SMART 2020 Germany Addendum. The ICT sector as the driving force on the way to sustained climate protection.

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1 . Th ICT sctor as th driving forc on th way to sustaind climat protction.

2 Situation. Climat chang is happning fastr than was prdictd just a fw yars ago. Climat chang is a thrat to businss and socity. Information and communication tchnology (ICT) can mak a significant contribution to rducing CO 2 missions in narly all industris.

3 Grmany's rsponsibility as a lading industrializd and tchnologizd nation. In August 2007, at a closd mting, th Grman fdral govrnmnt of th tim adoptd th "Intgratd Enrgy and Climat Program" (IEKP), also known as th Msbrg Program. Targt: To rduc CO 2 missions by 40 % by 2020.* * Compard to th rfrnc yar 1990

4 Th ICT industry s valu proposition. Prsntation of th global SMART 2020 study in Jun Study concpt S Standardization M Monitoring A Accountability R Rthinking T Transformation Th Climat Group which is an NGO prsntd th study "SMART 2020: Enabling th low carbon conomy in th information ag" that was producd on bhalf of th Global Sustainability Initiativ (GSI). Th study invstigatd th potntial contributions that th ICT industry could mak to achiving global climat protction goals. Th study idntifid fiv cor aras in which ICT can bring about significant rductions in missions: Smart motors (Industrial automation) Smart logistics (Logistics) Smart buildings (Building managmnt) Smart grid (Elctricity sctor) Dutsch Tlkom announcd a Grman SMART rport at th Third National IT Summit at th nd of Dmatrialization

5 . Study dsign and cor rsults. Th study shows that th ICT industry can potntially mak a considrabl contribution towards achiving th national climat goals basd on th Msbrg Program: National rduction targt rquirmnt (IEKP total) In th yar Mt CO 2 Rduction potntial (ICT total) Rduction potntial (ICT dirct) 207 Mt CO 2 13 Mt CO 2 Rduction potntial (ICT indirct) 194 Mt CO 2

6 . Considrabl contribution by th ICT industry as an nablr. This rsults in businss concpts that ar assssabl for ach of th fiv sctors that wr idntifid (assssmnt according to CO 2 rduction potntial and conomic attractivnss). Smart logistics 85.4 Mt CO 2 (.g., intllignt traffic managmnt, xtnsiv introduction of urban congstion chargs) Smart buildings 41.7 Mt CO 2 (.g., climat control systms in buildings) Smart motors 26.4 Mt CO 2 (.g., optimization of businss procsss, variabl frquncy drivs in industry) Smart grid 23.4 Mt CO 2 (.g., load and capacity managmnt for lctricity supplirs) Dmatrialization 16.3 Mt CO 2 (.g., downloading music and vidos instad of CD production, virtual confrncs) Conclusion: Th smart us of ICT solutions could rduc CO 2 missions in Grmany by up to 25 prcnt by th yar 2020 this is quivalnt to 207 mtric mgatons (Mt). Th businss valu of ths concpts is stimatd at up to EUR 84 billion by th yar 2020.

7 Gap btwn thory and practic challng: basic conditions. Th idntifid indirct rduction potntial of ICT, at 194 Mt CO 2 by 2020, is a thortical maximum potntial. Th ralistic potntial of purly markt-drivn implmntation of th businss concpts that wr analyzd amounts to 64 Mt CO 2 by 2020: Gap of 130 Mt CO 2 (approximatly 5.5 tims th annual missions of th Grman ICT industry*) Th study dscribs four barrirs (social, conomic, lgal, and tchnical) to th analyzd businss concpts that apply to varying dgrs for ach of th fiv SMART sctors. Exampls: information gaps, lack of tchnical standards, data protction concrns, chang in attitud among th population. At th sam tim, politicians and th privat sctor togthr can pursu four paths to achiv th IEKP (Intgratd Enrgy and Climat Programm ) climat protction goals: Information campaigns to ducat th population about individual contributions. Public financial support for attractiv businss concpts.** Spcial lvis/taxs as a motivation for implmnting th businss concpts. * Rfrnc yar: 2007 ** Gratr attractivnss for nd customrs,.g., as a rsult of uniform tchnical standards or advanc financing modls Lgal rquirmnts to nforc nvironmntally conscious bhavior.

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