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Green data centres benefit the business too, says IDA

Anushkar Mohinani | April 1, 2011
Energy efficient data centres not only benefit the environment but are also said to boost cost competitiveness and build recognition of companies.

Leong Mun Yuen

Leong Mun Yuen, director, technology and planning group, IDA, speaking at the Green Data Centre Forum

SINGAPORE, 1 APRIL 2011 - "Greening data centre facilities is not just beneficial for the environment, but it makes good business sense," said Leong Mun Yuen, director of  technology and planning group for the Infocomm Development Authority of Singapore (IDA), in his opening address at the Green Data Centre Forum, which was held yesterday (31 March) at the Singapore Management University.

Leong explained that while data centres are critical, they are contributors to heavy usage of energy. Meanwhile, green initiatives present significant opportunities for data centres to reduce their energy consumption and operating costs.

Providing an added perspective, the subsequent speaker Ronnie Tay, chief executive officer of IDA said: "The rising cost of energy is a key challenge for many data centre operators as their energy bill makes up a significant portion of their operating budget." Citing Gartner's predictions, Tay said that the research firm has estimated that "energy-related costs account for approximately 12 per cent of overall data centre expenditure and is the fastest rising cost in the data centre."

Adopting green practices can thus translate into potential savings in electricity costs. Similarly, capturing these cost savings for Singapore can provide a significant boost to the cost competitiveness of the local data centre industry.  

Certified organisations

Tay continued to underline the business benefits for organisations that adopt IDA's green data centre initiative - the Singapore Standard for Green Data Centres SS564 - a certifiable management system designed to steer local data centres towards better energy efficiency. "Certified data centres not only benefit from reduced costs and higher efficiencies, they can also gain recognition from their clients and industry partners for good energy and environment management practices," said Tay. "This will help open up market opportunities," he added. 

Tay lauded the seven organisations - 1-Net Singapore, Nanyang Technological University, IBM Singapore, Keppel Telecommunications and Transportation, National Library Board, Resorts World Sentosa, and Singapore Telecommunications - for their early adoption of IDA's green initiative.

Some of these organisations have reportedly realised that reduced energy consumption of their data centres is synonymous with enhanced competitiveness.


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