STEPHEN HARPERSTEPHEN HARPER GLOBAL DIRECTORGLOBAL DIRECTOR ENERGY AND ENVIRONMENT POLICYENERGY AND ENVIRONMENT POLICY

OCTOBER 2012 OCTOBER 2012

ICTs AND SUSTAINABLE ENERGY:ICTs AND SUSTAINABLE ENERGY:Realizing the Full PotentialRealizing the Full Potential

Source: Global Footprint Network

If consumption trends continue, we will need two Earths to support us

Smart behaviors get us here

You Need to Have a Smart SocietyYou Need to Have a Smart Society To Have a Sustainable SocietyTo Have a Sustainable Society

Technology and Carbon EmissionsTechnology and Carbon Emissions

Use Computing to Improve Energy Savings Outside Information and

Communications Technology

98% = The Big Opportunity

Drive Computingto Be More Energy Efficient

~2% Opportunity

Aggregate Demand for Computing Aggregate Demand for Computing AcceleratingAccelerating

4

74.5 Quintillion

transistors shipped in 2010

OR

10 Billion transistors

per person on earth

Source: Intel/WSTS

2000-2010: 68% CAGR

80x1018

0

70x1018

60x1018

50x1018

40x1018

30x1018

20x1018

10x1018

Compared to the First Billion PCs InstalledThe Next Connected 2 Billion PCs Will…

…consume half the energy of 1st billion PCs

…deliver 17x the computational capacity

Source: Intel Microprocessor Marketing and Business Planning, and Intel iAG/PCCA Power Initiative team, PBCA-PPM

Compute

Capacity

To Build

Smarter

Societies

20071 Billion PCs Installed Base

20142 Billion PCs Installed Base

151 TeraWatt-hr

1Billion PCsComputeCapacityEnergy

320 TeraWatt-hr

½ Energy

17x

2 Billion PCs

ComputeCapacity

6

The Micro Story at the Microprocessor Level

Source: Source: ““A Smarter Shade of Green,A Smarter Shade of Green,”” ACEEE Report for the Technology CEO Council, 2008.ACEEE Report for the Technology CEO Council, 2008.

AutomobilesAutomobiles

Passenger Passenger AirlinesAirlines

AgricultureAgriculture

Steel Steel ManufacturinManufacturin

gg

LightingLighting

Computer Computer SystemsSystems

40 percent

121 percent

132 percent

167 percent

339 percent

2,857000 percent

19781978 20082008EnergyEnergy--

efficiency efficiency ImprovementImprovement

The Micro Story at the System Level

Estimated Annual Energy Consumption

0

200

400

600

800

1000

1200

Unmanaged Pentium®

Dual Processor 945 with CRT display

KW

h Con

sum

ed p

er Y

ear

(low

er is

bet

ter)

For system configuration details, please see Appendix on page 49.Performance tests/ratings are provided assuming specific computer systems and/or components and reflect the approximate performance of Intel products as measured by those tests. Any difference in system hardware or

software design or configuration may affect actual performance. This data may vary from other material generated for specific marketing requests.

Unmanaged Pentium®

Dual Processor 945 with LCD display

Unmanaged Core™2 Duo Processor E6550

with LCD display

Managed Core™2 Duo Processor E6550 with

LCD display

Managed Core™2 Duo Processor T7700 mobile platform

229

59

Going Mobile

1015 938

655

>17x Reduction

Technology and Carbon Emissions

Use Computing to Improve Energy Savings Outside Information and

Communications Technology

98% = The Big Opportunity- The “macro story”

Drive Computingto Be More Energy Efficient

~2% Opportunity– the “micro story”

“Macro Story” Evidence

American Council for an Energy-Efficient Economy (ACEEE) studied this issue and concluded:

– ICT seen as a major factor in improving energy efficiency of US economy during the Internet era

– “For every extra Kwh of electricity that has been demanded by ICT, the US economy increased its overall energy savings by a factor of about 10…” (2008)

