Ikea makes strides in reducing carbon footprint, attributes progress to clean energy initiatives

Read the full story at ESG Dive.

Ikea said last week it had reduced its total climate footprint by 22% compared to a 2016 baseline, and by 12% compared to the previous year. The company attributed the decline to an increase in renewable electricity at both retail and production units, improving energy efficiency in its lighting range and lower production volumes.

The Swedish manufacturer produced approximately 24.1 million tons of carbon dioxide equivalent in the fiscal year 2023. Its sustainability report said the largest portion of those emissions — 46.6% — came from the extraction and processing of raw materials, followed by the use of its products in customers’ homes — 15.9% — including the energy consumption of lighting and appliances.

The company’s greenhouse gas emissions, which were detailed in Ikea’s separate climate report, also declined by 11.5% from the previous year: scope 1 dropped by 21.6% and scope 2 dropped by 24.8%. Scope 3 emissions — which accounted for the bulk of emissions — dropped by 12.7%, when calculated by adding all 15 criteria laid out in the report for FY2022 and FY2023.

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