A Virtual Impact Platform for a Virtual Battery Innovator

Emulate Energy, a Swedish technology company, is reshaping the future of renewable energy with its groundbreaking virtual battery solutions, designed to unlock the full potential of distributed energy resources (DERs). As the world increasingly turns to renewable power from intermittent energy sources like solar and wind, balancing supply and demand becomes increasingly complex. Emulate Energy is tackling this challenge head-on by optimizing DER behavior in real-time to respond to market signals and price fluctuations–offering a solution that’s as financially smart as it is environmentally transformative.

Empowering Impact: How Emulate Leverages Proof

In 2022, Emulate Energy partnered with Proof to quantify and communicate the full value of its technology. As a startup, Emulate faced the challenge of translating its innovative virtual battery technology into measurable environmental and social impacts. That’s where Proof came in, providing Emulate with a sustainability measurement platform that transformed complex data into compelling sustainability metrics.

“Start somewhere, even if it’s not perfect. The key is to get started with impact measurement and continuously improve over time.” - Shwan Lamei, Co-Founder and CEO of Emulate Energy

1. Double Materiality Assessment & Metric Design

Proof worked closely with Emulate to conduct a comprehensive double materiality assessment, which expanded beyond environmental factors to uncover key social impacts–including workforce inclusion and public health benefits. Avoiding a common pitfall of “carbon tunnel vision,” Proof designed a set of metrics to track the full spectrum of Emulate’s impact, including water usage, human toxicity impacts, greenhouse gas (GHG) emissions, and more. To estimate the unique impacts of Emulate’s virtual battery technology, Proof integrated data from a leading report by researchers at the University of California Santa Barbara, "The Environmental Impacts of Utility-Scale Battery Storage in California," that compares the impact of energy from virtual batteries to energy from natural gas.

2. Framework Alignment

Through the Proof platform, Emulate Energy automatically aligns its sustainability efforts with global frameworks like the UN Sustainable Development Goals, the ESG Data Convergence Initiative, the GHG Protocol, GIIN IRIS+, and SFDR. This alignment not only reinforces Emulate’s commitment to global sustainability standards but also provides investors and clients with confidence in their long-term vision.

3. Data-Driven Decision Making

For Emulate, accurate data collection was vital, but as an early-stage startup, gathering data and translating data into actionable indicators proved challenging. Proof’s automated platform translated Emulate’s operational data – for example, the number of devices controlled and the amount of energy delivered – into meaningful impacts, like GHG emissions avoided, human toxicity impact, and freshwater eutrophication. This real-time feedback allows Emulate to continuously review precise and actionable insights on their performance dashboard, allowing them to adjust strategies on the fly and deliver impactful results to both investors and clients, further accelerating business growth.

4. Transparent Reporting

In addition to internal analysis, Proof helped Emulate simplify its reporting processes, making it easier to share key sustainability data with prospective clients and investors. By using Proof’s pre-built reports, Emulate transforms complex sustainability metrics into compelling narratives, strengthening relationships with investors, attracting new customers, and driving business growth.

For customers and investors who aren’t experts on Emulate’s technology, it is critical to translate technical data into relatable terms. For example, Proof automatically translates Emulate’s greenhouse gas emissions avoided into the equivalent number of trees planted using emissions factors from the EPA Greenhouse Gas Equivalencies Calculator, making Emulate’s contributions more relatable and accessible for a wider audience.

Transforming Impact into Business Value

By proactively measuring and managing its sustainability performance, Emulate achieves financial and impact outperformance.

Capital Raise

Proof’s tools enable Emulate to effectively communicate its sustainability performance to impact investors, significantly strengthening its capital raise position. This success was highlighted by Emulate’s impressive $3 million Seed round in 2023. By continuously showcasing their clear ESG commitments, Emulate strengthens relationships with existing investors and proactively sets the stage for future capital raises from impact-minded investors.

Client & Stakeholder Trust

It isn’t just investors who have taken notice of Emulate's sustainability leadership. Automated reporting with Proof has also enhanced Emulate’s transparency with clients and stakeholders. With interactive digital reports blending quantitative data with qualitative insights, Emulate builds customer trust and engagement, further positioning itself as a sustainability leader.

According to Emulate's Co-Founder and CEO Shwan Lamei, “Sustainability data helps us communicate our impact clearly, particularly to our impact investors. It’s a powerful tool for building trust with customers and stakeholders. We believe that showing the tangible benefits of our work helps align expectations and demonstrates that doing good is good for business.”

Business Growth Through Sustainability

The integration of sustainability metrics into Emulate’s business strategy has bolstered the company’s reputation as a leader in the energy transition. By quantifying their positive impact while also being transparent about improvement areas, Emulate has positioned itself to scale its solutions while contributing a just energy transition. Since 2022, Emulate has seen a substantial increase in the number of devices under its control, providing concrete evidence that sustainability and scalability go hand-in-hand.

Looking Ahead: Scaling for the Future

Together with Proof, Emulate Energy continues to expand its sustainability impact, constantly refining metrics and reporting to stay at the cutting edge of the clean energy movement. As Emulate scales, the company has plans to measure its Scope 1-3 greenhouse gas emissions and publish an inaugural impact report to highlight the company’s long-term sustainability targets and achievements.

In just a few short years, Emulate Energy has proven that sustainable energy solutions are not only possible– they are powerful engines of growth, ready to drive the world towards a cleaner, greener future.

“For us, doing good is directly tied to business success. Our revenue is closely linked to the impact we create, so focusing on making a positive difference aligns perfectly with our business operations. By accelerating the energy transition and reducing costs for everyone, we ensure that our actions drive both profit and progress toward sustainability.” - Shwan Lamei, Co-Founder and CEO of Emulate Energy