As of July 1, Microsoft has achieved carbon neutrality across its manufacturing operations, according to the company’s newly published 2015 Citizenship Report. Microsoft’s data centers, software development labs, offices and business air travel have been carbon neutral since July 2012.
Achieving carbon neutrality across its global operations hinges on the company’s internal carbon fee, which puts a price on carbon and makes the company’s business divisions responsible for the cost of reducing and compensating for the carbon emissions associated with their electricity use and air travel. Since launching the carbon fee in 2012, Microsoft has purchased more than 10 million MWh of green power and reduced emissions by 7.5 million metric tons.
In FY2015, Microsoft purchased more than 3.2 billion kWh of renewable energy, and in January 2015, the EPA ranked Microsoft has the second-largest user of green power in the United States.
The company reports that 23 percent of the electricity used to power its operations comes from directly purchased renewable energy. Microsoft’s 110 MW Keechi Wind project came online in FY2015, and it recently announced a power purchase agreement for all the output of the new 175 MW Pilot Hill Wind Project.
Microsoft has invested $3.1 million in carbon-fee funded efficiency projects and other energy efficiency projects, which have reduced the company’s associated carbon emissions by 18,179 metric tons and resulted in $3.6 million in energy savings.
CDP rated Microsoft’s transparency on climate issues at 99 out of 100.