Nvidia ranks last in supply chain decarbonization: Greenpeace report

Nvidia and Broadcom ranked at the bottom among major AI companies in supply chain decarbonization efforts, according to a new report from Greenpeace East Asia.

The report evaluated the world’s 10 largest AI and semiconductor firms—including Nvidia, AMD, Broadcom, Qualcomm, Intel, Amazon, Apple, Google, Microsoft, and Meta—on their progress in cutting emissions and adopting renewable energy across supply chains.

Greenpeace found that Nvidia and Broadcom had the weakest supply chain climate commitments, with neither setting targets for renewable energy use or net-zero emissions.

Supply chain emissions made up over 80% of total emissions for Nvidia, Qualcomm, Broadcom, and AMD in 2024.

Nvidia’s Scope 3 emissions nearly doubled from 2022 to 2024, but the company has not invested in increasing renewable energy use among its suppliers, according to the report.

Apple was the only company to receive a B+ grade.

🔗 Source: Nvidia

🧠 Food for thought

Implications, context, and why it matters.

Fabless models and fossil-heavy grids steer supply-chain decarbonization

Fabless firms (companies that design chips but outsource manufacturing) like Nvidia and AMD rely on foundries. Foundries are contract chip manufacturers. Examples include TSMC in Taiwan and Samsung. SK hynix, a South Korean memory-chip maker, and Micron serve this market. This setup limits direct control over supplier energy sourcing 1.
Taiwan generates 83.1% of its electricity from fossil fuels, while South Korea gets 58.5% 1. Cutting supply-chain emissions will move slowly without grid changes or direct renewable procurement by suppliers.

Taiwan and South Korea suppliers need renewable procurement tools

Renewable project developers and power market brokers can work in Taiwan’s liberalized electricity market 2. Large energy users must source 10% renewables by 2025, which drives demand for corporate Power Purchase Agreements (PPAs) and Taiwan Renewable Energy Certificates (T-RECs) for foundries supplying AI chip designers 2.
SaaS (Software as a Service) providers with Measurement, Reporting, and Verification (MRV) tools can help suppliers meet transparency rules. Taiwan has 3 million smart meters that track 15-minute interval data 2. Those readings enable granular renewable matching needed to satisfy scrutiny from AI chip designers, plus other large customers.
Energy consultants can guide foundries through Taiwan’s four procurement routes 3. Options include direct PPAs and retail green energy. On-site generation and unbundled T-RECs round out the set 3. They must navigate a sellers’ market where renewable electricity costs exceed wholesale prices, while buy-in from finance, purchasing, or operations leaders remains a hurdle 3.