IBM ís environmentally-friendly plan to cut data centre power consumption will help set an example for other firms, say experts.

The company says that as part of Project Big Green it will consolidate 3,900 servers onto 30 mainframes, reducing electricity use by 80 per cent and saving an estimated $250m (£123m) over five years.

The scheme will give Big Blue vital experience to help other firms follow suit, says Butler Group analyst Rob Hailstone.

'For customers, there is a big incentive when the supplier can demonstrate its own commitment to consolidation,' he said.

Environmentally-friendly projects at major commercial organisations could help the government set stricter carbon emissions targets, says Greenpeace campaigner Martin Williams.

'The IBM initiative is way ahead of government goals,' he said. 'The government says carbon targets must be realistic to allow businesses to be competitive, but these schemes show industry can lead the way.'

IBM is planning annual investments of $1bn (£491m) in environmentally friendly hardware. The consolidation scheme - rationalising one of the world's largest networks of data centres - makes sound strategic sense, says the company.

'IBM is creating a platform that saves energy while positioning our IT assets for flexibility and growth,' said IBM System z mainframe general manager James Stallings.