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Amazon, eBay & Etsy Back Tesla Semis: A New Playbook for Zero-Emission Freight

A new initiative involving Amazon, eBay and Etsy is helping bring Tesla electric trucks into real freight operations. The Center for Green Market Activation (GMA), a nonprofit group, is planning a pilot program. This project aims to put about 40 all-electric Tesla Semi trucks on the road between Dallas and Houston. The goal is to reduce emissions from freight transport by using cleaner heavy-duty vehicles.

Under the plan, companies pay for “environmental attribute certificates” (EACs). These certificates represent the emissions savings from electric trucks.

Buyers can use the certificates to reduce their reported Scope 3 emissions. This applies even if they don’t directly use the trucks. All charging for the electric trucks is planned to be covered by renewable energy certificates to support clean power use.

Let’s explore why major online companies are taking part in this system, how Tesla’s Semi vehicles fit in, and what this could mean for decarbonizing freight transport in the United States and even beyond.

Why Freight Is the Next Big Climate Battleground

Heavy-duty freight trucks, especially long-haul Class 8 trucks, are a major source of carbon emissions. Traditional diesel trucks burn fossil fuels and produce large amounts of greenhouse gases (GHGs) and air pollutants. They accounted for about 25% of all transport-related CO2 emissions.

Road freight accounts for a sizeable share of transportation sector emissions worldwide. Recent studies show that decarbonizing road freight is tough. Electric options are few, charging stations are still growing, and initial costs are high.

Electric heavy trucks such as the Tesla Semi offer a zero-tailpipe emissions alternative. The Tesla Semi is a battery-electric Class 8 truck designed for freight hauling. It features a battery pack of around 850–900 kWh and an estimated range of about 500 miles (~800 km) per charge on a single route.

The truck uses three electric motors and can operate at around 1.7–2 kWh per mile, making it competitive with diesel trucks over long distances. Planned volume production is expected to begin in 2026.

Tesla Semi specs
Source: Tesla

Using electric trucks like the Semi can cut carbon emissions from freight transport. They may also lower operating costs in the long run. Electricity can cost less per mile than diesel fuel. Also, electric drivetrains have fewer moving mechanical parts, which can cut maintenance costs.

This is crucial as the transport sector needs to adopt zero-emission vehicles much faster to cut emissions by 15% by 2030, per the International Energy Agency Net Zero scenario. This includes electric and hydrogen fuel-cell heavy-duty trucks. To make this happen, more countries must set strong fuel-efficiency rules for heavy trucks and align these standards across regions.

heavy duty truck emissions net zero iEA
Source: IEA

However, electric freight truck adoption faces barriers. Electric heavy trucks are still new, and less than 1% of new heavy-duty trucks in the U.S. are electric. The charging infrastructure for heavy trucks is limited. Also, electric vehicles cost more than regular diesel ones.

What Is Book and Claim? Decarbonizing Freight Without Owning a Truck

The pilot program with Amazon, eBay, and Etsy uses a book-and-claim system. A book-and-claim system divides the environmental benefits of a low-emission product from its physical delivery. It lets companies support decarbonization, even if they can’t use low-emission vehicles directly.

In this case, the environmental attribute certificates represent the emissions savings from operating electric trucks instead of diesel trucks. Participating companies purchase these EACs. They then “retire” them, meaning no one can use the certificate again. This reduction counts toward their climate goals or Scope 3 emissions targets.

This approach is similar to how renewable energy certificates work for electricity. A company can buy certificates for renewable energy generation. This is true even if the actual electricity it uses comes from the grid. The certificates allow buyers to claim the environmental benefits.

Book-and-claim can help scale decarbonization efforts by aggregating demand from many buyers. This pooled demand helps both truck makers and service providers. They have a better reason to invest in electric fleets and charging stations, even if single buyers can’t use trucks on their own routes.

Experts say a clear book-and-claim system with strict rules can help decarbonize transportation. It ensures that emissions savings aren’t double-counted.

