IKEA Australia has announced it is nearing completion of a large-scale renewable energy project at its Marsden Park distribution centre in western Sydney.
The $2.9 million solar PV and battery installation, delivered by Smart Commercial Solar, aims to provide up to 70 per cent of the energy required for the 24-hour warehouse operations.
Covering 9000 square metres of rooftop space, the installation features over 4000 solar panels with a generation capacity of 2034 kW.
According to IKEA Australia, the project will increase the company’s on-site renewable energy generation from 26 per cent to 70 per cent, helping to power daily warehouse operations and charge its electric vehicles fleet used for home deliveries.
Once a 1 megawatt battery is installed, the system will store excess energy, supporting operational needs during peak demand and at night.
Renea Robson, Country Sustainability Manager for IKEA Australia, said the company has significantly reduced its emissions from operations while growing the IKEA Australia business.
“This proves that investing in climate action and delivering commercial success is absolutely achievable – together,” Robson said.
IKEA Australia said it has already incorporated renewable energy generation and storage into its stores and distribution centres, with solar panels now installed on nine out of ten ‘big blue box’ stores.
In FY24, the company achieved 100 renewable electricity use in its retail operations through on-site generation and large-scale renewable energy certificates.
Kealy Day, Chief Technology Officer at Smart Commercial Solar, commented on the project’s impact.
“What I’m most proud of in this project is how Smart has evolved with technology and the market to make solar and battery storage a cost-effective, practical solution for businesses. It’s proof that clean energy isn’t just the right choice – it’s now the smart choice,” Day said.
The Marsden Park solar project is part of IKEA Australia’s broader commitment to sustainable business practices.
In addition to renewable energy efforts, the FY24 report highlights achievements such as investing $4.5 million in electric vehicle chargers for delivery partners and reducing the environmental impact of its food offerings.
The full IKEA Australia FY24 Annual Summary and Sustainability Report is available for further details.
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