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Energy efficiency

The continued emission of greenhouse gas will lead to long-term changes to all aspects of the climate, increasing the probability of serious, pervasive and irreversible impacts on the population and ecosystems.
The increase in the temperature, also caused by CO₂ emissions, will lead to the melting of the icecaps and the raising of the sea level.

Telecom Italia has chosen to buy energy produced only by renewable sources, making investments that reflect the principles of the green economy and committing to disseminate the importance of these decisions: today 100% of the energy required for the company comes from green sources, reducing our CO₂ emissions by over 70%.

Scenario

The concept of efficiency pertains to the relationship between the inputs of a production process and the outputs sought by that process. Energy efficiency in the ICT context has economic and environmental relevance in terms of managing the energy required.

The energy requirement and consequent consumption of the Domestic BU stands at around 2 TWh per year and the Group is the second biggest electricity consumer nationally. The electricity purchased is almost all generated from renewable sources and is therefore covered by guarantee of origin certificates, contributing to a dramatic decrease in indirect carbon dioxide emissions. Protecting the environment, improving energy efficiency and offering services that reduce emissions of greenhouse gases and other pollutants are the main intervention policies adopted by the Group to promote sustainable development in its areas of influence.

Environmental strategy

All the Group companies are inspired by the following fundamental principles: optimising the use of energy sources and natural resources; seeking to improve energy/environmental performance, minimising negative impacts and maximising positive ones; adopting purchasing policies that are sensitive to environmental themes; dissemination of the correct approach to environmental issues.

Environmental Management Systems (EMS)

Telecom Italia has an ISO 14001 certified EMS. In some situations the EMS is integrated with the Quality Management System based on ISO 9001 standard as well as with the Security Management System based on OHSAS 18001 standard.

Eco-efficiency

The Group measures its own energy efficiency by using an indicator that establishes a relationship between the service offered to the customer in terms of bits transmitted and the company’s impact on the environment represented by joules of energy consumed. The factors taken into consideration are the amounts of data and voice traffic of the fixed and mobile networks and energy consumption for industrial purposes (transmission and climate control in exchanges), domestic purposes (electricity for office use, air conditioning and heating) and

The Titoli di Efficienza Energetica (TEE) system

Also during 2015, Telecom Italia was awarded energy efficiency certificates (Titoli di Efficienza Energetica - TEE) for a total of 34 approved projects, corresponding to around 40,000 TOEs (Tonnes of Oil Equivalent) per year saved and an estimated financial value, at current prices, over 5 years, of around 40 million euros.

Consumption monitoring: internal use and supply to Customers

Consumption trends and the need to control them in real time, the ability to verify the effectiveness of optimisation activities, have promoted the creation of a proprietary monitoring system covering 42% of the group’s total consumption, through a network of over 30,000 sensors. The number of fixed and mobile network sites with sensors is 2,768. Through these remote measurements and the processing done by the “TI Green” platform, the Company is able to certify the results of improvement actions implemented.

This experience and the great number of activities and projects aimed at reducing consumption and CO₂ emissions are an asset available to customers. The offer is able to fulfil the main requirements for optimisation of consumption among the various customer segments: from medium-sized industrial companies to public administration units and big multi-site industries with an international presence.

Energy efficiency

Methodology

The Business Value, amounting to 18 million euros, consists of the following:

16 million: enhancement of the reduction of atmospheric emissions. This reduction is an estimate of energy savings as a result of energy efficiency initiatives (amounting to 95 GWh) calculated by the coefficient of 0.386411 kg CO2/kWh¹.
2 million: sale of energy efficiency certificates (Titoli di Efficienza Energetica - TEE) related to projects approved in 2015. The Social Value is an estimate of the reduction of CO₂ emissions according to the following parameters: ton CO₂ * € 203/ Ton²

¹ Emissions relating to the consumption of electricity purchased from mixed sources in the Italian market have been calculated by using the coefficient published by the GHG Protocol for 2009 - which considers the national energy mix - equal to 386 grams of CO₂/kWh.

² Source: Standford University

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