How the Pilot Program Works: Miles, Megawatts, and CO₂ Savings

The pilot program is run by the Center for Green Market Activation. This nonprofit aims to speed up climate solutions in supply chains. Under the program:

  • Roughly 40 all-electric trucks are expected to operate on the Dallas-Houston freight route.
  • The trucks will collectively travel up to 7 million miles per year.
  • The trucks save about 60,000 metric tonnes of CO₂ equivalent compared to diesel fleets. This is over the multi-year contracts with buyers.

Amazon, eBay, and Etsy have joined the initiative by purchasing EACs. They will retire the certificates to support their own climate goals and reduce their reported Scope 3 logistics emissions.

All charging for the electric trucks is backed by renewable energy certificates. This means the electricity for powering the truck comes from clean energy, which reduces the carbon footprint of truck operation.

Groups in similar schemes often use book-and-claim. This helps decarbonize sectors with few low-emission options. For instance, sustainable aviation fuel certificates gather demand from airlines and corporate buyers. This helps scale the use of clean fuel.

Why Big Brands Are Buying Clean Freight

Big firms more often set climate goals for their whole value chain, which includes transport emissions. Many emissions are Scope 3. This includes indirect emissions from things like freight transport, business travel, and product use.

Reducing Scope 3 emissions is hard. Companies usually don’t control the sources that create these emissions directly.

Book-and-claim allows companies to access low-emission transport options even if they can’t run them. When companies pool demand, they send a stronger message to manufacturers and carriers. It shows there’s a real market need for clean freight solutions.

Electric trucks, like the Tesla Semi, draw attention because they provide a cleaner option than diesel trucks. They also keep the same freight capacity and range.

Moreover, companies aiming for net-zero and science-based targets are growing. So, the demand for low-emission freight services is likely to increase.

In addition, broader sales of electric heavy vehicles, not just Tesla’s Semi, are rising globally. In China alone, for example, registrations for hybrid and electric trucks reached over 231,000 units in 2025. This was a large increase from the previous year. This trend reflects growing production and adoption of electric freight vehicles worldwide.

Electric heavy trucks need to become as affordable as diesel trucks to scale widely, according to Bloomberg. Even so, the electric truck market is expected to grow fast, accounting for about 18% of truck sales.

heavy duty electric truck market share 2030

Stronger emissions rules, rising demand for clean freight, and more truck models are driving this growth. In China, electric trucks could make up around 50% of new truck sales by 2028. This shows how quickly the market is changing as costs fall and charging networks expand.

A Blueprint for Scaling Zero-Emission Freight

The new pilot connects Amazon, eBay, Etsy, and Tesla Semi trucks, offering an innovative way to reduce carbon in freight transport. Electric heavy-duty trucks, like the Tesla Semi, are nearing mass production, while global sales of electric freight trucks are also rising. Thus, solutions that mix corporate demand, smart accounting, and clean tech could help cut transportation emissions.

This pilot could provide a model for how large buyers and logistics providers work together to accelerate the shift to low-carbon freight systems.

The post Amazon, eBay & Etsy Back Tesla Semis: A New Playbook for Zero-Emission Freight appeared first on Carbon Credits.

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DOE’s $303M Bet on Kairos Power Signals America’s Advanced Nuclear Push

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The U.S. nuclear sector just received another strong signal of federal backing.

On February 21, the U.S. Department of Energy (DOE) finalized a $303 million Technology Investment Agreement with Kairos Power to advance its Hermes demonstration reactor in Oak Ridge, Tennessee. The deal supports the company’s selection under the Advanced Reactor Demonstration Program (ARDP), first announced in December 2020.

But this is not a traditional federal grant. Instead, DOE structured the agreement as a performance-based, fixed-price milestone contract. Kairos will only receive payments once it achieves clearly defined technical milestones.

