How Microsoft is leaning on carbon removal solutions to cut its climate footprint – ESG Dive

How Microsoft is leaning on carbon removal solutions to cut its climate footprint – ESG Dive

 

Report on Corporate Climate Initiatives and Alignment with Sustainable Development Goals

Executive Summary: Corporate Responsibility and SDG 13 (Climate Action)

In a period of global economic and regulatory uncertainty, major technology corporations have demonstrated increased momentum in aligning their corporate strategies with the United Nations Sustainable Development Goals (SDGs). A primary focus has been on SDG 13: Climate Action, with significant investments in carbon credit and carbon removal technologies to mitigate corporate climate footprints. Microsoft has emerged as a leader in this sector, undertaking substantial measures to achieve ambitious climate targets.

  • Goal 1: To become carbon negative by 2030.
  • Goal 2: To remove all historical carbon emissions generated directly or through electrical consumption since the company’s founding by 2050.

Strategic Investments in Innovation and Partnerships (SDG 9 & SDG 17)

Microsoft’s approach exemplifies a commitment to SDG 9: Industry, Innovation, and Infrastructure by investing in novel climate technologies. Furthermore, the company’s strategy relies on SDG 17: Partnerships for the Goals, establishing a series of agreements with specialized providers to achieve its objectives. In 2025, the company has actively pursued a diverse portfolio of Carbon Dioxide Removal (CDR) solutions through strategic partnerships.

Portfolio of Carbon Dioxide Removal Solutions (SDG 15 & SDG 12)

The company’s 2025 CDR agreements highlight a multi-faceted approach to carbon removal, supporting several interconnected SDGs. These investments are a core component of the company’s commitment to SDG 12: Responsible Consumption and Production by taking accountability for its environmental impact.

  1. Forestry-Based Solutions: These initiatives directly contribute to SDG 15: Life on Land by investing in the restoration and sustainable management of terrestrial ecosystems to sequester carbon.
  2. Biochar-Based Solutions: This innovative technological approach involves converting biomass into a stable form of carbon, which is then stored in soil. This method supports both climate action and sustainable land use practices.

1. Which SDGs are addressed or connected to the issues highlighted in the article?

SDG 9: Industry, Innovation and Infrastructure

  • The article highlights major tech companies, specifically Microsoft, investing in and utilizing innovative “carbon removal technology” and “biochar-based solutions.” This directly relates to fostering innovation and making industries more sustainable.

SDG 13: Climate Action

  • This is the most central SDG in the article. The entire text focuses on actions taken by companies to “mitigate their climate footprint,” “curb corporate emissions,” and achieve goals of becoming “carbon negative.” These are direct measures to combat climate change and its impacts.

SDG 15: Life on Land

  • The article explicitly mentions “forestry” as one of the carbon dioxide removal solutions Microsoft is investing in. This connects the company’s climate action to the sustainable management of terrestrial ecosystems.

SDG 17: Partnerships for the Goals

  • The article describes Microsoft signing a “spate of carbon dioxide removal deals.” This represents a public-private partnership model where a major corporation collaborates with other entities (providers of forestry and biochar solutions) to achieve a common sustainability goal.

2. What specific targets under those SDGs can be identified based on the article’s content?

Under SDG 9: Industry, Innovation and Infrastructure

  • Target 9.4: By 2030, upgrade infrastructure and retrofit industries to make them sustainable, with increased resource-use efficiency and greater adoption of clean and environmentally sound technologies and industrial processes. The article’s focus on Microsoft adopting “carbon removal technology” and “biochar-based solutions” to manage its emissions is a direct example of a company retrofitting its operations with clean and environmentally sound technologies.

Under SDG 13: Climate Action

  • Target 13.2: Integrate climate change measures into national policies, strategies and planning. While the article focuses on corporate strategy, Microsoft’s goal to be “carbon negative by 2030” is an example of integrating climate change measures into its core business strategy, which mirrors the intent of this target at a corporate level.

Under SDG 15: Life on Land

  • Target 15.2: By 2020, promote the implementation of sustainable management of all types of forests, halt deforestation, restore degraded forests and substantially increase afforestation and reforestation globally. The mention of “forestry” as a carbon removal solution directly supports the principles of this target, specifically increasing forest cover to combat climate change.

Under SDG 17: Partnerships for the Goals

  • Target 17.17: Encourage and promote effective public, public-private and civil society partnerships, building on the experience and resourcing strategies of partnerships. The article’s description of Microsoft inking “a spate of carbon dioxide removal deals” with various solution providers is a clear example of a private-private partnership aimed at mobilizing technology and financial resources for sustainable development.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

Implied Indicators for Progress

  • Amount of Carbon Removed/Reduced: The article states Microsoft’s goal is to become “carbon negative by 2030” and to “remove all the carbon it has emitted… by 2050.” This implies a key performance indicator would be the total metric tons of CO2 (or CO2 equivalent) removed from the atmosphere annually and cumulatively. This measures progress towards Targets 13.2 and 9.4.
  • Number and Value of Carbon Removal Deals: The text mentions “a spate of carbon dioxide removal deals” and “investing in carbon credits.” An indicator could be the number of partnerships or deals signed, or the total financial investment made in these technologies. This would measure progress towards Target 17.17.
  • Type of Carbon Removal Technology Adopted: The article specifies “forestry” and “biochar-based solutions.” Tracking the portfolio of technologies being invested in can serve as an indicator of diversification and innovation in climate solutions, relevant to Target 9.4.

4. Table of SDGs, Targets, and Indicators

SDGs Targets Indicators (Implied from Article)
SDG 9: Industry, Innovation and Infrastructure 9.4: Upgrade industries to make them sustainable and adopt clean and environmentally sound technologies. Type and scale of “carbon removal technology” and “biochar-based solutions” adopted.
SDG 13: Climate Action 13.2: Integrate climate change measures into policies, strategies and planning. Progress towards the corporate goal of being “carbon negative by 2030” and removing historical emissions by 2050.
SDG 15: Life on Land 15.2: Promote sustainable management of all types of forests and increase afforestation. Investment in and use of “forestry” as a carbon dioxide removal solution.
SDG 17: Partnerships for the Goals 17.17: Encourage and promote effective public-private and civil society partnerships. Number and scope of “carbon dioxide removal deals” signed by the company.

Source: esgdive.com