The Climate Group and the “Global e-Sustainability Initiative” published a report entitled, “Smart 2020: Enabling the Low Carbon Economy in the Information Age” (2008), concluding:– Smart 2020 concludes that ICT strategies could reduce up to 15%

percent of global emissions in 2020 against a “business as usual” baseline

US Addendum to Smart 2020 report, prepared by Boston Consulting Group indicates that ICT strategies could reduce US carbon emissions by up to 22 percent by 2020 vs. business-as-usual

TAKE AWAY: ICT strategies offer huge potential for addressing climate challenge BUT there is a huge gap between actual performance (ACEEE) and potential (Smart 2020)

9

10

Macro Story Macro Story –– Increasing the EE of Other SectorsIncreasing the EE of Other Sectors

Industrial RobotsLogistics for

TransportationLEED Certified

BuildingsSmart Motors

Smart Power Delivery

Video ConferencingOnline Entertainment

e-CommercePaperless Office

Converting Atoms to Bits

On-line BankingDigital Media Content

AutomationAutomation SubstitutionSubstitution DeDe--MaterializationMaterialization

Smarter Generation

Smarter Transmission and Distribution

Smarter Demand-SideManagement

Grid Security, Management & Communication

Whole-Grid Modeling, Simulation, Monitoring and Control

A Smarter GridA Smarter Grid

An Example An Example -- Smart Wind: Smart Wind: Highly Optimized, Highly ManageableHighly Optimized, Highly Manageable

A modern wind turbine contains up to 16 A modern wind turbine contains up to 16 embedded Intel microprocessors to dynamically embedded Intel microprocessors to dynamically optimize direction, vane pitch, etc. to optimize optimize direction, vane pitch, etc. to optimize energy productionenergy production

Intel AMTIntel AMTTMTM and TXT ensure that remote wind and TXT ensure that remote wind farms stay running and secure via remote farms stay running and secure via remote operations centersoperations centers

In addition, network sensors communicate data In addition, network sensors communicate data to the embedded computer to monitor operating to the embedded computer to monitor operating parametersparameters

RealReal--time Weather and Wind Forecasting, time Weather and Wind Forecasting, enabled by a large cluster of High Performance enabled by a large cluster of High Performance Computing (HPC) microprocessorsComputing (HPC) microprocessors

The “Cloud” as an Energy Efficiency Driver

The Data Center and the network is The Data Center and the network is at the center of the at the center of the ““macro storymacro story””

The Carbon Disclosure Project The Carbon Disclosure Project (CDP) commissioned Verdantix to (CDP) commissioned Verdantix to examine the impact of a broad US examine the impact of a broad US rollroll--out of Cloud Computing, based out of Cloud Computing, based on extrapolation from existing case on extrapolation from existing case studies:studies:–– Huge CO2 emissions reductionsHuge CO2 emissions reductions–– Huge financial savingsHuge financial savings–– Strong positive financial ROIStrong positive financial ROI–– Indirect benefits from increased Indirect benefits from increased

business process efficiencies and business process efficiencies and organizational flexibilityorganizational flexibility

SOURCE: The Carbon Disclosure Project/Verdantix: Cloud ComputingSOURCE: The Carbon Disclosure Project/Verdantix: Cloud Computing: The IT : The IT Solution for the 21Solution for the 21stst CenturyCentury

14 14

Gap Between Actual and Potential Due to Market Failures

Lack of information re potential of various technologiesLack of information re potential of various technologies

““Principal/agentPrincipal/agent”” issuesissues

High upfront costsHigh upfront costs

Perceived small size of individual savingsPerceived small size of individual savings

Closing the Actual-to-Potential Gap Requires Smart Public Policies

Developing a National Strategy or Developing a National Strategy or ““RoadmapRoadmap”” to guide to guide policy directionpolicy direction

Lead by exampleLead by example

Fostering markets through smart government procurementFostering markets through smart government procurement

Empowering consumers by providing better access to Empowering consumers by providing better access to energy usage information and toolsenergy usage information and tools

