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Microsoft volunteers for fuel premium to move server racks by air

(This story was updated at 2:45 p.m. ET with news about FedEx.)

Microsoft is committing to pay extra for freight transportation to cover the cost of using sustainable aviation fuel on flights carrying server racks.

Luxembourg-based Cargolux, the 10th-largest cargo airline by traffic, and Microsoft’s logistics service provider AIT Worldwide Logistics, announced Tuesday that the tech giant has signed a large deal to support the purchase of sustainable aviation fuel, which is three to four times more expensive than conventional jet fuel. The companies said the partnership will save 72,750 tons of climate-warming carbon dioxide over the next three years.

The SAF, produced and delivered by Valero Marketing & Supply Company and its  Diamond Green Diesel LLC joint venture, is based on used cooking oil and tallow – without palm oil or any derivatives. The biofuel is added to Cargolux’s fuel supply at George Bush Intercontinental Airport in Houston.

Microsoft will receive green credits for its SAF contributions through a certified registry. 

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