Reducing the Impact of SaaS Emissions

Elisa Moscolin

Executive Vice President for Sustainability and Foundation

In this video, Elisa explores the environmental impact of SaaS, from emissions during software development to data center energy use. She talks about the drivers behind climate action in the software industry, including stakeholder demands, regulatory pressures, and climate risks.

IT sector

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Reducing the Impact of SaaS Emissions

8 mins 20 secs

Key learning objectives:

Understand the emissions lifecycle of Software as a Service (SaaS)
Identify the main stakeholders and drivers influencing climate action in the SaaS
Outline strategies for managing climate risks to enhance sustainability in the SaaS sector

Overview:

SaaS emissions mostly come from software use, impacted by code efficiency and data centre operations. Key drivers for climate action include customer demand for sustainable options, investor focus on ESG, employee preferences, and regulatory pressures. Managing climate risks, such as infrastructure and low-carbon shifts, is crucial for the industry’s sustainability.

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Summary

What are the primary sources of emissions in the Software as a Service (SaaS) lifecycle?

The primary sources of emissions in the SaaS lifecycle stem from software usage, which accounts for around 70% of emissions. This includes the efficiency of the code written by developers and the energy consumption of data centers that host the software. Embodied emissions, related to the extraction, manufacturing, and transportation of software components, represent about 30% of total emissions.

Who are the key stakeholders driving climate action in the SaaS sector?

Customers
Investors
Employees
Regulatory bodies

What strategies can SaaS companies implement to manage climate risks effectively?

SaaS companies can implement several strategies to manage climate risks, including investing in energy-efficient data center technologies, optimising software for better performance to reduce energy consumption, and transitioning to renewable energy sources. Additionally, developing resilient infrastructure that can withstand extreme weather and adapting to regulatory changes can help future-proof operations against transitional risks associated with the shift to a low-carbon economy.

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Elisa Moscolin

Elisa Moscolin is a sustainability professional with a track record of driving this agenda in global blue-chip organisations. She advises Boards and Executive teams on sustainability strategy and execution. She has worked in the ICT and Financial Services sectors. Elisa is currently Executive Vice President for Sustainability and Foundation at Sage Group plc.; Sage is a global market leader for technology for small and medium businesses and Elisa is leading its sustainability agenda. Elisa has previously worked for Vodafone Group in global and local roles in Italy, the UK and Kenya. In Kenya she worked with Safaricom, a subsidiary of Vodafone which developed M-Pesa, the iconic mobile-based money transfer and banking platform that has greatly improved financial inclusion in the country. She is an alumni of Cambridge Institute for Sustainability Leadership and holds a Master’s Degree in International Studies and Diplomacy. Elisa’s professional ambition is to contribute to shifting the business community toward more ethical and responsible business practices.

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