Meet Ada: The Accurate Carbon Insights Tool

By Matt Paver, COO, Carbon Responsible 

When I joined Carbon Responsible in 2022, I quickly saw a fundamental flaw in the way businesses were reporting their carbon emissions. Financial institutions and large corporates were setting net-zero targets based on data that was, frankly, not fit for purpose.

Many relied on third-party datasets for their Scope 3 reporting, even though the numbers were often outdated by around six years. These may have given a general sense of direction and some comparisons with past numbers. But that isn’t good enough anymore. Regulators, investors and businesses need more than just estimates, they need real, verifiable data. 

The challenges of Scope 3 reporting are massive. Emissions don’t happen in a vacuum. They are deeply interconnected across supply chains, where one company’s Scope 3 emissions are another’s Scope 1 and 2. Yet, the tools available today are only adequate at measurement not accounting.

This means that while companies can measure their footprint, they struggle to accurately attribute emissions to the right sources in a way that meets financial-grade reporting standards. 

That’s the gap we set out to fill with Ada. 

 

Building a Tool That Businesses Can Trust

The defining problem we set out to solve was confidence. Businesses were setting ambitious reduction targets, but the numbers behind those targets were based on outdated or incomplete data. Most reporting relied on six-year-old datasets, sector averages, or spend-based estimates; none of which provided the accuracy required to make meaningful business decisions. 

We knew that businesses wanted better carbon data, but they also needed a tool that was transparent, auditable, and capable of handling real-world complexity. Ada was built to answer those needs. 

 

How Ada is Different 

 

Ada stands apart from traditional carbon accounting tools in several key ways: 

1. Data freshness: Unlike competitors using six-year-old datasets, Ada only uses data that is less than two years old, ensuring that businesses are basing their decisions on the most current emissions information available. 
2. Supplier-Specific Accuracy: Most tools rely on broad industry averages to estimate emissions, which can create a misleading picture of a company’s true carbon impact. Ada provides 90% accuracy in supplier-specific emissions mapping, offering granular, activity-based data rather than vague sector-wide estimates. 
3. Transparent Methodology: Carbon reporting tools have historically been a black box; you put in data, and a number comes out. But where does that number come from? Ada is fully transparent about its methodology. Every data point is assigned a PCAF score (an industry-recognised data quality rating) so businesses can see exactly how reliable each element of their carbon footprint is. 
4. Real Business Applications: Ada isn’t just a reporting tool – it’s a decision-making tool. Whether it’s a CEO announcing a reduction target or a private equity firm managing 300 portfolio companies, Ada allows users to instantly assess emissions and identify high-impact reduction areas. 

The biggest challenge in developing Ada was building the machine learning algorithm that powers it. Unlike traditional spend-based models, which simply apply broad emissions factors to financial transactions, Ada’s algorithm analyses real company data, assets, headcount, SIC codes and more to deliver high-confidence emissions estimates. The result is a tool that provides intelligent, actionable insights, not just raw numbers. 

Where Carbon Reporting is Headed 

 

For years, businesses got credit simply for trying; for publishing ESG reports, setting reduction targets, and making broad sustainability commitments. But the landscape is changing. Regulators and investors are becoming far more critical of greenwashing, and the burden of proof is increasing. Businesses must now demonstrate credible, data-driven reductions in their emissions. 

Increased Scrutiny and Regulatory Pressure 

 

We’re seeing a shift where Scope 3 reporting is being treated with the same level of scrutiny as financial reporting. This means companies will no longer be able to rely on estimates and vague assumptions; their emissions data will need to stand up to external audits and investor reviews. The demand for data quality and transparency will only increase. 

 

Sustainability Teams Need More Support 

 

Sustainability managers have traditionally worked in silos, often reporting into marketing or corporate responsibility teams rather than financial leadership. But as reporting expectations increase, carbon data will need to be integrated into core business decision-making. This will require automated tools like Ada that can keep up with reporting demands and provide credible insights that CFOs, investors, and regulators can trust. 

 

The Rise of Automated Carbon Accounting 

 

Currently, carbon reporting is manual, inconsistent, and highly resource-intensive. But just as financial reporting has become digitised and automated, we expect carbon accounting to follow suit. Companies will need tools like Ada not just to report emissions, but to continuously monitor, update, and verify them in real time. 

 

What Ada Means For Businesses 

If a company starts using Ada today, the biggest change they will see is immediate visibility into whether their Scope 3 reporting is accurate. For many, this will be a wake-up call. It’s a discovery tool in the first instance, helping businesses uncover where their biggest emissions hotspots are. From there, it becomes a strategic tool, allowing businesses to focus on high-impact areas for emissions reduction. 

A CEO making public sustainability commitments can use Ada to instantly verify whether their reduction targets are achievable. A private equity firm managing hundreds of portfolio companies can use Ada to generate real-time emissions reports for investors. No more waiting months for manual calculations, Ada provides instant clarity. 

 

Why We Named it Ada 

The name Ada comes from Ada Lovelace, one of history’s most pioneering mathematicians and an early visionary in computing. We wanted the tool to feel like a companion, guiding businesses through the complexities of carbon accounting. Unlike other software that simply delivers a set of numbers, Ada provides insight and guidance, helping businesses interpret their data and take meaningful action. 

 

A New Standard in Carbon Intelligence 

Carbon reporting is entering a new era; one where accuracy, transparency, and real-time intelligence will define success. Businesses can no longer afford to base their strategies on outdated estimates. They need data that can withstand scrutiny, drive real reductions, and integrate into financial decision-making. 

That’s what Ada is here to deliver.