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GBDe 2008 Issue Group
Ubiquitous Network Society

The way ICT products/services contribute to make society sustainable

Issue Chair: Dr. Takao Shiino, Counselor, Nomura Research Institute, Ltd.
Issue Group Members: Mr. Shaio-Tung Chang, President, Chunghwa Telecom
Co., Ltd.
Mr. Junzo Nakajima, Vice President and Executive
Officer, Hitachi, Ltd.
Mr. Toshiro Kawamura, Executive Advisor, NEC
Corporation
Mr. Takashi Enomoto, Senior Executive Vice President,
NTT Data, Nihon Unisys, Ltd. (IG Member Only)

1. Introduction
This year, the GBDe issue group for the Ubiquitous Network Society has decided to
address the global environmental issue, which was cited among one of the 100
issues included in last years recommendation, but has not been taken up
individually at GBDe to date.
As we face a situation where a multitude of issues - including global warming,
climate change, environmental destruction from harmful substances, ecosystem
destruction from rapid and excessive development, and the protection of endangered
species - have come to the forefront of public awareness, various opportunities for
global dialog have been organized already this year in connection with global
environmental issues. The G8 Summit held at Lake Toya, J apan, in J uly was one
such event. Also, during the OECD Ministerial Meeting held in Seoul a month
earlier, participants agreed that information and communication technologies
(hereafter referred to as ICT) and ubiquitous networks were intimately related to
climate change, and that it was critical for all countries to collaborate to analyze the
mechanisms of these new technologies and deepen their mutual dialog.
The GBDe Ubiquitous Network Society issue group has defined the following
approach for this year, which will be the first in which this issue will be given
full-fledged attention. We will initially focus on the social issues, such as global
warming and climate change, and begin based on the understanding that such issues
related to the environment are a major obstacle to realizing the Ubiquitous Network
Society, a goal which GBDe has held for the past few years.
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The Ubiquitous Network Society is defined as one that provides solutions to a
variety of social issues by maximizing the use of ICT, and one that is creative and
overflowing with new values. These social issues not only include many within the
software/hardware and e-commerce industries that have much to do with ICT, but
also many more general ones in areas which, on the surface, may seem unrelated to
ICT, such as low birth rates and an aging population, increased participation by
women in society, healthcare and welfare, as well as safety and security. In other
words, if the application of ubiquitous network technologies is hindered because
solutions to environmental issues cannot be found, we will be unable to achieve the
Ubiquitous Network Society, meaning the aforementioned social issues will also
remain unsolved.
The group does not intend to finalize the results from this discussion in a single year,
but aims to make this an opportunity to open up to a wider range of analyses and
dialog. Our hope is that this recommendation, which was compiled by leaders in
industries related to ICT, will become a useful source of information for industry in
general, policy makers, and organizations who are active in the consumer domain.
2. The issues and a summary of directions for solutions
a. What is an Eco-Ubiquitous Network Society?
Ubiquitous network technologies have grown from previous computing technologies
based on mainframe computers to a client-server model based on PCs, and now to
an environment where we are surrounded by a broad range of information devices,
such as mobile phones and PDAs. These technologies contribute to creating new
added value and resolving social issues centering on a platform that gives people
network access, regardless of time or place. The Ubiquitous Network Society is a
concept that has been defined as a goal to be reached by 2010, based not on pipe
dreams, but on practical, real, and feasible technologies. While the degrees of
progress vary from field to field, with 2 years left to go in this plan, these
technologies have made solid inroads into society.
This year, the goal that we define for society as a whole is to create a society where
solutions will be found for many of the issues that relate to the global environmental
as an aspect of the Ubiquitous Network Society. In other words, we define the
Eco-Ubiquitous Network Society (EUNS) as a society where economic activities
enabled by ubiquitous network technologies function in harmony with the global
environment. Taking this further, we can define in harmony with the global
environment from the perspective of the following three points, for example:
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Fig. 1 Important elements for defining EUNS
Similar to the Ubiquitous Network Society, the goal of the Eco-Ubiquitous Network
Society, while using ICT as a means, is to benefit the entire society and not to
propose an eco stance with a bias towards a particular industrial sector. Rather, the
role of ubiquitous network technologies is to promote the circulation of ideas
between these different positions.
At the same time, global environmental issues and solutions to such issues that
clearly do not rely on ICT should be excluded from the scope of the Eco-Ubiquitous
Network Society. We believe, however, that examples deemed to be unrelated to the
Eco-Ubiquitous Network Society will make up only a small percentage because
ubiquitous network technologies already provide a uniform ICT environment in a
variety of economic realms and much of the communication of advanced knowledge
is being done via networks. Having said that, the premise of this project is to base
our discussions on ICT-related issues.
The industrial sectors shown in Fig. 2 are each taking their own approaches with
regard to the environment. Sector-specific approaches currently being taken in each
of these sectors include efforts to control emissions. In this context, ubiquitous
network technologies provide ways to increase the effectiveness of these
sector-specific approaches.
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Fig. 2 A society where economic activities are in harmony with the global
environment

Fig. 3 Creating a society with low-carbon emissions by using ICT

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We believe ICT has three functions that contribute to achieving a society with
low-carbon emissions as shown in Fig. 3 above. However, the Ubiquitous Network
Technology will not necessarily be accepted without any issues in these sectors.
Rather, many issues relating to the global environment and global warming are those
that businesses would like to avoid if at all possible. It is understandable from the
standpoint of traditional corporate values, where the only goal was to increase sales
and the size of a business, that businesses see these technologies as burdens that only
serve to increase their costs. We believe that there are two ways to change this
traditional mindset into one that is more eco-friendly:
(i) Growing eco into something more than a negative burden
This mindset - that the environmental issue adversely affects aspects of our businesses
and everyday lives which are directly linked to our economic activities - is the
primary obstacle to creating a society that can function in harmony with the
environment. In many cases, the reduction of workload/energy consumption or
resource conservation can entail costs that may equal or exceed those required to
purchase energy or materials. In other instances, businesses may incur expenses for
disposing of substances that they were previously able to discard free of charge.
