Green datacenter opportunity

This is the new blue ocean strategy. Find a business/service/product which uses environmental resources (electricity being the biggest one), figure out a way to create new solutions to decrease their resource use and then add the green tag for branding. As an addition, if you can provide measuring systems, you have another revenue source.

The greening of data centers seems to go the same way.

ZdNet Australia has a new article on this space.

Being green, in terms of IT and datacentres, only very superficially has anything to do with saving the environment. In reality it is about cold, hard cash — and how to spend less of it.

CIOs are facing a challenge. There is a relentless demand for more powerful datacentres and the cost of power is increasing. Combine this with increasingly strict environmental laws and the issue becomes clear — IT needs to do more with less electricity.
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In order to meet these energy efficiency challenges, a series of innovations has sprung up, centred on hardware, software and datacentre design. The champion of these innovations is virtualisation.
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Sun Black box project

Kumar describes a scenario in which a virtualised server moved from performing at 10 to 20 percent of its capacity to more than 80 percent capacity.

“In real power terms, a 300 Watt server which was running at 20 Watts is actually now running at 280 Watts. You are reducing the footprint but putting in more processing power, so the power per footprint has gone up,” Kumar said.

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The sudden rise in green IT has created opportunities for vendors and business to profit from this blossoming market. Recent research from analyst firm Forrester has predicted that the global market for green IT will peak at US$4.8 billion in 2013, and then decline thereafter — as businesses reach peak efficiency.

Analyst group S2 intelligence predicts a potential market in “green accounting“, where firms pay to accurately measure their environmental impact. Such measurement would likely be software based, and would help to satisfy government regulation, customers and trading partners.

New opportunities beckon.

The Biofuels conundrum

Biofuels are a growing area of new renewable fuels to satisfy the growing demand for energy. We have had reports of biofuels increasing cost of food, enabling deforestation to grow them, life cycle costs being higher than fossil fuels. Apart from understanding life cycle costs, what we do know is that there can be unintended consequences when taking complex actions.

Well, Sreenivas Ghatty, sends me a new study from the US Department of Energy (DOE) and US Department of Agriculture (USDA) on a Biodiesel Lifecycle Inventory Study which is a “comprehensive “cradle to grave” inventory of materials used, energy resources consumed and air, water and solid waste emissions generated by petroleum diesel fuels and biodiesel in order to compare the total “lifecycle” costs and benefits of each of the fuels.”

The findings:

In terms of effective use of fossil energy resources, biodiesel yields around 3.2 units of fuel product for every unit of fossil energy consumed in the lifecycle. By contrast, petroleum diesel’s life cycle yields only 0.83 units of fuel product per unit of fossil energy consumed. Such measures confirm the “renewable” nature of biodiesel. ‘The report also notes: “On the basis of fossil energy inputs, biodiesel enhances the effective utilisation of this finite energy source.”

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The overall lifecycle emissions of carbon monoxide (a poisonous gas and a contributing factor in the localized formation of smog and ozone) from biodiesel are 35 per cent lower than overall carbon monoxide emissions from diesel. Biodiesel also reduces bus exhaust-pipe emissions of carbon monoxide by 46 per cent. The study observes: “Biodiesel could, therefore, be an effective tool for mitigating CO.”

Well, the quest continues to find the right answer. However, there are some important aspects of the issue.

Bio fuels are mainly categorized into bio ethanol and bio diesel. Ethanol has been making a lot of noise, but bio diesel has great potential.

Firstly, the food stocks that we use for the production of the fuel. Does it come from perennial trees like Jatropha and Pongamia or does it come from Corn and Sugarcane? In the later case, the food pyramid is disturbed. In the former case, we have a new cash crop to grow.

Second, whether the crops are grown on already available arable land or through deforestation of current grasslands and/or forests as we have been seeing in South East Asia. This should include taking of soil erosion and bio diversity loss.

Third, the method of production needs to be ecologically friendly.

Fourth, there can be a good case for local economic development opportunities and for farmers to utilize unused land.

I think the debate will continue for sometime now but there is a need for an alternative fuel and for all its problems, biofuels still will have a role to play.

Green Hotels

Jim Butler from Hotel Lawyer gives a set of reasons and trends for Hotels to go green.

Rule #1: Get the best consultants and advisors early.

If you are going to get serious about GREENING your hotel future, the first thing you need to do is tap some of the best GREEN resources you can find, and do it from the outset.
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For more discussion about GREEN resources, including many of The Hotel Developers Conference™ speakers and a rich library of reading, please see the rich assortment of articles in the Green Hotels topic at www.HotelLawBlog.com, particularly, “Green Hotel Lawyer: Why should you do GREEN hotel development, and HOW do you do it?”

Living buildings that produce more power than they consume – sustainable design

Kip Richardson, Director of Business Development for Ankrom Moisan Associated Architects, kicked off the day of educational sessions with a presentation entitled, “Beyond LEED: The Cutting Edge of Sustainable Design.” Richardson described some of the reasons why it is  important to take a sustainable approach to hotel design and construction.
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Richardson provided a glimpse into the future of hotel design, saying that within five years, hotel buildings may produce more energy than they consume and consume more waste than they produce. These “living” buildings will capture and treat rainwater and have zero net impact on the environment.

Hotel Financing for Green Hotels
While “green” may be the current hot trend, it will not trump other value-determining business fundamentals such as location and brand identity, panelists said. Being a green hotel developer does not necessarily guarantee funding success.

“Before you can be a green hotel developer, you have to be a hotel developer who knows how to get a deal done,” Muldavin said.

The opportunity is growing.