Common challenges
drive energy efficiency
Stephan Scholz
CTO and Head of Research and Technology Platforms
Nokia Siemens Networks
0
© Nokia Siemens Networks
Why does environment matter in ICT sector?
CO2 Regulation
Ethical purchasing
behaviour
Corporate
responsibility
1
© Nokia Siemens Networks
€
Energy
consumption
Energy sources
New business
opportunities
ICT will have net positive impact on
the environment
Minimize
Life-cycle
thinking
2
© Nokia Siemens Networks
Combine
Environmentally
sustainable
business solutions
Maximize
Expansion and
innovations for use
of communications
technology and
services in the society
ICT accounts for 2% of worldwide
emissions
The rest of the
global economy
LAN & office
Printers
telecoms
Mobile
telecoms
ICT industry
7% 6%
9%
2%
PCs and
Monitors
(excluding
embodied
energy)
Fixed-line
telecoms
98%
15%
39%
23%
Servers
(including cooling)
Total carbon emissions
ICT carbon emissions breakdown
Source: Gartner – IT Vendors, Service Providers and Users Can Lighten IT’s Environmental Footprint, December 2007
3
© Nokia Siemens Networks
Common challenges drive energy
efficiency
~ 86 % of a mobile
operators energy
is used by the
Network (ABI
research)
Corporate sites
12%
Retail 1%
Switch sites
21%
4
© Nokia Siemens Networks
Raw
materials
Manufacturing
Reuse
Recovery
Recycling
Disposal
Mast sites
65%
Maintenance
vehicles 1%
Supplier
Network
Management
Design for
Environment
Logistics
Use
Own
operations
Over 90% of Nokia Siemens Networks’
CO2 emissions come from our products
during their use time
Renewable energy – goals for mobile
industry
GSMA Green Power for Mobile
• Renewable energy sources, such as solar,
wind, or sustainable biofuels, to power
118,000 new and existing off-grid base
stations in developing countries by 2012.
• => Would save up to 2.5 billion litres of
diesel per annum and cut annual carbon
emissions by up to 6.8 million tonnes.
Nokia Siemens Networks commitment
• Renewable energy will be our first choice for
remote base stations by 2011
5
© Nokia Siemens Networks
Double challenge - Cost of energy
and sources for energy
• Cost of energy out of overall network
operational cost can be as high as 15 - 30 %
in developing markets* (in developed
markets around 10%)
• Every year 75,000 new mobile base stations
requiring their own power source as they are
not connected to a main grid**
• Unpredictable cost of fuel + logistical
challenges of building and maintaining more
remote sites => renewable energy sources
can bring significant financial and
environmental benefits
*NSN operational efficiency benchmarking
** GSMA
6
© Nokia Siemens Networks
The opportunity: half a trillion euros
Offset potential of ICT industry
can be up to five times its
own footprint*
*A report by The Climate Group on behalf of the Global eSustainability
Initiative (GeSI)
7
© Nokia Siemens Networks
New opportunities emerging – Smart grids
• Electricity grids function
partly based on decisions
made 120 years ago
• EU, US and various
nations supporting Smart
Grids
• Smart grids =
intelligence in the grid +
intelligence in the
energy consumption
• People will reduce
energy use based on
information on current
consumption
• ICT solutions make
Smart Grid a reality
8
© Nokia Siemens Networks
Central power plant
Offices
Houses
Storage
CHP
Microturbines
Virtual power plant
Fuel cells
Wind
turbines
Changes in energy markets
open up an growth opportunity for ICT
today
Electrical ‘blind’ Infrastructure
‘Intelligent’ ICT Infrastructure
Source: Electric Power Research Institute (EPRI)
9
© Nokia Siemens Networks
ICT infrastructure will make electricity grids
interactive for both power generation and
power consumption
tomorrow
Smart Grid
Source: Electric Power Research Institute (EPRI)
10
© Nokia Siemens Networks
Smart Metering
‘It takes a new way of thinking
to solve the problems that we
created by the old way of thinking.’
- Albert Einstein
11
© Nokia Siemens Networks
Thank you
12
© Nokia Siemens Networks