Vernon Fox, Head Of IS - Offshore at Mainstream Renewable Power - Sustainable Cloud : An Emerging Opportunity
Sustainable Cloud :An Emerging Opportunity Vernon Fox BSSc, PGMP, PMP, PMI-RMP Head Of IS - Offshore Mainstream Renewable Power Vernon.email@example.com 19 March 2013
Introduction There is a big opportunity to “ innovate at the boundary between Energy & Computing “The World is racing towards extensive Cloud Computing while experiencing a major shift to Sustainable Energy Sustainable + Cloud = Sustainable Cloud What is the size of the opportunity in terms of GDP growth and jobs by 2020 ? What are the specific innovation challenges in Civil Engineering, Energy Engineering, Computing Engineering ? How do you propose overcoming these innovation challenges ?
Vision Mainstream Renewable Power was founded by Dr. Eddie O‟Connor in February 2008. “ Our vision is of thriving economies and communities liberated from the restrictions of fossil fuels, using renewable energy as their mainstream source of power. “ The world is experiencing a once-off historical transition to sustainable fuels: Each one of our 195 countries must go through it. 4 fundamental issues drive this transition ; •Climate change •Ever-increasing Demand for Energy •Rising Fossil Fuel Prices •Energy SecurityThese 4 key drivers influence the pace of the transition to sustainability
Driver 1 : Climate Change “British adventurer and swimmer Lewis Gordon Pugh has become the first person to swim in the icy waters of the North Pole.” 16 July 20072012 : Biggest Arctic Ice Melt in Recorded History
Driver 2 : Exploding Global Demand for Energy •China is adding 100,000 MW to it‟s grid annually •Equivalent to „ Adding Germany „ each year •By 2030, China & India will add „ 23 Germanys „In 2009 China surpassed US to become world’s largest Energy Consumer
Driver 3 : Rising Fossil Fuel Price General JN Mattias, USMC March 2010 Richard Branson, Virgin Ian Marchant, SSE February 20101,600% Oil Price Rise 1997 – 2007..... Will it do it again by 2020 ?
Driver 4 : Security of Supply Europe will become dependent on large Gas Imports, Cash Outflows without EC intervention... ... Via a Continent-wide Grid for Natural Gas yet no equivalent for Electricity exists yet Source: EGL 2007 Source: Allianz 2010European Commission has intervened to catalyse the switch to Sustainable Energy
Crisis, what crisis ?A transition to Sustainable Energy permanently extracts us from the Energy Crisis
The Big Picture “...We can get 100 percent of our energy from wind, water, and solar (WWS) power. And we can do it today— efficiently, reliably, safely, sustai nably, and economically... ...The obstacles to this transformation are primarily social and political, not technical or economic...” Dr Mark Delucchi University of California IEEE Spectrum September 2011Supergrid is the key technology for this transformation
Mega-Trend #1 : Democratised IT for 5 Billion users2020 : a world of 15 Billion microprocessors
Mega-Trend #2 : 2010 Energy jumped to top of CIO’s Agenda Energy Costs have risen for ICT Organisations; $ 7.00 the annual recurring energy cost for every $1,000.00 invested in Datacenter kit, in 2000. $ 1,000.00 the annual recurring energy cost for every $1,000.00 invested in Datacenter kit, in 2010. Source: Bathwick Group Energy Drivers: • In 2000, ICT organisations didn’t talk about Energy: by 2010 Energy was firmly on the Agenda • This change was driven by reduced cost for Hardware, increased price in energy • What are the 3 attributes of an effective Energy Strategy for an ICT Organisation? – Guaranteed Secure Energy Supply – Guaranteed Fixed-Price Energy Supply – Guaranteed Green Energy Supply2020 : Sustainability Challenge meets Cloud Challenge
Greenpeace Perspective ? IT energy-related "smart" solutions will put consumers in command of their energy efficiency. The [E]nergy Revolution blueprint, outlines a path to 95 % renewable energy by 2050, a significant disruption by IT technologies is essential to achieving this goal. Greenpeace’s Cool IT Leaderboard rates IT companies‟ progress in achieving a 15% reduction by 2020 in greenhouse gas emission. 3 key areas are rated; • IT Climate Solutions • IT Energy Impact • Political Advocacy Published annually, the Cool IT Leaderboard is widely read by CIOs and is increasingly influential in IT Procurement strategies; 100 points The maximum score possible on the Cool IT Leaderboard. 53 points are awarded to Google in the latest report, putting them in first place. 23 points are awarded to Microsoft, tied with SAP. 10 points are awarded to Oracle, bottom of the chart, Full Report : http://www.greenpeace.org/international/cool-it-leaderboard-5/Consumer-led pressure to move to Sustainable ICT
