Sustainable Cities with Efficient Lighting

Michelle DeMoor, Sr. Director, International Policy Paul Simonetti, Director, Corporate Stakeholder Relations John Pouland, Director, Government Solutions
March 5, 2012

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A strong diversified industrial group leading in health and well-being
Who we are
Founded in 1891 Headquartered in Amsterdam, The Netherlands 26%

Our businesses

Our mission

Sales of €22.6 billion in 20111
40% Growth Markets 33% of sales generated in growth geographies

2011

Globally recognized brand (world top 50) Our brand value doubled to $8.7bn since 20042
122,000 employees Sales and service outlets in over 100 countries €1.6 billion investment in R&D, 7% of sales
1Note

34%

Improving people’s lives through meaningful innovation.

Healthcare Lighting Consumer Lifestyle

- All figures exclude discontinued operations

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Source: Interbrand

Operating in the right markets
Addressing key societal issues

Demand for affordable healthcare

Need for energy efficient solutions

Desire for increased personal well-being

Mature 67%

Sustainability as a driver for growth

Accelerating sustainable business
• Green Products represented 39% of total sales in 2011, up from 30% in 2009 • By 2015 Philips aims to invest EUR 2 billion in Green Innovation

EcoVision targets for 2010 – 2015
• Bringing care to more than 500 million people • Improving the energy efficiency of Philips overall portfolio by 50% • Doubling the global collection and recycling amounts of our products, as well as double the amount of recycled materials in our products

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Outdoor Lighting

Outdoor lighting facts:  Lighting accounts for ~20% of global electricity use.  75% of global energy consumption is consumed by cities.  Outdoor lighting is 20-30% of a city’s electric bill.
March 2012

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The Green revolution
Lighting represents 20% of all electricity used globally
With new lighting technology we can potentially save

50% of electricity used today for lighting
81%

19%

This equates to:
• Global savings of EUR 106 billion in energy costs per year • 555 million tons of CO2 per year • 1.5 billion barrels of oil per year • Annual output of 530 medium sized power stations @ 2TW h /yr

March 2012

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How can industry play a part
• Introduce new concepts / innovations • Education - telling what efficient lighting is AND what it is not • Increase transparency by developing & sharing standards / best practices/ white papers, etc. • Partner with cities / development agencies for infrastructure development • Create demo projects / installations • Adopt / introduce new financing models & tools to overcome initial cost

Possible Government actions to encourage the switch

Running well with growing global momentum

Major unlocked abatement potential

Roadway Lighting

Apodaca (2010-2011)
“By choosing Cosmopolis, we have selected a state of the art lighting technology for Apodaca. Our streets will be lit with the same light quality as the most beautiful cities in the world”.

Mr. Benito Caballero Apodaca’s Major Nuevo Leon, México

6,500
CO2 tons will be reduced

28,000
light sources will be replaced

3,000
kilowatts will be saved

43%
energy savings will be reached
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Online remote control for lighting
A meaningful solution: Connected city

In the city of Prague, Philips introduced the first worldwide project with CityTouch, the perfect ICT-enabled solution for controlling the light output and energy consumption of a lighting installation from a distance. CityTouch is an online remote control for the lighting in an entire city. The integral CityTouch service allows the operator to easily control and manage the level of any light point from a computer, resulting in enormous energy savings and lower maintenance costs.

San Ildefonso Cathedral

Location: Mérida Yucatán Lighting Designer: GPE Group Project Type.- City Beautification Luminaries: Several Color Kinetics LED Lighting Outdoor Illumination and Interior lighting of the Cathedral to enhance the greatness of the monument. The shapes and textures of the first Cathedral in the Americas, provided the perfect scenario to enhance it’s beauty.

LED Lighting energy saving potential

An average energy savings of 40%!

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LED savings potential per region
OUTDOOR

OFFICE

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