March 21, 2008 - Telecom giant Nokia Siemens says that by 2011, renewable energy sources such as solar and wind will be the company's "first choice" for powering network base stations located far from traditional energy grids. The announcement was made by Anne Larilahti, the company's head of environmentally sustainable business, at an industry event in Beijing earlier today.

The high and climbing cost of diesel fuel was a key driver for the decision, according to Nokia Siemens. Energy used to operate remote sites has traditionally come from diesel generators that not only create CO2 and other harmful emissions but also require regular re-fueling and skilled maintenance work, which result in additional travel and maintenance costs for the operator. 

By contrast, “solar and wind technologies are mature, they have a long life time, their operational cost is almost nonexistent, and the capital expenditure required is decreasing. The lowering investment cost and the increasing prices of fossil fuels work together to improve the business case of utilizing renewable energy sources,” said Larilahti.

Remote locations are often ideal candidates for solar panels, wind turbines, or some combination of the two. Generating renewable power on-site in these areas can help lower operating costs sufficiently to provide affordable communications services to subscribers in emerging markets such as China, according to Nokia Siemens.

The company has been exploring the use of renewable energy at base stations since 1981. Sites running on renewable energy sources have so far been installed in more than 30 countries.