While one may have an intellectual understanding of the importance of the global
environment for society as a whole, such exclusively bottom-line-oriented approaches
are not conducive to long-lasting solutions. Therefore, we must establish new
mechanisms whereby environmental efforts are able to grow into something more
than a negative burden.
(ii) Creating new values = The importance of eco-innovation
One way of approaching this issue would be to couple social innovation with the
global environment. Eco-innovation is a term that is coming into use at OECD
(Organization for Economic Co-operation and Development) conferences and in
Europe, and refers to an attempt to achieve two often incompatible challenges at once:
environmental conservation and economic growth. It is a mindset that demands
that we reframe some of the effects of energy-saving efforts - such as increased costs
and workloads that are often regarded to be negatives - as a new form of value within
a new social structure.
Discussions on eco-innovation can be broadly categorized into the identification of
innovation as technological innovations for maintaining the environment, and, on a
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more fundamental level, the creation and circulation of environmental value (or the
economization of activities that are in harmony with the environment). In the former
context, the powerful and potential social functions of ICT are expected to play
crucial roles, along with material engineering and energy-related technologies. In the
latter context - where the emission rights business is often highlighted in discussions
on creating environmental value - ICT is also expected to play a role similar to that
which it has played in expanding the current global financial market so that we can
maintain market operations and facilitate the circulation of value on a global scale.
b. Current state of affairs and issues regarding the Eco-Ubiquitous Network
Society
As we have described above, the Eco-Ubiquitous Network Society is one in which
environmental values of the future are created and circulated via Eco-Ubiquitous
Network Technologies - a goal and concept that currently does not exist as reality.
Therefore, in addition to describing the ideal state, we must analyze the bottlenecks
and issues that must be overcome to achieve this goal.
One advantage of taking sector-specific approaches is that participants are able to
share knowledge and experience of a particular issue with more clarity, and also
determine a clearer direction for solving similar types of issues. Manufacturing and
service industries are finding it increasingly difficult to obtain facilities and attract
human resources. Coupled with increasing demand for their products and services, as
well as quality and reliability requirements, these businesses find themselves in a
position where they are reluctant to invest in activities that will cancel out the savings
they have made through energy and resource conservation.
The situation appears slightly different in the distribution industry. Because the latter
is structured such that true optimization can only be achieved through cooperative
models consisting of the broad range of players that comprise the supply chain, the
effects of any effort will tend to be minimal unless the entire supply chain gets
involved in a common approach agreed upon by all players. In addition, it is
becoming increasingly difficult to reach agreement between these players as they
grow in size and complexity year after year. In the transportation industry, as well as
those of agriculture, forestry and fisheries, we see an ironic situation where although
operators are motivated to reduce their energy consumption and emission levels due
to rising energy costs, it is difficult to develop an eco-awareness that is shared among
consumers in general. Meanwhile, although consumers are being encouraged to show
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more understanding towards the issue, few people truly realize how issues that are not
readily apparent to them, such as energy conservation and low-carbon emissions,
can have an impact on them, making it difficult for them to make intuitive
consumption decisions. Also in the public realm, there are many instances where
approaches for reducing costs and improving efficiency for the short term do not
necessarily align with the introduction of new mechanisms for reducing carbon
emissions.
We have described the current state of affairs and issues for different sectors above. In
addition to these issues, there are those that extend across sector boundaries and those
that must be tackled by the entire society. There are many instances where localized
success is achieved through innovation and ingenuity, but the lack of a means to
communicate these experiences keeps this knowledge from being shared widely so
that it can contribute to the optimization of society as a whole. Additionally, there is
no common method for making assessments. Numbers are derived from widely
disparate formulas and criteria, creating a situation where we are forced to compare
apples to oranges. As such, we must establish a common standard for assessing these
state of affairs. In the consumer realm, cooperative efforts by large numbers of people
will be needed in order for awareness of an issue or new values to become
mainstream. We have yet to see a major social movement. In the realm of the
corporation, we note that the prioritizing of environmental issues represents the most
difficult of all business challenges faced by a corporation. Unfortunately, ongoing
efforts to achieve harmony with the environment are not necessarily consistent with
business operations, as the majority of their important challenges usually lie outside
the domain of the global warming issue.
c. Innovation through the Eco of Ubiquitous Network and Eco by Ubiquitous
Network
The Ubiquitous Network Society is a movement that needs to occur throughout
society, as well as in all industries and sectors as we have described above. The topic
of international discussions last year and this year have centered on the relationship
between the phenomenon of global warming and Ubiquitous Network Technologies
or ICT.
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(i) Foundation building by industry through the Eco of Ubiquitous
Networks
Eco of Ubiquitous Networks means services and devices enabling Ubiquitous
Network Technologies which are themselves eco friendly. According to a survey
by Gartner, Inc., carbon emissions generated by the ICT industry as of 2007 amounted
to 2% of total global emissions
1
. This figure includes the energy consumed by PCs,
servers, cooling devices, wireless and wired communication devices, LANs, and
information devices and printers used in offices, as well as energy consumed for
designing and marketing devices that are in widespread use, such as PCs and mobile
phones. It also includes energy consumed to maintain industrial and public
communication infrastructures, but it does not include energy for home electronic
devices other than the aforementioned PCs and mobile phones.
The question here is how we should assess this 2% figure. In terms of the proportion
of indirect emissions generated by different sectors during 2006 in J apan as an
equivalent of electrical power consumption, the transportation sector emitted 19.9%,
consumer businesses emitted 18%, and consumer households emitted 13%.
2
Total
emissions for all non-transportation sectors came in at 36.1%. Compared to these
figures, emission levels by the ICT sector are not overly high for a single industrial
sector, giving validity to the argument that reductions in this sector will have only a
minor effect with regard to global carbon emissions.
