// Ikea’s holding company Ingka Group will invest an additional £3.4bn in renewable energy
// The company aims to reduce its climate footprint
// The investments will focus on adding wind and solar projects in new countries
Ingka Group, the holding company that controls the vast majority of Ikea stores, has announced it will invest an additional €4 billion (£3.4 billion) in renewable energy.
The investment will support reducing the company’s climate footprint and a broader transition to a net-zero society.
In the last 10 years, Ingka Group has invested €2.5 billion (£2.1 billion) into renewable energy in onsite and offsite wind and solar power enabling the company to generate more renewable energy globally than it consumes.
“We are in the most important decade in the history of humankind – climate change is no longer a distant threat, and we must all do our part to limit global warming to 1.5°C,” Ingka Group chief executive Jesper Brodin said.
“The cost of inaction is just too high and brings substantial risks to humanity and our business.
“We know that with the right actions and investments we can be part of the solution and reduce the impact on the home we share – our planet – while future proofing our business. For us, it is good business to be a good business.”
Ikea is committed to the Paris Agreement and to contributing to limiting the global temperature rise to 1.5°C above pre-industrial levels through the Ikea climate positive ambition.
Ingka Group chief sustainability officer Pia Heidenmark Cook said: “Using renewable energy across our operations and value chain is a significant part of delivering on our science-based targets and commitment to the Paris Agreement.
“We have already come a long way, and in this critical decade we need to come together to accelerate a just transition to a society powered by renewable energy.”
The investments will focus on adding wind and solar projects in new countries. The company will also consider new types of investments in areas such as energy storage, hydrogen fuel development, and charging infrastructure.
Ingka Group recently announced the acquisition of a 49 per cent stake in eight solar PV parks in Russia.
The energy capacity of the parks equals 160 megawatts, which will provide enough electricity to power all 17 Ikea Stores in Russia plus part of the Mega shopping centres based around the country.
Ingka Group currently owns and manages 547 wind turbines and 10 solar parks in 15 countries, as well as 935,000 solar panels on the roofs of Ikea stores and warehouses, bringing its total installed renewable energy power to more than 1.7 gigawatt.