ENVIRONMENT

BUSINESS: 295 PRACTICES


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Initiative

Ambitious Goals and Actions to Address Climate Change

Ambitious Goals and Actions to Address Climate Change
SUBMITTED FROM:

OTE GROUP

OTE Group is the largest technology company in Greece. It is one of the top three listed companies with respect to capitalization, in the Athens Stock Exchange and is also listed in the London Stock Exchange. In 2021, OTE Group employed approximately 10,500 people in Greece.

Sustainable growth is an integral part of OTE Group's business strategy, as the sustainable growth principles are integrated into its operation. Key priorities include improvement of the Group’s environmental and social footprint, as well as equal access for all citizens to the digital opportunities of the future.

COSMOTE is the unified commercial brand for all the products and services of the Group and its key message is ‘a better world for all’. Its mission is to bring technological capabilities to all, so that everyone can make full use of all the opportunities of today, while also building a better tomorrow.

Read more: www.ote.grwww.cosmote.gr.


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Objective Action

Recognizing that climate change affects life on the planet but also the entire range of economic activities, OTE Group takes an active role in dealing with it and in the transition to a zero-carbon economy, through the adoption of ambitious goals.

 

Target Audience

Tackling climate change addresses all the main stakeholder groups that have been identified by the OTE Group and are as follows:

  • Customers and potential customers
  • Businesses
  • Science, research, education
  • NGOs and interested groups
  • Media
  • State/Government bodies
  • Employees, potential employees and their representatives
  • Suppliers
  • Shareholders, bondholders, investors, analysts
 

Duration


The OTE Group's Climate Change Goals - with the related measures to achieve them - span from 2017 (reference year) to 2040, where Zero Carbon Footprint is sought.
 


Description


OTE Group is committed to a zero carbon footprint to combat Climate Change. In particular, it contributes to climate change targets - at Deutsche Telekom Group level - which were certified in 2019 by the Science Based Targets Initiative and are compatible with the reductions in greenhouse gas emissions, which are required in order to achieve the limitation of global warming by 1.5oC.

The goals were updated in 2021 and became more ambitious as follows:

  • Zero carbon footprint from energy consumption in its facilities by 2025.

           Includes emissions from natural gas, diesel and petrol consumption as well as emissions from electricity consumption.

  • Zero carbon footprint by 2040. Includes emissions throughout the Group's value chain, from the production of products and fixed equipment to its operation and finally the use of products by customers.
  • 100% use of renewable energy sources for electricity consumption from 2021 onwards.

In order for OTE Group to achieve its zero carbon footprint, it focuses, among other things, on:

  • use of renewable energy sources,
  • actions to save energy throughout the range of its activities,
  • use of ICT products and services with a small environmental footprint.

Regarding the use of renewable energy sources, OTE Group has already achieved 100% electricity consumption coverage since 2020.

The management of energy consumption, -especially in the telecommunications network and equipment- is a big challenge, not only for the next year but also in the long term and for this reason the OTE Group has set priorities for the improvement of energy efficiency concerning:

  • In the telecommunications network, with the aim of transitioning to an energy-efficient network.

Measures to increase energy efficiency in telecommunications networks include, among others, the deactivation and uninstallation of telecommunications equipment that is not used in the fixed line network, the optimization of the operating temperature of air conditioning units, the replacement of equipment with new more efficient ones, the deactivation of levels capacity during periods of low traffic. Emphasis is also placed on electric generators, especially those that cover the needs of autonomous base stations (24-hour operation). Their connection to the electrical grid or their conversion to hybrid mode using RES is considered, while an annual maintenance program is implemented.

  • In buildings, data centers and stores, with an emphasis on the rational use and efficient operation of the installed equipment.

There are initiatives to improve the efficiency of data centers. Included are measures aimed at the efficient operation of IT equipment (system integration, virtualization, rack orientation, etc.) but also the infrastructures (UPS, heating, air conditioning, ventilation systems, cabling, etc.) that are necessary for its operation. In 2021, average data center performance (as reflected in Power Usage Efficiency, PUE) improved by 7.7% compared to 2017. Efforts in this direction are ongoing, as this will offset the ever-increasing use of networks.

