Microsoft is weighing whether or not to delay or abandon considered one of its 2030 clear vitality targets because it expands knowledge centre capability for AI and cloud companies, Bloomberg has reported, citing folks conversant in the matter.
The goal, introduced in 2021 and referred to as 100/100/0, goals to match 100% of Microsoft’s electrical energy use, 100% of the time, with zero-carbon vitality purchases. It applies on an hourly foundation and in the identical energy grids from which the corporate attracts electrical energy.
The goal requires greater than annual renewable vitality matching. Below annual matching, an organization buys sufficient renewable energy over a yr to cowl its whole electrical energy use. Microsoft’s 100/100/0 goal requires zero-carbon energy to be out there on the similar time and in the identical grid area the place electrical energy is consumed.
Microsoft has already met its annual renewable vitality matching goal, in accordance with the report. The present discussions centre on whether or not the hourly dedication can nonetheless be met as AI infrastructure spending will increase.
The discussions are ongoing, and no last resolution has been made. A Microsoft spokesperson mentioned the corporate continues to search for alternatives to take care of an annual matching purpose, with out commenting immediately on the hourly dedication.
The corporate has pointed to latest clear vitality procurement as a part of its wider vitality technique. Microsoft cited agreements with We Energies for 1.2 gigawatts of carbon-free vitality tasks in Wisconsin. The tasks embody photo voltaic and battery services anticipated to start coming on-line in December 2028.
AI raises vitality use
Microsoft, Amazon, Alphabet, and Meta are all investing in knowledge centres to assist AI and cloud companies. Microsoft’s infrastructure spending helps merchandise together with Azure and Copilot.
Microsoft’s 2025 Environmental Sustainability Report mentioned its whole Scope 1, 2, and three emissions elevated 23.4% from its 2020 baseline. The corporate cited “growth-related components like AI and cloud growth” as contributors to the rise.
Microsoft additionally mentioned its vitality use rose 168% over the identical interval, whereas income grew 71%.
Different giant know-how corporations have additionally reported increased emissions. Based on the report, Meta, Google, Amazon, and Microsoft recorded emissions will increase in contrast with benchmarks earlier than ChatGPT’s launch in late 2022. The will increase have been 64%, 51%, 33%, and 23%, respectively.
Some new knowledge centre tasks being developed by know-how corporations are anticipated to require a number of gigawatts of capability. One gigawatt is roughly sufficient to energy 750,000 properties within the US.
Microsoft has mentioned it’s including about one gigawatt of knowledge centre capability each three months, in accordance with the report.
Energy demand rises
BloombergNEF (Bloomberg‘s analysis consultancy) expects US knowledge centre energy demand to rise from 34.7 gigawatts in 2024 to 106 gigawatts by 2035.
The Worldwide Vitality Company tasks international knowledge centre electrical energy consumption to rise from 485 TWh in 2025 to 950 TWh in 2030. Current energy agreements by cloud and AI infrastructure operators have coated a number of vitality sources.
Microsoft signed an influence settlement with Constellation Vitality in 2024 to assist the restart of a unit on the Three Mile Island nuclear plant in Pennsylvania. The settlement is tied to Microsoft’s vitality wants for AI and cloud infrastructure.
Pure fuel is included in some knowledge centre energy plans. Microsoft held talks this yr with Chevron to fund a serious pure fuel plant within the West Texas Permian Basin, the report mentioned.
Greater than 20GW of behind-the-meter energy tasks for knowledge centres have been introduced in Texas in 2024 and 2025, with an additional 10GW introduced from January to April 2026, in accordance with Reuters. Behind-the-meter energy refers to technology constructed close to, or immediately related to, a buyer’s web site not equipped by means of the broader grid. In knowledge centre tasks, it may well embody gas-fired technology and renewable energy used to assist giant electrical energy hundreds.
Some behind-the-meter tasks mix gas-fired technology with batteries or renewable sources, in accordance with Reuters. BloombergNEF has tracked 4.9 gigawatts of vitality storage bulletins co-located with on-site fossil gas technology at knowledge centres.
Spending comes beneath evaluate
Microsoft expects to spend US$190 billion by means of the tip of December, largely on knowledge centres, in accordance with the report.
Folks conversant in the matter informed Bloomberg that these prices have led to tighter budgets in some divisions. That features groups targeted on lowering Microsoft’s carbon footprint. Clear vitality tasks are receiving extra monetary scrutiny as AI infrastructure spending rises, in accordance with the report.
Bloomberg additionally reported that Microsoft had pulled again on components of its carbon dioxide removing programme, elevating issues within the carbon removing market.
Microsoft has not introduced any change to its 2030 clear vitality goal.
(Picture by Simon Ray)
See additionally: Keppel begins work on floating knowledge centre in Singapore
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