Ingka Group will accelerate its investments to further enable the transition to reach the IKEA overall commitment to become climate positive by 2030. Over the coming year, the company has committed to invest €600 million more into companies, solutions and its own operations to enable the transition to a net zero carbon economy. This increases its overall investments into sustainability to €3.8 billion.
Since 2009 Ingka Group, through its investment arm Ingka Investments, has continued to invest in innovative companies that support its sustainability goals, including achieving its 100% renewable energy generation target. As the company takes the next step, it will focus on investing in companies and solutions that have a direct impact towards the Paris Agreement and the UN Sustainable Development Goals.
The company is implementing a zero-fossil fuel approach to align with new updated environmental, social and corporate governance (ESG) standards. In addition, a review of global and local pension funds across 31 countries will also be conducted, to ensure they align with ESG standards.
“We believe it’s good business to be a good business. Despite the significant challenges we’re facing in the world, we still have it in our own hands to change the direction of the climate crisis. We want to be part of the solution, which is why we will continue to focus our future investments to ensure a cleaner, greener and more inclusive recovery,” says Juvencio Maeztu, Deputy CEO and CFO Ingka Group.
Ingka Group is committed to tackling climate change, contributing to the IKEA overall commitment to reduce more greenhouse gas emissions than the IKEA value chain emits, by 2030*. Earlier this year, IKEA announced that it had reduced the climate footprint by 4.3% while growing the IKEA business by 6.5%. The company currently owns 546 wind turbines in 14 countries, two solar farms with 1.5 million solar panels, and more than 920,000 solar panels on the roofs of IKEA stores and warehouses. These investments have contributed towards Ingka Group reaching its goal to produce as much renewable energy as it consumes.
“This highlights the role business can play in addressing the challenges of climate change. We must direct investments towards green technologies and solutions that are clean. Companies big and small have an important role to play and an opportunity to turn the challenges we face into solutions, as we build back better,” says Christiana Figueres, former Executive Secretary of the United Nations Framework Convention on Climate Change and speaker at OHOP.
Over the past few years, Ingka Group has also invested in and is collaborating with companies such as:
- RetourMatras, a company that makes it possible to recycle more than 90% of the materials in a mattress.
- Morssinkhof Rymoplast, a leading player in the European plastic recycling industry.
- Winnow, a company that has developed an AI-enabled food waste tracking solution to help reduce food waste in commercial kitchens
- Aerofarms an indoor urban farming company
- Terramera working with bio-pesticides, and
- Optoro, a provider of a software platform for reverse logistics for retailers.
The announcement was made at a Ingka Group virtual sustainability event, called ONE HOME ONE PLANET a two day co-creation event, with over 300 sustainable leaders, NGOs and business partners from many different parts of society working together to help develop, shape and find solutions to help to make a positive impact for customers, communities, co-workers and the planet.
Read more about Ingka Group’s sustainability performance and commitments in the new Annual & Sustainability Summary report: https://www.ingka.com/about-us/annual-and-sustainability-summary-reports/