Amazon on Wednesday announced that it met its 100% renewable energy goal seven years ahead of schedule, with a caveat.

Rather than rely on clean energy to power its facilities, Amazon procured corporate power purchase agreements (PPAs) that amount to the Seattle-based giant’s operations. To this end, the company invested billions of dollars in over 500 solar and wind projects worldwide.

These projects generate enough energy to power 21.9 million European homes, the company noted in a press release.

The target— initially set for 2030— encompasses all of Amazon’s global operations, including data centers, corporate buildings, grocery stores, and fulfillment centers. Additionally, the move ensured that the company retained its position as the world’s largest corporate purchaser of renewable energy.

“By achieving its 100% renewable energy goal, Amazon has made it possible for hundreds of new solar and wind projects to be constructed, bringing new sources of clean energy to grids and communities around the world,” added Kyle Harrison, head of sustainability research at Bloomberg NEF.

“Addressing climate change while balancing society’s skyrocketing energy demands is a massive challenge, and Amazon’s commitment to clean power demonstrates how a single company can help accelerate the transition to the low-carbon economy on a global scale.”

Expanding clean energy globally

Amazon’s renewable energy projects span 27 countries, including India, Greece, South Africa, Japan, and Indonesia. In Europe alone, the company supports nearly 1.7 GW of offshore wind capacity across six wind farms. This makes Amazon the top corporate purchaser of offshore wind energy globally.

Projects like Moray West in Scotland and East Anglia THREE in Suffolk are expected to produce enough energy to power 1.8 million average European homes once fully operational.

In the Asia Pacific region, Amazon has enabled over 80 renewable energy projects in India, Australia, China, Japan, and other countries. Additionally, the company revealed its first onshore wind farm. This 33 MW project located in Rokkasho, Aomori Prefecture will be joined by a 9.5 MW standalone utility-scale solar farm located in Kudamatsu, Yamaguchi Prefecture.

In the United States, Amazon launched Mississippi’s first utility-scale wind farm, Delta Wind, which generates carbon-free energy to power Amazon’s nearby data centers. The company also claims that the wind farm will benefit local residents by providing revenue for farmers and funding for future grid upgrades.

Evolving needs in a challenging world

Even amid celebrations of its early achievement, Amazon acknowledged the challenges in its path to its net-zero carbon by 2040 target.

Increased demand for generative AI and other technologies is transforming Amazon’s energy requirements. Hence, the company is exploring new carbon-free energy sources, such as nuclear power and battery storage to complement its renewable energy portfolio.

The company is also working with energy regulators to support grid enhancements and remove permitting obstacles. According to the International Energy Agency (IEA), the world must add or replace 80 million kilometers of grids by 2040 to meet climate targets.

The company remains focused on its long-term sustainability goals amid skepticism regarding its transparency in its renewable energy claims. “Our teams will remain ambitious and continue to do what is right for our business, our customers, and the planet,” Hurst emphasized.

The firm’s sustainability report also revealed that the company reduced its carbon footprint by 3% last year and decreased its carbon intensity by 13%. Furthermore, Amazon is undertaking steps to reduce plastic usage as well as investments in climate tech startups.