Microsoft has reported that during 2025, it matched 100 percent of its annual global electricity consumption with renewable energy.

The company committed to reaching carbon negativity by 2030 in 2020, with renewable matching considered a central milestone in this effort. In a blog post, the hyperscaler reported that since 2013, when it signed its first 110MW Power Purchase Agreement in Texas, it has contracted approximately 40GW of new renewable energy capacity.

The capacity was contracted across 26 countries, representing more than 400 contracts. Of the 40GW, 19GW is now online, with the remaining capacity expected to be energized over the next five years.

The company’s procurement footprint is concentrated within North America and Western Europe, where established power markets continue to anchor growth. The US dominates overall volume, led by the PJM Interconnection market with 8,089MW of contracted power, followed by MISO at 7,897MW and ERCOT at 4,696MW.

In the European Market, the UK leads the way with 1,666MW of contracted capacity, followed by Spain at 1,496MW, and Germany at 1,425MW. The company has also contracted large amounts of renewable energy in Italy and the Netherlands.

Outside its main markets, Microsoft reported a growing share of contracted renewable capacity in the Asia Pacific.

India has emerged as a major market in the region for the hyperscaler, with 1,011MW of contracted capacity. The company also has a growing portfolio in the Australian market, with around 868MW of contracted capacity. Over the past five years, the company has expanded into new markets, signing its first PPAs in Japan in 2023.

According to the firm, PPAs accounted for more than 90 percent of the company’s renewable procurement, with grid mix agreements accounting for the remaining ten percent. Microsoft said that the 2025 target does not include purchases from renewable energy credits sourced from operational clean energy projects.

The company also noted that it has invested in several emerging low-carbon technologies, including the first PPA with a Fusion company, signed in 2023 with Helion, and its deal with Constellation Energy to restart the shuttered Three Mile Island nuclear power plant in 2024.

In addition, the company reported that its Climate Innovation Fund has allocated $806 million of capital to 67 investees, with 38 percent directed toward energy systems.

The announcement follows reports last year that the company’s carbon emissions had increased by 23 percent since 2020, primarily due to the growth of AI.

In the company’s 2025 Environmental Sustainability Report, Microsoft attributed the increase to “growth-related factors such as AI and cloud expansion,” but described the increase as “modest” compared to the 168 percent increase in energy use and 71 percent increase in revenue the company registered over the same period.