As far as buildings are concerned, emphasis is placed on the environmentally certified radical renovation of buildings important to the Group's operation. So far, 3 buildings have already received LEED GOLD level certification.

  • In road transport, with an emphasis on the renewal of the vehicle fleet, including external charging hybrid electric vehicles (PHEV) as well as pure electric (BEV) vehicles and also on the control of movements.

The aim is to achieve, taking into account the maturity of the market and technology, an ecological fleet of vehicles, with the possibility of charging the batteries of the vehicles on a daily basis. In this context, it is planned to replace more than 300 company vehicles with models of PHEV technology. By the end of 2021, 123 PHEV vehicles have already been integrated into the fleet. At the same time, a charging network is being developed at the facilities of the OTE Group, so that all vehicles can be charged, while provision is made for additional parking spaces for vehicle charging for visitors to the Group's facilities.
 


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Impact on Society


In 2021, OTE Group achieved very important results such as:

  • Already, as mentioned above, from 2020 the OTE Group achieved 100% of electricity consumption coming from renewable energy sources. Today we are talking about a green network - Green COSMOTE network - through which it provides its services. At the same time, the Group's direct and indirect emissions (Scope 1 & 2) were reduced by 85% in 2021 compared to 2017 (from 103 kt CO2 eq in 2017 to 15 kt CO2 eq in 2021)
  • Through energy saving actions implemented in 2021, in all activities, the Group managed to save 17.8 GWh of energy, which corresponds to the (electricity) consumption of a city of 16,000 inhabitants.
  • In OTE Group within one year (2020-2021) a 30% increase in data was recorded, while energy consumption was reduced by 9% thanks to energy saving measures being followed.
  • For 2021, indirect GHG emissions (scope 3) were estimated at approximately 590 kt CO2 eq in Greece. Over 90% of scope 3 emissions are related to supplier emissions during the production of devices, equipment, etc. (categories 1 and 2 according to the GHG Protocol) and customers' emissions when using products and services (categories 11 and 13 according to the GHG Protocol). Since 2017 scope 3 emissions in Greece have decreased by almost 40%.
     


Initiative Location

Greece


Working with Organization


Collaborations with other agencies are made on a case-by-case basis depending on the planned energy saving or emission reduction measure.
 


Workers Participation

The participation of the Group's employees is a basic condition for the systematic monitoring of energy consumption and the resulting emissions, as well as for the planning and effective implementation of energy saving and emission reduction measures.


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Benefits for Οrganization

Indicative benefits:

  • For the way it publicizes and manages the effects of its activity on climate change, OTE was rated "A-" for the first time by the international non-profit organization CDP. This year's ranking places OTE considerably higher than the European average and that of the media, telecommunications and data center services sector, to which it belongs.
  • In 2021, the implemented energy efficiency improvement projects led to energy savings of 17.8 GWh (3% of energy consumption in 2021), while avoided greenhouse gas emissions are estimated at 8.6 kt CO2 eq. At the same time, the energy savings contribute to the reduction of the Group's energy costs.
  • Positive image and reputation among the Group's stakeholders.
  • OTE Group will be better prepared to operate in a zero carbon economy.

ICT Products and Services:

Holding the temperature rise well below 2°C (Paris Agreement on Climate Change, December 2015), requires significant reductions in global emissions of 40-70% by 2050 compared to 2010 emissions. In this context, exploiting the potential of ICT is becoming imperative. According to GeSI Digital with Purpose's recent study, leveraging ICT sector products and services can lead to emissions reductions of 7 times the sector's carbon footprint, in a baseline scenario. This corresponds to a potential of 668 Mt CO2 eq in 2030 (about 1.3% of global greenhouse gas emissions). Fiber optic networks and 5G technologies are expected to make a decisive contribution to this process of digital transformation.

OTE Group recognizes the catalytic role of ICT in dealing with climate change and the opportunities created for its further development, and seeks to design related services.




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