Digital Operator Jenny, a human-centric artificial intelligence-based system developed by Estonia’s R8 Technologies, has saved 240,000 megawatt-hours of energy worth about €26 million ($28 million) by optimizing heating, ventilation and air conditioning in large-scale buildings, according to a new KPMG report.

Deployed across 4 million square meters of real estate in 23 countries, Jenny has cut 90,000 tonnes of greenhouse gas emissions and executed 41 million autonomous HVAC adjustments while maintaining indoor comfort in more than 90 percent of occupied hours, the report said.

“As these solutions gain traction, AI is no longer just a nice to have – it is an essential strategy to reduce carbon emissions, mitigate climate risk and future-proof real estate portfolios,” said Francesca Galeazzi, ESG and Climate Partner at KPMG Germany in the report.

Fixing Common Building Faults

Commercial buildings often face a range of operational inefficiencies, including faulty sensors, poor scheduling, overreactions during cold weather and inadequate coordination between heating circuits and ventilation units. These issues inflate energy demand, drive up emissions and often lead to equipment breakdowns.

Jenny addresses these problems in three stages: creating a digital twin to model the building’s dynamics, conducting a smart audit to benchmark energy use and detect anomalies and launching AI-based control that adjusts HVAC settings as frequently as every 15 minutes.

The system integrates weather forecasts, occupancy patterns, electricity prices and tenant preferences to balance comfort with efficiency.

Reducing Heat Consumption

The report revealed that Jenny reduced heating consumption in an office complex of 10,000 square meters in Europe by more than 60 percent while ensuring climate comfort in line with European standards.

Heatmaps showed that the building had previously consumed heating energy even during nights and weekends, a pattern that was eliminated after AI deployment.

Similartly, a 60,000-square-meter shopping mall saw central heating valve openings reduced by over 70 percent, with nearly 100 percent compliance on indoor comfort levels.

The system continuously learned from building data and adjusted air handling units to avoid overheating, cutting costs while preserving air quality.

Across all installations, Jenny has delivered average savings of 20 percent or more, equal to 30–60 kilowatt-hours per square meter annually. The AI currently manages over 14 million data points across commercial real estate portfolios, according to the report.

Strategic Implications for Real Estate

Buildings are responsible for about 40 percent of global greenhouse gas emissions, with 27 percent tied to energy for heating, cooling and power.

As urban populations grow, KPMG said AI-powered solutions like Jenny could transform real estate into “cognitive buildings” that adapt to both environmental conditions and occupant needs.

KPMG stressed, however, that digital tools must be paired with broader change management through Strategic Energy Management.

The framework emphasizes governance, capability building and cultural change, with tier-one SEM measures such as optimizing existing assets capable of delivering 5–7 percent annual savings – and up to 30 percent in some cases.

“AI is only as powerful as the people who understand and apply it,” said Amanda Queiroz, senior manager at KPMG’s global decarbonization hub.

Jenny’s success demonstrates how AI can deliver cost savings, boost property values and strengthen climate resilience, making digital operators a cornerstone of the sector’s decarbonization drive.