On the other hand, there are calls for the industry to take relative action as its
emission levels are on a par with the airline industry. Power consumption has
continued to grow to meet exponentially growing demand, and the level of awareness
in sectors related to ICT and its managers remains low.
As for the Eco of Ubiquitous Networks, we are beginning to see movements led by
the ICT industry on a global scale to reduce power consumption at data centers and
develop processes for assessing these facilities based on common indices, as well as
reducing the power consumption of ICT devices and implementing processes to
assess these devices.

1
http://www.gartner.com/it/page.jsp?id=503867
2
http://www-gio.nies.go.jp/aboutghg/nir/nir-j.html
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(ii) Carbon reduction for society as a whole through Eco by
Ubiquitous Networks
The reduction of carbon emissions by the ICT industry is an issue that must be tackled
by the entire industry. One point that distinguishes the ICT industry from others is the
fact that it forms the foundation for various other industries and sectors. In other
words, the use of Ubiquitous Network Technologies has the effect of promoting low
carbon emissions for society as a whole.
Ubiquitous Network Technologies can become the key enabler of solutions to the
sector-specific issues that we describe above. The various functions of Ubiquitous
Network Technologies (including number crunching, data processing, storage, and
sharing) provide new ways of performing tasks which were previously labor intensive
and fraught with redundancies. Network communication provides bidirectional
communication between an ever-increasing number of players spread throughout a
large geographic area. Users can now transmit large amounts of digital data easily
over the network whereas they had to previously rely on physical media such as hard
copies, or magnetic or optical media. The network has also spawned completely new
modes of usage such as virtual communities and spaces. In the area of business,
e-commerce has improved logistical efficiency and enabled major innovative leaps,
while it would be safe to say that Ubiquitous Network Technology is the basis of our
current global financial system. The utilization of information and optimization
throughout entire supply chains has had the effect of strengthening the ties between
corporations. Moreover, organizations are changing the ways in which they operate as
modes of in-house knowledge exchange are transformed.
As you can see, while the ICT industry contributes only 2% to global emissions, it
provides foundational functions to all sectors. As such, ICT and Ubiquitous Network
Technologies are expected by many to make a positive contribution in reducing
carbon emissions that are generated in industrial operations, as well as the emissions
generated by society as whole.
3. Eco-friendly functions of Ubiquitous Network Technology
Ubiquitous Network Technology performs multiple functions in many different
sectors with many different applications. The issue group for the Ubiquitous Network
Society this year collected about 60 cases via the exchange of information and
investigations into global examples. In the process of analyzing these cases, the group
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discovered that the eco-friendly functions of Ubiquitous Network Technology have
several categories with common features.
The cases collected cover a wide range of applications and come from many areas,
but can be divided into two types according to their basic nature: cases where
relatively short-term effects are expected, and long-term attempts to reform the social
structure itself. Fig.4 shows the four important functions of these two categories. The
cases collected have at least one of these functions but also often two or more of them.
In fact, there are a considerable number of cases with several functions, which save
resources as a whole. Here the cases are classified according to the function
considered to be the most important among those they possess.

Fig. 4 Eco-friendly functions of Ubiquitous Network Technology
a. Integration and joint use
There are many cases where Ubiquitous Network Technology integrates equipment
and resources and enables different entities to use them jointly. Without the exchange
of information and joint use by highly cooperating entities, the coordination of
functions to be integrated will be insufficient, and joint use will not be in an optimum
state. Only when information is jointly owned through the network, will effective
integration and joint use be realized. The following cases are included in this
category:
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(i) Advanced joint logistics using ICT
Seven-Eleven J apan, a pioneer of J apanese convenience stores, has realized a
considerable increase in efficiency by introducing a joint delivery system. In 1974,
delivery trucks carried commodities to each store 70 times a day, but the company
succeeded in reducing truck deliveries to 8.8 times, about one-eighth of the former
total, by 2006. The company established a joint delivery system, whereby a wide
variety of commodities from suppliers are collectively transported to the joint delivery
center, whereupon data concerning these commodities are simultaneously transferred
to the system, the commodities are sorted by individual stores and storage temperature
range, and then the delivery method to each store in the area is planned. This case
shows that efficient delivery is supported by the functions of Ubiquitous Network
Technology.
We have classified this case into the category of integration, but advanced control and
automation also are at work in this case at the same time. If we regard the process of
collecting many types of commodities as the first stage, the function of drafting the
delivery plan via advanced optimization, which is beyond human judgment and ability,
can be regarded as the second-stage function. However, because this is a secondary
function is based on the establishment of a joint delivery mechanism, we classified it
under the joint use category. At any rate, this is without doubt a case where the
functions of Ubiquitous Network Technology are used to the utmost extent.
(ii) Joint use of urban transportation
One of the most famous examples is Velib, the joint bicycle boarding and lighting
system, officially used in Paris, France, since J uly 2007. IC cards are issued to
registered users, with which they can borrow bicycles from unstaffed bicycle parking
sites (which are established on a city-wide basis) according to on-screen instructions.
The user can return the bicycle by placing it in the vacant rack at the bicycle parking
area nearest their destination. The fee is paid by a credit card registered in advance,
but the IC holder can use a bicycle free of charge within a predetermined period of
time. If the parking site is fully occupied and there is no rack to return the bicycle, the
networked guidance function of the system can help the user find another, nearby
parking site with a vacant rack. This system, which is operated by the City of Paris,
maximizes the usage efficiency of durable consumption resources (bicycles) without
affecting convenience. In addition, the system helps encourage the use of bicycles
over automobiles as a means of travel in the city and thus has the direct effect of
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controlling energy consumption and carbon dioxide emissions.
This case is particularly significant because it has shown the possibility that
Ubiquitous Network Technology could change the conventional view that assets are
owned and used by individuals and could thus expand the scope of assets for joint use.
