Last month, IKEA unpacked its Net Zero Transition Plan, reinforcing its commitment to seriously reduce greenhouse gas emissions across its value chain.
The company aims to achieve the climate targets outlined in the Paris Climate Agreement, of which IKEA is a signatory.
As part of its drive to sustainability, IKEA’s first store in New Zealand will feature solar panels on its roof, utilise natural cooling methods, and implement strategies to minimise waste.
Ingka Group (IKEA’s parent company) chief sustainability officer, Karen Pflug, hopes that IKEA’s plans will inspire other New Zealand retailers to adopt similar environmentally conscious practices.
“If we look at our own operations, even the creation of the store itself, the more efficient we can make it, making sure it’s built in a way that heating and cooling is installed, that’s ideal,” Pflug said.
“We’ve designed it in a way where it will naturally cool itself and use less refrigerants.”
“The best use of energy is the energy you don’t use,” she added.
IKEA’s first store in New Zealand will incorporate solar panels to help power its operations, aligning with Ingka Group’s broader €7.5 billion investment in renewable energy projects worldwide.
Pflug has also expressed concern about the significant amounts of waste ending up in New Zealand landfills. She noted that waste levels in countries where IKEA operates are considerably lower and aims to bring insights from those markets to address this issue locally.
IKEA has actively invested in circular economy initiatives, including making spare parts readily available to customers. In the past year alone, customers used approximately 24 million spare parts such as nuts and bolts to extend the lifespan of their furniture.
The company is also exploring plans to sell pre-loved furniture directly within its stores, further promoting sustainability and reuse.
Meanwhile, Ingka Group continues to expand its forestry portfolio in New Zealand. According to data from New Zealand’s Overseas Investment Office, Ingka Investments, the investment arm of Ingka Group, has received approval for 25 land acquisitions in NZ totalling 23,495 hectares.
Ingka Investments has been acquiring forestland and existing forestry blocks in New Zealand since August 2021, as part of its responsible forest management project.
Pflug said that while sustainable initiatives are good for the planet, they are also good for business.
She also believes business leaders and stakeholders can be part of leading a more sustainable future, but it needs to be alongside governments and society as a whole.