Data Center Sales & Marketing Institute (DCSMI) Blog

Biggest Data Center Decarbonization and Sustainability Mistakes with Renewable Energy Credits (REC)

Written by Joshua Feinberg | Apr 20, 2025 10:00:00 AM

Patricia Alvina discusses challenges in the data center industry's approach to sustainability and decarbonization in Singapore and ASEAN. 

She highlights that traditional, structured operations hinder the adoption of innovative technologies. 

Alvina notes that many companies rely on purchasing Renewable Energy Credits (RECs) to claim net zero carbon status, which is affordable now but may become costly as demand increases. 

She emphasizes the importance of reducing energy consumption through technology investments to mitigate future costs. 

Alvina suggests internal carbon pricing to reveal hidden carbon costs and justify long-term business cases for energy efficiency improvements.

This video is excerpted from the podcast Ep. #42 Patricia Alvina, Sales Manager ASEAN at Siemens Singapore | Data Center Go-to-Market Podcast.

Action Items

  • Explore the use of internal carbon pricing to understand the hidden costs of carbon in the company's operations.
  • Investigate energy-efficient technologies that can reduce energy consumption, even if they are capital-intensive, and consider the long-term benefits of such investments.
  • Evaluate the current and future value of renewable energy credits (RECs) and how the increasing demand may impact the company's sustainability efforts.

Outline

Challenges in Data Center Sustainability and Decarbonization

  • Joshua Feinberg asks Patricia Alvina about common mistakes in sustainability and decarbonization within the data center industry in Singapore and ASEAN.
  • Patricia Alvina highlights that the data center industry is highly structured, with strict KPI targets and standard operating procedures, making it challenging to adopt new technologies.
  • She emphasizes that global warming is a real issue, and questions whether current actions are sufficient to meet decarbonization targets.
  • Patricia notes that many companies are buying renewable energy credits (RECs) to claim net zero carbon status, but questions the long-term value of these actions.
  • She warns that as global regulations increase, the demand and cost of RECs will rise, making it crucial for companies to consider reducing energy consumption through technology innovations.

Guest Resources

Watch the full podcast Ep. #42 Patricia Alvina, Sales Manager ASEAN at Siemens Singapore | Data Center Go-to-Market Podcast

 

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