However, the reason why this case has attracted attention is the fact that we can see
meanings from multiple aspects. This is one of the cases that is expected to have
long-term effects in our report, and particularly noteworthy is the impact of creating a
sense of participation among citizens. While one reason prompting citizens to use this
system is their consideration for the environment, we cannot disregard the simple
reason that it is convenient. However, as the use of the system increases, peoples
understanding of a resource-saving lifestyle in other facets of everyday life, as well as
their awareness of participation in saving resources, will also improve.
This case has often been quoted as a good example of eco-innovation that defines
movements toward resource saving and carbon reduction as stimulants for new reform
rather than backward trends.
(iii) Integration and miniaturization of equipment and its functions
The introduction of digital information, the basic function of Ubiquitous Network
Technology, is significant in this case, hence we use the term ICT here to refer to the
technology. In general, the clearest change in appearance resulting from the
digitalization of analog machines is increased compactness. In most cases,
miniaturization also leads to a reduction in the consumption of power and resources.
Examples can easily be found in almost all areas of society, ranging from the
consumer sector (e.g. digital cameras, video cameras, recording equipment, music
players, and various sensors) to industrial fields (e.g. various equipment, controls and
medical equipment).
In our case studies, we found that the objects of integration using ICT were not
limited to tangible ones but also included those which integrated related functions and
offered an effective form of use. We can find examples in a variety of equipment: for
example, cellular phones are no longer solely tools for communication; they also offer
the function of high-performance digital cameras, too, as well as simple terminals for
Internet access. In addition, cellular phones often come equipped with music and
video functions, and GPS (global positioning system) navigation capability. The
number of roles assigned to each type of machine, including cellular phones, is
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increasing year after year. If these functions were carried out by separate devices,
using individual power sources and hardware, much more energy and resources would
be consumed.
There is also increasing functional integration in copy machines, faxes and printers
for computer use, which are installed in every office. These machines have essentially
common mechanisms for paper supply, discharge and printing. By integrating these
functions onto a single platform, the instruments, which were previously introduced to
the office separately and consumed energy in the form of standby power individually,
will be combined into a single multi-function machine, achieving very effective
resource-saving.
These are the functions realized by digitalization, the basic element of ICT, and many
similar cases can be found in our daily life. A good example of hardware
incorporating integrated functions is a car navigation system with functions such as
music and DVD playback, digital TV, cellular phones, and Internet access devices.
The integration of functions is not limited to hardware and has also been implemented
positively in the areas of software and services. One example of combined services is
the one-stop service utilizing ICT functions provided by the electronic government.
This service integrates the procedures that people previously had to perform in
different sections into a single procedure and helps save substantial resources (paper,
etc.) and labor. However, this has a more important meaning in terms of
eco-innovation. What the electronic government targets is the reform of work flows
and human organizations through integration, and efforts toward this aim have been
achieving good results in many parts of the world.
(iv) Joint use of the data center and cloud computing
In the information service industry, which supports Ubiquitous Network Technology,
as well as other large-scale industries, servers used to provide information services are
often integrated into an independent facility known as a data center. The data center
is set up at an independent building or in a section of the office. It supports
Ubiquitous Network Technology itself and will satisfy increasing demand for
information services in future. At present, the ICT industry is relatively inconspicuous
in terms of carbon dioxide emissions (comprising 2% of global emissions) but in an
environment where many other industries have set specific reduction targets for their
CO2 emissions, the industry should not delay taking steps in terms of integration to
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cut its own emissions.
The system for efficiently using the data center function is also going to depend
partially on Ubiquitous Network Technology. When a business corporation builds and
operates a data center individually or for each of its divisions or business projects, it
cannot avoid designing data centers with some spare capacity and must allow some
surplus resources other than that at peak time. Moreover, air conditioners and power
supplies are not necessarily designed optimally for server operation, hence the
business must also permit inefficiencies in these areas, too.
Green data centers are an attempt to reduce the environmental load on the data center.
They integrate servers and use the CPU, direct current power source, and peripherals
with improved power efficiency so that resources are allocated flexibly according to
the load changes by using virtualization or other means. The effect of joint use in the
green data center is particularly great. For example, simply by concentrating the
servers, which have been operated separately in the server rooms of divisions of a
business, into a single site, without any other steps taken, it is possible to dramatically
decrease the power of the overhead part, which is consumed commonly regardless of
numbers and loads, by increasing the efficiency of air conditioners and managing the
power supply system more efficiently. The same principle applies here as that
explaining why central heating and air conditioning are more effective than separate
units in each room. The effect of the joint use of attached equipment and functions is
considerable.
In addition, the joint use of servers can further improve energy efficiency. This may
require a change in the software architecture. By meeting different needs, such as the
reliability of the security and operation of each work and maintenance design while
adopting mechanisms enabling joint use, such as various types of virtualization,
provisioning, and service-oriented architecture (SOA), it will be possible to absorb
load changes on individual applications via the effects of integration.
Cloud computing is a concept that further improves these joint-use systems. This is
the idea of jointly using service functions named cloud for each block of effectively
working computer resources, such as hardware, database function and software as a
service (SaaS). The resource saving of the data center is expected to be significantly
improved with the sophistication of the joint-use mechanism of computer resources,
ranging from simple concentration of the areas in which servers are installed to the
joint use of resources by virtualization and to cloud computing.
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b. Visualization and collaboration
One of the functions of Ubiquitous Network Technology is the visualization of
phenomena via means such as various physical sensors, mechanisms that digitize and
analyze diverse phenomena in a business to show them visually, and social sensors
(systems for measuring information in the world by analyzing traffic on the network
and the meaning of content). In some cases, as a further step of visualization, a
collaborative model is used for total optimization in a broader scope. The following
are some attempts to visualize time-series comparison and comparison with other
elements and link them to total optimization rather than simple improvement of
numerical values within a narrow scope:
(i) Delivery plans and the optimization of distribution
The practice of drafting a delivery plan based on integrated information using ICT
functions, such as by optimizing salespersons routes in the well-known travelling
salesman problem, is relatively well established, while plans to establish delivery
bases and the joint use of these bases according to the delivery plan are increasing.
