IKEA stores operator Ingka Group on Tuesday announced plans to invest a further EUR 4 billion (USD 4.8bn) in renewables as the next step towards reaching 100% renewable energy across the value chain.
Ingka Group invested EUR 2.5 billion in renewable energy in the last decade. The company, which operates 389 IKEA stores in 32 countries, said that at the start of a critical decade for climate action, its investment arm, Ingka Investments, will accelerate investment to a total of EUR 6.5 billion.
The additional investment will help the company further lower its climate footprint and support a shift to a net-zero society. It will focus on the addition of wind and solar projects in new countries.
Earlier this month Ingka Group announced the acquisition of a 49% stake in 160 MW of solar farms in Russia.
Ingka Group's investment in onsite and offsite wind and solar power over the past decade has seen it generate more renewable energy globally than it uses. The company now has more than 1.7 GW of installed renewable power capacity.
"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," said Ingka Group chief sustainability officer Pia Heidenmark Cook.
Separately, IKEA Foundation on Tuesday said it will spend an additional EUR 1 billion on climate programmes over the next five years to cut greenhouse gas emissions.
(EUR 1.0 = USD 1.205)
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