Exclusive: Pathways nets $2.5M to track construction emissions
Software developer Pathways has closed a $2.5 million pre-seed round, the company tells Axios.
Why it matters: The company tracks carbon emissions generated by construction materials at a time when manufacturers are under increasing pressure to meet sustainability mandates.
Context: Buildings are responsible for 39% of energy-related carbon emissions: 28% from operational emissions, from energy needed to heat, cool and power them, and the remaining 11% from materials and construction, according to a report by the World Green Building Council.
Yes, but: The bulk of building emissions come not from the construction process but from making the building materials.
- As a result, construction contractors who are under pressure to meet new climate requirements are leaning on their materials suppliers to account for their emissions.
Driving the news: Pathways is developing software to automate that paperwork process for manufacturers and in turn help figure out where to reduce emissions.
- Early customers include Stella-Jones, a pressure-treated wood products supplier.
The latest: Pathways closed its pre-seed in December, led by Pi Labs and Zacua Ventures.
- Blue Lion Global, Positive Ventures, Jetstream, Refashiond, Great Wave Ventures and Anglet joined.
What's next: Pathways, based in New York, is eyeing expansion into other manufacturing sectors, such as furniture.