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Energy and climate change

Implementing our climate change strategy

Our Global Energy Management Team is responsible for ensuring our strategy on energy and climate change is implemented and our targets are met. The team has created guidelines to share best practice and help local operating companies reduce energy use.

Local targets
Energy efficiency targets have been set by 14 local operating companies. Targets must be approved by local operating company Chief Executives and are reviewed by the Global Energy Management Team against our Group target.

Vodafone UK was the first local operating company to set a target to reduce its energy use – by 12.5% over three years to March 2009 – and is on course to achieve this target. Measured energy from offices and mobile telephony exchange (MTX) sites, which amounts to 45% of Vodafone UK’s total energy use, has been reduced by 11% from 2005/06. At base station sites, free cooling units, and more efficient air conditioning units have been installed to increase efficiency.

Vodafone Spain introduced a five-year Energy Efficiency Plan in 2006/07, focusing on increasing energy efficiency in the network and at switching centres. Since the launch of the strategy Vodafone Spain has reduced CO2 emissions by more than 14,100 tonnes.

Monitoring energy use
Most local operating companies calculate their energy use from annual meter readings. We are installing remote metering systems at sites that are not metered, mainly in the UK. These measure energy use every half hour, enabling us to build up a detailed picture of our energy use and identify ways to reduce it. Metered sites include office buildings, data centres and mobile telephone exchanges. We aim to install remote metering at further sites across the Group to build up a better picture of energy consumption patterns.

Some of our local operating companies employ contractors to deploy and manage our networks. Energy use from network equipment managed by contractors is included in Vodafone’s reported energy use and related CO2 emissions.

Energy audits
In the last two years, 11 local operating companies completed energy audits of their operations. These included Australia, Czech Republic, Germany, Greece, Hungary, Ireland, the Netherlands, New Zealand, Romania, Spain and the UK.

An energy audit of Vodafone Hungary in 2006/07 showed good progress against its energy efficiency targets. Energy use at 40 different sites was monitored over the year to identify ways to reduce energy use. Around 4,000 unnecessary transceivers were identified – of which 1,300 have already been removed and the remaining 2,700 have been locked. Steps have been taken to ensure energy efficiency is a priority for the technology team. In 2007/08, Vodafone Hungary installed high temperature batteries as well as remote radio heads at all its 3G sites to improve energy efficiency.

An assessment of Vodafone UK’s operations in 2006/07 showed that offices and call centres make up 15% of its total energy use. A number of relatively simple measures were identified that could significantly improve energy efficiency. In response to the audit, Vodafone UK made a range of energy efficiency improvements at its offices in 2007/08, including switching off air conditioning systems and lighting when buildings are not occupied, and replacing old lighting controls and air handling units with more modern equipment. Vodafone UK also trialled new efficient gas boilers, ran an employee energy awareness campaign and carried out a lighting audit at its stores. In addition, Vodafone UK carried out initiatives to reduce energy use from the network, installing free cooling units and more efficient air conditioning units at a range of base station sites.

Energy efficiency is an important topic at our network technology workshops, which are designed to enable local operating companies to share best practice, discuss the technical implications of implementing energy efficiency initiatives, and communicate progress. The most recent workshop was held in Istanbul in 2008 and attended by network deployment leaders and energy managers from across our operating companies.

Assuring our progress
Performance on energy and climate change is audited internally and reported to the Director of Responsibility on a quarterly basis. A report is made annually to the Vodafone Board.

Our climate change target is part of our CR commitments. This is independently audited on an annual basis and the findings are published in our Group CR Review and on the assured performance pages of this website. Our approach to CR reporting is aligned with the principles of the AA1000 Assurance Standard and financial auditing standards (see reporting).