The world’s biggest furniture retailer, IKEA, generated 34% of the energy it used last year through renewable energy sources – and now plans to double its investment in renewables by 2020.
By the end of last year, the company had around 250,000 solar panels and 126 wind turbines in operation across the world, according to its latest sustainability report.
The company will invest a further £1.3m in renewable energy between now and 2015 as it tries to meet a target of having 100% of its energy use provided by renewable sources by 2020.
IKEA says that while it will continue to invest in renewable energy sources, it will also expand and refurbish stores to improve energy efficiency.
The additional investment on projects such as wind farms and solar parks will be needed to keep expenses down as the company maintains its pace of expansion, said CEO Mikael Ohlsson. “We’ll continue to increase our investments in renewable energy,” he said. “Looking at how quickly we’re expanding and our value chain, we will most likely have to double the investments once more after 2015.”
IKEA plans to increase same-store sales by 5% a year, while generating similar growth from new warehouses by doubling the rate of expansion after 2015.
The retailer is expanding its product range for customers to live more sustainable lives themselves, focusing on waste handling and cutting energy and water use. It has also committed to converting all lighting IKEA sells to energy efficient LED.
“Through products that use less energy and water and reduce waste, we are enabling millions of people to save time and money at home,” said IKEA’s chief sustainability officer, Steve Howard. “In our own operations, we’re continuing to invest in renewable energy and to source more materials from preferred sources”.
Want to find out more? Join our webinar with Steve Howard on 21 February. Register here.