This funding model was previously used by the Department of Defense and NASA’s Commercial Orbital Transportation Services (COTS) program. It aims to accelerate innovation while protecting public funds. Now, DOE is applying that same discipline to advanced nuclear technology.

smr installed capacity
Source: IEA

Hermes: The First Gen IV Reactor Approved in Decades

At the center of the agreement is Hermes — a low-power demonstration reactor based on Kairos Power’s fluoride salt-cooled high-temperature reactor (KP-FHR) design.

kairos hermes
Source: Kairos

In December 2023, the U.S. Nuclear Regulatory Commission (NRC) granted Hermes a construction permit. That approval marked a historic milestone. Hermes became the first non-light-water reactor approved for construction in the United States in more than 50 years. It is also the first Generation IV reactor cleared for building.

The reactor is expected to be operational in 2027. While it will not generate commercial electricity, it serves a critical role. Hermes will demonstrate Kairos Power’s ability to safely deliver low-cost nuclear heat and operate a fully integrated advanced nuclear system.

Its design combines two established technologies that originated in Oak Ridge: TRISO-coated particle fuel and Flibe molten fluoride salt coolant. Together, these systems enhance safety and simplify operations.

The molten salt coolant improves heat transfer and stability, while TRISO fuel provides strong containment of radioactive materials. The result is a reactor design that emphasizes inherent safety without relying on overly complex backup systems.

Significantly, Hermes represents Kairos Power’s first nuclear build, and it acts as a stepping stone toward commercial deployment.

Mike Laufer, Kairos Power co-founder and CEO, said:

“With the use of fixed-price milestone payments, this innovative contract provides real benefits to both Kairos Power and DOE to ensure the successful completion of the Hermes reactor. It allows us to remain focused on achieving the most important goals of the project while retaining agility and flexibility to move quickly as we learn key lessons through our iterative development approach.”

Risk Reduction and Private Capital Alignment

The DOE’s investment complements significant private funding already committed by Kairos Power. Since its ARDP selection, the company has built extensive testing facilities and manufacturing infrastructure to support its Engineering Test Unit series. It has also advanced its fuel development and molten salt coolant systems.

Unlike traditional large-scale nuclear projects that often suffer cost overruns, Kairos is pursuing an iterative development pathway. This approach allows the company to test, refine, and improve reactor components before full commercial rollout.

Fuel manufacturing plays a key role in that strategy. Kairos Power is working in partnership with Los Alamos National Laboratory to produce fuel for Hermes. Through its Low Enriched Fuel Fabrication Facility (LEFFF), the company aims to control quality, reduce delays, and manage costs more effectively.

Vertical integration is central to its business model. By managing more of the supply chain internally, Kairos hopes to deliver greater cost certainty for future commercial reactors — an area where traditional nuclear projects have struggled.

           Key Features

kairos
Source: Kairos

Nuclear’s Return to the Energy Spotlight

The Hermes agreement comes at a time when nuclear energy is regaining political and investor attention.

Federal policy has shifted in favor of accelerating the development of next-generation reactors. In 2025, the U.S. administration introduced measures to shorten licensing timelines and rebuild domestic nuclear fuel supply chains. The Department of Energy has articulated an ambitious goal: expand U.S. nuclear capacity from roughly 100 gigawatts in 2024 to 400 gigawatts by 2050.

Programs such as the Energy Dominance Financing initiative aim to provide additional support for nuclear infrastructure. Once built, reactors can operate for up to 80 years, making them long-term strategic assets.

At the same time, electricity demand is rising. According to the International Energy Agency (IEA), U.S. electricity demand grew 2.8% in 2024 and another 2.1% in 2025. The country is projected to add more than 420 terawatt-hours of new demand over the next five years.

electricity genration

Data centers are driving much of that growth. The rapid expansion of artificial intelligence and cloud computing infrastructure could account for nearly half of total demand growth through 2030.

This dynamic is reshaping energy investment decisions. Technology companies require reliable, always-on power. However, they must also meet emissions reduction targets. Nuclear energy provides steady, low-carbon electricity, making it increasingly attractive for both policymakers and corporate buyers.

Small Reactors, Big Strategic Impact

Small modular and advanced reactors are the keys to this renewed momentum. Compared to traditional gigawatt-scale plants, smaller reactors offer shorter construction timelines and lower upfront capital requirements. Developers can deploy them incrementally, reducing financial risk and improving flexibility.

