IKEA Goes Renewable – reducing our carbon emissionsIKEA Goes Renewable – reducing our carbon emissions

IKEA Goes Renewable

IKEA Goes Renewable

IKEA Sustainability Direction -

IKEA’s business shall have an overall positive impact on people and

environment.

IKEA Goes Renewable

IKEA Goes Renewable Project

IKEA Goes Renewable

Aim: to improve our total energy efficiency and increase the use of renewable energy in all IKEA buildings.

Target:

•Reduce total energy consumption by 25% on 2005 figures

•100% of IKEA properties to use renewable energy

Started in 2005

Why?

• Reduce energy consumption & operating costs

• Profitable investments in renewable energy

• Reduce emissions & impact on climate change

• Improving overall financial health – potential

annual savings could be equal to cost of a new

store

IKEA Goes Renewable

IKEA Goes Renewable

•IKEA factories, distribution centres, offices

and stores.

•External suppliers manufacturing IKEA

products.

IGR Project Organisation

How will we achieve IGR goal?• Monitoring consumption

• Audits, energy saver checklists& internal standards

• Building Management System training

• New build: efficiency & renewable investment

• Retrofitting: LED, ESBs, PIRs, green technology

• Training co-workers on energy awareness

IKEA Goes Renewable

IKEA renewable energy sources

• Wind• Solar• Geothermal• Biomass• Hydropower• Biogas

Definition:‘Energy derived from resources that are regenerative or for all practical purposes cannot be depleted’

IKEA Goes Renewable

Business case…

On-site renewable investment

• Cost approximately €1.5 million (Dublin)

• Payback 7 - 8 years

Energy efficiency design

• Cost approximately €200,000 (Dublin)

• Payback 1 - 2 years

IKEA Goes Renewable

Renewable Technology Investment

Dublin

• Target: 60% reduction in CO2 emissions on 2002 Building Regs developments & 30% onsite renewable energy (per planning condition).

• Ground source heating/cooling & heat pumps

• Biomass burner & woodchipper• Rainwater harvesting

• Buy wind generated electricity• No oil or gas connection on-site

IKEA Goes Renewable

Renewable Technology Investment

Ground Source Heating/Cooling System

• 158 individual bores

• 90m deep

• Located under the car park

• Largest system in Ireland

• 65% carbon reduction

• 44% on-site renewable energy

• Energy savings equal to annual consumption of

300 homes

IKEA Goes Renewable

Renewable Technology Investment

Biomass Burner

• 650k/w boiler

• Provides store hot water

• Heats loading bay

• Burns woodchip

• On-site wood chipper

• 24% carbon reduction

• 8.8% on-site renewable

energy

IKEA Goes Renewable

Building Efficiency Investment• Additional insulation in building roof & walls –

additional 6% energy efficiency

• Brise soleil on south facing windows

• LED wordmarks

• PIRs in office & toilet areas

• Energy Saving Bulbs

IKEA Goes Renewable

Monitoring Progress by Region

1. Monthly energy consumption reports returned

2. Investment & payback

3. €1m+ savings to be made by increasing efficiency by 10%

4. Energy efficiency per m3 sales & m2 store area

IKEA Goes Renewable

Communication• WebEss – monthly reporting tool

• Newsletter bi-monthly

• Notice-board: store

consumption

• Energy Working Group

• Staff training (Sustainability

eLearning)

• IKEA Group Sustainability Report

IKEA Goes Renewable