Cisco has a science-based goal to reach net zero greenhouse gas emissions by 2040, and renewable energy is an important part of its strategy to advance progress. In its fiscal year 2025 (FY25), for the first time in company history, Cisco sourced renewable electricity to match 100% of its global annual electricity needs at owned and leased facilities. The organisation reports the sources of renewable energy in its Purpose Reporting Hub.
Cisco procure clean electricity through various methods, including on-site solar installations and contracts with local utilities. In parallel, its strategy is to shift toward long-term power purchase agreements (PPA) with developers building new projects because these add new clean energy to the grid and can benefit local economies by creating jobs. This strategy aligns with its long-term goals and provides value to Cisco and to communities. Long-term PPAs have helped Cisco gain more price certainty and cost savings over time and can reduce our vulnerability to market fluctuations and energy supply disruptions.
In FY25, new PPAs included a new 92 megawatt (MW) solar and wind generation facility in India now powering its Bangalore campus and a 180 MW solar development in Texas, where Cisco is the anchor buyer.
Cisco also began piloting the use of renewable fuels in its operations. For example, in Bangalore, India, the organisation began testing biodiesel generated from agricultural waste in one of its onsite diesel generators, replacing 15% of its conventional diesel use with biodiesel for fiscal 2025. If Cisco’s testing is successful, it plans to increase its usage of biodiesel over time.
Cisco’s clean energy strategy has supply chain impact as well. Clean energy infrastructure is still developing in parts of the world, and its suppliers often face hurdles due to limited availability, high costs, and regulatory barriers. To address these challenges, Cisco collaborates across its supply chain to reduce emissions associated with product manufacturing. For example, in fiscal year 2025, Cisco joined forces with two consumer brands to collectively help suppliers in China access affordable clean energy. The project included education and access to bulk purchasing opportunities. As a result, four supplier sites purchased over 27 million kilowatt-hours (kWh) of clean energy in fiscal year 2025. One supplier site had never purchased clean energy previously but is now powering 15% of the site with it. Cisco also hosts in-person workshops for suppliers in southeast Asia to provide educational resources and connections to clean energy procurement opportunities.