A Climate Stabilisation
Intensity Target
Chris Tuppen
Director Sustainable Development
ICT and Global CO2 Emissions
ICT OPPORTUNITIES
SMART BUILDINGS
ICT Direct
Footprint
SMART GRIDS
SMART LOGISTICS
SMART MOTORS
ICT Sector Direct Emissions
Opportunity
take up
BAU
growth
0.5 Gt
2008
X Gt
The 2020
ICT
challenge
BAU
efficiency
2020
This is a schematic representation only
? Gt
2020
Growth in Global CO2e Emissions
2008
47 Gtonnes CO2e
47,000,000,000 tonnes
1.67 Kg CO2e / £ GDP
Diagram taken from the Stern Review
50% reduction on 1990 levels by 2050
80
CO2e (Gtonnes)
70
60
Absolute CO2
reduction target
50
40
30
20
10
0
1990
2000
2010
BAU (+1.2%pa)
2020
-2.1%
2030
-2.8%
2040
-4.4%
2050
-6.1%
Average world GDP growth at constant prices (1980 to 2007) = 3.6% pa
Decoupling of world CO2e emissions from economy (1990 to 2007) = 2.4% pa
Net business as usual growth of world CO2e emissions = 1.2 % pa
World CO2e intensity for 80% reduction in emissions
3.00
C O 2 e / u n it G D P ( K g /£ )
2.50
Reducing at 9.6%pa
at real prices
2.00
1.50
1.00
0.50
0.00
1990
2000
2010
2020
2030
2040
2050
But what should a company do?
Diagram taken from the UNDP Human
Development Report 2007/8
A company should …..
CO2e / unit GDP (Kg/£)
3.00
2.50
Reducing at 9.6%pa
at real prices
2.00
1.50
1.00
0.50
0.00
1990
2000
2010
2020
2030
2040
2050
Match or exceed this trend – ie its CO2e per unit of
contribution to GDP* should drop by at least 9.6% pa
A company’s contribution to GDP is defined as its Value Added, where:
Value Added = EBITDA + employee costs = turnover – bought in costs and services
Adding in BT’s CO2e intensity
(
CO2e
Intensity = _____________
Value Added
)
3
Kg CO 2 e / £
2.5
2
Reducing at 9.6%pa
1.5
1
0.5
BT
0
1990
2000
2010
2020
BT base line year 1996/7
2030
2040
2050
Setting a Climate Stabilisation Intensity Target
0.25
Kg CO 2 e / £
0.2
0.15
0.1
80% reduction
target by 2020
0.05
0
1990
2000
2010
2020
2030
2040
2050
2048
2045
2042
2039
2036
2033
2030
2027
2024
2021
2018
2015
2012
2009
2006
2003
2000
1997
CO2e (k tonnes)
BT’s emissions are dropping in real terms
1,800
1,600
1,400
1,200
1,000
800
600
400
200
-
Advantages of a CSI target
• Combines company environmental and financial
performance
• Links company performance to global environmental and
economic performance
• Accommodates the normal dynamics of businesses such
as organic growth, acquisitions and outsourcing
• Provides a framework for modelling future strategy
• Allows straightforward benchmarking
Climate
Stabilisation
Intensity
Target
Ensures emission
reductions are sufficient
to prevent catastrophic
climate change.
Links climate protection
to economic growth.
Green growth for a low carbon future
ICT Sector Direct Emissions
Opportunity
take up
X Gt
BAU
growth
0.5 Gt
2008
The 2020
ICT
challenge
BAU
efficiency
2020
? Gt
2020
Bali Action Plan
Decision 1/CP.13
….. launch a comprehensive process to enable the full, effective and sustained
implementation of the Convention through ….. Cooperative sectoral approaches
and sector-specific actions
http://unfccc.int/resource/docs/2007/cop13/eng/06a01.pdf
An ICT Sector CSI Target?
CO2
Value Added
CSI
Opportunity
take up
BAU
growth
The 2020
ICT
challenge
BAU
efficiency
2008
2020
ICT Sector
CSI target
2020
Renewable electricity is key
• Build in-product and on-site
renewable generation
• Purchase renewable electricity
• Lobby governments to create the
right investment environment
In Conclusion …… the ICT sector should:
• Deliver climate friendly ICT solutions to our customers
• Be ready for NGOs to challenge our direct footprint
• Be prepared for an ICT sector obligation
• Consider applying the CSI methodology to the sector
• Push for more renewable electricity
• Use our high tech creativity
• Low carbon should be the standard
Thank You
www.bt.com/betterworld