Customers rank telcos by sustainability performance

A McKinsey survey shows consumer demand for sustainability is reshaping telecom operations.

As environmental awareness grows, telecom operators are under rising pressure to deliver greener services—and consumers are taking note. A McKinsey survey revealed that 45% of retail customers now prioritise sustainability when choosing a telecom provider, with some operators seen as up to twice as sustainable as their peers.

“Many of the consumers actually set a very high expectation around green energy and sustainability, especially telecom operators who are known for the highest energy consumption,” said Joongshik Wang, EY Asean Technology, Media & Entertainment and Telecommunications Leader. “Consumers prefer more green, sustainable, responsible companies.”

Wang explained that regulators also push for higher standards, prompting operators to integrate sustainability into branding and services—such as phone trade-in programs supporting a circular economy. “Many of the technical companies are actually adapting the green color as their brand because brand communication is very, very important,” he added.

Atty. Laurice-Esteban Tuason, Corporate Sustainability Officer at Converge ICT Solutions Inc., confirmed the shift in expectations: “These days, people expect more from companies… the responsibility to the planet and to help everyone thrive.”

With telecom and data center operations consuming up to 9% of a country’s total energy, operators are turning to AI and energy-efficient infrastructure to reduce their footprint. “AI really helps optimise network operation, which generates 60–70% of the energy consumption,” said Wang.

The highest-rated operators are also the most transparent and tech-forward. “They set very clear targets,” Wang said. “Many European and Singapore telecom operators have a Net Zero target by 2029 or 2030.”

For Tuason, credibility is key: “Some companies walk the talk. Others don’t, and customers can sense that.”