The telecommunications industry is stepping up its commitment to sustainability through a wide collaboration among major players. As data consumption surges and new technologies like 5G and 6G expand, the sector faces growing pressure to reduce its carbon footprint.
Leading telecom companies, including BT Group, Vodafone, Ericsson, and several others, are now joining forces in collaborative initiatives to address their energy consumption, cut emissions, and foster sustainable practices across the industry, as well as throughout their supply chains.
A recent effort is the joint letter signed by the Digital Connectivity Forum (DCF), the UK Government’s advisory group on digital connectivity issues, which was backed by a number of 10 UK telcos – Virgin Media O2, TalkTalk, PXC, BT Group, All Points Fibre, Vodafone, Sky, Openreach, Ericsson and CityFibre.
At the core of this initiative brought forward by the DCF is addressing supplier engagement and engaging in the clear understanding of the three scopes of Greenhouse Gas (GHG) emissions, which explains how telecom companies measure and manage their environmental impact:
- Scope 1: Direct emissions from owned or controlled sources, such as company vehicle fleets and on-site fuel combustion. These emissions are typically minimal in telecoms but they include diesel generators and fleet vehicles.
- Scope 2: Indirect emissions from the generation of purchased electricity, steam, heating, and cooling consumed by the company. For telecom operators, this includes energy used by data centers, network infrastructure, and office facilities, often accounting for up to 25% of total emissions.
- Scope 3: All other indirect emissions occurring in the value chain, both upstream and downstream. This scope is the largest for telcos, often constituting over 50% of their carbon footprint. It includes emissions from the production and transport of purchased goods (like smartphones and other network equipment) – services provided by third parties – and the use and disposal of electronic devices.
Recognizing that the largest share of their carbon footprint often comes from indirect (Scope 3) emissions, Telco giants in the UK signed these joint letters to urge their suppliers to adopt science-based carbon reduction targets.
According to the DCF, addressing Scope 3 emissions is one of the albeit challenging but vital steps in reducing energy consumption and cutting emissions as well. The aim is to align industry-wide efforts with the Science-Based Targets initiative (SBTi), a globally recognized standard for aligning corporate sustainability actions with the goals of the Paris Agreement.
According to Edie, based on the need for suppliers to decarbonise, the letter outlined voluntary standards they can follow:
- Annual public disclosures of Scope 1 (operational), 2 (power-related) and 3 (indirect) emissions data, with independent verification for Scopes 1 and 2.
- Public disclosure of science-based carbon reduction targets.
- Setting goals to improve energy efficiency, reduce embodied emissions and increase circularity in products through reuse, refurbishment and waste reduction.
- Implementation of Life Cycle Assessments (LCAs) or Product Carbon Footprints (PCFs) in accordance with industry standards where feasible.
By setting clear environmental benchmarks and demanding transparency, they are ensuring that their supply chains are also contributing to an overall reduction in Greenhouse Gas (GHG).
These Telecom companies are also deploying a set of internal initiatives meant to optimize energy use within their networks. As such, many operators are committed to phasing out older, less efficient technologies such as copper wire networks and 3G systems.
Transitioning to more energy-efficient 4G and 5G networks will boost data speeds and also reduce the overall energy consumption per bit transmitted. This transition is further supported by investment initiatives in renewable energy, with these companies promising to power a sizeable portion of their operations using green energy.
In addition to these measures, transparency and accountability are also added to the initiatives. By regularly measuring and reporting emissions across Scope 1, 2, and 3 categories, Telecom companies are in turn creating a robust framework that would track and monitor their progress.
