1. ICTs – The 98% Solution(s) Stephen Harper Global Director Environment and Energy Policy Intel Corporation Copenhagen COP 15 December 2009

2. 2 Information and Communications Technology (ICT): Improving Quality of Life in Many Ways  Providing new modes of education and training  Improving the quality and availability of health care  Enhancing personal safety  Providing increased accessibility for people with disabilities  Increasing access to information about government and increasing  Providing energy and environmental benefits

3. 3 The Micro and the Macro Story Drive Computing to Be More Energy Efficient Use Computing to Improve Energy Savings Outside Information and Communications Technology 98% The Big Opportunity ~2% * Opportunity * Source: Gartner, 2007

4. 4 “Macro Story” Evidence  American Council for an Energy-Efficient Economy (ACEEE) studied this issue and concluded: “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) “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 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

5. 5 Macro Story – Increasing the EE of Other Sectors Industrial Robots Logistics for Transportation LEED Certified Buildings Smart Motors Smart Power Delivery Video Conferencing Online Entertainment e-Commerce Paperless Office Converting Atoms to Bits On-line Banking Digital Media Content Automation Substitution De-Materialization

6. 6 Another View of Micro v. Macro Story (Courtesy: Japan IT Promotion Council) 6

7. 7 Green of IT Green by IT ＋ = Green IT 1990200520202030 Forecast for energy-derived CO 2 emissions +11% -22% [100 million tons of CO 2 ] Status quo scenario Maximum adoption scenario 8 9 10 11 12 13 14 Benefit of Green IT -450 million tons -130 million tons 7 Energy Supply and Demand Forecasts for 2030 in Japan (Courtesy: Japan GIPC) 130 million tons 20 million tons 110 million tons

8. 8 What Is Missing?  Realizing the full potential of the macro story will require: Aggressive public policies to correct market failures Aggressive public policies to correct market failures Remove implementation barriers Remove implementation barriers Provide incentives to adoption Provide incentives to adoption  Appropriate public policies include: Developing a National Strategy to guide policy direction Developing a National Strategy to guide policy direction Lead by example – government is the biggest landowner, employer, etc. Lead by example – government is the biggest landowner, employer, etc. Broadband, broadband, broadband Broadband, broadband, broadband Establish incentives and rewards for investments in EE ICT Establish incentives and rewards for investments in EE ICT Change power generators’ financial incentives Change power generators’ financial incentives Educate SMEs on the potential of the macro story Educate SMEs on the potential of the macro story

9. 9

10. 10 Develop innovative energy-saving technologies Promote using more energy- efficient products Improve productivity by the introduction of IT (ex. ERP, SCM, …) Introduce IT-driven energy-saving measures (ex. HEMS, BEMS) ■ Realization of an IT Society in Harmony with the Environment Energy consumption by IT use Contribution of IT to energy efficiency Broadband Internet Era Minimize Maximize IT Society in Harmony with the Environment Sustainable “Green IT Society”