Energy efficient cloud computing

Cloud computing is the mega trend in computer technology. It enables companies and private users to outsource data and applications to the internet. This is convenient and offers various opportunities, but will have consequences for the environment, as demonstrated by a recent study carried out by the Umweltbundesamt, the Environment Agency Austria, and the German Borderstep Institute for Innovation and Sustainability. Experts assume that by 2025, the European energy demand of data centres, will increase to more than 90 terawatt hours per year due to cloud computing. This exceeds Austria’s total power consumption in one year (75 terawatt hours in 2019). The Environment Agency Austria and Borderstep have analysed how energy efficiency in cloud computing can be increased in Europe and how public procurement can help to achieve this.

Increasing demand offsets efficiency gains

The period 2010-2018 saw a huge increase in the energy demand of data centres in EU Member States, from about 54 to about 77 terawatt hours per year. Most of this demand arises in Northern and Western Europe, where most data centres in the EU can be found. In 2018, cloud computing will be responsible for 35% of the energy demand of data centres. By 2025 this share is expected to rise to 60%.

The drivers of energy demand are digitisation and an increase in the availability and use of cloud services. These developments more than offset the substantial efficiency gains that have been achieved in the last few years with improvements of hardware, software and data centre infrastructure. But the increase in the energy demand of data centres can still be slowed down. Through efforts of industry and politics, e.g. through the use of energy-efficient technology, by right approaches in research and development policy or in public procurement, it is possible to reduce energy demand of data centres to the 2010 level again by 2030.

Recommendations for green cloud computing

According to the study, a more efficient energy use of cloud computing in the future is possible, e.g. in the field of software development for compute-intensive applications such as simulation calculations and artificial intelligence. Transfer within data networks, improved utilisation of available computing resources and the use of new efficient hardware can all be improved and made less energy consuming. It is in these areas where, according to the experts from Borderstep and the Environment Agency Austria, technological innovation should be promoted. At the same time, there should be more transparency in cloud computing where energy efficiency is concerned, to enable private users and European companies to make a conscious decision when choosing environmentally friendly, digital services. Other recommendations are: developing guidelines and labels; creating incentives for environmentally friendly data centres; and adaptation of the legal framework.

In public tenders, the energy efficiency of cloud computing is currently not a priority.  According to experts, however, public bodies could become important forerunners of the use of green cloud computing, especially as public administration is increasingly using these services, e.g. for big data analysis in the health sector. So far, there are only voluntary platforms and networks in Europe, along with guidelines and standards for green public procurement for cloud computing. Environmental aspects are also absent from digital future roadmaps in the EU Member States which include internet access, data security, data transfer and data infrastructure development, but they make no mention of ecological issues.

Learning from Best Practice examples

Best practice examples, collected and analysed for this study, show us what tomorrow’s energy efficient cloud computing technologies could look like. Public and private initiatives across Europe use more efficient data centre cooling systems, feed waste heat from data centres into district heating systems, build data centres in areas that are naturally cold or supply them with renewable energy. The study on Energy Efficient Cloud Computing provides a basis for promoting sustainable development in these areas of technology as well.

Study: Energy-efficient Cloud Computing Technologies and Policies for an Eco-friendly Cloud Market

Borderstep Insitute for Innovation and Sustainability