Although optimization in this field will make tasks more complicated due to the
expanded scope of distribution, it will also bring about important resource-saving if it
succeeds in enhancing efficiency.
Attempts to further reinforce simple optimization in a narrow scope have begun to
appear everywhere. UNITRA, the distribution information platform service
developed by Nihon Unisys, is a good example where the functions of visualization
and collaboration are applied to distribution. Using UNITRA, the company provides a
service of identifying the identification number assigned to each commodity in the
distribution site via automatic identification technology, such as IC tags and barcodes,
and collecting and storing information concerning the movement of commodities
via the Internet. This is a SaaS service is provided on a platform where the user can
check and analyze the history of commodity movement, regardless of time or place,
via the Internet.
(ii) Simulation of production plans and the optimization of supply chains
The term visualization was originally used for quality control. However,
visualization also helps grasp the state of each production line and the physical
condition, quantity and geographical location of the components/parts and is thus
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applicable to the entire production plan of manufacturers and enables total
optimization to work more effectively. In the past, production plans and simulations
were mainly carried out in a small unit on general spreadsheet software based on
personal knowledge and experience. This tendency is especially strong in small and
medium manufacturers. However, an environment where packages with advanced
optimization functions can be applied to a wide scope of supply chains is now being
created, and the role of Ubiquitous Network Technology in such a field is growing
greater year by year.
Broadening the scope of the application is especially important. The optimization of
only the production process in the individual manufacturing sector should be effective,
but in most cases, partial optimization to a certain degree has already been completed
by the end of the 20th century in the manufacturing industry, especially in industrial
countries. To achieve resource-saving by more radical optimization in coming years,
there is a need for total optimization based on a collaborative model of the entire
process. To attain this, there should be the application of Ubiquitous Network
Technology capable of sharing data promptly over a wide scope and a mechanism for
enabling different entities to make common judgments by visualization.
(iii) Optimum use of resources (recycling, rare metal management, etc.)
As seen from the viewpoint of the effective use of resources and the recycling of
recyclable mass-consumption materials, scarce resources, and substances which
would have serious effects on the environment if discharged as they are, ICT
equipment uses considerable scarce resources in its hardware. RFIDs, censor
networks, and other advanced equipment comprising Ubiquitous Networks have
structures incorporating a vast number of constituent elements working in tandem and
thus exert a considerable effect on the environment, although microminiaturization
minimizes the use of scarce resources in each case. Therefore, ICT equipment
recycling is one of the areas where a new material cycle is expected to come into
being.
Attempts to realize the optimum use of resources have been made for chemical
substances, rare metals and mass-consumption materials (e.g. empty cans, used paper
and PET). ICT-related industries should play an important role as users of these
resources, while at the same time, providers of infrastructure for the efficient
management of these substances. What attracts our attention is the aspect in which by
using Ubiquitous Network Technology, such as RFID and databases, as a means of
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managing the recycling flow, it will also be possible to reduce recycling costs as well
as energy consumption and greenhouse gas emissions in the recycling process.
In J apan, the J apan Article Management Promotion consortium (J AMP) is discussing
the management of resources in supply chains. Recently, there have been increasing
cases where ICT is positively utilized to boost the efficiency of recycling activities
and save resources.
c. Sophistication and automation of control
Another function of Ubiquitous Network Technology is the ability of the technology
to make real-time and intelligent judgments based on data. This technology can
perform control and management tasks with much fewer errors and far more carefully
compared with those done by human judgment. On the other hand, Ubiquitous
Network Technology has some weak points, such as the loss of effectiveness in
exceptional phenomena and under circumstances where estimation must be made
cases outside the scope indicated by data. Even so, the technologys important ability
to manage numerous control tasks on a 24-hour basis contributes significantly to
resource-saving throughout the entire society, under circumstances where the number
of objectives to be controlled and devices requiring automation are increasin1g.
(i) Automatic sleep and control of electric equipment via the sensor
function
The advantage of using electric energy is the fact that energy consumption can be
controlled relatively easily. In addition, as continuous power control, from on/off
control to temperature control, can be performed automatically by combining
appropriate sensors, it is already possible, both theoretically and technically to
eliminate frequently seen wastage whereby equipment is left on even while not in use.
A system whereby lights are switched on and off using an infrared sensor has
gradually been introduced, while certain food service industries are attempting to
control electricity consumption at peak times by establishing a network in the kitchen,
which integrates cooking, air conditioning, and lighting systems, to monitor power
usage. They say that they could boost power efficiency by about 10% by operating the
cooking equipment only when needed. Instances of increasingly sophisticated sensors
have appeared one after another; Sharps ranging sensor, capable of measuring the
distance between a human and his/her PC, is among noteworthy attempts to guarantee
reliable operating conditions.
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The use of this function is gradually expanding from the basic and simple control of
single elements into that of an entire system; comprising various types of equipment
within a wider area. In a series of efforts for the next-generation living environment
(known as home information appliances, smart home, and digital home), the
proper control of electrical appliances is one of the targets of technical development in
most cases, and future developments are expected in this field.
(ii) Fuel injection control
For machines using power directly, such as automobiles, the control of fuel substances
is an important factor that significantly affects fuel efficiency. For automobiles
equipped with large capacity multi-cylinder engines, the characteristics of the output
required during running change very diversely. With this in mind, the fuel efficiency
of this type of automobile can be significantly increased by combining an
unprecedented type of control (e.g. reducing the number of operating cylinders when
the output is low) with the logic of fuel injection that has been improved to date.
Leading automakers in J apan are also adopting this type of control system. If the
control system is improved further by covering various other control elements, such
as the distance between cars and road conditions, there will be a dramatic
improvement in efficiency.
