At Microsoft, we strive to enable a decarbonized grid for our company, our customers, and the world. As part of our commitment to contribute to a more sustainable future and transition into a carbon-neutral organization. As part of our commitment to achieving this goal, we are allocating crucial resources to integrate carbon-free power generation and distribution into our operational grids where possible.
We are seeking authorization to potentially relaunch the operation of a 835-megawatt nuclear power plant in Pennsylvania, which ceased generation in 2019. The project will deliver a substantial injection of net-new, reliable, carbon-free electrical power to the PJM energy grid, which serves 13 states, underscoring the importance of nuclear energy and complementing our 34 gigawatt (GW) contracted renewable energy portfolio in 24 countries.
As highlighted by the Worldwide Power Company, a comprehensive approach to grid decarbonization would necessitate a diverse portfolio of carbon-free technologies, including wind, solar, geothermal, clear hydrogen, sustainable biomass, nuclear, fusion, energy efficiency measures, and advanced storage solutions, as well as robust transmission infrastructure to integrate these technologies with the grids that require them.1 As part of our comprehensive efforts to address carbon impact and removal, Microsoft recognizes the critical role that this multi-technology approach plays in achieving our ambitious goal of becoming carbon negative by 2030.
Carbon discount
Uncover our cutting-edge approach to carbon discounting – a game-changing solution for reducing emissions and creating a more sustainable future.
As we accelerate the transition to a more sustainable future, we partner with governments, local communities, developers, and energy providers to drive innovation and progress. On this blog, we’ll delve deeper into the strategies we employ to (1) shape market demand for carbon-free electricity and (2) drive progress in energy policy through advocacy.
Accelerating the transition to a low-carbon future: Strategies for shaping market demand and scaling up carbon-free electricity.
We leverage diverse contracting mechanisms to achieve our goals and deliver low-carbon electricity, developing innovative urban projects in tandem with our substantial portfolio of renewable power purchase agreements. A number of examples:
- Our recent collaboration with Brookfield Renewable Partners provides a platform for the development of over 10.5 gigawatts of new renewable energy capacity in the USA and Europe, nearly eight times larger than the largest corporate power purchase agreement ever signed? Under the agreement, Brookfield is incentivized to develop a substantial portfolio of contemporary renewable energy projects over the next few years, thereby accelerating the transition to a cleaner grid and aligning with Microsoft’s electricity consumption patterns in target regions.
- In Washington state, we precisely align our hourly data center power demands with real-time deliveries of clean, carbon-free hydro, solar, and wind energy throughout the entire year, 24 hours a day. When surplus renewable energy is generated throughout the day, Powerex captures the excess output, thereby conserving water in hydropower reservoirs and efficiently storing it as a virtual battery. When the battery is fully charged, this stored energy can then be efficiently transmitted back to the datacentre during off-peak hours, such as evenings when renewable sources like wind and solar power might not be operational.
- As a global leader in the pursuit of decarbonization, Microsoft has made significant strides in developing renewable energy infrastructure in underserved communities worldwide. By leveraging this innovative approach, we aim to create a portfolio that includes the development of approximately 500 megawatts of community-scale solar energy projects across the United States by 2029, with a target implementation date of between 2025 and 2029. The agreement enables Pivot to establish approximately 150 solar power projects across 20 states, encompassing over 100 communities in Colorado, Maryland, Illinois, Delaware, Pennsylvania, and Ohio. Each solar project will feature substantial community benefits.
Pursuing widespread adoption of carbon-neutral power through concerted promotional efforts?
Our organization is focused on driving the transition to a clean electrical energy era, upgrading and enhancing grid infrastructure, and fostering a sustainable energy future that benefits all. A crucial grid combination that integrates and retains agency over carbon-free, renewable energies will be instrumental in providing global access to electricity while driving decarbonization.
In December 2023, we unveiled a report that underscores the imperative for carbon-free electricity and the pivotal roles that advanced nuclear and fusion power could play in a decarbonized energy landscape. As superior carbon-free vitality technologies emerge, each is accompanied by a unique array of concerns, benefits, risks, regulatory frameworks, and societal acceptability issues. Our strategic focus is geared towards driving innovation through enhanced analytics, process improvements, and pilot programs; facilitating the secure rollout of cutting-edge technologies; and fostering a streamlined, eco-friendly regulatory framework that expedites the deployment of groundbreaking innovations.
Discover Sustainable by design
Discover more about how Microsoft is pushing the boundaries of sustainable innovation through the convergence of cloud computing and artificial intelligence in our latest blog series exploring the topic:
1, IEA, 2023.
