Today, blockchain technology, climate change, carbon footprint, carbon emissions, etc. are the talk of the town.
With blockchain becoming the “next big thing”, and climate change being the most pressing issue today, companies and governments are actively exchanging ideas to harness one technology while minimizing the other.
According to a white paper published by the European Commission, blockchain can improve transparency, accountability, and traceability of greenhouse gas emissions.
Additionally, it can be used through smart contracts to better calculate, track and report carbon footprint reduction across the value chain.
Working on this is Gurugram-based startup. In 2020, Rajeev Sinha Y vivek mehra launched cloud-based platform built on blockchain, which works as carbon accounting software, allowing companies to track their carbon emissions against set business goals.
The company formally started operations in April 2022 with a team of 20 members.
But why blockchain?
Rajeev says Your history, “Blockchain helps to authenticate the traceability of purchases made. It is open source and helps us integrate various features and attributes into one platform. It makes business transactions very easy, accessible, transparent and secure, without the need for a central clearing authority.”
The business-to-business (B2B) startup provides its clients with a dashboard with carbon accounting, monitoring, reporting, reverification, carbon certifications, and sustainability features.
Offers a subscription service, including a workshop to explain and set up a carbon accounting capability within the company, a carbon monitoring dashboard, an auditor dashboard to verify carbon data, and quarterly ESG reports to share with partners and providers. .
“This helps us show the imminent carbon emission hotspots for the company,” says Rajeev.
Its optional features include carbon footprint prediction, ERP integration, and Scope 3 Emissions Guidance.
The startup collects data, including water, electricity, waste generated, and vehicle usage and emissions, provided by companies through online and on-the-ground sources, and systematically organizes it to create a benchmark report. .
According to the co-founder, blockchain technology verifies and validates these data points to ensure it is trustworthy. “So if someone reveals their carbon footprint, who can be sure the numbers are reliable? This is where blockchain comes into play,” he adds.
For example, if a business wants to calculate its carbon footprint, it can share its electricity meter readings and water bills. The software ingests data through a variety of formats: directly from devices and sensors in the meters, MS Excel, or from enterprise resource planning (ERP) systems through pre-programmed interfaces.
Once the platform verifies the data, it applies emission factors from the particular country or region to calculate the company’s carbon footprint. Most of the time, OnlyGood uses the UNFCCC standard emission factors and calculates the carbon footprint, measured as TCO2e (tons per carbon emitted).
“This helps companies understand their baseline emissions, set targets and embark on a new growth vision. It also helps them understand their carbon accounting and internal emission standards,” adds Rajeev.
In addition, OnlyGood provides a dashboard with role-based access and security controls, which companies can share with partners across the supply chain (with data masking where necessary).
In addition to blockchain, the API-driven platform includes Python, machine learning, and AI technology to ensure proper results through optimized performance. Additionally, all captured data is encrypted and GDPR (General Data Protection Regulation) compliant.
The startup takes two to six weeks to analyze and provide reports to its clients, depending on the complexity of the data. It says that its results are 100% accurate as it uses international standards to convert the data.
OnlyGood currently serves nearly 50 national and global companies in sectors including apparel, automotive, manufacturing, and financial services. These companies are Brij Designs, Afflatus Group, Prits Group, Expressions India, Vanca Fashions, Real Fashion, Bharti Exports, Bharat Group and SKA Exports to name a few.
“The world is full of conversations about sustainability and emissions and carbon footprint. OnlyGood has helped us simplify the whole process, generating a world-class carbon benchmark, sustainability dashboard and ESG report. Now we look ahead of our competitors, hoping to get more orders this season,” says Kshitij Rohatgi, CEO of Brij Designs.
While the platform does not provide carbon offset services, it allows companies to use their carbon sequestration initiatives, such as tree plantations. It also links its clients with certified carbon offset agencies.
Available in India, US and Europe, OnlyGood charges $499 per month (India) and $999 per month (Europe and US), which may vary depending on the features companies choose.
While the co-founder declined to comment on the company’s revenue, Rajeev says the company sees 90% of its business as coming from India. Launched with Rs 3.5 crore, the startup is now witnessing a 15% monthly growth.
According to MarketsandMarkets research, the global carbon emissions management market was valued at $9 billion in 2020, and is projected to reach $12.2 billion by 2025, growing at a CAGR of 6.2% over the term.
The startup competes with Net0, Emitwise, Plan A and Watershed. Ask Rajeev what sets OnlyGood apart from its competitors, and he says the startup can read data directly from remote sensors and devices, including water and electricity meters, reducing a company’s manual data collection burden, speeding up compliance process and improves data accuracy.
Rajeev expects OnlyGood to generate $1 million in revenue by the end of 2022 and post 4-5x growth in 2023.
By the third quarter of 2023, the co-founder also expects 40-45% growth in international partnerships and 55-60% growth in Indian partnerships.
The startup plans to target EU partners of India-based exporters, especially in countries with strong legislation for carbon disclosure, including Denmark, the UK, Germany and France. Furthermore, it aims to work with SMEs and manufacturing units in Bangladesh and China, which export to the EU.