Tag: Carbon Disclosure Project

Technology / Software

Don’t forget – where your cloud apps are hosted helps determine their carbon footprint

Greenwash
Back in July of this year (2011), the Carbon Disclosure Project (CDP), in conjunction with Verdantix, released a report titled Cloud Computing – The IT Solution for the 21st Century [PDF warning] which erroneously claims Cloud Computing is Green. Shortly after it was released, I wrote a long post outlining exactly where the report was flawed. I also contacted the CDP directly outlining my concerns to them and pointing them to the blog post.

Then, a couple of weeks back, when preparing my slides for my Cloud Computing’s Green Potential talk for the Cepis and Hepis Green IT conference in Athens, I discovered that Verdantix and the CDP had published

a new report [PDF] on the business and environmental benefits of cloud computing in France and the UK

Unfortunately, not only does the new report make the same mistakes as the original one, but it further compounds those errors with an even more fundamental one.

Let me explain.

In the key assumptions section of the report it talks about the metric tons of CO2/kWh in both the UK and French electricity grids (0.000521 tonnes and 0.000088 tonnes respectively). It uses these figures to extrapolate the savings in both France and the UK for companies migrating their applications to cloud computing.

So? You say. Sounds reasonable to me.

Well, the issue is that they didn’t do any work to identify where applications migrated to the cloud would be hosted. The implication being that UK applications migrated to the cloud, will be hosted on UK cloud infrastructure and French IT applications will be migrated to French hosted cloud infrastructure. In fact this would be a highly unusual scenario.

A quick look at where most cloud hosting takes place shows that the vast majority of it is occurring in the US, with quite a lot happening in Singapore with a lesser amount in Europe (and that split between Ireland, Germany, UK, etc. but almost none in France – Ireland is underestimated in the list as it doesn’t include Microsoft which has a significant Cloud hosting facility in Dublin which it is now expanding or Google’s Dublin facility)…

Technology / Software

Carbon Disclosure Project’s emissions reduction claims for cloud computing are flawed

data center
The Carbon Disclosure Project (CDP) is a not-for-profit organisation which takes in greenhouse gas emissions, water use and climate change strategy data from thousands of organisations globally. This data is voluntarily disclosed by these organisations and is CDP’s lifeblood.

Yesterday the CDP launched a new study Cloud Computing – The IT Solution for the 21st Century a very interesting report which

delves into the advantages and potential barriers to cloud computing adoption and gives insights from the multi-national firms that were interviewed

The study, produced by Verdantix, looks great on the surface. They have talked to 11 global firms that have been using cloud computing for over two years and they have lots of data on the financial savings made possible by cloud computing. There is even reference to other advantages of cloud computing – reduced time to market, capex to opex, flexibility, automation, etc.

However, when the report starts to reference the carbon reductions potential of cloud computing it makes a fundamental error. One which is highlighted by CDP Executive Chair Paul Dickinson in the Foreword when he says

allowing companies to maximize performance, drive down costs, reduce inefficiency and minimize energy use – and therefore carbon emissions

[Emphasis added]

The mistake here is presuming a direct relationship between energy and carbon emissions. While this might seem like a logical assumption, it is not necessarily valid.

If I have a company whose energy retailer is selling me power generated primarily by nuclear or renewable sources for example, and I move my applications to a cloud provider whose power comes mostly from coal, then the move to cloud computing will increase, not decrease, my carbon emissions.

The report goes on to make some very aggressive claims about the carbon reduction potential of cloud computing. In the executive summary, it claims:

US businesses with annual revenues of more than $1 billion can cut CO2 emissions by 85.7 million metric tons annually by 2020

and

A typical food & beverage firm transitioning its human resources (HR) application from dedicated IT to a public cloud can reduce CO2 emissions by 30,000 metric tons over five years

But because these are founded on an invalid premise, the report could just as easily have claimed:

Trends & Concepts

Lockheed Martin Going Green!

Lockheed Martin F-22A Raptor
When you hear the name Lockheed Martin – you don’t immediately think “Ah, now there’s a Green company” – they are after all, among the very largest defence contractors in the world. In 2008 70% of Lockheed Martin’s revenues came from military sales.

However, after a recent discussion with Dr David Constable, Lockheed Martin’s VP for Energy, Environment, Safety and Health, my impression of the company’s Green credentials has definitely gone up a couple of notches.

Lockheed Martin started their Go Green program in 2008 partially out of a desire to ‘do the right thing’ according to Dr Constable but also in response to increasing concern on their customer’s part to sustainability.

Submarine launch of a Lockheed Trident missile

Submarine launch of a Lockheed Trident missile

The US military, for example – America’s largest energy consumer, invested $2.7 billion last year to improve energy efficiency according to President Obama. The US Army’s Environmental Command (the US Army has an Environmental Command? Who knew?) has a comprehensive page of Sustainability Links to How-To Guides, Tools and relevant Green departments, facilities and organisations.

Similarly, the UK’s Ministry of Defence, and Royal Mail, two other large Lockheed Martin customers, both asked Lockheed Martin to participate in the Carbon Disclosure Project. According to Dr Constable, in their first year of disclosure, Lockheed Martin were amongst the top performers in their sector and, he said, this next year they aim to improve on that.

With it’s Go Green initiative, Lockheed Martin set itself a goal of reducing its carbon footprint, water footprint and waste-to-landfill footprint by 25% in absolute terms…

Business

SAP Sustainability Report 3rd quarter updates

SAP Sustainability Report 2009 quarterly updates

I have posted here in the past on just how way ahead of the pack SAP’s 2009 Sustainability Report is, however having gone through it in detail when it came out, I didn’t revisit it much until the other day.

Why did I go back to visit the Sustainability Report again recently? Because I was on a call with SAP’s Chief Sustainability Officer, Peter Graf who was telling me about the updates to the report.

SAP's CSO, Peter Graf

SAP’s CSO, Peter Graf

“Updates to a Sustainability Report?” I hear you say – yes, SAP are publishing quarterly updates on their Sustainability Report site – one of the advantages of having their report on a website, as opposed to a PDF, is the ability to update it regularly (another advantage is to be able to use website analytics software to see what aspects of the report are generating the most interest).

Anyway, I digress! While chatting to Peter on the call I realised that SAP have been populating the the updates, not just with data but also with SAP Sustainability news stories, many of which I had missed during the year! In case you have too – here’s a quick rundown of them:

  1. SAP was named as the highest ranking software company in the 2010 Dow Jones Sustainability Index – this is the fourth consecutive year SAP has been in the number one spot here.
  2. SAP Americas headquarters achieved a LEED Platinum certification – this is the highest rating given by the US Green Building Council (USGBC) for low impact buildings …