Vodafone Sustainability & Innovation in emerging market

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Second Green Power for Mobile Regional Special Working Group Hosted by Safaricom 15 th 16 th March 2011, Mombasa, Kenya Vodafone Sustainability & Innovation in emerging market Mohammed Belfqih Senior Manager Site Infrastructure & Energy Vodafone Technology Networks (VTN) 1

The mission 2

Stronger alignment with Vodafone Goals Our Sustainability Mission Our Goals To be admired as a diverse and ethical company, operating responsibly and providing services that enable a more sustainable society for our customers Leading communications company for responsible, ethical & honest behaviour Our Objectives > Ensure Vodafone and our suppliers have an ethical supply chain > Deliver accessible products and services Leading communications company for eco-efficiency doing more for our customers with less > Reduce our CO2 emissions by 50% by 2020 > Be recognized as having the most customer-relevant sustainability initiatives in our industry > Establish joint CO2 reduction strategies with key suppliers > Build e-waste management capacity in key emerging markets Leading communications company for creating sustainable societies > Deliver innovative products / services recognized as contributing to the Millennium Development Goals > Provide 10 million carbon-reducing M2M connections 3

We need to deliver energy efficient products and services to address our ambition to be sustainable at every point in our business 4

How to get the energy situation under control? Active Equipment (Radio) Passive Equipment (Site Infrastructure) Deploy more efficient radio solutions (RRH, single RAN,.) Radio capacity sleep mode during low traffic periods Ultra low consuming Radio solution Diet BTS for rural areas Design solution Free cooling solutions (remove the need for air conditioning) Increasing temperature set points to save cooling energy Standard (energy) efficient site Design: Cooling, Power, Batteries, Towers, Shelters, micro Cabinets, Cables, Power solution Active Design Passive Power Design to real need invest prioritisation Vs site Revenue Intelligent control of energy consumption and diesel operation Green energy solution to support diesel consumption reduction in emerging market Bundling contracts with energy suppliers in EU splitting the costs with partners via active (RAN) radio sharing Energy Efficiency has to be considered as a whole 5

Some Facts: GPM Bi-annual report Energy Efficient and green technology solutions for network sites 6

Sustainability drives Innovation 7

Innovation Scope Innovative Design for Real Need Site manufacture and design; Power (grid, diesel, renewable, energy storage) Housing (shelter, cabinets) Equipment and Design Compact site Solutions Transport and Logistics Installation and Operation Reliability and Sustainability Health and Safety Cabling (power and radio) Simplification Standardization Site acquisition options (i.e. rent, lease) Visual Impact Asset sharing and monetization Fabrication Options (Pre, on-site etc.) Logistics Speed of Installation Management (Managed Services Smart Monitoring) Maintenance Efficiency Self Recovery Disaster Protection Security and Theft Health Assurance Safety (e.g. Shock Protection) Environmental (recycling, Co2, green) 8

Vodafone Site Solutions Innovation Centre in South Africa Strong Focus on emerging market Innovation Centre > Centre of Excellence with Internal and Industry experts as CO2 free building powered with renewable energy and using innovative cooling and heating technologies > Area of Innovation to serve current needs from our market & to share best practice with our experts from the Group and Partner Markets > Area to show Innovative site solutions and related economic, social and environmental impacts Innovation Scope > accelerate Time to Market for site innovation technology with best TCO, Deployment, Maintenance & Evolution > Focus on : compact site solutions, Transport & Logistics, Installation and Operation, Reliability & Sustainability, Health & Safety Innovation Sites Test bed in Live Environment > Realize innovative sites to be used as best example for sustainable solutions/ideas > Area to pilot/trial new Innovative site solutions 9

Use Innovative site solutions for driving community development 10

Innovation is not only about Best TCO Vodafone engagement in Community Power Projects Our Belief > Powering sites with renewables is the best sustainable solution where resulting excess of energy can be used for community power projects > Provision of power to the community will increase ownership of the assets and may reduce vandalism and theft > The first reasonable approach is to start with Handset and domestic Batteries charging for off Grid Communities We are pushing Pilots in different areas especially in India and Africa Several approaches Charging points at base station. For distant villages : battery and phone charging solutions are provided direct to Customers Design of solar solution according to real need : Example of Site with 1,5KW basic load Power solution DG 8KVA 3 KWp solar solution Cycling Batteries 1200 AH Use of charging points for household batteries and handset ( supposing this is minor investment as this will be taken directly from the same DC bus powering the site) Min 1KWh excess of energy per Day is possible What Could be the next reasonable approach? 11

Summary > Our Innovation Centre: > Engage with professionals from Industry to drive Innovative site solutions at emerging market > Green Solutions for network sites in rural areas are of strategic importance for our Company > Community Power Projects > Expert Partners are welcome to share Ideas and Experience with our corporate responsibility people 12

Thank you 13