Calling climate change "an urgent problem" that demands a global response from all industries, Microsoft has pledged to reduce its operational carbon emissions 75 per cent by 2030, against a 2013 baseline.

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"We`ll do this through continued progress against our carbon neutrality and renewable energy commitments, as well as investments in energy efficiency," Microsoft`s President and Chief Legal Officer, Brad Smith, said in a blog post late on Tuesday.

Microsoft believes that meeting this target will put it on a path, as a company, to meet the goals set in the Paris climate agreement, which is a level of decarbonisation that many scientists believe is necessary to keep global temperature increase below two degrees Celsius.

"We estimate this will help avoid more than 10 million metric tons of carbon emissions by 2030," Smith said.

Even as President Donald Trump announced in June he would be withdrawing the US from the Paris climate agreement, Microsoft said it has been taking steps to address and reduce its carbon footprint for nearly a decade.

In 2009, Microsoft set its first carbon emissions target. In 2012, it became one of the first companies to put an internal global carbon fee in place, which enabled it to operate 100 per cent carbon neutral. In 2016, it put in place targets to get more energy from renewable sources.

"As we expand our global cloud infrastructure, we will increasingly turn to renewable energy because it is a clean power source and gives us better financial predictability. It`s good for the environment, our customers and our business," Smith said.