How Mastercard Switched to 100% Renewable Power
In 2024, global energy consumption surged, driven by the need for cooling during record heatwaves, according to the International Energy Agency (IEA).
This situation represents a concerning cycle, where higher temperatures demand more energy, consequently propelling climate change.
Mastercard is actively addressing this global issue by integrating sustainability into its business and transitioning to renewable energy.
Mastercard’s climate commitment
Mastercard’s approach goes beyond emissions reduction, positioning environmental responsibility as a strategic pillar on par with finance and cybersecurity.
The approach is about future-proofing operations, strengthening communities and leading by example in the transition to a low-carbon economy – as recommended by the IEA.
“The IEA has long championed energy efficiency as the ‘first fuel’, as it is not only the most secure energy resource but also among the most cost-effective measures to cut energy bills and reduce greenhouse gas emissions,” said Dr Fatih Birol, Executive Director at IEA.
Since 2019, Mastercard has succeeded in powering its entire global operations using renewable electricity.
This covers all properties owned and operated by the company globally, achieved through on-site generation, acquiring renewable energy certificates and investing in clean energy.
Scalable onsite energy innovation
Mastercard is heavily investing in onsite renewable energy projects to both ensure operational continuity and promote decarbonisation.
"We are demonstrating that profitable businesses can simultaneously be good neighbours — that business success and community well-being are fundamentally connected," Ellen Jackowsi, Chief Sustainability Officer and EVP at Mastercard and Tara Maguire, Executive Vice President for Financial Operations for Mastercard said in a Mastercard joint blog.
At its O’Fallon, Missouri site, a 40-acre solar array is under construction.
This array is slated to power its largest technology hub and enable the facility to operate independently from the local electrical grid, bolstering resilience during adverse weather conditions.
In Purchase, New York, Mastercard's global headquarters is installing a closed-loop geothermal system, drilling 160 boreholes that are 600 feet deep.
This system provides a sustainable heating and cooling solution powered entirely by renewable energy and will replace a natural-gas-based system, helping to cut down substantial direct fossil fuel use.
Solar panels are being installed across global Mastercard offices, including facilities in Dubai in the UAE, Harrogate in the UK, Kansas City in the US and additional locations at the Purchase campus.
In St. Louis, land next to Mastercard's data centre is designated for further solar projects, with half retained as green space and all displaced trees being replanted under the Priceless Planet Coalition to restore 100 million trees globally.
Climate targets and supply chain action
Mastercard says that its climate strategy is rooted in science.
Achieving net-zero emissions across Scopes 1, 2, and 3 by 2040 forms a core part of its targets which have been verified by the Science Based Targets initiative (SBTi).
Interim targets for 2025 include reducing Scope 1 and 2 emissions by 38% and Scope 3 by 20% against a 2016 baseline.
By 2023, the company had already surpassed these targets, achieving a 48% reduction in direct emissions and a 40% decrease in indirect emissions.
Recognising the substantial carbon footprint within its value chain, Mastercard collaborates with suppliers to monitor and curtail emissions.
In 2023, 91% of suppliers, accounting for 85% of supply chain emissions, disclosed emissions data, with many adopting their own science-driven targets.
Mastercard facilitates this progress by providing resources and collaborative opportunities focused on renewable energy adoption and efficiency measures.
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