Environment
Energy consumption is the primary contributor to Equinix’s environmental footprint and has substantial financial implications. By scaling renewable energy (RE) at Equinix, we reduce greenhouse gas (GHG) emissions and help our customers operate more sustainably.
In pursuit of climate neutrality1 by 2030, Equinix has prioritized investments in clean and renewable energy across our global portfolio. We leverage Power Purchase Agreements (PPAs) and purchase energy attribute certificates (EACs) to increase our renewable energy coverage. For maximum impact, we prioritize investment in the grid regions where we operate and give preference to contract structures that facilitate the development of new or additional renewable generation capacity.
1 We define climate neutrality as achieving a 100% reduction in operational emissions.
Our Progress
Demand for data storage continues to accelerate. As we build and acquire facilities to meet this need, we remain committed to sustaining or increasing our renewables coverage. Our goal is to procure 100% renewable electricity coverage globally by 2030. In 2023, we consumed 8,170 GWh of electricity between our overhead infrastructure and customer IT load, 420 MWh more than in 2022. Of that total, 96% was covered with renewably sourced energy.
Footprint
256
data centers2
29.8
million gross square feet
32
countries
Consumption and Renewable Energy
8,170
GWh of electricity consumed
772,000
equivalent to electricity usage of 772,000
U.S. homes in a year3
96%
renewable globally
239
sites with 100% RE coverage
1,063
MW of PPAs under long-term contract
537%
increase in PPAs (by MW) signed under long-term contract since last year
2 Included in the 2023 operational (Scope 1 & 2) GHG boundary
3 Based on the U.S., EIA’s 2020 average household electricity consumption
Energy and Renewable Energy Trends
Approach to Procuring Renewable Energy
As a leading data center provider with a mission to enable sustainable outcomes for our customers, we are not satisfied to ride on past successes. Instead, we aim to continually increase the quality of renewables we procure. This includes targeting projects that provide additionality—defined as the addition of new renewable energy capacity on the grid. Our focus is on procuring renewable energy from sources that significantly enhance the sustainability of local power grids.
Our Renewable Energy Principles
Equinix applies four principles to our purchasing decisions to advance our goal of 100% clean and renewable energy:
- Utilize renewable and low-carbon energy
- Procure local sources of renewable energy where possible
- Seek new or recently built generation sources
- Advocate for favorable renewable energy policies and consider renewable energy availability when locating new data centers
PPAs are our preferred choice because they provide additionality, but they are not available or viable at all locations. We supplement our renewable energy procurement by purchasing EACs, and we assess our facilities for opportunities to generate renewable energy on-site. We consider which sourcing route is most effective in the region and localize projects where possible. Together, our PPAs and EACs covered 96% of our electricity consumption as of December 31, 2023.
Rapidly Scaling PPAs
Through PPAs, we provide a developer with long-term financial support to facilitate the development and operation of utility-scale renewable energy projects. Rapidly scaling our access to PPAs is key to achieving our 2030 goals. To ensure consistency and quality, we aim to foster long-term partnerships with reliable developers.
As of March 2024, we have committed to 21 PPAs with a combined 3,000,000 MWh of generation capacity. We signed 15 of these contracts in 2023 alone, demonstrating our commitment to accelerating PPA coverage. With these new contracts, our global facilities are estimated to have 25% PPA coverage when the projects become operational.
Case Study
Spotlight: Björkliden and Storbrännkullen Virtual Power Purchase Agreements (VPPA)
The Björkliden wind project (35 MW), developed and owned by Neoen in Finland, played a pivotal role in advancing our commitment to VPPAs in the EU market. This wind farm, set for commercial operation in 2024, bolstered our clean energy portfolio and established a partnership with Neoen rooted in our collective financial stability, environmental mindfulness and collaborative ethos.
Also developed by Neoen, the Storbrännkullen wind project (15 MW) in Sweden will enter operation in 2024, representing another significant step toward achieving our long-term sustainability objectives.
