Green Energy = Big Business

Undiluted capitalism, without any environmental claims.

This post on Energy & Capital: Practical Investment Analysis in the New Energy Economy confirms conventional wisdom that energy use is on the rise, then proceeds to make a case for cutting data center costs.

The logic is as follows:

“Intel executives have said publicly that 2010 will be the year that lifetime electricity costs (about 4 years) for a single server outweigh the sticker price of the hardware. That'd be like buying a $25,000 car that used more than $6,000 per year in gas.

You'd be in the market for a more efficient car, right?

That's exactly what internet executives are thinking. At the recent Emerging Technologies conference at the Massachusetts Institute of Technology, one executive was quoted saying that ‘profits will deteriorate dramatically if data center costs don't get contained.’ "

The author, Nick Hodge, equates smart grid development with profits for investors, without any whiff of idealism.

Is his theory correct? Are energy efficient innovations going to line the pockets of those who get there first?

Helsinki’s Unusual Data Center Heating Solution

Not the usual environmental offering - a green solution that works on all levels, according to the article on CNET:

“Excess heat from hundreds of computer servers to be located in the bedrock beneath Uspenski Cathedral, one of Helsinki's most popular tourist sites, will be captured and channeled into the district heating network, a system of water-heated pipes used to warm homes in the Finnish capital.”

In addition to heating homes, the data center will use 50% less energy than a standard data center.

Lower energy bills sweeten the pot as well.

Yet another benefit is the security the cathedral will be getting as a result of having people in the basement.

Watch this space – it will be great to see this project in action.

The Challenge of Getting Rid of Old IT Hardware Responsibly

TechNewsWorld’s article looks at the answers of 206 participants from Aberdeen's "Responsible Disposal of IT Assets" study (November 2009).

The study showed that while protecting data and complying with environmental legislation are primary concerns, many companies do not have a procedure in place for getting rid of old hardware, so it is not done properly.

Check out what respondents had to say; it’s interesting to see the disparity between what people believe and what actually gets done.

For example, even though three of the top four pressures driving current investments revolve around environmental concerns, according to the article:

“Just 20 percent of all respondents identified enforcement of compliance with environmental regulations as a leading strategy, and just 10 percent currently determine business practices based on green guidelines.”

What explanation do you think is plausible for this disparity?
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Gartner’s Top 10 Strategic Technologies for 2010

As far as Top 10 lists go, it is worth listening to what Gartner has to say:

“Gartner senior analyst and mobile guru, Nick Jones, presented the strategic technologies, and defined them as the ones which will impact CIOs within the mainstream enterprise between the next 12 to 36 months.

‘Strategic technologies will drive significant change, disruption, modifications to your strategy,’ Jones said, urging all CIOs to explicitly address them in their strategy, plans and IT architecture.”

Gartner’s Top 10 Strategic Technologies for 2010 include:

*Cloud computing
* Advanced analytics
* Client computing
* IT for Green
* Reshaping the data centre.
* Social software and social computing
* User activity monitoring (security)
* Flash memory
* Virtualization for availability
* Mobile applications

Check out the article for more about each strategic technology.

Jones did mention that cost is still a factor when thinking about green decisions, which answers a question from an earlier post.

Green Data Centers: Good for Pocketbook, Good for Planet, or Both?

Green IT has taken off, with many products and services dedicated to saving energy in data centers.

Some green initiatives are strictly ideological, with an eye towards doing what is best for the environment without addressing the financial cost.

In Europe, a group of global IT firms are pooling their knowledge to create a green guide to all aspects of the data center (full article here). No mention is made in the article about where these environmentally-friendly practices fall on the spectrum in terms of price tag (more than standard, less than standard, same as standard).
Some green strategies only focus on how to save money, without a particular emphasis on the environment, although the two are obviously linked. The story How to Green Your Data Center without a Forklift, by Wayne Rash, makes the following case:

“Fortunately, there’s a lot you can do to cut your energy consumption for maximum impact and with minimal attention and effort. Even better, some of the most effective areas of energy savings don’t involve expensive new servers and upgraded cooling.”

The green IT company Viridity approached the issue from both perspectives, making the case that green IT is better for wallets and the environments. According to this article on eWeek:

“Viridity officials say their software will be able to reduce operational costs of data centers by as much as 40 percent and extend the life of data centers by several years.
Major tech players—including IBM, Hewlett-Packard and Dell—are rolling out their own green data center services, aiming to help businesses reduce energy consumption and cut costs.”
This argument is obviously the most compelling, as it speaks to the moral ground as well as bottom line savings.

Is it true? In your experience, does going green for your IT needs make sense financially, or does it necessarily come with a higher price tag?