Ingka Group accelerates investments in renewable energy to exceed 2020 target
Ingka Group, of which IKEA Ltd (IKEA Retail UK and Ireland) is a part, has invested close to 2.5 billion euro in onsite and offsite wind and solar power as part of their ambition to become climate positive by 2030. Recent investments will enable the company to generate more renewable energy than it consumes across its operations in 30 countries, exceeding the 2020 target.
Ingka Group (Ingka Holding B.V. and its controlled entities) is a strategic partner and one of 11 different groups of companies that own and operate IKEA sales channels under franchise agreements with Inter IKEA Systems B.V. IKEA Ltd (IKEA Retail UK and Ireland) is part of the IKEA Retail business area, within Ingka Group.
“We are facing a climate crisis and global warming is no longer a distant threat, but a visible reality. It is affecting the lives of many millions of people around the world and we all need to act, now. At IKEA we are guided by a simple yet powerful vision - to create a better everyday life for the many people. As a business we have a big responsibility – and an opportunity – to take action, and together change the direction.” says Jesper Brodin, CEO Ingka Group.
Since 2009, Ingka Group has invested close to 2.5 billion euros in renewable energy. Recent investments in two solar parks in the US and a windfarm in Romania will enable Ingka Group to generate more renewable energy than it consumes across its operations in 2020. The company’s total ownership and commitments now include 920,000 solar modules on its sites and 534 wind turbines in 14 countries, in addition to over 700,000 solar panels currently under construction in the US. Ingka Group’s installed renewable energy power now equals more than 1.7 GW.
“We believe the future of energy is renewable. We have invested heavily in wind and solar over the past decade because it makes our business stronger. We are excited that our actions have resulted in us exceeding an important milestone on the IKEA journey to become climate positive. We hope to send a clear message that renewable energy is a great investment today, and that what is good for business is also good for the planet,” says Jesper Brodin, CEO Ingka Group.
IKEA has an ambition to become climate positive*, reducing more greenhouse gas emissions than the IKEA value chain emits and supports the new Exponential Climate Action Roadmap** to halve GHG emissions in absolute terms by 2030. IKEA joined the global movement of leading companies aligning their businesses with the most ambitious aim of the Paris Agreement, to limit global temperature rise to 1.5°C above pre-industrial levels.
At Ingka Group, the largest retailer within the IKEA franchise system, becoming climate positive includes consuming 100% renewable electricity and heating and cooling, while increasing energy efficiency. The company is is now working to ensure its business is fully run on renewable energy with the aim to consume 100% renewable electricity in its retail operations by 2025 and to phase out fossil fuel based heating and cooling by 2030.
“Using renewable energy across our operations is a significant part of delivering on our Science Based Targets* and commitment to the Paris Agreement. Exceeding our goal of renewable energy generation is an important step and we are now working to secure 100% renewable electricity consumption across our operations by 2025. We have already come a long way but we now need to accelerate a global transition to renewable energy.” says Pia Heidenmark Cook, Chief Sustainability Officer, Ingka Group.
“We are also going beyond our own operations to inspire and enable the many people to take climate action at home. We want to empower millions of customers to produce and use renewable energy. Our home solar service is today available in 7 countries and we continue investing heavily to develop our home energy service offering with the aim to make it available across all our 30 markets by 2025,” she says.
As part of its ambition to advocate for urgent and ambitious climate action and policies, IKEA will actively take part in the UN Climate Action Summit and Climate Week in New York City from 23-29 September.