Globe Commits to Improving Energy Efficiency through Network Modernization
Telecommunications in the Philippines is a growing market as Filipinos start to embrace a digital lifestyle, resulting in a high amount of data consumption. This trend requires companies like Globe to aggressively increase capacity through more equipment and site builds.
As it scales up its network, Globe also commits to improving energy efficiency. Globe recognizes that the increase in electricity consumption will significantly impact the environment and contribute to climate change.
Speaking during the GSMA panel discussion about going green, Gerard Ortines, Globe Senior Director for Network Solutions and CAPEX Management, pointed out that energy efficiency is an integral part of the company’s network transformation and climate action strategies. This enables Globe to increase its network’s operational capacity and capability while managing emissions.
“We need to remember two things to address energy efficiency. First, it should be placed as part of the network modernization strategy. As we scale up our network, we should always commit to improving our energy efficiency. And second, vendors and suppliers should be engaged to innovate. As business partners, we need to work together and design our systems to be more energy efficient as it benefits both our network and our environment,” he said.
Through network modernization, Globe can replace legacy and end-of-useful-life equipment with those that have a better capacity-to-power consumption ratio.
Currently, Globe has 13 key facilities running on renewable energy through Power Purchase Agreements (PPA), and more sites are to be added in the coming years. By purchasing renewable energy from Retail Electricity Suppliers (RES), Globe aims to encourage more investments towards clean energy in support of the Philippines’ commitment to the Paris Agreement through the Nationally Determined Contribution (NDC) to reduce carbon emissions by 75% in 2030.
The company is also engaging vendors and suppliers to drive network equipment design to be more power-efficient. Internally, Globe is looking to integrate sustainability-linked criteria such as projected emissions, energy cost savings, or green features in identifying network equipment suppliers for its projects.
Ortines also noted that while Globe is ramping up the rollout of new technologies such as 4G and 5G since they are more power-efficient, there are still challenges with consumer adoption.
A recent study by OpenSignal indicated that 81.5% of 3G-only users have 4G-capable devices since they are still using 3G-only SIM cards. On the other hand, 14.5% do not have 4G capable devices.
2G and 3G technologies are less efficient compared to 4G and 5G. Thus, Globe is encouraging its customers to change their 3G-only SIM cards to 5G-ready SIM cards for free and to upgrade to affordable 4G LTE mobile phones so that these legacy networks can be retired.
“Globe projects to build more sites and facilities in the coming years across the Philippines. Our focus will be to invest more in expanding our network reach and capacity, and we need to ensure that our consumers are able to upgrade their connectivity capabilities as well,” he said.
The company has increased its capital expenditure allocation to ₱76 billion this year to fund its network upgrade. Globe is rolling out 5G in more areas in the country and is in 1,906 5G locations nationwide as of end-September. Globe also completed its target to lay one million fiber lines this year, three months ahead of schedule.
Globe strongly supports the United Nations Sustainable Development Goal No. 9, which highlights the roles of infrastructure and innovation as crucial drivers of economic growth and development, and No. 13, which calls for urgent action to combat climate change and its impacts. Globe is committed to upholding the UN Global Compact principles and contributing to 10 UN SDGs.