As climate change accelerates, the need to make buildings more sustainable, energy efficient and healthier has never been clearer. While many climate technology solutions focus on reducing outdoor emissions, it is increasingly recognized that indoor air quality is also a growing concern. Americans spend about 90% of their time indoors, where pollutants such as CO₂ and volatile organic compounds (VOCs) can accumulate, making indoor air up to five times more polluted than outdoor air. Poor indoor air quality is not just a health problem; it is an obstacle to productivity, energy efficiency and climate goals.
Indoor air quality and energy costs of buildings
High levels of indoor CO₂ and VOCs are increasingly linked to cognitive impairment, with a 2021 Harvard study showing that even modest increases in indoor CO₂ can slow response time by 1.4-1.8% and decrease accuracy by up to 2. 4% for cognitive tasks. Contributing to this decline are elevated levels of fine particulate matter (PM2.5), leading to productivity losses and symptoms associated with “sick building syndrome” such as headaches and fatigue. HVAC systems tasked with managing this pollutant load are often forced to work overtime to maintain ventilation and indoor climate, increasing energy consumption and operating costs.
According to the United Nations Environment Program (UNEP), buildings accounted for 34% of global energy demand and were responsible for approximately 37% of energy-related CO₂ emissions in 2022, representing a significant opportunity for savings through advanced efficiency measures. Addressing this energy demand has major environmental implications. International Energy Agency (IEA) estimates that improvements in energy efficiency across sectors could reduce global energy use by more than 40% by 2040, with a huge impact on emissions from buildings. Solutions that improve indoor air quality while reducing HVAC energy requirements are essential to meeting global sustainability goals and creating healthier indoor environments.
The Cisco Foundation’s Regenerative Future Fund—its climate investment program—recognized the critical energy and emissions requirements of HVAC systems and identified Carbon Reform as a startup uniquely positioned with solutions that address both indoor air quality and energy efficiency.
Carbon Capsule® and Carbon Canister® from Carbon Reform
Based in Philadelphia, Carbon Reform addresses these interrelated challenges with the Carbon Capsule®. This system can be retrofitted into existing HVAC setups to permanently capture CO₂, filter pollutants and increase energy efficiency, offering a practical solution for building managers looking to modernize their infrastructure without major rebuilds. In pilot projects, Carbon Capsule® has demonstrated the potential to reduce cooling loads by up to 50%, leading to energy savings, lower emissions and cleaner indoor air. The company recently cut the ribbon on a pilot project with Baltimore Gas and Electric (BGE) and has won contracts with other major utilities, educational institutions and corporations. Several other buildings will be demonstrating their energy-saving indoor air quality (IAQ) technology in the coming months.
The Carbon Canister® serves as a portable companion device for scalable carbon sequestration in buildings, purifies indoor air and at the same time stabilizes captured CO₂. Carbon Reform’s complete suite of solutions offers building managers a set of tools to decarbonize their HVAC systems, reduce pollutants and achieve energy savings – all critical steps in transforming the built environment.
The customer’s view: the Baltimore Gas and Electric (BGE) pilot project.
The Carbon Capsule® pilot installation at BGE’s Spring Gardens plant is an example of the technology’s potential real-world impact. Carbon Reform’s CEO, Jo Norris, noted that the first Carbon Capsule demonstrations in Philadelphia showed cooling load reductions of up to 50%, and similar results are expected for BGE in both the heating and cooling seasons. “When we spoke to BGE, they emphasized the importance of reducing energy consumption and employee well-being,” Norris said. “We’re excited to show how Carbon Capsule will perform on both fronts in the coming months.” For BGE, a company committed to net zero emissions by 2050, these savings represent a practical step towards meeting their Path to Clean goals. Additionally, Carbon Reform’s leasing model allowed BGE to adopt this innovative technology without major capital investment, making it easier to meet its long-term environmental goals. This pilot project highlights the value of the Carbon Reform solution: an accessible and efficient way to improve indoor air quality while meeting ambitious energy and emissions targets.
Why the Cisco Foundation’s Regenerative Future Fund invested in carbon reform
The Cisco Foundation has invested in carbon reform through its Regenerative Future Fund — part of a $100 million, ten-year commitment the Cisco Foundation has made in 2021 to support climate solutions. The Cisco Foundation’s Climate Investment Team addresses three key climate priorities that also appear in Cisco’s corporate environmental sustainability strategy, The Plan for the Possible: accelerating the clean energy transition, circular transformation, and investing in resilient ecosystems. Decarbonising the built environment is one way to support global climate ambitions and resilient ecosystems.
Carbon Reform stands out in this space because of its uniquely integrated approach to carbon capture and air quality improvement that tackles two critical issues simultaneously. While other startups focus on one aspect—either carbon capture or air purification—Carbon Reform’s Carbon Capsule® combines these capabilities in a single, modular system that works seamlessly with existing HVAC infrastructure. This dual-function technology allows buildings to become healthier and more energy efficient, while directly reducing their carbon footprint.
Carbon Capsule® is designed to be easily installed into existing systems, making it scalable across a wide range of buildings. This availability and scalability sets Carbon Reform apart from the competition, especially for building managers looking for immediate improvements in air quality and energy savings. Additionally, Carbon Reform’s hardware-as-a-service model aligns with industry trends toward flexible, subscription-based solutions, enabling organizations to adopt the technology without requiring large capital investments. You can learn more in this video:
Towards a decarbonised built environment
At Cisco, we are also committed to improving indoor quality through innovations such as the Meraki MT and Cisco Spaces sensors, which monitor near-real-time air quality metrics such as CO₂ and VOC levels, providing valuable insights that help building managers create healthier indoor environment. While Cisco indoor air quality solutions monitor and optimize the environment, Carbon Reform technology actively removes CO₂ and other pollutants, addressing a significant gap in the industry that extends beyond Cisco’s value chain. Through the Cisco Foundation’s Impact Investment Initiative, we are providing Carbon Reform with support to help them scale effectively in a market that increasingly requires innovative solutions for healthier, more sustainable buildings.
By supporting carbon reform, the Cisco Foundation is not only contributing to a decarbonized future, but also championing a company whose technology exemplifies what we believe will be critical in the built environment’s climate transition. The Cisco Foundation Regenerative Future Fund is proud to be a part of their journey and help them make a lasting impact on the health of people and the planet.
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