BT turns to the sun, sea and wind for electricity

BT will switch to environmentally friendly energy sources to meet most of its UK electricity needs through deals with npower and British Gas worth "hundreds of millions" of pounds.

BT claims it will cut its carbon dioxide emissions by 325,000 tonnes a year – equivalent to the amount used by 100,000 cars - by using electricity from renewable sources and low carbon fuel-efficient energy.

The telco's telephone exchanges, offices and depots will also run on power from alternative energy sources including wind, solar, wave and hydroelectric schemes.

The move has been welcomed by Prime Minister Tony Blair and environmental groups. Dr Steve Howard, CEO of the Climate Group, said BT's initiative sends out a message that "green electricity" has now gone mainstream.

"BT's track record on reducing greenhouse gas emissions is phenomenal with a remarkable 80 per cent reduction. BT is leading the way in showing that good business, cost savings and protecting the climate all go hand in hand," he said in a statement.

The company said it is also looking at renewable technology within its building and network.