Smart eyes 25% savings by using RE to power cell sites

MANILA, Philippines - Mobile phone services firm Smart Communications can potentially save up to 25 percent on energy costs by using renewable energy to power its cell sites, a study by Swedish telecom Ericsson noted.

The study pointed out that a mobile operator’s energy cost comprises about 50 percent of the company’s operating expenses. Base stations, which account for 60 percent of the total power consumption in a mobile telecom network, will be a key area for power saving, it added.

Latest version wireless base stations that incorporate software-defined-radio and other technologies offer over 50 percent power savings compared with older products such as the legendary 2G or early version 3G base stations, the study said.

Smart has been actively pursuing the installation of environment-friendly and cost-saving cell sites. The cell sites are infrastructures that form a telco company’s network, providing subscribers with good signal from their mobile phones.

Since putting up its first wind-powered cell site in 2006, Smart now has 114 “green” cell sites which run on solar or wind power, and about P140 million accumulated savings. Of the 114 green cell sites, 40 run purely on wind power and the rest are hybrid, or a combination of wind and solar energy.

“Smart is taking advantage of the abundance of wind and sunlight in our country. Green communication solutions do not only help save the earth, but are also good for business,” Smart’s transportation and access senior manager Victorio Costes Jr. said.

Majority of the green cell sites are in remote or isolated locations with enough wind or solar power. In 2006, operating an off-grid cell site that runs purely on generator power cost an average of P122,000 monthly, said Costes. About 2,000 liters of diesel fuel were consumed each month by one cell site in a remote area. Diesel cost about P51 per liter, and hauling of diesel cost P10 per liter, he added.

Last year, Smart began looking at energy-saving alternatives that could replace batteries and generator sets. “We are studying how we can use renewable energy to reduce the company’s fuel consumption and to lessen toxicity level while increasing diesel fuel efficiency,” he said.

“The DC fan may replace air conditioning units and solid-state light emitting diodes may replace our existing lights,” he added.

Smart is also exploring how it can advance the use of renewable energy in the cities, where huge infrastructure may prevent the efficient use of solar and wind power.

“We have tried our pioneering vertical axis-type wind turbine to help power our cell sites in Metro Manila. This innovation is a first in the Philippines,” Costes said.

Smart’s extensive use of green cell sites reaped the first Green Mobile Award at the prestigious GSMA Awards 2009 in Barcelona, Spain. The Asian CSR Awards 2009 also honored Smart’s Alternative Power for Cell Sites program with an excellence award.

“Smart will continuously create innovative pro-environment solutions as we provide all Filipinos with dependable and affordable communication products and services. With these green programs, the company is not only benefiting from minimized opex, but also helping save the environment,” he pointed out.

As of end-June 2010, Smart had 45.3 million subscribers on its network. Its subsidiary Smart Broadband, Inc. had 1.3 million wireless broadband Internet users.