Hermes, although it is a demonstration project, it represents a critical validation step. If successful, it could pave the way for commercial-scale KP-FHR reactors that supply industrial heat and electricity at competitive costs.

Dr. Kathryn Huff, Assistant Secretary, Office of Nuclear Energy, made an important statement, noting:

“The Hermes reactor is an important step toward realizing advanced nuclear energy’s role in ushering forward the nation’s clean energy transition. Partnerships like this one play a significant role in making advanced nuclear technology commercially competitive.”

For investors, this shift signals opportunity. Supportive government policy, rising electricity demand, AI-driven load growth, and decarbonization commitments are converging. Nuclear power, once viewed as a legacy industry, is re-emerging as a strategic solution.

SMR
Source: IEA

A Measured Step Toward a Nuclear Renaissance

The DOE-Kairos agreement does not guarantee success. Advanced reactor development remains technically complex and capital-intensive. However, the deal’s structure reflects lessons learned from past nuclear projects.

By tying federal funding to performance milestones, DOE is promoting accountability. By combining public and private capital, the government is reducing financial risk while accelerating innovation.

Hermes now stands as one of the most closely watched advanced reactor projects in the United States. If Kairos delivers on schedule, the project could mark a turning point. Not just for one company but for the broader U.S. nuclear renaissance that policymakers increasingly envision.

In a world of rising electricity demand and tightening climate targets, advanced nuclear energy is inevitably essential. And with Hermes moving forward, it is becoming tangible infrastructure.

The post DOE’s $303M Bet on Kairos Power Signals America’s Advanced Nuclear Push appeared first on Carbon Credits.

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Amazon Tops Global Clean Energy Rankings With 40GW Renewable Projects Says BNEF

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Amazon Tops Global Clean Energy Rankings With 40GW Renewable Projects Says BNEF

Amazon, once again, is one of the top corporate buyers of clean and renewable energy in the world. For the fifth year in a row, the company leads global corporate renewable energy procurement. BloombergNEF again recognized Amazon as a top corporate purchaser of carbon-free power, with a portfolio that adds significant new clean energy to grids.

Amazon’s clean energy projects now span more than 700 global initiatives. These include utility-scale solar and wind farms, battery storage, onsite solar, and other carbon-free energy sources across 28 countries.

So far, Amazon has invested in over 40 gigawatts (GW) of carbon-free energy capacity. This amount of power could supply the annual electricity needs of more than 12.1 million U.S. homes if it were used for residential demand.

These investments make Amazon not just a buyer of clean power for itself, but a major driver of new renewable energy build-out around the world.

From First PPA to 40GW Global Portfolio

Amazon’s renewable energy footprint has expanded rapidly over the past decade. The big tech company was the biggest corporate buyer of renewable energy in 2025, based on BloombergNEF data. It signed multiple power purchase agreements (PPAs) and grew its clean energy portfolio.

corporate clean energy purchases BNEF 2025
Source: BNEF
  • Amazon has backed over 700 wind and solar projects around the world. This clean energy can power more than 12.1 million U.S. homes each year.

This expansion includes utility-scale wind and solar farms. It also covers renewable energy bought through PPAs. Additionally, it features on-site rooftop and ground-mount solar projects at Amazon facilities.

Over time, these efforts have helped the tech giant use more clean energy for its electricity, which is a key part of its climate strategy.

Amazon renewable energy portfolio 2025

Solar, Wind, Storage — and Next-Gen Power

Amazon’s clean energy portfolio includes a broad mix of technologies:

  • Solar power: 300+ utility-scale solar and wind farms and 300+ onsite solar projects.
  • Wind energy: Large wind farms in multiple countries, with 6 offshore wind farms in Europe. 
  • Energy storage: Battery storage projects that help balance intermittent renewable output. It has 11 utility-scale battery storage projects. 
  • Emerging technologies: Amazon has invested in advanced options like nuclear small modular reactors (SMRs), with 4 nuclear power agreements. These help provide firm, low-carbon baseload power. 