Equinix remains committed to our science-based renewable targets, including impactful growth of our corporate grid-scale PPA efforts. To that end, we have signed agreements for additional projects set to begin production in 2025 and 2026.
| Developer | Project | Technology | Location | Online Date4 |
|---|---|---|---|---|
| NextEra | Rush Springs | Wind | Oklahoma | 2016 |
| Southern | Wake | Wind | Texas | 2016 |
| Neoen | Bjorkliden | Wind | Finland | 2024 |
| Neoen | Lumivaara | Wind | Finland | 2025 |
| Neoen | Storbotet | Wind | Finland | 2026 |
| IGNIS | Cimera | Solar | Spain | 2025 |
| IGNIS | Coracha | Solar | Spain | 2025 |
| IGNIS | Baobab | Solar | Spain | 2025 |
| IGNIS | Dintel | Solar | Spain | 2025 |
| IGNIS | Rascon | Solar | Spain | 2025 |
| Sonnedix | Beltierra | Solar | Spain | 2025 |
| Neoen | Storbrännkullen | Wind | Sweden | 2024 |
| Sonnedix | Duoro | Solar | Portugal | 2025 |
| WPD | Roncheres | Wind | France | 2025 |
| WPD | Herbes Sauvage | Wind | France | 2025 |
| WPD | Saint Laurs | Wind | France | 2025 |
| WPD | Pays de Mayenne | Wind | France | 2025 |
| WPD | Saulzoir | Wind | France | 2025 |
| WPD | Magnac Laval | Wind | France | 2025 |
| WPD | Chateau Garnier | Wind | France | 2025 |
| TAG Energy | Golden Plains | Wind | Australia | 2029 |
4 All future online dates are anticipated and subject to change. It is also possible the projects are not built or are replaced with suitable alternatives should there be development obstacles.
Energy Attribute Certificates
EACs are currently a part of our renewable energy portfolio mix and can be acquired through multiple mechanisms. Those sourced directly from a contracted project such as a PPA, or included in a power supply contract are typically referred to as “bundled” certificates, whereas those purchased from a third party or broker are classified as “unbundled.”
While we recognize that EACs do not enable the development of new projects to the same extent as PPAs, purchasing unbundled certificates still plays an important role in sending demand signals to the market and supports the “greening” of the related electrical grid system. Moreover, PPAs are not available in all global markets, and Equinix contributes to the development of the renewable energy market through its purchase of unbundled certificates. In locations with more developed energy markets, we actively work to replace unbundled certificates with higher quality solutions such as PPAs that deliver additionality.
When evaluating EAC procurement opportunities, we aim to select sources that adhere to global certification standards, such as in North America, where 100% of our purchases are Green-e certified. Another criterion we prioritize depending on market availability is purchasing EACs from projects less than five years old, which helps incentivize the development of additional new projects. We adhere to the GHG Protocol and ISO 14064-3 reporting standards for any claims we make using certificates. Equinix recognizes that not all EACs are viewed as having equal environmental impact and that there is a range in quality within our current renewable energy portfolio. By using our purchasing power to raise standards and promote new renewable investments, we believe we are supporting the development of the renewable energy industry as well as greening the grid where we operate and beyond for all users.
On-site Installations
Equinix’s long-term renewable energy strategy places great emphasis on scaling off-site PPAs and investing in on-site solar projects at our data center locations. In our new-build designs and at existing facilities, we evaluate opportunities to optimize on-site solar generating potential. Our systems support greater energy market transformation by bringing new renewable energy online. In 2023, we deployed on-site solar on three continents: South America, Europe, and Australia. In total, our existing on-site solar capacity has grown to 5.6 MW globally in 2023.
Climate Action through Collaboration
Achieving decarbonization will require collective action. We collaborate with peers, industry organizations and governments to support the transition to a low-carbon economy. Equinix sits on the Board of Directors for the Clean Energy Buyers Association (CEBA) to influence meaningful initiatives that create value for member companies. In 2023, we helped lead four workshops through CEBA, sharing our internal expertise on renewables procurement with 65 peer and customer companies. Our commitment to sourcing low-carbon energy earned us a place on the U.S. Environmental Protection Agency (EPA)’s Green Power Partner National Top 100 for the ninth year in a row.
