Microsoft removes 1.5 million metric tons of CO₂ via Texas direct air capture facilities, offsetting 120% of emissions. Partnerships with Climeworks and Carbon Engineering fuel progress, but cost concerns linger.
Microsoft achieves carbon-negative status ahead of schedule, leveraging direct air capture tech in Texas amid federal funding boosts and industry partnerships.
Tech Giant Hits Carbon Milestone
Microsoft announced on 21 April 2024 it has removed 1.5 million metric tons of CO₂ using Texas-based direct air capture (DAC) facilities, surpassing its 2030 environmental targets. The achievement follows partnerships with Climeworks and Carbon Engineering, firms specializing in carbon removal technologies. Brad Smith, Microsoft’s Vice Chair and President, stated the progress ‘validates scalable solutions for hard-to-abate industries’ during a press briefing.
Federal Backing and Industry Momentum
The U.S. Department of Energy allocated $3.5 billion to DAC hub development on 24 April 2024, coinciding with Microsoft’s announcement. This funding aims to accelerate domestic carbon removal infrastructure, with Texas emerging as a key hub. Occidental Petroleum and Carbon Engineering broke ground on a 500,000-ton/year DAC facility in the state on 23 April, targeting 2026 operations.
Cost Challenges Persist
Despite progress, the International Energy Agency’s April 2024 report notes DAC costs remain high at ~$400 per ton, though down 30% since 2022. Microsoft’s multi-year contracts with startups like Heirloom and Global Thermostat aim to secure future credits, but critics argue funds could better support renewable energy adoption. ‘DAC complements, doesn’t replace, emission reductions,’ emphasized Fatih Birol, IEA Executive Director.
Historical Context: From Offsets to Removal
Microsoft’s 2020 Climate Innovation Fund initially focused on carbon offsets before pivoting to removal technologies. This shift mirrors broader industry trends: Alphabet and Meta have pledged $1 billion collectively toward carbon capture ventures since 2022. Earlier efforts, like the EU’s 2005 Emissions Trading System, relied heavily on forestry offsets, which faced criticism for inconsistent verification.
The 2017 Taskforce on Scaling Voluntary Carbon Markets laid groundwork for today’s DAC investments by standardizing credit protocols. However, Microsoft’s 120% offset claim—enabled by pre-purchased future credits—revives debates about accounting transparency that plagued corporate climate pledges during the 2010s.
