TLDR – AHR 2025 session Decarbonization and the New Energy Management Opportunity

AHR Expo 2025 | Decarbonization and The New Energy Management Opportunity


Stephanie Poole, Principal of SES Consulting, shared a quick story that sets the stage for today’s conversation. Recently, I worked with a client who installed a high-end heat recovery chiller in a care home—a sensitive environment where heating is critical. Unfortunately, they overlooked the control systems, leading to operational failures. This highlights a common issue: the rush to adopt decarbonization technologies without ensuring the underlying controls are in place. In contrast, another client took a staged approach, upgrading controls first, which not only optimized their systems but also provided the data needed to size future equipment accurately. This approach underscores the importance of integrating controls into decarbonization strategies from the start.

Today, we’re diving into how decarbonization presents a significant opportunity for the controls industry, especially as many projects are underperforming due to overlooked control systems. Joining me are four incredible panelists who bring diverse perspectives to this discussion:

  1. Abby Massey, Vice President – Energy Incentives, Tax Taker, shared insights on federal tax incentives like Section 179D and investment tax credits, which can significantly offset the costs of energy-efficient and decarbonization projects. She also addressed concerns about potential changes under new administrations, reassuring us that these incentives are here to stay in some form.
  2. Lauren Scott, V.P. Marketing & Sustainability, Acuity Brands at a leading building automation company, discussed the growing demand for decarbonization solutions, particularly in Europe, where regulations are driving manufacturers to adopt sustainable practices. She highlighted the importance of Environmental Product Declarations (EPDs) and the increasing pressure on suppliers to meet sustainability standards.
  3. Bill Schel VP/GM Building Automation Systems and Controls, Global Products, Johnson Controlsl, leading the Controls Products Group at Johnson Controls, emphasized the shift from new construction to retrofits, with a focus on energy efficiency, healthy buildings, and occupant experience. He noted that modern control systems are critical to achieving these goals, especially in mid-market buildings.
  4. Scott Cochrane, President & CEO, Cochrane Supply provided a contractor’s perspective, highlighting the importance of baselining energy usage and the role of controls in achieving decarbonization goals. He also discussed how integration and advanced technologies are making it easier and more cost-effective to implement energy management solutions.

Throughout the discussion, several key themes emerged:

  • The Role of Controls in Decarbonization: Controls are often overlooked but are essential for optimizing the performance of decarbonization technologies like heat pumps and heat recovery chillers. Properly implemented controls not only ensure systems work as intended but also provide valuable data for future planning.
  • Incentives Drive Action: Federal and utility incentives are powerful tools for encouraging decarbonization projects. However, many building owners and contractors are unaware of these opportunities, highlighting the need for education and collaboration.
  • Global Trends and Regulations: Europe is leading the way in sustainability regulations, but North America is catching up, particularly with large enterprises pushing for greener practices. Manufacturers and suppliers must adapt to these changing demands, from reducing emissions to providing detailed product sustainability data.
  • The Importance of Baselining: Understanding current energy usage is critical for setting realistic decarbonization goals. Advanced controls and IoT technologies make it easier than ever to collect and analyze this data, enabling more informed decision-making.
  • The Rise of AI and Advanced Analytics: Artificial intelligence is poised to revolutionize energy management by identifying savings opportunities and optimizing system performance in real-time. This technology is rapidly evolving and will play a key role in the future of decarbonization.

As we wrapped up, the panelists emphasized the importance of collaboration across the industry—from manufacturers and contractors to building owners and policymakers—to drive meaningful progress in decarbonization. Whether through incentives, advanced technologies, or regulatory compliance, the opportunities are vast, and the time to act is now.

Thank you to our panelists for sharing their expertise and to everyone in the audience for your thoughtful questions and engagement.


Key Quotes from the Panel:

  • Stephanie: “Decarbonization is a serious opportunity for controls because right now it’s being missed. None of these very expensive systems are performing without proper controls.”
  • Abby Massie: “The incentives are law, and it takes an act of Congress to change them. Even with a new administration, these programs will still be around in some form.”
  • Lauren Scott: “We’re seeing a rapid shift in North America, with large enterprises pushing for sustainability. The pressure is on manufacturers to adapt.”
  • Bill Schel: “We’ve seen a flip from 70% new construction to 70% owner-based retrofits, with a focus on energy efficiency and occupant experience.”
  • Scott Cochrane: “The cost to implement decarbonization is lower than ever, thanks to advanced technologies and integration capabilities.”

Watch the session here

This summary was created with Gemini AI

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