Climate Change Initiative
GeSI published SMART 2020 in June 2008 – the first major study identifying the significant contribution the ICT industry can make to creating a low carbon economy. The report also includes a series of objectives to reduce the ICT industry’s own emissions and set an example for other sectors.
We commissioned and funded the SMART 2020 study, which was carried out on behalf of GeSI by The Climate Group, with independent analysis from McKinsey.
SMART 2020: Key findings
Emissions from the ICT sector will represent an estimated 2.8% of total global emissions by 2020. But ICT will enable others to achieve significant emissions reductions, helping other industries and consumers avoid an estimated 7.8 gigatonnes of CO2e[1]emissions by 2020. That is 15% of predicted total global emissions – or five times ICT’s own footprint.
The biggest opportunities are:
- Smart motor systems: Reducing electricity consumption in industry through optimised motors and automation could save almost 1 GtCO2e in 2020, worth €68 billion ($107.2 billion).[2]
- Smart logistics: Improving the efficiency of transport and storage could save 1.5 GtCO2e in 2020, with energy savings worth €280 billion ($441.7 billion).
- Smart buildings: Making living and working spaces more energy-efficient could save 1.7 GtCO2e from building energy use in 2020, worth €216 billion ($340.8 billion).
- Smart grids: Improving the efficiency of electricity grids is the largest opportunity identified in the study – with potential savings of 2 GtCO2e, worth €79 billion ($124.6 billion).
- Dematerialisation: Dematerialising the way we live and work by replacing physical objects and activities with electronic or ‘virtual’ alternatives could save 500 Mt CO2e in 2020 – the equivalent of the total global footprint of the ICT industry in 2002.
The full report and a summary of the findings are available at the Reports & Publications page.
Follow up
We have shared the SMART 2020 findings with business, policymakers, scientists, investors, universities, research institutes and other stakeholders at events around the world. GeSI is using the report to emphasise the vital role the ICT sector can play on the road to a low carbon economy. In the run-up to the crucial climate change Summit in Copenhagen in December 2009, GeSI is calling for global leaders to integrate ICT in the agreement to succeed the Kyoto Protocol. So far, no other sector has demonstrated such potential to contribute to a global low carbon economy by helping consumers and other industries reduce their emissions.
SMART 2020 has already been widely referenced by experts in ICT and other industries, as well as in academic studies and government reports at EU and national level. Experienced technology and market research analyst, Forrester, produced an independent briefing on Smart 2020 . Their briefing helped to raise awareness of SMART 2020 among the people in the industry who can help to make it happen, including IT companies and suppliers around the world..
Global interest in SMART 2020 has led to translations of the report into French, German and Spanish with requests for further translations into Japanese and Korean. Additional research has also begun to explore the potential impact of ICT on emissions in individual countries. We have already published the findings of a US Addendum to SMART 2020, researched by the Boston Consulting Group on behalf of GeSI members in the US, and a Portugal Addendum, commissioned by the national industry association APDC. Both are available at the Reports & Publications page
Next steps
GeSI will now focus on realising the opportunities outlined by SMART 2020 in two key areas:
- Achieving the commitments made in the SMART 2020 report
- Evolving the SMART 2020 research to explore specific areas in more depth.
Achieving SMART 2020 commitments
GeSI and member companies made a series of commitments published in the SMART 2020 report. These focus on reducing the carbon footprint of the ICT sector and realising the opportunities identified to enable emissions reductions in other sectors. We plan to achieve these by:
- Working with public policy makers to ensure that the right regulatory and fiscal frameworks are in place to move us all in the right direction
- Working with organisations in the key opportunity areas – transport, buildings, grids and industry systems – to help turn potential CO2 reductions into reality, and highlight the significant opportunities offered by dematerialization
- Ensuring that energy and climate change matters are fully considered by the organisations that set the technical standards for our industry, including the International Telecommunication Union, the European Telecommunications Standards Institute and the Alliance for Telecom Industry Solutions in the US.
- Emphasising climate issues in our supply chain work to reduce emissions from manufacturing electronic equipment
Evolution of SMART 2020
GeSI will expand the SMART 2020 research to focus on individual countries and regions. Research is planned for China, India, Europe and South America in 2009 and 2010. We will also commission further research to investigate how ICT can reduce emissions in each of the key areas identified by the global report, looking first at dematerialisation.
[1] Carbon dioxide equivalent (CO2e) is based on the global warming potential of specific greenhouse gases.
[2] Financial savings are a combination of energy costs and the cost of carbon avoided, based on a price of €20 a tonne.