Learn more about our policy advocacy on our Advocacy and Collaboration webpage.
Case Study
Renewable Energy Leadership at Equinix:
Recognizing Our Early Leaders
In 2015, Equinix began work on its first ever sustainability report, led by a small operations team that included subject matter experts David Rinard and Bruce Frandsen. This dynamic duo developed Equinix’s initial renewables procurement and reporting strategy, building the framework for our company commitment of 100% clean and renewable energy. Since then, the broader energy and sustainability function has grown globally from two to 24 employees, all working to advance our energy procurement, risk management and renewable energy portfolio full time.
David has since expanded his role as VP, GDC Energy, Sustainability & Systems—going beyond renewables after leading this initial push for sustainability. While David’s role has broadened to now include more systemization of our design, construction and energy efforts, he continues to drive the company’s renewable initiatives forward as part of his global responsibilities.
Today, Bruce Frandsen, Director, Global Renewable Energy & Cleantech, continues to have an integral role in our global renewable energy strategy with a focus towards advocacy, policy, training and mentoring. With nearly 40 years of experience, Bruce understands that each site poses unique challenges for accessing renewable energy and encourages the team to develop project-specific solutions. In addition to mentoring the team, Bruce represents Equinix on CEBA’s Board of Directors and serves on the Executive and Membership committees. He guides other companies through their renewables transition and helps CEBA represent the voice of renewable energy buyers at both the regional and federal level.
“We take a leadership role in doing what is right for the environment, setting an example that many others have now followed.”
Alternative Power Sources
Low-Carbon Fuels
Since 2022, our Sustainability and Global Operations teams has been piloting fuel replacement strategies for diesel generators, focusing on both near- and medium-term solutions to reduce our Scope 1 emissions. As part of these efforts, we’ve explored alternative fuels, specifically hydrotreated vegetable oil (HVO), also called Renewable Diesel, which has excellent storage properties and offers soot reduction. HVO is a bio-based liquid fuel derived from various organic feedstocks, such as food waste and rapeseed, sunflower and soybean oils. HVO, approved by all generator manufacturers, is deemed a drop-in fuel replacement and offers up to 90% net CO2 reduction.
During late 2022 and early 2023, to validate the feasibility of HVO, Equinix conducted tests on nine common engines used in backup generators. HVO proved to be a successful drop-in substitute for diesel in these tests. We are now implementing HVO in pilot locations globally, starting with selected IBX sites in London, Paris and Frankfurt. Our ambition to shift to alternative fuels aligns with our sustainability goals and contributes to the broader movement toward clean energy sources. To learn more about HVO use in data centers, read the Equinix Operational Sustainability Program’s white paper.
Case Study
Testing Alternative Fuels in Sweden
At a data center location in Sweden, we wanted to ensure residents of a new nearby development would not be negatively affected by smoke and odor from our generators. Equinix’s local team conducted extensive tests across four factors: smoke, odor, vibrations and noise levels. Following comprehensive assessments comparing diesel and HVO100, the team transitioned all generators at the site to HVO, for optimal maintaining performance and lowering environmental impact.
Fuel Cells
Fuel cells generate power through electrochemical reactions, producing energy with a 20%-35% lower greenhouse gas footprint than the marginal emission rates of the regional grids where we use them. Unlike the combustion of fossil fuels, fuel cells do not require water and produce negligible particulate matter. Substituting carbon-intensive grid power with fuel cell-generated power allows us to reduce emissions without interrupting service to our customers. We also enable all fuels cells to accept a blend of up to 50% hydrogen, allowing us to take advantage of the evolving hydrogen market. Though green hydrogen is not yet a commercially viable energy source, we continue to support projects that provide demand signals for the growing market.
As of 2023, we have deployed 49.95 MW of fuel cells across the United States.
49.95MW
Fuel cells installed
223,000
MTCO2e avoided
91.25
Total fuel cells
contracted
319B
Gallons of embedded
water use avoided
Green Finance
Equinix is driving sustainability innovation through our use of green bonds.