Auto IndustryMicrosoft Cuts 10,000 Tons of Scope 3 Maritime Emissions with NORDEN Biofuel...

Microsoft Cuts 10,000 Tons of Scope 3 Maritime Emissions with NORDEN Biofuel Deal

Microsoft has partnered with Danish shipping company NORDEN. The tech giant’s goal is to cut its Scope 3 maritime emissions by almost 10,000 tons of COโ‚‚e in three years. This is why they are starting a sustainable shipping initiative. This uses NORDENโ€™s certified waste-based biofuel and its Book and Claim solution to decarbonize Microsoftโ€™s global logistics.

Julia Fidler, Environmental Sustainability โ€“ Fuel and Material Decarbonization Lead at Microsoft, noted,

โ€œThis 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.โ€ย 

NORDEN powers specific shipping voyages with biofuel. This cuts lifecycle emissions by 80โ€“90% compared to standard marine fuels. Microsoftโ€™s cargo doesnโ€™t ship on these voyages. However, it earns verified carbon savings through the Book and Claim system. This system allows Microsoft to track emissions reductions, no matter the fuel used, at certain ports.

NORDENโ€™s Book and Claim System: Links Emissions Reductions to Global Cargo

The press release highlights that NORDENโ€™s Book and Claim system separates biofuel usage from the environmental benefits. This allows customers, such as Microsoft, to claim emissions reductions. This is true even if their cargo is on regular ships. This approach is vital for expanding low-carbon shipping worldwide.

In the pilot, NORDEN used certified waste-based fuels for several biofuel voyages. The company calculated the emissions savings and shared them with Microsoft. An independent third party audited the process. NORDEN also followed the Smart Freight Centreโ€™s Book and Claim framework for transparency and accuracy.

NORDEN and Microsoft worked with the Roundtable on Sustainable Biomaterials (RSB). They refined RSBโ€™s global Book and Claim guidelines. This improves the traceability of sustainable fuel use in maritime transport.

Anne Jensen, COO at NORDEN said,

โ€œWe 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. 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.โ€

Biofuel Provides Immediate, Large-Scale Reductions Without Ship Changes

The company’s certified waste-based biofuel cuts lifecycle emissions by 80โ€“90%. This reduction spans from production to combustion. This drop-in fuel works with existing ships, allowing for immediate decarbonization of operations.

Lifecycle emissions are measured from โ€œwell-to-wake,โ€ covering extraction, production, transportation, and final combustion. This ensures comprehensive and reliable emissions accounting. Through Book and Claim, NORDEN gives Microsoft emissions data, voyage logs, and lifecycle assessments, all verified by independent registries.

norden maritime emissions
Source: Norden

Microsoft Aims to Reduce Scope 3 Emissionsย 

Microsoft’s Scope 3 emissions are a major climate issue. These emissions come from its supply chain, product lifecycle, and logistics. They account for more than 96% of the company’s total emissions. In FY23, these emissions increased by 30.9% from the 2020 baseline, despite the companyโ€™s climate goals.

Overall, its emissions mostly come from data centers, AI, and cloud infrastructure. However, it cut Scope 1 and 2 emissions by 6% by using more clean energy and enhancing energy efficiency.

To tackle these challenges, Microsoft has pledged to cut Scope 3 emissions by over 50% by 2030. It also contracted for 5,015,019 metric tons of carbon removal to be retired over the next 15 years.

The company keeps investing in low-carbon solutions for tough sectors that include steel, concrete, and maritime logistics.

Microsoft emisions
Source: Microsoft

A Blueprint for Decarbonizing Global Shipping

UN Trade and Development (UNCTAD) says, maritime shipping accounts for nearly 3% of global greenhouse gas emissions. Scalable and verifiable solutions like NORDENโ€™s approach could transform global logistics. This model raises the bar for sustainable shipping. It uses independent audits, lifecycle assessments, and clear carbon accounting.

Additionally, the 2023 International Maritime Organization (IMO) GHG Strategy aims to make international shipping more climate-friendly.

  • It sets a clear target: reduce the average CO2 emissions per unit of transport work by at least 40% by 2030.

The strategy also pushes for cleaner energy. By 2030, at least 5%โ€”and ideally 10%โ€”of the energy used in international shipping should come from zero or near-zero greenhouse gas (GHG) emission fuels, technologies, or energy sources.

maritime emissions

The NORDEN-Microsoft partnership proves that big companies can also mediate the decarbonization of global shipping. And they donโ€™t need to wait for perfect infrastructure. Biofuels and tools like Book and Claim help companies reduce their climate impact when clean fuel is difficult to access.



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