IKEA Group and IKEA Foundation have together announced a 1-billion-euro fund to develop renewable energy projects and to support communities affected by climate change.
While IKEA Group will invest 600 million euros in renewable energy projects (500 million euros in wind energy projects and 100 million euros in solar power projects) until 2020, IKEA Foundation will be spending 400 million euros on local communities most at risk from climate change during the period.
The global furniture giant has already invested 1.5 billion euros on wind and solar energy projects since 2009. It operates 314 offsite wind turbines and has installed 700,000 solar panels across buildings it owns.
The company has been working towards energy independence, that is, producing as much energy as its operations consume.
IKEA Foundation plans to utilize the fund it has announced to help poor communities build resilience to climate change by improving their quality of life, enabling them to adopt renewable energy technologies at homes, schools and businesses.
Last year, the foundation had contributed 104 million euros to more than 40 partner organizations for similar initiatives.
Per Heggenes, the CEO of the IKEA Foundation, said: “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.”
Ajith Kumar S