World Internet Day: Exploring the Digital Impact on ESG

World Telecommunication and Information Society Day (also known as World Internet Day), celebrated on May 17th, commemorates the establishment of the International Telecommunication Union and the transformative power of the internet. This day underscores the importance of digital technologies in modern society, promoting the benefits and responsible use of the internet.

The internet and digital data significantly impact Environmental, Social, and Governance (ESG) factors. For instance, the carbon footprint of digital activities is substantial. Data centers, necessary for storing and processing digital information, consume vast amounts of energy. According to a report by the International Energy Agency, data centers and data transmission networks account for nearly 1% of global electricity use, a figure expected to rise with the increasing digitalization of our lives.

Emails, websites, and other online activities contribute to this energy consumption. An average email, including spam, emits around 4 grams of CO2, while larger emails with attachments can emit up to 50 grams. Given the billions of emails sent daily, this adds up significantly. Websites also contribute to the digital carbon footprint. For example, a website with 100,000 monthly views can generate up to 2,000 kilograms of CO2 annually, depending on its size and server efficiency.

To mitigate these impacts, companies are adopting greener practices, such as using renewable energy sources for data centers, optimizing software to be more energy-efficient, and promoting digital sobriety—encouraging users to be mindful of their digital consumption.

On the social front, the internet facilitates global connectivity, education, and access to information, promoting inclusivity and equality. However, it also poses challenges such as digital divide, privacy concerns, and data security issues.

Governance-wise, the internet enables greater transparency and accountability. It allows for better stakeholder engagement and real-time reporting on ESG metrics, fostering a culture of responsibility and sustainability.

The ESG Institute plays a crucial role in helping public and private organizations measure and reduce the impact of their IT operations, including their ESG impact. Through comprehensive assessments, the Institute provides actionable insights into energy consumption, carbon footprint, and overall environmental impact. By offering tailored strategies and tools, The ESG Institute assists organizations in adopting sustainable IT practices, optimizing resource usage, and enhancing their ESG performance. This support is essential for organizations striving to minimize their environmental footprint and improve their social and governance metrics.

In conclusion, while the internet's environmental impact is notable, its role in driving social progress and enhancing governance practices cannot be overstated. On World Internet Day, it's crucial to reflect on these impacts and strive for a more sustainable digital future.

If would would like to discuss how can The ESG Institute support you, send us a message through our Contact form. For more information, we invite you to read the article we recently published on our collaboration with Carbon.Crane