Automated Transcript
In 2024, the telecom industry is undergoing a transformative period marked by stringent regulatory expectations, particularly concerning Scope 3 emissions. This broad category encompasses emissions from activities across the entire supply chain, which has become a focal point for oversight following a series of extreme weather events in 2023. The regulations are expanding to encapsulate not only direct and operational emissions but also those associated with the entire value chain.
As a result, telecom operators are now tasked with mitigating these indirect emissions to avoid regulatory penalties, safeguard their reputation, retain customers, and secure investment opportunities. The importance of sustainability is increasingly influential, with decisions related to mergers, acquisitions, and investments to stay competitive and maintain the confidence of investors. Telecom companies must align their operations with the evolving demands of both regulators and consumers.
Deloitte has outlined expectations for significant reductions in the carbon footprint of the telecom sector, driven by several forward-looking initiatives. These include phasing out obsolete copper wire and 3G networks, shifting field service fleets to electric vehicles, and introducing energy-efficient features in 5G technology. It is anticipated that these measures will lead to a reduction in carbon emissions by 2%, or 12 million tonnes of CO2 equivalent annually in 2024 and 2025.
Although the telecom industry contributes just 1.6% to global emissions, these steps are essential for sustainability, regulatory compliance, subscriber attraction, and profitability enhancement. Additional efforts are being made in adopting renewable energy, enhancing data centre efficiency, and promoting the longevity and resale of mobile phones. Amidst these industry-wide shifts, Gamma is actively advancing its sustainability initiatives with a clear strategy aimed at achieving a carbon net zero status by 2042.
Sarah Curtin, Group Sustainability Director at Gamma, shared that the company had laid out a comprehensive sustainability strategy early in 2021. Part of this strategy involves crafting a plan that charts a path for carbon reduction, identifying and leveraging opportunities to further this goal. Gamma is preparing to release a second sustainability report that will build on their history of transparent environmental disclosures.
Gamma’s strategic efforts extend to managing Scope 3 emissions through enhanced oversight of their supply chain. A crucial component for achieving their environmental targets, the company is ensuring that its suppliers are on board with effective environmental management and emissions reduction strategies. In addition to focusing on supply chain adjustments, Gamma is also bolstering its support for customers and channel partners in their own sustainability and emissions reduction efforts.
This initiative is not only a corporate responsibility but also forms an integral part of Gamma’s broader commitment to environmental stewardship. Gamma also continues to develop its social value proposition, aligning its initiatives with the United Nations Sustainable Development Goals. This includes enhancing digital equity and creating opportunities for early careers, emphasizing a continuous improvement model that engages and collaborates with external stakeholders to meet extensive sustainability goals.
