Over the next five years Ikea will invest 600 million euros (about $667 million) in wind and solar energy by 2020. It’s foundation will invest another 400 million euros (about $444 million) in efforts to support communities at risk of being impacted by climate change with renewable energy.
The company has already invested more than $1.7 billion since 2009 in wind and solar to power its operations and stores around the world. The company plans to produce as much energy as it consumes via renewable sources by the end of 2020.Of the $667 million that will be invested in energy projects, about $111 million million will be dedicated to solar projects, according to the furniture making giant. The rest will be invested in wind power. The company already owns and operated 314 offsite wind turbines and owns more than 700,000 solar panels on its buildings across the world.
"Climate change is one of the world’s biggest challenges and we need bold commitments and action to find a solution,” said Peter Agnefjäll, CEO of the IKEA Group. “That’s why we are going all in to transform our business, to ensure that it is fit for the future and we can have a positive impact. This includes going 100 percent for renewable energy, by investing in wind and solar, and converting all our lighting products to affordable LED bulbs, helping many millions of households to live a more sustainable life at home.”
The $444 million will be invested in helping children in poorer communities and countries, according to the Ikea Foundation.
“We’re working toward a world where children living in poverty have more opportunities to create a better future for themselves and their families. Tackling climate change is critical to achieving this goal.” said Per Heggenes, CEO of the IKEA Foundation.
The foundation will support programs designed to create long-term opportunities for children in some of the world’s poorest countries. These particular funds will support efforts to make these communities more resilient to change and will help the communities adopt renewable energy technologies.
Ikea said it made the announcements ahead of a December 2015 meeting of nations where nations will negotiate a climate agreement.Tweet