The exposure to high and volatile energy prices is relatively low for telecoms compared to many other sectors. As costs rise, however, many are looking towards alternative and often greener ways to keep the cost base stable for longer, according to a report by ING.
Telecom operators should be able to handle a temporary increase in energy costs, not least due to general cost reduction programs and efforts to reduce need. Nevertheless, telecom companies often chose to purchase (hedge) their 2023 energy needs at elevated levels last year.
To read the full report, click here.