Overview
- Microsoft disclosed Thursday that its 2025 greenhouse‑gas output was about 34 million metric tons CO2e gross and about 20 million metric tons net after paid removals, a roughly 25% year‑over‑year increase.
- The company attributes the rise mainly to rapid expansion of AI‑capable data centers and to its February decision to stop buying unbundled, non‑additional renewable energy certificates, which raised reported electricity (Scope 2) emissions.
- Microsoft has signed large clean‑power contracts totaling roughly 40 gigawatts but has also pursued or announced short‑term power arrangements involving natural‑gas plants and a partnership with Chevron that critics say could produce large local emissions.
- The report also lists operational wins: the company says it matched annual electricity with clean sources, replenished more fresh water than it withdrew, achieved 92% reuse and recycling of retired servers, and reduced data‑center water use versus its 2022 baseline.
- The disclosure follows similar increases reported by Google and Amazon and has prompted calls from the U.N. and researchers for standardized, site‑level reporting of data‑center carbon, water, and land footprints that could spur investor and regulatory scrutiny and shape local grid and water planning.