As in other cases, further enhanced efficiency can be expected if efforts for total
optimization are made by expanding the scope of control from fuel injection into
other areas, including transmission and air resistance.
(iii) BEMS and HEMS
The mechanism for controlling energy consumption within a spatial environment, i.e.
offices, houses, and business-use buildings, is called a building energy management
system (BEMS) for office buildings and a home energy management system (HEMS)
for houses, respectively. Both are systems for controlling energy consumption via
careful, effective, and continued control using Ubiquitous Network Technology.
Chunghwa Telecom in Taiwan offers the Intelligent Environment Service Network
(IENet) as a new service. BEMS is regarded as one of IENets comprehensive
services and offers complete control of air conditioning, lighting, and other equipment
by using various sensors to monitor temperatures, quantity of light, carbon dioxide
emissions, human movements and other physical quantities. While Chunghwa
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Telecoms operation center uniformly processes the information from these sensors,
the office building using the IENet is equipped with a device known as a control
server.
IEnet is also helping the energy service sector verify their energy efficiency. Again, it
is very important to maintain agreements in the service level between customers and
those energy service companies, since the power saving rate or relate index are not
always easy to be predicted and managed as promised. Sometimes internal and
external fluctuation in the environment or difference in understanding of the service
level between customer and service providers may cause technical trouble. In these
cases, the accurate and dependable monitoring of energy consumption is always
important.
With these functions, BEMS including IEnet can offer a total cost savings which
covers its initial setup cost in a certain period of operation. And it is also the key issue
from the viewpoint of society to lower the barrier of setting up cost of these
management systems. Chunghwa Telecom is also going to provide a new promotion
plan for owners of buildings to easily employ these systems without worrying about
too much initial cost.
The HEMS is the mechanism for automatically saving energy use with sensors and
controllers installed in the house, and it does not require the occupant to do anything.
The experiments conducted by the New Energy and Industrial Technology
Development Organization (NEDO) in J apan showed that the HEMS cuts domestic
energy consumption by 11%.
d. Replacement of existing means and dematerialization
The function of Ubiquitous Network Technology, which is the most basic but whose
direct effects can be felt most easily, is probably the replacement of existing means
with new systems using this technology. This means replacing activities that
previously depended on tangible things with new ones by computerization and
networking and is often expressed by the term dematerialization. There are many
cases aiming to achieve a more advanced way to use information by computerization
instead of simple replacement of means. In addition, it has become possible to carry
out tasks effectively without any actual human movement by using network functions.
If voice communication is combined with advanced image communication, it will
become possible in future, for example, for a medical specialist in a remote location to
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perform a simple operation.
(i) E-billing, electronic payment, and electronic money
There have been many cases where mainly telecom firms and financial institutions
have replaced traditional paper-based reports of transaction histories, etc. with
electronic means. This enables them to cut mailing costs much more than the saving
of paper resources and, at the same time, enhance the efficiency of material movement.
Electronic payments and the use of electronic money in low value transactions also
have the effect of controlling the unnecessary transfer of material and can be included
as a successful example of dematerialization. The characteristics commonly observed
in many such cases are the fact that they not only emphasize greater convenience for
the users but also offer them direct benefits, such as discounts on fees and the
provision of points. To encourage the users to change their awareness, which
acceptance of the new style requires, a straightforward strategy for appealing to their
sense is adopted in most cases.
This computerization is also gradually expanding its scope from simple
computerization in a narrow scope to data integration over wider areas. For example,
computerization is provided in a form allowing more advanced analysis, while there
are also moves to enhance electric moneys interoperability with other currency point
systems in order to enable cross-border use.
(ii) Electronic paper and electronic panels
In addition to the use of electronic means for notices from businesses, information
concerning the settlement of accounts and other paper substitutes, attempts to replace
the roles previously played by paper with electronic panels, by which new,
unprecedented values can be felt, are increasing for books, newspapers, advertising
media and shelves at stores. In many supermarkets, price labeling on commodity tags
has been replaced by liquid crystal labeling. In addition, supermarkets can now appeal
to customers more effectively by integrating commodity management using the RFID
at the same time and adjusting the price more efficiently and in a more detailed way.
(iii) Remote medical care, remote education, and e-community meetings
The application of Ubiquitous Network Technology within the community via its
remote communication function can be seen in, for example, scenes of remote
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medical care and remote education. The characteristics of these services (eliminating
the need for actual travel) are a good example where the pursuit of convenience
combines well with activities based on a resource-saving lifestyle.
The consumer areas to which computerization would be applicable have been adopted
as part of the debate concerning the Ubiquitous Network Society and cover many
sectors, such as medical care, education, disaster prevention, daily life, and
community activities. In particular, interesting attempts to seek out a new desirable
template for the communities include efforts to revitalize regional communication
within each community association and in each school district of elementary
schools using networks. As for achieving a society with low carbon emissions, it is
often said that emissions of greenhouse gases from peoples daily lives make up a
very considerable share. This objective is particularly significant, because the use of
Ubiquitous Network Technology in achieving the same can stimulate public
motivation and also encourage people to take part in activities to reform the state of
society.
(iv) Electronic decision-making, electronic vouchers, video conferencing,
and telecommuting
The dematerialization function of Ubiquitous Network Technology is also effective
for decision-making, voucher tasks, meetings, documentation and other office work
that is carried out on a daily basis in all industrial fields. Under circumstances where
the hours at home and those at the office account for the greater part of the lives of
people today, a variety of mechanisms to make the office environment and work flows
more efficient and effective are being developed.
Video conferencing has the effect of reducing the movement of people and directly
cutting energy consumption. However, reasons for the lack of widespread penetration
of such technology are said to include the communication environment lacking the
ambience of actual meetings and difficulties in catching the nuances of words.
Nevertheless, some communication telecom firms and ICT industries have introduced
a series of systems for holding video conferences full of ambience that would leave
participants completely satisfied, by adopting high-resolution, wide-screen, and
real-time image communication.
