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articles/migrate/concepts-business-case-calculation.md

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| Category | Component | Logic |
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| --- | --- | --- |
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| On-premises emissions | Scope 1 emissions | Scope 1 includes emissions from on-premises generators that use fossil fuels. <br/></br/> **Scope 1 Emissions** (MtCO₂e) = Number of Generators(1) * Avg Usage Hours(2 hours per year) * Fuel Consumption (0.4 L/hp hour) * Power Output (1000 hp) * Fuel Emission Factor (0.002 MtCO2e/L) * Power Alignment Factor.
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| | Scope 2 emissions – Compute emissions + Storage emissions | Scope 2 includes indirect emissions from the electricity used by physical servers. <br/><br/> **Scope 2 compute emissions** (MtCO2e) = Total cores count * Hours in a year * on-prem TDP (0.009 kWh per core) * on-prem PUE (1.8) * on-prem carbon intensity (based on region) * (1-% Power from renewable sources) <br/><br/> **Scope 2 storage emissions** (MtCO2e) = Total storage capacity (TB) * on-prem storage power rating (10 kWh/year per TB) * on-prem PUE (1.8) * on-prem carbon intensity (based on region) * (1-% Power from renewable sources) </br><br/> **Note**: These calculations use the market view for emissions. To calculate location view, follow the same steps but skip the adjustment for renewable energy.
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| | **Scope 3 emissions** | Scope 3 accounts for emissions embedded in the manufacture, transport, and end-of-life of physical servers. <br/><br/> **Scope 3 compute emissions** <br/><br/> **Scope 3 storage emissions (MtCO2e)** – Total storage (in TB) * {Manufacturing share of total emissions(58 MtCO2e) + Transport share of total emissions(2 MtCO2e) + End-of-life share of total emissions(1 MtCO2e)} (MtCO2e) – Total physical servers * {Manufacturing share of total emissions(18.2%) + Transport share of total emissions(0.1%) + End-of-life share of total emissions(0.5%)}
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| Azure Emissions | Scope 1,Scope 2, and Scope 3 | Azure emissions are powered by Microsoft’s carbon rate card. For more information, see [calculation methodology](/en-us/industry/sustainability/sustainability-data-solutions-fabric/azure-emissions-insights-calculation-methodology).The calculation methodology ensures consistency and transparency across Microsoft’s sustainability offerings.
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| On-premises emissions | Scope 1 emissions | Scope 1 includes emissions from on-premises generators that use fossil fuels. <br/><br/> **Scope 1 Emissions** (MtCO₂e) = Number of Generators(1) * Avg Usage Hours(2 hours per year) * Fuel Consumption (0.4 L/hp hour) * Power Output (1000 hp) * Fuel Emission Factor (0.002 MtCO2e/L) * Power Alignment Factor.
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| | Scope 2 emissions – Compute emissions + Storage emissions | Scope 2 includes indirect emissions from the electricity used by physical servers. <br/><br/> **Scope 2 compute emissions** (MtCO2e) = Total cores count * Hours in a year * on-prem TDP (0.009 kWh per core) * on-prem PUE (1.8) * on-prem carbon intensity (based on region) * (1-% Power from renewable sources). <br/><br/> **Scope 2 storage emissions** (MtCO2e) = Total storage capacity (TB) * on-prem storage power rating (10 kWh/year per TB) * on-prem PUE (1.8) * on-prem carbon intensity (based on region) * (1-% Power from renewable sources). </br><br/> **Note**: These calculations use the market view for emissions. To calculate location view, follow the same steps but skip the adjustment for renewable energy.
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| | **Scope 3 emissions** | Scope 3 accounts for emissions embedded in the manufacture, transport, and end-of-life of physical servers. <br/><br/> **Scope 3 compute emissions** (MtCO2e) – Total physical servers * {Manufacturing share of total emissions(18.2%) + Transport share of total emissions(0.1%) + End-of-life share of total emissions(0.5%)} <br/><br/> **Scope 3 storage emissions (MtCO2e)** – Total storage (in TB) * {Manufacturing share of total emissions(58 MtCO2e) + Transport share of total emissions(2 MtCO2e) + End-of-life share of total emissions(1 MtCO2e)} (MtCO2e) – Total physical servers * {Manufacturing share of total emissions(18.2%) + Transport share of total emissions(0.1%) + End-of-life share of total emissions(0.5%)}
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| Azure Emissions | Scope 1,Scope 2, and Scope 3 | Azure emissions are powered by Microsoft’s carbon rate card. For more information, see [calculation methodology](/industry/sustainability/sustainability-data-solutions-fabric/azure-emissions-insights-calculation-methodology).The calculation methodology ensures consistency and transparency across Microsoft’s sustainability offerings.
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### On-premises with Arc and Azure (future state)
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articles/migrate/whats-new.md

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## Update (June) 2025
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- Public preview: Sustainability insights are now available in Azure Migrate’s Business Case. It empowers IT, finance, and sustainability teams estimate on-premises emissions, compare them with Azure emissions, track yearly reductions, and show both cost and environmental benefits in a single view. Teams make informed, carbon-aware migration decisions that align with their organization’s ESG goals.
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- Public preview: Azure Migrate supports sustainability efforts by offering Sustainability insights in its Business Case. It empowers IT, finance, and sustainability teams estimate on-premises emissions, compare them with Azure emissions, track yearly reductions, and show both cost and environmental benefits in a single view. Teams make informed, carbon-aware migration decisions that align with their organization’s ESG goals.
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## Update (May 2025)
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