Microsoft has partnered with Danish shipping company Norden to cut its Scope 3 CO2 emissions by approximately 10,000 tons over three years.

The two companies will collaborate on a pilot project, utilizing Norden’s biofuel book and claim solution. The solution allows companies that rely on maritime transport in their supply chain to take advantage of emission reductions from low-carbon fuel usage.

“We are pleased to work with a like-minded partner in Microsoft, sharing our ambition to scale the use of low-carbon fuels to reduce emissions in the maritime industry,” says Anne Jensen, COO at Norden.

“With the addition of Microsoft to our portfolio of customers, we are demonstrating that Norden can help any company that is dependent on maritime transportation in reducing its supply chain emissions in the here and now, while we, as a carrier, overcome the challenges of limited geographic availability of low-carbon fuels.”

The pilot project saw Norden use certified waste-based biofuel over several voyages, offering an 80-90 percent life cycle emissions reduction compared to traditional fossil fuels. The emission reductions were then transferred to Microsoft as part of the solution. According to the partners, the project underwent a double audit and followed a framework developed by the Smart Freight Centre.

“This project with Norden, together with our pilot with the RSB, will further develop the important registry infrastructure required to help Microsoft lower our maritime supply chain emissions in a transparent and credible way, while fostering the growth of sustainable maritime fuels” said Julia Fidler, environmental sustainability – fuel and material decarbonization lead at Microsoft.

The deal with Microsoft is Norden’s second with a major hyperscaler. Last November, the company signed a similar agreement with Meta for an undisclosed quantity of carbon credits.

Last year, Microsoft unveiled a new strategy to cut its Scope 3 emissions, which grew by 30.9 percent during 2023-2024. The growth of its indirect emissions was primarily due to the construction of new data centers. To mitigate the growth, the company developed several measures, including a new requirement for select scale, high volume suppliers to use 100 percent carbon-free electricity for Microsoft delivered goods and services by 2030.

In addition, the company has heavily invested in carbon removal credits as a means to enhance its sustainability credentials. So far in 2025, it has signed agreements across the spectrum, including with reforestation firms, enhanced rock weathering companies, and biochar developers.