC systems can account for up to 50% of a building’s energy draw, exacerbating consumption in poorly insulated or outdated structures. Efforts to reduce this footprint have led to a rise in energy-efficient retrofits, with modern buildings incorporating smart meters and insulation that can cut usage by as much as 30%. Despite these advances, the rapid pace of urbanization—projected to increase building energy demand by 50% by 2050—underscores the need for widespread adoption of net-zero designs.
Companies, particularly in energy-intensive sectors, are responsible for roughly 30-35% of global energy consumption, with manufacturing and industrial processes leading the charge at around 25% of the total. For instance, steel and chemical production can see energy costs comprise up to 40% of operational expenses, while data centers—powering the digital economy—now consume about 1-2% of global electricity, a figure doubling every four years due to AI and cloud computing growth. Corporate adoption of renewables has surged, with some tech giants sourcing 100% of their energy from solar or wind through power purchase agreements, yet fossil fuels still dominate industrial energy at over 70%. Small and medium enterprises, which account for 13% of global energy use, often struggle to match these strides, as upgrading to efficient machinery or onsite generation might reduce consumption by 20-30% but requires significant upfront investment. As energy costs and climate regulations tighten, companies face mounting pressure to optimize their 30-50% share of regional electricity grids.

Energy Consumption Status
Traditional Architecture
IAC Architecture
Architecture comparison

The Glasgow Climate Pact, agreed upon at the 26th UN Climate Change Conference (COP26) in Glasgow, Scotland, in November 2021, is a pivotal international agreement building on the 2015 Paris Agreement.
It aims to accelerate action to limit global warming to 1.5°C above pre-industrial levels, with countries committing to revisit and strengthen their climate targets (Nationally Determined Contributions, or NDCs) by the end of 2022 and phase down unabated coal power and inefficient fossil fuel subsidies. While it doesn’t explicitly outline a “14th-year plan,” we can extrapolate its trajectory to 2035—14 years from its adoption—to explore its long-term vision and impact.
If nations followed through on annual NDC updates, 2035 could see global emissions peaking and declining sharply, potentially aligning with the 1.5°C pathway. Current pledges (as of 2021) put the world on track for 2.4°C-2.7°C warming, so significant overachievement would be needed by 2035.
Coal use might be drastically reduced in developed nations, with major producers like China and India having shifted to “phase down” strategies, possibly replacing coal with renewables or nuclear power.

MARKET RESEARCH
MARKET RESEARCH

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Core Technology
Energy-saving and carbon-reduction are two interconnected strategies critical to combating climate change and building a sustainable future. Energy-saving focuses on reducing the amount of energy we consume, while carbon-reduction targets lowering greenhouse gas emissions, particularly carbon dioxide (CO₂), released from energy use and other activities. Together, they address both efficiency and environmental impact, offering immediate and long-term benefits.
Energy-saving and carbon-reduction

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Comprehensive Energy Management Platform