Insights

Energy constraint: telecom networks under climate and consumption pressure

By 2040 energy is the main constraint on network operations. AI-heavy infrastructure, cooling in hot climate, sustainability targets reshape economics.

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Where factors converge

Energy consumption. 5G/6G and AI workloads — major energy users. Mobile networks already consume 2-3% of global electricity. By 2040 — more.

Climate change. Cooling in Central Asia, where summer hits 45°C, requires significant energy. Cell sites without conditioning fail.

Sustainability mandates. Regulators and investors (ESG) demand carbon footprint reductions. By 2030 many jurisdictions have binding net-zero targets.

Energy cost volatility. Renewable transition introduces price volatility. Operators with long-term energy contracts — competitive advantage.

What changes in operations

Site cooling architecture. Passive cooling, geothermal, evaporative — replace traditional AC.

AI placement. AI training not on cell sites — energy too expensive. Inference yes, training centralised.

Network sleep modes. Low-traffic hours — significant cells go to deep sleep. Already partly implemented.

Hardware efficiency. New radio hardware significantly more energy-efficient than 4-5 year old. Replacement cycle accelerates.

Energy purchase strategy. Long-term PPA (power purchase agreements) with renewables, partly own generation.

Regulation

Mandatory carbon disclosure. Operator reports footprint per service.

Carbon taxes. Higher for energy-intensive operations.

Mandated minimum efficiency. Equipment refresh forced.

What wins

Operators in countries with access to stable renewable (hydro in Tajikistan, solar in UZ with investment).

Operators with partnerships with utility companies.

Operators that early-adopted efficient architectures.

What loses

Operators in hot climates without cooling investment.

Operators dependent on volatile fossil energy markets.

Operators with legacy equipment, not efficient.

What operators should do now

Energy audit per cell site / datacentre.

Renewable PPA discussions with utilities.

Replacement cycle for equipment >5 years old.

ESG reporting infrastructure.

Climate resilience plan for extreme weather.

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