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Energy usage and CO2 emissions
of e-Invoicing


Study for Ministry of Economic Affairs




 Paula
Name     van Hoorik, Senior Consultant, TNO
E-Invoicing:
    Initiative from Dutch Ministry of Economic Affairs

    • Goal e-invoicing: all invoices to Dutch government digital

               Will digital invoicing indeed save energy and CO2?

    • A comprehensive study to compare 100% paper invoicing to
      100% e-invoicing




2   Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik   3-6-2010
Conclusion: E-invoicing saves energy and CO2


    • Method: Life Cycle Assessment (LCA)
      A method to quantify environmental impacts, focussing on three
      phases of every physical product: production, use and discard

    • Analyses of ‘paper invoicing” and “digital invoicing’ show that:
       • paper invoicing uses almost twice as much energy
       • paper invoicing has 1.5 times more CO2 emissions


    • Which aspects do create these savings?




3   Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik   3-6-2010
10 million digital invoices (B2G) will save 3 TJ of energy
       equivalent of gas use of 55 Dutch households

                                                     Energy (GJ)
                                                 (10,000,000 invoices)


                   7000


                   6000

                   5000
     Energy (GJ)




                   4000                                                            Transport
                                                                                   Electronics
                   3000                                                            Paper

                   2000

                   1000


                     0
                                  Paper                                  Digital

4   Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik                   3-6-2010
10 million digital invoices (B2G) will save almost 200
    tonnes of CO2       CO2 emissions of 20 Dutch residents.
                                      Global Warming Potential (CO2)
                                                 (10,000,000 invoices)


                600


                500


                400
                                                                                   Transport
      ton CO2




                300                                                                Electronics
                                                                                   Paper
                200


                100


                 0
                                 Paper                                   Digital

5   Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik                       3-6-2010
Different work processes….




6   Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik   3-6-2010
… different outcomes




7   Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik   3-6-2010
Extrapolation to all invoices in the Netherlands

    • The total annual volume of invoices: 3500 milion
    • Assuming e-invoicing has similar savings for all invoicing types

    Switching to digital invoicing for all invoices
    • saves 1 PJ     gas usage of 20,000 Dutch households
    • saves 70 ktons CO2 CO2 emissions of 700 Dutch residents

    Automatic payments and digital approval processes would
     decrease the energy use and CO2 emissions by two-thirds!




8   Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik   3-6-2010
• Report in Dutch with English summary:
      Energie- en CO2-besparing door elektronisch factureren

    • Authors:
      Paula van Hoorik, Toon van Harmelen, Marieke Head, Pieter Meulenhoff
      TNO


    • Report number: 35175

    • Website:
    http://www.rijksoverheid.nl/onderwerpen/energiebesparing/documenten-en-publicaties




9   Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik          3-6-2010
Paula van Hoorik, MSc
                                                  Senior consultant



                                                  TNO Information and
                                                  Communication Technology

                                                  Brassersplein 2
                                                  Postal code 5050
                                                  2600 GB Delft
                                                  The Netherlands

                                                  T: +31(0)15 285 7139
                                                  M: +31(0)65 142 9415
                                                  W: www.tno.nl

                                                  paula.vanhoorik@tno.nl




10   Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik        3-6-2010

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TNO study energy usage -co2 emission on e-invoicing 2010

  • 1. Energy usage and CO2 emissions of e-Invoicing Study for Ministry of Economic Affairs Paula Name van Hoorik, Senior Consultant, TNO
  • 2. E-Invoicing: Initiative from Dutch Ministry of Economic Affairs • Goal e-invoicing: all invoices to Dutch government digital Will digital invoicing indeed save energy and CO2? • A comprehensive study to compare 100% paper invoicing to 100% e-invoicing 2 Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik 3-6-2010
  • 3. Conclusion: E-invoicing saves energy and CO2 • Method: Life Cycle Assessment (LCA) A method to quantify environmental impacts, focussing on three phases of every physical product: production, use and discard • Analyses of ‘paper invoicing” and “digital invoicing’ show that: • paper invoicing uses almost twice as much energy • paper invoicing has 1.5 times more CO2 emissions • Which aspects do create these savings? 3 Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik 3-6-2010
  • 4. 10 million digital invoices (B2G) will save 3 TJ of energy equivalent of gas use of 55 Dutch households Energy (GJ) (10,000,000 invoices) 7000 6000 5000 Energy (GJ) 4000 Transport Electronics 3000 Paper 2000 1000 0 Paper Digital 4 Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik 3-6-2010
  • 5. 10 million digital invoices (B2G) will save almost 200 tonnes of CO2 CO2 emissions of 20 Dutch residents. Global Warming Potential (CO2) (10,000,000 invoices) 600 500 400 Transport ton CO2 300 Electronics Paper 200 100 0 Paper Digital 5 Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik 3-6-2010
  • 6. Different work processes…. 6 Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik 3-6-2010
  • 7. … different outcomes 7 Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik 3-6-2010
  • 8. Extrapolation to all invoices in the Netherlands • The total annual volume of invoices: 3500 milion • Assuming e-invoicing has similar savings for all invoicing types Switching to digital invoicing for all invoices • saves 1 PJ gas usage of 20,000 Dutch households • saves 70 ktons CO2 CO2 emissions of 700 Dutch residents Automatic payments and digital approval processes would decrease the energy use and CO2 emissions by two-thirds! 8 Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik 3-6-2010
  • 9. • Report in Dutch with English summary: Energie- en CO2-besparing door elektronisch factureren • Authors: Paula van Hoorik, Toon van Harmelen, Marieke Head, Pieter Meulenhoff TNO • Report number: 35175 • Website: http://www.rijksoverheid.nl/onderwerpen/energiebesparing/documenten-en-publicaties 9 Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik 3-6-2010
  • 10. Paula van Hoorik, MSc Senior consultant TNO Information and Communication Technology Brassersplein 2 Postal code 5050 2600 GB Delft The Netherlands T: +31(0)15 285 7139 M: +31(0)65 142 9415 W: www.tno.nl paula.vanhoorik@tno.nl 10 Energy usage and CO2 emissions of e-Invoicing – Paula van Hoorik 3-6-2010