(Bloomberg) -- Singapore Telecommunications Ltd., Southeast Asia's biggest wireless carrier, is worried about the impact of climate change on its business and wants to turn to green energy to cut its carbon footprint.
The 140-year-old company will sign an agreement by mid-2020 to purchase renewable power in Australia, a market that accounts for half of the telecommunications firm's revenue, according to Andrew Buay, head of sustainability at SingTel group.
The economics of using renewable energy in Australia is “at par or is better” than power generated from fossil fuels, Buay said in an interview, adding SingTel is also in talks for similar accords in Singapore.
The Australian pact will help the company meet as much as a fifth of the electricity needed to power its wireless networks in the country. SingTel is collecting data to study how climate change increases costs as governments levy carbon taxes, insurers charge higher premiums and investors demand greener options.
SingTel does have a “big carbon footprint” and the goal is to become carbon neutral by 2050, he said.
To contact the reporter on this story: Abhishek Vishnoi in Singapore at avishnoi4@bloomberg.net
To contact the editors responsible for this story: Lianting Tu at ltu4@bloomberg.net, Sam Nagarajan
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