Policy implications of digitalization pathways for lower energy demand

Noam Bergman and Timothy J. Foxon

Researchers often study the twin global transitions of decarbonization and digitalization separately. Analysts frequently assume that digitalization will lead to energy-demand reduction, thereby assisting decarbonization. However, research suggests this will not happen on its own, with direct energy demand from information and communication technologies (ICTs) growing rapidly and broader impacts unclear. We suggest various possible digitalization pathways, with different impacts on energy demand, societal well-being, and other sustainability indicators.

In this article, we focus on tensions between techno-economic pathways and socio-technical pathways. We consider what sustainable digitalization might look like for society, users, business, technology, and policy, drawing on the concepts of responsible digitalization and digital sufficiency. This article then considers three policy areas as illustrative examples for finding sustainable digitalization pathways: data use and data protection, devices and home-energy use, and alternative transport solutions.

We follow this up with a discussion on policy principles for sustainable digitalization that considers regulation for value and accountability, protection of users and consumers, adopting a systems approach, and the need for directionality and leadership.