These investments help replace fossil fuel generation on local grids. They also support grid reliability and reduce electricity costs over the long term.

In Mississippi, for example, Amazon worked with a utility to enable 650 megawatts (MW) of new renewable energy on the grid. Once operational, this capacity will serve the equivalent of over 150,000 homes and improve grid reliability.

Moreover, the company’s 253 MW Amazon Wind Farm Texas contributes around 1,000 GWh of clean power annually. Meanwhile, its European solar and wind assets alone total about 4,600 MW of capacity.

All these efforts form part of the e-commerce’ push for its 2040 net zero targets.

Powering the Path to Net Zero 2040

Amazon has set multiple climate and sustainability targets. The company aims to reach net-zero carbon emissions by 2040 — a goal it committed to early as part of The Climate Pledge.

Amazon net zero emissions 2040
Source: Amazon

To work toward that long-term target, Amazon set a goal to match its electricity use with renewable energy. It reached 100% renewable electricity for its operations ahead of schedule, well before its original 2030 goal.

This means Amazon is purchasing an amount of renewable electricity equal to its total annual consumption. Clean power comes from renewable projects connected to the grid. These projects are supported by long-term PPAs and other contracts.

The renewable energy purchases lower Amazon’s Scope 2 emissions, which come from the electricity it buys. They also help decarbonize the grids where the company operates.

Corporate Buyers Now Rival National Grids

Amazon’s clean energy efforts are part of a larger shift across the corporate world.

Since 2008, companies have bought almost 200 GW of renewable energy worldwide through corporate PPAs and other agreements. This capacity exceeds the total electricity generation of some countries, like France or the United Kingdom.

In 2023, companies revealed a record 46 GW of clean energy deals. These renewable power commitments support new solar and wind farms.

Large tech companies, including Amazon, Google, Microsoft, and Meta, are some of the most active buyers. Those tech firms accounted for a significant share of corporate clean energy procurement over the last decade.

This trend shows that corporate demand can speed up the clean energy shift by providing renewable power developers with long-term revenue certainty.

 Jobs, Grid Stability, and Market Transformation

Corporate clean energy procurement, though slowed down in 2025, has broader economic and energy-system impacts. Investments in renewable projects contribute to job creation, local economic growth, and grid resilience.

Amazon’s solar and wind farms create many construction and operation jobs. They also boost the economy in rural areas. For example, the Great Prairie Wind Farm in Texas has 350 wind turbines. These turbines provide over 1,000 MW of capacity and are one of the largest assets in Amazon’s portfolio.

Also, Amazon’s clean energy deals boost renewable capacity. These projects are in Brazil, India, China, Australia, and Europe, which support markets with different grid mixes. These projects can cut down on fossil fuel-based electricity. They also help local grids stay cleaner and stronger.

Permitting, Policy, and the Next Growth Wave

Despite strong progress, corporate clean energy procurement still faces challenges.

Renewable projects often depend on grid capacity, permitting, and supportive policy frameworks. In some regions, complex regulations or limited grid access can slow project development and clean energy adoption.

Nevertheless, the trend of corporate power purchasing is expected to grow. Data from the Clean Energy Buyers Association (CEBA) shows that U.S. businesses have signed contracts for 100 GW of clean energy. This milestone highlights how important companies are in today’s energy landscape.

Global renewable capacity is also expanding rapidly. According to IRENA, global renewable power capacity reached 4,448 GW at end-2024 after adding a record 585 GW. That’s 15.1% growth with solar leading 75%+ of additions. The 2025 additions are expected to maintain record growth toward the 2030 tripling goal.

Renewables are now growing faster than fossil fuels in new capacity. Looking ahead, strong demand from companies for clean energy will boost growth. Better policies and tech advancements will also help renewable power buying and grid decarbonization.

Private Capital Driving Public Energy Changeaction

Amazon’s clean energy leadership shows how corporate buyers can influence the global energy transition. By securing large portfolios of renewable power, the tech giant and other major corporations are investing in the future of clean electricity. These investments not only help reduce their own emissions but also fund new clean energy capacity that benefits broader society.

