The efficient and effective use of energy is a key global IBM environmental performance parameter for both IBM operations and as a feature of IBM products. IBM corporate conservation goal is to achieve annual energy conservation savings equivalent to 4 percent of the company's annual fuel and electricity use.

During 2000, IBM operated sites in Australia, including data centres, consumed 113,378,820 kWh of electricity. While electricity represented the major source of energy used by the company, IBM also consumed 5,426,094 MJ of natural gas and 324,550 litres of diesel fuel, the latter being primarily used to run back-up emergency generators for the data centres.

IBM in Australia attained 6.56 percent energy savings in 2000.

This was primarily achieved though the upgrade of computer technology at several IBM data centres. These technology improvements resulted from such changes as the replacement of old water-cooled machines with air cooled technology; and by means of combining multiple old systems and replacing them with single more energy efficient, smaller, more powerful machines which have much greater data handling and data storage capacity. IBM also installed significant energy efficient technology at its new operation in Ultimo Sydney, the

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Energy use at IBM operated facilities in Australia in 2000, resulted in 129,778 tonnes of carbon dioxide (CO2) or greenhouse gas emissions being produced. An estimated 99 per cent of these greenhouse gas emissions are attributable to electricity use at IBM facilities.

Energy savings program in 2000 achieved a reduction in CO2 emissions of some 10,330 tonnes or 7.4 percent.

IBM in Australia during 2000 controlled 35 locations with some 134,729 m2 of net floor area. Key performance indicators have been established for electricity and greenhouse gas emissions for these facility operations. Electricity use per square metre of floor space was 841 kWh/m2 of net floor area in 2000. Greenhouse gas emissions in the form of carbon dioxide was 963 kg per square metre of floor area.

In New Zealand IBM used 10,666,602 kWh of electricity in 2000. Electricity was the major source of energy used at IBM operated facilities. A further 5,106,412 MJ of natural gas and 26,740 litres of diesel fuel were used for the cafeteria and emergency data centre generators respectively.

As a result of the energy used at IBM operated facilities in New Zealand in 2000, 990 tonnes of CO2 greenhouse gas emissions resulted. Almost 65 per cent of this is attributable to electricity use, 28 per cent from the use of natural gas and just over 7 per cent from the use of diesel fuel. Unplanned power outages in Auckland during December 2000 resulted in a greater use of diesel fuel needed to operate emergency generators. New Zealand's electricity is sourced primarily from hydroelectricity schemes that in turn explain the low greenhouse gas emissions per square metre of net floor area for IBM facilities in New Zealand as compared to Australia.

IBM New Zealand in 2000 controlled eight facilities with some 15,326 m2 of net floor area. Key performance indicators have been established for electricity and greenhouse gas emissions from facility operations. Electricity use per square metre of floor space was 696 kWh in 2000. Greenhouse gas emissions in the form of carbon dioxide was 65 kg per square metre of floor area.