2012 Cool IT LeaderboardICT Providers and IT Organisations need a Methodology for Improvement....
Which Sustainable ICT Methodology to use ? Capability Category Building Block ISO Green ICT Scorecard AA1000 AS 15504 14001 AA1000 APS - Alignment - - - - Strategy & Planning - Objectives Operations & Life Cycle - ICT-Enabled Business Process Processes - - - Management Performance & Reporting Common Language; Awareness, Attitudes & - - People Behaviour & Culture Adoption - - External Compliance Governance Corporate Policies Implied Mentioned Defined Covered at actionable level7 Sustainable ICT Methodologies , only IVI provides fully actionable approach
IVI : formed in 2006 to address “ IT Value “ gap Steering patronsIVI has 70 + members, strong track record in Sustainability
Sustainable ICT : Definition Definition of Sustainable ICT ICT can minimise environmental impact of ICT itself to enable chievement of broader sustainability objectives. The IVI focus for SICT is to: • Integrate management and application of ICT with organisation‟s overall sustainability strategy, objectives and posture • Provide framework to develop sustainable practices, outcomes and metrics What’s in scope What’s out of scope • Non-ICT solutions • SICT strategy and alignment with business • End consumers • Planning to meet defined sustainability goals • Government policies • Process management, measurement and reporting • Energy provision across the IT life cycle and SICT enabled business • Buildings value chain • External culture • People and culture , language and adoption • Corporate Social Responsibility that may be linked • Governance -compliance, policies and reporting with sustainability such as Human Rights, Industrial • Alignment to key critical capabilities within IT CMF Relations, Equality legislation.SICT Assessment : A Consistent Approach
Innovation ? Innovation is the creation of better products, processes, services or ideas that are readily available to society. Innovation differs from Invention in that innovation refers to the use of better and novel ideas or methods whereas invention refers to the creation of the idea or method itself. Innovation differs from improvement in that innovation refers to the notion of doing something different rather than doing the same thing better. Source: DoblinInnovation drives our civilisation
Open Innovation ? Open innovation is a paradigm that assumes Organisations can use external and internal ideas, and internal and external paths to market, as the organisations look to advance their technology Open Innovation is Innovating with partners by sharing risk and reward Prof Henry Chesbrough Center for Open Innovation University of California, BerkeleyOpen Innovation = a Virtuous Helix of Public + Private + Academic
Disruptive Innovation ? A disruptive innovation helps Create a new market and eventually disrupts an existing market, displacing an earlier technology Bellacorick: Arklow Bank: Ireland’s 1st Onshore Windfarm Ireland’s 1st Offshore Windfarm Source: WikipediaDisruptive Innovation is challenging and exhilarating
What are the Ingredients for success ?Open Disruptive Innovation fails the Cross the Chasm without 3 key ingredients
Ingredient #1 : The Virtuous Helix What’s so special about Finland?A focus on Science….. .…. An Integrated, Free Education System from Birth to PhDFinland is no accidental success
Ingredient #2 : The Right People on the Bus Open Innovators are different.... .... And can be Identified in Aptitude tests THE INNOVATOR’s DNA : HBR May 2012 5 Key Traits of the Innovator 1. Associational thinking: I creatively solve challenging problems by drawing on diverse ideas or knowledge. 2. Questioning: I often ask questions that challenge others fundamental assumptions. 3. Observing: I get innovative ideas by directly observing how people interact with products and services. 4. Idea Networking: I regularly talk with a diverse set of people (e.g., from different functions, industries, geographies) to find and refine new business ideas. 5. Experimenting: I frequently experiment to create new ways of doing things. Source: HBR, Jeff Dyer, Hal Gregersen, and Clayton M. ChristensenWe can all learn from the Great Innovators
Ingredient #2 : The Right People on the Bus Sometimes you’ll meet an exceptionally Disruptive InnovatorThe Course of History is set by the Unreasonable Man
Sustainable Cloud ? Cloud computing is the delivery of Sustainability is the capacity to endure. For Computing as a service rather than a humans, sustainability is the long-term product, whereby shared resources, maintenance of well being, which has software, and information are provided environmental, economic, and social to computers and other devices as a dimensions, and encompasses the concept utility over the internet of stewardship, the responsible management of resource use. Source: Wikipedia2 Mega-Trends Collide
Sustainable Cloud ? Sustainable Cloud computing is the delivery of computing as a service over the internet in a manner which utilises renewable energy sources, energy efficient technology and low-carbon footprint hosting facilities to deliver Highly Available, Secure and Confidential Services.Sustainable Energy + Public Cloud = Sustainable Cloud
Sustainable Cloud : National PerspectiveCushman & Wakefield : “ Data Centre Risk Index 2012 “ “ Ireland falls into the bottom half of the table for Energy Security and Sustainability “ Where could Sustainable Cloud Data Centres be built ? Ireland is 16th, Iceland is 4th, UK is 2nd
Sustainable Cloud Framework Features Sustainable Cloud computing is the 1. Sustainable Cloud Service delivery of computing as a service 1. Availability over the internet 2. Security 3. Confidentiality in a manner which utilises renewable energy sources, 2. Sustainable Energy Supply energy efficient technology and low- 1. Secure Grid connection carbon footprint hosting facilities 2. Fixed Price contract 3. Direct Energy Asset ownership to deliver Highly Available, Secure and 3. Sustainable Energy Distribution Confidential Services. 1. UPS is a storage medium 2. DC powered Servers 3. DC in, DC out 4. Sustainable Energy Use 1. Energy Efficient Management 2. Virtualisation 3. Certified Devices 5. Sustainable Building 1. Low carbon Design 2. Low carbon Materials 3. CertifiedAll Elements of Sustainable Cloud already exist....
The right Attitude helps.... Henry Ford “Today & Tomorrow” 1926
Conclusion There is a big opportunity to “ innovate at the boundary between Energy & Computing “The World is racing towards extensive Cloud Computing while experiencing a major shift to Sustainable Energy Sustainable + Cloud = Sustainable Cloud What is the size of the opportunity in terms of GDP growth and jobs by 2020 ? What are the specific innovation challenges in Civil Engineering, Energy Engineering, Computing Engineering ? How do you propose overcoming these innovation challenges ? Who can make this happen?