Climate Action 2010-2011

SPECIAL FEATURE | Nokia Siemens Network
Smart energy
management drives
environmental
sustainability
Anne Larilahti
Head of Sustainability, Nokia Siemens Networks
Advanced communications technology has an
important role to play in sustainable development.
In the energy sector in particular, information and
communications technology (ICT) has the potential to
slash energy use and significantly improve energy efficiency.
ICT is being deployed in novel ways across all stages of the
energy production and consumption cycle, revolutionising
energy systems and infrastructure such as the electricity
grid, electric motors, logistics and energy use in buildings.
Incorporating ICT into our energy supply networks will be
key in the transition to a low-carbon economy.
The ICT sector is only responsible for two per cent
of greenhouse gas emissions and has the potential to
reduce this. ICTs can also make important contributions
to the reduction of emissions in other sectors. This was
one of the main conclusions of the SMART 2020 report
(2008), published by the Climate Group and Global
eSustainability Initiative (GeSI).
At the moment, energy utility networks in particular
are undergoing a fundamental change, evolving from
centralised to distributed architectures, making two-way
communication critical to operational efficiency. Among
other things, two-way communication helps suppliers
provide energy on demand as well as reduce peak loads
through intelligent energy consumption.
Smart grids are driving the integration of utility
and ICT networks and, as the two infrastructures
converge, energy utilities can make use of the proven
experience of the telecommunications world. The two
infrastructures have many similarities, including the
need to reduce complexity and control costs, manage the
traffic explosion, drive environmental sustainability and
maintain customers.
Smart grids, smart metering and eMobility have the
potential to bring new competitive forces to the utilities
market. Energy utilities need partners that can help them
transform their operations and adapt to new sustainable
business models. Nokia Siemens Networks’ strong
capabilities and proven expertise in the telecommunications
world can help utilities as they adopt smart grids.
Supporting sustainable power
Software skills and experience of dynamic network
changes in telecoms are directly transferable to other
sectors. Over the past three years, Nokia Siemens
Networks has been focusing on innovations to manage
electricity grids more effectively.
Smart grids and smart meters are two of the main
enablers available for utilities as they seek to optimise the
production and consumption of electricity. Governments
are now starting to invest heavily in smart grids: the US
is calling for the installation of 40 million smart utility
meters while the Chinese government leads the way with
investments in smart grid technology projects this year
totalling US$7.3 billion.
From the demand side, the key focus is on improving
energy efficiency as both consumers and companies look
for ways to control their energy use and expenditure
in real time. Trials have shown that peak loads can be
reduced by 20 per cent by simply making the information
about the amount and cost of consumption available to
consumers. Smart meters will also help in reducing CO 2
emissions as they support feeding power into the grid
from local, renewable generation. This makes it possible
to offer more varied tariff structures to help balance peak
loads and make better use of off-peak supplies.
Mobile phone technology and billing
in the energy sector
Nokia Siemens Networks smart metering solution
is based on the same billing software being used by
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