Here again, we confirm the difficulty of swaying public opinion in favor of activities
targeting resource saving and low carbon emissions by themselves. In order to work
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for people more effectively, these activities should be combined with efforts to
emphasize the effect whereby Ubiquitous Network Technology enhances convenience
and to urge people to change their basic sense of value.
4. Challenges for the future
As stated above, in an effort to address the social problem of creating a society with
low carbon emissions by using Ubiquitous Network Technology, a variety of means
have been proposed and introduced mainly for the short term range. The short term
functionality of these technology is mainly based on existing infrastructure and
systems in society, and will surely be effective in reducing a certain amount of carbon
dioxide emissions. However, this short term effect is not sufficient to achieve the
common goal set by the Kyoto Protocol, since we just have begun those efforts
independently and non-systemically. In order to be systemic and more effectively
reduce emissions, more radical societal transformation is essential. A change in
mindset is expected to be the key issue for all stakeholders.
As shown in Figure 4, the long term functions of the Ubiquitous Network Technology
will be found as:,
1) Creation of New Value and Visualization and Distribution
2) Recognition of the Meaning of Participation
3) Sharing of values and Agreement on Evaluation
4) New Code of Conduct and Sound Business Models. We will continue to
discuss about these points in the future activity of this issue group.
Also, by analyzing the cases, we found three significant categories in how the long
term functions will actually be recognized from the viewpoints of business. First,
there are cases where remarkable cost reduction is observed as a result of
resource-saving and sufficient motivations other than environmental value are
guaranteed. The second type of cases are those where new convenience can be fully
realized and utility values exceeding cost recognized, hence resource-saving is
achieved. Finally, there are cases where non-monetary motivation is summed up:
while people are fundamentally unable to perceive any direct advantage, most jointly
recognize the importance of an attempt and intend to participate in the same; even if
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they have to pay monetary costs or devote human labor.
In the first two types of cases, world nations can be expected to make numerous
attempts and share the knowledge thus obtained, which would tend to facilitate
various new attempts in future. However, for the third type of case, the key will be
how to jointly accept the value of acts that are not always attractive in the present
value system. In other words, there will be the need to try to solve fundamental
problems by achieving the creation and circulation of a new code of conduct and new
values in the world of e-commerce and e-business.
In addition, there may have been certain cases where people frankly considered: Will
the attempt really have positive effects on the environment? The fact that it is not
always easy to objectively prove absolute validity also contributes to the complexity
of environmental problems. In most cases, under circumstances where attempts to
change the status quo will reduce a certain aspect of energy consumption, yet increase
the energy use of another, with conflicting conditions, effectiveness can be advocated
using hypotheses and preconditions. In this respect, it will become necessary for most
people to make objective judgments at an early stage based on common understanding,
and the consensus formed in this process will become a value. In this sense, SI-LCA,
the assessment technique provided by Hitachi, Ltd. could become an important
method for establishing a basis for common understanding. The verification via a
global environment simulation and other large-scale experiments also plays an
important role in building up common understanding.
Carbon credit markets, the CDM (Clean Development Mechanism), environmental
currencies, environmental points and other similar concepts represent pioneering
efforts to create and disseminate new values based on this common understanding.
Ubiquitous network technology is also expected to incorporate the function of sharing
various successful and unsuccessful experiences on environmental issues occurring
everywhere worldwide. The roles of Ubiquitous Network Technology that are shown
as early signs in services prompting action, such as educational content, databases for
assessment, venues for the exchange of opinions (including NGOs, etc.), and Climate
Savers are also important. Efforts to facilitate further communication and exchange
ideas will gradually help clarify the outline of the new values that would represent the
core of long-term environmental measures.
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5. Proposals to the stakeholders concerned
In September 2008, the IG for the Ubiquitous Network Society of the GBDe held a
workshop of specialists to assemble proposals for this report by inviting experts from
various related sectors. The important proposals offered by the panelists at the
workshop are summarized below. These are the responses from the experts to the final
question concerning the matters that they considered particular priorities, provided
following an active exchange of opinions. They have been analyzed and reorganized
for this report.
As proposed in the past Ubiquitous Network Society issue groups, the PDCA (Plan,
Do, Check and Act) cyclic improvement approach is again the key to involve as many
stakeholders as possible. The Eco-Ubiquitous Network Society cannot be realized
by a single stakeholder. Collaboration of all stakeholders is very important in building
the Eco Ubiquitous Network Society.
Also, continuous improvement of policies is more important than spending too much
time to make a single legislation or strategies that will only be effective for a short
period of time. Since flexible and agile strategies are required in many economies
and communities, the PDCA approach is very popular worldwide.
All related entities must recognize that they are the participants and stakeholders in
Eco Ubiquitous Network Society, and they are equally expected to play roles in the
PDCA cyclic approach.
a. Important matters for the industry
(i) Improvement of accountability
As a precondition for creating a consensus, the industry should take responsibility for
explaining the acts they have done. Likewise, when they request cooperation from
other stakeholders, they should positively disclose related information, which will
also function as a means of public relations for them. Not limited to their own product
and services, but possibly even more information about partial components and
outsourced services should be opened to the public under consideration of other
factors like confidentiality or security.
Also, self regulation or independent efforts by industry will be the first thing to be
considered prior to the governmental regulation or legislation. Industry itself should
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be responsible for setting goals and releasing information about their own activities.
(ii) Cultivation of an open business mindset within the sector
A Sector-based approach for reduction of carbon emissions is discussed in global
dialogs about climate change. It seems reasonable to share as many best practices and
knowledge first among those companies who have similar experiences in a sector with
an open mindset.
A good example would be the shared use of a data center by different banking and
securities companies. Nomura Research Institute provides a shared system service for
different companies in banking and securities, who are basically competitors. By
sharing the resources to develop and maintain information systems where they have
less competitive advantages to be different from others, companies who uses the
shared information systems can cut the cost and lead time in development and running
systems. Although, we must note that those companies have to mutually understand
that, in some areas, collaboration will certainly benefit more than competition.