As corporate renewable procurement grows, so does the clean energy market. This can lower costs, stimulate innovation, and increase the pace of emission reductions across power systems worldwide.

With more companies setting clean energy goals and signing long-term agreements, the private sector continues to be a powerful force in the shift toward a low-carbon economy.

The post Amazon Tops Global Clean Energy Rankings With 40GW Renewable Projects Says BNEF appeared first on Carbon Credits.

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NVIDIA Hits Almost $216 Billion Revenue as AI Boom Tests Its Climate Strategy

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NVIDIA Hits Almost $216 Billion Revenue as AI Boom Tests Its Climate Strategy

NVIDIA’s latest earnings report shows the scale of the AI boom. The chipmaker reported record revenue and became the fourth U.S. tech company to exceed $100 billion in annual profit. Alongside financial growth, Nvidia continues to push renewable energy use and efficiency gains. The results highlight the growing link between AI expansion and sustainability challenges.

NVIDIA reported record revenue of $68.1 billion for the fourth quarter of fiscal 2026, ending January 25, 2026. This figure was up 73% from a year earlier and up 20% from the prior quarter. Data center sales, which fuel artificial intelligence (AI) growth, were $62.3 billion, or about 91% of total revenue in the quarter.

For the full fiscal year, NVIDIA posted $215.9 billion in revenue, a jump of 65% from the prior year. Net income reached tens of billions, $120,067 million for the full year and $42,960 for the 4th quarter. Earnings per share also grew significantly.

These results exceeded most analysts’ expectations and underscored NVIDIA’s continued leadership in AI compute hardware. The company also forecast strong revenue for the first quarter of fiscal 2027.

NVIDIA financial results 2025
Source: NVIDIA

NVIDIA’s Sustainability Commitments at a Glance

NVIDIA has increasingly highlighted its environmental and sustainability goals in recent years. For the fiscal year 2025, the company achieved 100% renewable energy use for all offices and data centers it directly controls.

The renewable supply came from a mix of:

  • On-site generation
  • Purchased renewable electricity
  • Energy attribute certificates (EACs)
  • Power purchase agreements (PPAs)

This milestone eliminates the company’s market-based Scope 2 emissions tied to electricity use in those facilities.

While operational emissions from electricity have been addressed, total emissions figures remain complex. NVIDIA reported that its total greenhouse gas emissions increased. This includes Scope 3 emissions linked to its supply chain and purchased goods. Scope 3 emissions accounted for the bulk of its emissions inventory, and they rose significantly year-over-year.

Nvidia GHG emissions 2024

NVIDIA has also incorporated science-based targets and reduction plans into its public disclosures. The company aims to cut direct (Scope 1) and electricity-related (Scope 2) emissions by about 50% by 2030. This is based on its baseline figures. These science-based targets are consistent with internationally recognized climate frameworks.

Beyond energy use, NVIDIA has implemented other environmental actions. Closed-loop liquid cooling systems in data centers help cut water use. Also, there are significant increases in recycling electronic waste each year.

AI Performance Per Watt: NVIDIA’s Efficiency Edge

NVIDIA’s technology can influence emissions well beyond its own operations. The company’s GPUs and systems power AI infrastructure around the world. Many of these systems are designed to be energy efficient.

For example, NVIDIA-based systems dominate rankings of the most energy-efficient supercomputers globally. The Green500 list ranks systems based on energy efficiency.

Many top entries use NVIDIA GPUs, especially the advanced Grace Hopper architecture. These systems deliver high computing performance per watt of power, helping labs and data centers run complex workloads with less energy.

Record Profits, Cautious Market Reaction

Despite the strong financial performance, NVIDIA’s share price movement highlights market nuances. Some reports noted that after an initial uptick in after-hours trading, the stock’s gains flattened or reversed. This response came even as NVIDIA beat revenue and profit expectations.

NVIDIA nvda stock price

Analysts point to broader concerns about the valuation of high-growth AI stocks. Investors are cautious despite strong earnings. They worry about how fast AI demand will grow and whether valuations show future risks.

