Microsoft’s 2026 sustainability report confirms that the company’s carbon emissions rose by 25 per cent in 2025, reaching 34 million metric tons when excluding specific interventions. The firm attributes this increase to the expansion of its datacentre infrastructure and a strategic decision made in February to cease purchasing non-additional, unbundled renewable energy certificates. This move aligns with Microsoft’s broader shift away from relying solely on external green credits to offset its footprint, a tactic the company previously depended upon to meet its carbon negative target by 2030.
The significance lies in the tension between aggressive infrastructure growth and actual emission reduction. By stopping the purchase of certain renewable credits, Microsoft is forcing its physical operations to become genuinely cleaner rather than accounting for them on paper. This approach risks short-term emissions increases while building a more durable long-term baseline for climate neutrality.
- Emissions rose 25 per cent to 34 million metric tons without select interventions.
- The increase was driven primarily by datacentre infrastructure expansion.
- Microsoft stopped buying non-additional, unbundled renewable energy certificates in February 2025.