The industry should avoid confusion caused by the existence of numerous different
standards and means of assessment. As discussed in this years workshop about
Eco-Ubiquitous Network Society, they should be open and positively disclose their
activities (cooperation between European and J apanese communications companies to
promote the use of an assessment tool, etc.), and introduce positive items from the
outside.
Good examples already can be found in industry. The Green IT Consortium in J apan
and The Green Grid Promotion Consortium are actively fostering the sharing of
information and knowledge as the view point of the entire information
technologyindustry
(iii) Switching to cooperation and collaboration models in supply chains
Cross-sector collaboration is also important. The industry should strive to understand
differences in position and interest and to enable many businesses from upstream to
downstream sectors to participate in the circle of total optimization. Not only should
they adopt an open attitude but they also should create an environment where the
entire supply chain can establish a cooperative relationship.
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Optimization in supply chains means the optimization of logistics processes, and
cutting the cost of entire process. So the effort to be optimized also benefits from
increasing revenue in most cases. Optimization in a broader scope, information
sharing and provisioning model will benefit more if successfully implemented, but
still we will have to think deeply about how we establish an effective collaboration
model.
Those companies in logistics who are facing consumers in stores or service offices
could be in the best position to take leadership since they hear the direct voice of
consumers. Use of common software packages, ASPs, SaaS and Cloud Computing,
proposed by those companies, will also foster a collaborative approach among
different sectors.
b. The governments roles
(i) Leadership in the settlement of cross-sector problems
The government should show leadership in fields where industries needs
governmental support to realize the effectiveness of activities. These fields include the
creation and dissemination of new values, the unification of assessment indicators,
and human resource development, in order to realize a smooth transition into this new
society. In particular, the government should work on the creation of environmental
values in the supply chain, since private sectors need comprehensive policy, which
will facilitate cross-sector activities.
Moreover, a simple and effective drive to promote environmental values is
governmental assurance by financing these activities. New approaches like an
environment tax will be at least worth discussing as a powerful method to drive for
a low-carbon society, even thought we currently have different thoughts about this
challenge.
(ii) Role as a facilitator for cross-border problems
Private sectors always need governmental leadership in promoting cross-border
collaboration, since it is difficult to be realized by industry alone. Governments
should play a role in promoting international transactions and disseminating values by
collaborating among policy makers from many countries. Some examples are:
- Rules for carbon offset
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- Harmonizing policies between developed countries and developing
countries
- Efficient international trading by optimized customs operations
- Promoting electronic online administrative processes in international
trading.
(iii) Internationally and internally harmonized policy systems
As global activities are the prerequisite of business, without any harmonization in
terms of the method of control, assessment and policy guidance, businesses will be
damaged in most cases. The government is expected to avoid such problems in private
sector environmental activities and strengthen harmonization among different political
entities.
The best practice approach will be effective in order to harmonize policies.
Studying many cases and sharing patterns of issues, bottlenecks, practical methods
and metrics for evaluation, will help governments to be effectively collaborative in
making policies.
c. Matters that the consumer and the user are expected to understand
(i) Developing the sense of urgency and participation
The sense of participation is the most important issue. The consumer and the user
should understand the limited supply of resources and the need to change their
lifestyles to protect the environment for the future. To enhance the recycling ratio,
agreement should be obtained from the consumer. Currently a large number of
organizations are active in this movement, many are successfully keeping up support
from society, but in order to be sustainable activity for sustainability, keeping
consumer and user participation is the most important key.
In particular, volunteer based grass-roots activities have to maintain the harmonization
of minds among participants. Financial support including that of other sectors,
organizational management, and efficient and easy handling of housekeeping efforts
by technology, are all essential to make it possible to keep up sustainable activities.
Education is equally important in this context. Again, the Ubiquitous Network
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Technology can be a good tool for teaching common understanding of the importance
of the environment, which is vital to foster permanent participation from entire society,
not limited in schools, but also in the workplace or adult education.
(ii) Fair assessment of corporate efforts
The activities of a company are ultimately assessed by the buying behavior, namely
whether consumers select the services and products supplied by such company.
Consumers, in turn, are required to make their own efforts to correctly evaluate the
proper activities of companies aiming at a low carbon society.
As a company is responsible for providing as much information openly to the public
as consumers can understand and evaluate, consumers have the final decision for
choosing the proper products and services.
Again, the Ubiquitous Network Technology is very important not only because they
can widely spread the information as the next generation media. Today, a single
service or a single product is generally provided as a combination of sub-products and
sub-services. Technologies like RFID or meta-information, which can identify the
source of the contents, can be a powerful tool to comprehensively understand the
effectiveness of one single product or service, in that combination.
The role of education is also important for consumers to make decisions. Proper
understanding and evaluation of a product can only be realized with proper
knowledge about the elements and structure of the product, which will support the
efforts of the company. This will also benefit the entire society by supporting the good
efforts on industry side, and then foster sustainability of activities for sustainability.
(iii) Low carbon emission in daily life
Acknowledging the fact that greenhouse gas emissions from daily life account for a
very significant proportion of total emissions, consumers should cultivate the attitude
of doing what they can to contribute to a low carbon society.
By promoting efforts for the environment, saving resources, and educating for a
sustainable society, we can build up a common understanding of tools for reduction of
carbon emissions in the consumer sector. Here, The Ubiquitous Network Technology
again is expected to play an important role.
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Firstly, the functionality of integration and joint use will reduce resource consumption
by eliminating duplication in a community. Visualization will make people ready to
feel how much they have contributed to the low carbon society, and they can keep
being motivated to support the sustainable community. Then, sophisticated controls in
any consumer products will help the entire society achieve a large portion of carbon
reduction. Finally, replacement of existing means by technology, such as replacing
paper, plastic and other energy consuming activities by electronic methods or
computer network based communication, will reduce the carbon footprint from the
consumer sector.