In early 2026, NVIDIA’s stock had also seen uneven performance year-to-date. Some analysts believe the trading pattern after earnings shows sector sentiment more than the company’s actual results.

NVIDIA’s profit scale also stands out compared with other major U.S. tech firms. For fiscal year 2026, the tech giant reported $120 billion in net income. This made it the fourth U.S. tech company ever to exceed $100 billion in annual profit, joining Alphabet, Apple, and Microsoft.

  • NVIDIA’s result trails only Alphabet’s $132 billion profit in 2025, which remains the largest annual profit ever recorded by a U.S. company.

The speed of NVIDIA’s rise is also notable. Just three years ago, the company’s annual net income was $4.4 billion. In its most recent quarter, the chipmaker generated that amount in less than 10 days.

Nvidia annual profit 2025 vs other big tech
Source: Statista

By comparison, Apple took 18 years to grow from $5 billion in annual profit to $112 billion, beginning around the launch of the iPhone in 2007. Microsoft took 27 years to move from $5 billion to more than $100 billion in annual profit. Alphabet first crossed the $100 billion mark in 2024. NVIDIA hit this milestone in under three years. CEO Jensen Huang pointed out the company’s AI gains in May 2023.

Efficiency Gains vs. Expanding Energy Footprint

NVIDIA’s external ESG ratings are similar to those of other tech companies for environmental and governance metrics. However, the scores vary in social and supply chain areas. These ratings consider things like how well companies disclose information, their plans for cutting emissions, and their governance. They also look at challenges related to wider supply chain emissions.

One sustainability ranking highlighted a “paradox” in NVIDIA’s performance. It noted that NVIDIA’s chips are among the most energy-efficient in the world, which boosts its sustainability profile. The quick rise in total energy use for AI infrastructure is increasing overall environmental impacts. This happens even as per-unit efficiency improves.

NVIDIA’s renewable energy goals and efficiency gains have positioned it as a leader. It combines strong finances with sustainable growth. For instance, in a 2026 list of top firms for sustainable growth, NVIDIA stood out. It achieved 100% renewable energy for its offices and data centers. Plus, its GPU platforms are energy efficient.

Can AI Hypergrowth Align With Climate Targets?

NVIDIA’s sustainability strategy focuses on three key areas:

  • Reducing direct and indirect emissions.
  • Improving energy use.
  • Enhancing reporting transparency.

The company has achieved important goals. It now uses renewable energy for its facilities. It has also improved chip efficiency. These steps show progress toward environmental goals.

Still, rising Scope 3 emissions and the booming demand for AI compute make tackling environmental impacts more complex. NVIDIA’s sustainability reports highlight that energy use in data centers is a major barrier. This limits both digital infrastructure growth and climate progress.

Energy-intensive “AI factories” — large data centers running training and inference workloads — require large power supplies, often on par with traditional industrial factories. This growth in demand puts pressure on energy systems to shift toward low-carbon sources.

NVIDIA’s efforts to work with suppliers on emissions targets and its investments in energy efficiency aim to address parts of this challenge. But the company has not yet announced a full net-zero emissions target with a fixed date.

So, What Comes Next for NVIDIA?

In the near term, NVIDIA will likely continue to be a focal point for both earnings performance and ESG debate. Future earnings releases and sustainability reports will show whether the company’s actions keep pace with its growth.

Investors and stakeholders will watch how NVIDIA manages AI demand, emissions challenges, and energy efficiency together.

On the sustainability side, developing and reporting progress on Scope 3 emissions, supplier engagement, and potential net-zero pathways will shape ESG evaluations. As AI energy use rises worldwide, companies like NVIDIA will face more scrutiny over how they balance growth with their emissions and climate impact.

Overall, NVIDIA’s record earnings and sustainability efforts highlight its role in tech innovation and environmental change. The company balances rapid AI growth with a commitment to lowering its environmental impact.

The post NVIDIA Hits Almost $216 Billion Revenue as AI Boom Tests Its Climate Strategy appeared first on Carbon Credits.

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