Primary: Data centre cooling, PUE and on-site efficiency New data centres being built use closed evaporative air cooling systems (only a few hundred gallons of water per day evaporated). Oracle deployed VEPO (Virtual Emergency Power Off) to shed load during cooling failures, and uses Infrawatch automated monitoring for power/cooling thresholds. Open Compute Project-based architecture, phase-shedding voltage regulators, and Energy Star-certified server products are deployed across OCI to reduce energy intensity. FY25 MEP setpoint optimisation pilot delivered 1,997 tCO2e of avoided emissions.
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Will neutralize residual emissions with permanent removals by 2050 — no offsets used today Oracle's net-zero plan states intent to neutralize any residual emissions with permanent carbon removals at end of target (2050). The firm explicitly does NOT plan to mitigate emissions beyond its value chain, and does NOT plan to purchase or cancel carbon credits for neutralization or BVCM. No project-based carbon credits were retired in the reporting year. Specific removal volumes, technologies, and milestones are listed as confidential.
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Primary: Hardware design-for-environment + take-back / refurbishment Oracle's Design for the Environment (DfE) program guides engineers to prioritise recyclability, reuse and energy efficiency. Customer take-back programs collect end-of-life hardware for remanufacture by Oracle or responsible recycling by contracted recyclers — the resulting end-of-life emissions are deemed immaterial. Energy Star certification maintained for server products sold both on-premises and used in Oracle's Cloud Data Centers.
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Scope 3 Cat 2 (capital goods) jumped ~5.4x vs prior year Scope 3 Category 2 (capital goods) reported as 6,961,412 tCO2e in FY25, up from 1,292,716 in FY24. Reflects supplier-specific method updates and major data centre capital investment ramp-up.
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Dependent: Supplier engagement on emissions reduction targets Oracle engages ~96% of direct supplier spend via annual RBA-aligned environmental surveys plus CDP disclosures. Targets: 100% of key suppliers with environmental programs (achieved FY25), 80% of key tier 1/2 suppliers with emissions reduction targets (FY25: 100% direct, 81% indirect — both achieved). EcoVadis used to score and prioritise suppliers. Supplier-specific emission factors used for Scope 3 Cat 2 capital goods (94% supplier-specific data).
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Renewable energy target on track but Scope 3 trajectory off 100% renewable energy target 45.79% achieved through FY25 (vs base year). However, 50% absolute reduction by 2030 target shows -636.77% achievement (i.e. emissions have grown well above baseline driven by Cat 2 capital goods + upstream leased AI/cloud expansion).
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Dependent: Use-of-sold cloud services enabling customer decarbonisation Oracle frames OCI and Fusion Cloud Applications (incl. EPM Sustainability, Fusion Cloud Sustainability) as low-carbon alternatives to on-prem IT. Combined, low-carbon cloud products represent ~42.8% of revenue (24.9% Fusion + 17.9% OCI). Oracle has not quantified avoided emissions but positions cloud migration as a Scope 3 reduction lever for customers, with Sustainability Planning capability inside EPM allowing customer KPI tracking and decarbonisation scenario modelling.
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FY reporting period shift + added Scope 3 cats 7, 8, 11 Shifted from CY to FY reporting to align with financial disclosures. Added emissions for Scope 3 Categories 7 (employee commuting), 8 (upstream leased), and 11 (use of sold products); these were previously excluded or miscategorized. Updated emission factors for Cats 1 and 2.
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Match 100% of data-centre electricity with renewables by 2025 via PPAs, VPPAs, RECs, GOs Oracle Cloud Infrastructure (OCI) procures renewable energy through RECs, Guarantees of Origin (GOs), and green tariffs, alongside identifying virtual power purchase agreements (VPPAs) that create additional local renewable generation near Oracle data centres. In FY25, 91% of all Oracle electricity consumption was renewable (vs 83% in FY24); 90% of OCI electricity was renewable. Oracle is evaluating micro-grid solutions including on- and off-site renewable generation, battery energy storage (BESS), and CCUS. Estimated FY25 spend on renewable energy and RECs was ~USD 6.4M. Aligned with RE100 / Exponential Roadmap Initiative.
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Primary: Business travel reduction Scope 3 Category 6 business travel dropped from 82,056 tCO2e (FY24) to 58,338 tCO2e (FY25), a ~29% YoY decrease. Calculation uses distance-based method with UK DESNZ/BEIS 2025 emission factors (short/medium/long-haul; average passenger class; no radiative forcing adjustment).
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