Ctrl-Alt-Incomplete: The Gaps in Microsoft’s Climate Leadership
Since its 2020 pledge to be “Carbon Negative by 2030”, Microsoft’s publicly reported overall emissions have increased by 46%.
As one of the world’s most valuable and influential technology companies, Microsoft has a vast global reach, and its policies and strategies can set trends and standards across the industry. However, its remarkable growth, evidenced by a fourfold increase in stock price and market capitalization over the past five years, has been built on a significant rise in its climate footprint, revealing substantial gaps in its climate policies.
KEY FINDINGS FROM THE REPORT
- Rapidly Increasing Climate Pollution: Since its 2020 pledge to be “Carbon Negative by 2030”, Microsoft’s publicly reported overall emissions have increased by 46%.
- Escalating Supply Chain Emissions: Operational emissions from the majority of Microsoft’s key suppliers are on the rise. But none of them has set a climate target that meets Microsoft’s requirement to cut their emissions by 55%.
- Limited Use of Renewable Energy within Supply Chain: Unlike Apple, its key competitor, Microsoft has not committed to powering its manufacturing with clean, renewable electricity. As a result, Microsoft’s key suppliers heavily rely on fossil fuels for electricity. Electricity from power purchase agreements (PPAs), which is likely to reduce reliance on fossil fuels, only accounts for 1% of electricity consumption of suppliers. And seven out of 10 suppliers have reported the use of problematic unbundled renewable energy certificates (RECs).
