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Assessing the Environmental Impact of Your Digital Business Operations from Server Emissions to Data Center Energy Consumption

Server farm with wires and cables

Some server farms are buried deep underground to offset carbon emissions created by air conditioning. Choose services that are moving in this direction.

Key takeaways 

  • Data centers, devices, ICT networks account for up to 12% of global energy use
  • Cooling systems need electric power to keep equipment at the right temperature
  • Green hosts use renewable energy or put energy back into the grid
  • Manufacturing electronic equipment accounts for 80% of greenhouse gas emissions 
  • Digital businesses should host multiple virtual servers on one machine
  • Implementing liquid or free-air cooling can lower energy 

A server’s environmental footprint involves carbon emissions, extensive energy use, and other resource expenditures. Online activities like downloading files and streaming videos demand more energy and generate more emissions. Data centers that host servers account for 1% of the global energy demand. It is a low percentage but draws attention to the environmental impact. 

According to data of the International Panel on Climate Change, data centers, devices, and ICT networks make up 6-12% of the world’s energy use.

Blockchain, cloud gaming, and virtual reality will create even more demand for data services. Online shopping contributes as well. The number of people who shopped online increased by 68% between 2017 and 2021, reaching 2.3 billion worldwide. 

Green hosting mitigates the impact

Data centers use cooling systems to prevent overheating, but they increase water use and energy consumption substantially. They also use electric power for their storage systems, servers, and networking equipment, and cooling systems need electricity to keep all the equipment at the right temperature. 

High-capacity hosting centers also need a lot of electric power. Their machines hold and send data around the clock, and keeping them running takes a lot of energy. This is a big part of their environmental impact, which is a compelling reason to choose green web hosting.

Green hosts use renewable energy, put energy back into the grid, or buy certificates, such as Renewable Energy Certificates and Carbon Offset Certificates. 

Managing the heat produced by data center equipment

desalination, water conservation, waste water management

Managing heat from creating crypto.

All the equipment in a data center produces heat. It’s important to manage this heat, but cooling systems also use a lot of energy, creating a vicious cycle that ultimately harms the environment.

Fossil fuels are a frequent source of power for conventional servers. When they are burned, carbon dioxide is released into the air, which is among the causes of climate change. The carbon dioxide produced is proportional to the energy these servers use. 

Ecological consequences in numbers 

IT equipment has a lifecycle with several stages, and each one impacts the environment.

Manufacturing, using, and disposing of electronic equipment all have ecological consequences. Manufacturing accounts for an estimated 80% of greenhouse gas emissions over the equipment’s life cycle. 

Daily use of servers and data centers is growing, which is becoming a real challenge for the economy. As of 2024, the digital sector comprises over 4% of the global carbon footprint. Terminals’ life cycles are the main reason for these emissions. Telecommunication networks and data centers contribute to a lesser extent.

Businesses that invest in corporate social responsibility must consider these issues. The technology used by some service and tech companies contributes to as much as 20% of greenhouse gas emissions. In France, the healthcare sector accounts for 8% of emissions. 

Best practices for digital businesses 

Digital businesses can reduce the number of physical servers by hosting multiple virtual servers on one machine. 

Implementing liquid cooling, free-air cooling, or evaporative cooling systems can lower energy consumption.

PUE, or Power Usage Effectiveness, evaluates how efficiently a data center uses energy. A lower PUE indicates higher energy efficiency. Industry leaders aim for PUE values close to 1.0, which means most energy goes to computing, not cooling.

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Bhok Thompson
Author: Bhok Thompson

Bhok Thompson is a Singapore-based engineer, entrepreneur, and self-proclaimed “eco-tinkerer” who thrives at the intersection of sustainability, business, and cutting-edge technology. With a background in mechanical engineering and a deep fascination with renewable energy, Bhok has dedicated his career to developing innovative solutions that bridge environmental consciousness with profitability. A frequent contributor to Green Prophet, Bhok writes about futuristic green tech, urban sustainability, and the latest trends in eco-friendly startups. His passion for engineering meets his love for business as he mentors young entrepreneurs looking to create scalable, impact-driven companies. Beyond his work, Bhok is an avid collector of vintage mechanical watches, believing they represent an era of precision and craftsmanship that modern technology often overlooks. On weekends, you can find him exploring the vibrant street food scene in Singapore—because, as he says, "Innovation starts with good energy, and nothing fuels creativity like great food!" Reach out: [email protected]

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About Bhok Thompson

Bhok Thompson is a Singapore-based engineer, entrepreneur, and self-proclaimed “eco-tinkerer” who thrives at the intersection of sustainability, business, and cutting-edge technology. With a background in mechanical engineering and a deep fascination with renewable energy, Bhok has dedicated his career to developing innovative solutions that bridge environmental consciousness with profitability. A frequent contributor to Green Prophet, Bhok writes about futuristic green tech, urban sustainability, and the latest trends in eco-friendly startups. His passion for engineering meets his love for business as he mentors young entrepreneurs looking to create scalable, impact-driven companies. Beyond his work, Bhok is an avid collector of vintage mechanical watches, believing they represent an era of precision and craftsmanship that modern technology often overlooks. On weekends, you can find him exploring the vibrant street food scene in Singapore—because, as he says, "Innovation starts with good energy, and nothing fuels creativity like great food!" Reach out: [email protected]

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