Preem to supply Microsoft with coprocessed renewable diesel for datacenters in Sweden

Photo: Preem AB

Microsoft is establishing a new cloud region in Sweden that will be powered by 100 percent renewable energy and be among the most sustainably designed and operated in the world. Microsoft’s datacenters include generators to provide essential backup power to support business continuity in case of service interruptions or outages. Preem Evolution Diesel Plus, the world’s first Nordic Eco-labeled diesel, will now be available as an option for powering backup generators at Microsoft’s Swedish datacenters.

Microsoft select Preem to be a supplier of a low-carbon fuel that can be used for the Sweden datacenters’ backup generators. One important factor is that Preem Evolution Diesel Plus contains at least 50 percent renewable raw material, which entails an almost equivalent reduction in net carbon dioxide emissions compared with standard fossil diesel. Another important factor in Microsoft’s selection of Preem Evolution Diesel Plus was the company’s commitment to sustainably sourced feedstocks for their renewable fuels.

"While diesel fuel accounts for less than 1 percent of our overall emissions, we believe it is important to help accelerate the global transition away from fossil fuels and a step to help drive demand for sustainably-sourced, low-carbon fuels,” said Noelle Walsh, corporate vice president of cloud operations and innovation for Microsoft.

Breaking new ground for the cloud industry

Generators at datacenters are used as a backup power supply and have historically used conventional fossil-based diesel. This is the first time a cloud service provider has the firm intention to introduce a more sustainable fuel such as Preem Evolution Diesel Plus. The work has taken place in close collaboration with Microsoft and Caterpillar, the supplier of the generators at the Swedish datacenters.

By choosing Preem Evolution Diesel Plus as a fuel option for Microsoft's Swedish datacenters, the company expects at least 45 percent lower net carbon dioxide emissions compared to conventional diesel fuel.

“Preem wants to be part of the transition to sustainability and today invests significant resources in developing the market’s most sustainable fuels,” said Christian Bjerdén, vice president and head of sales at Preem. “We are extremely pleased that Microsoft has chosen to collaborate with us in its journey toward becoming carbon dioxide negative by 2030. The collaboration with Microsoft and Caterpillar bodes well for the future.”

Preem is Sweden’s largest fuel company, operating two refineries in Gothenburg and Lysekil that coprocess renewable diesel. Preem has targeted carbon neutrality by 2045.