Microsoft Fuels The Climate Crisis: The Terrifying Carbon Footprint of AI │Enabled Emissions

AI is supposed to speed up the green energy transition. Instead, ex-Microsoft insiders say it’s increasing fossil fuel extraction, driving up global temperatures, and making net zero almost impossible.

As part of its stance on sustainability, Microsoft pledged to remove 5 million metric tons of carbon over 15 years. But its AI contracts with Exxon and Chevron could add 51 million metric tons every year — three times its annual footprint, and more than ten times what it promised to cut.

While much of the public debate focuses on data centers and electricity use, the hidden story is that AI and fossil fuels are deeply connected, with direct consequences for global emissions, the climate crisis and the transition to green energy.

In this episode of Thinking on Paper, the former Microsoft sustainability leaders and founders of Enabled Emissions, Holly and Will Alpine explain how AI has become essential for oil and gas companies, helping them cut costs, boost production, and extend the life of reserves that should be declining.

It's a stark reminder. 

Please enjoy the show. And share with a curious friend. 

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LINKS & RESOURCES

- Enabled Emissions

- Microsoft's Commitment to Sustainability

- Exxon & Microsoft partnership press release

- Microsoft Net Zero

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Stats on AI and Oil Production:

🛢️ US oil production: Surged from 5.1 million barrels per day in 2007 to 13.5 million today, largely due to AI-driven extraction.

🛢️ Permian Basin output: Daily oil production tripled in the past decade even as rig counts dropped 46%.

🛢️ Microsoft’s role: Just two AI deals (Exxon + Chevron) could add 51 million metric tons of CO₂ annually—over 300% of Microsoft’s total FY23 emissions.

🛢️ Barrel math: Burning one barrel of oil releases 433 kg of CO₂, and 81% of each barrel is burned.

🛢️ Fossil fuels account for ~90% of global emissions, and AI is being applied across every stage of their lifecycle.

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Quotes From The Show.

“It’s not dramatic to call the impacts of AI right now an existential threat.” 

🏭 “AI has transformed oil operations that should be aging out—keeping fossil fuels alive in an era of cheap renewables.” 

🏭 “The sustainability movement is running on a treadmill, and AI is turning the knob faster the harder we run.” 

🏭 “You can’t call yourself a sustainability leader when you’re helping the largest oil companies on the planet dramatically increase emissions.” 

🏭 “Over 100 years, fossil fuels have stayed at 80% of the global energy mix. Despite record renewables, it’s an addition, not a transition.” 

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Timestamps

(00:00)  The Hidden Climate Cost of AI

(01:44) Why Experts Call AI an Existential Threat

(03:34) How Big Oil Uses AI to Pump More Fossil Fuels

(07:46) Why Two Microsoft Insiders Started Enabled Emissions

(11:14) Inside AI’s Growing Role in the Energy Sector

(13:08) How m