Broadband, broadband, broadbandBroadband, broadband, broadband

Establish incentives and rewards for investments in EE ICTEstablish incentives and rewards for investments in EE ICT15

A Few Words About Broadband

The International Telecommunications UnionThe International Telecommunications Union’’s (ITU) s (ITU) Broadband Commission recently released its report, Broadband Commission recently released its report, ““The The Broadband Bridge: Linking ICT with Climate Action for a Broadband Bridge: Linking ICT with Climate Action for a LowLow--Carbon EconomyCarbon Economy””

This report highlights the central role of more and faster This report highlights the central role of more and faster broadband to realizing the promise of broadband to realizing the promise of ““Green Green byby ITIT”” or the or the ““macro storymacro story””::–– Climate mitigation via transformational changes in the economy Climate mitigation via transformational changes in the economy

via the dematerialization of physical products and systems (travvia the dematerialization of physical products and systems (travel el substitution and esubstitution and e--products and services) as well as smarter products and services) as well as smarter buildings, transport and systemsbuildings, transport and systems

–– Climate adaptation via enabling more and better climate modelingClimate adaptation via enabling more and better climate modeling, , weather information and disasterweather information and disaster--response capabilitiesresponse capabilities

Digital Energy and Sustainability Solutions Campaign (DESSC)

DESSC is:DESSC is:–– Coalition of industry, research organizations, NGOs Coalition of industry, research organizations, NGOs –– Advance policies to drive sustainable growth through ICT enabledAdvance policies to drive sustainable growth through ICT enabled

energy efficiency and clean energy innovation energy efficiency and clean energy innovation

DESSC affiliates or partners in: DESSC affiliates or partners in: –– DESSC US DESSC US –– DESSC ChinaDESSC China–– EU (ICT4EE Forum)EU (ICT4EE Forum)–– DESSC India DESSC India –– Japan (Green IT Promotion Council) Japan (Green IT Promotion Council)

Established great website as macro story portal:Established great website as macro story portal:–– http://www.digitalenergysolutions.org/http://www.digitalenergysolutions.org/

17

DESSC-US Partners

*ITI serves as the host organization for DESC

DESC China PartnersDESC China Partners

19

DESC China report “ICT Promoting China Low Carbon Development” Promotion

•• Share with government Share with government agencies, MIIT, NDRC, AQSIQ agencies, MIIT, NDRC, AQSIQ and others;and others;

•• Promotion campaign with Promotion campaign with publishing on about 270 publishing on about 270 websites;websites;

•• Listed Top in Google and Listed Top in Google and Baidu with searching word as Baidu with searching word as ““ICTICT”” and and ““Low CarbonLow Carbon””;;

•• Good feedback from multi Good feedback from multi channel.channel.

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UN Sustainable Energy for All

In 2011, SecretaryIn 2011, Secretary--General Ban KiGeneral Ban Ki--moon launched a new moon launched a new initiative, initiative, Sustainable Energy for All (SE4All)Sustainable Energy for All (SE4All), which will , which will engage governments, private sector, and civil society to engage governments, private sector, and civil society to achieve 3 major targets by 2030:achieve 3 major targets by 2030:

–– Achieving universal access to modern energy servicesAchieving universal access to modern energy services–– Doubling energy efficiencyDoubling energy efficiency–– Doubling the share of global energy generated from renewable souDoubling the share of global energy generated from renewable sourcesrces

SE4All features a heavy emphasis on private sector SE4All features a heavy emphasis on private sector engagement and partnerships across sectors and across engagement and partnerships across sectors and across governments/civil societygovernments/civil society

UN developing UN developing ‘‘best practicesbest practices’’ guidance for different industry guidance for different industry sectorssectors

–– ICT guidance focuses heavily on implementing Green by ICT and thICT guidance focuses heavily on implementing Green by ICT and the macro storye macro story

ICTs for Sustainable Energy ICTs for Sustainable Energy PartnershipPartnership

(ISEP)(ISEP)