IKEA Report Says ‘Great Sustainability Progress’ in 2013

by Sandy Dechert.

We figured IKEA might be on the right track when we first saw its blue and yellow buildings adorned with solar rooftops. It turns out that the second-largest private commercial solar owner/user in the United States (and the largest per square meter of rooftop space) is on schedule with its ambitious sustainability strategy unveiled a little over a year ago, People & Planet Positive.

The program dedicates over $2 billion–three times as much as originally planned–to clean energy investment through 2015. It’s designed to protect the company from price shocks related to energy and other costs and to tap into customers’ desire for a greener lifestyle.

On the program’s first anniversary, IKEA has released a 2013 Group Sustainability Report (FY 2013, covering the period between 9/1/2012 to 8/31/2013). As reported in Forbes, 34% of IKEA’s energy came from renewable sources last year. The company’s goals state:

“We want to have a positive impact on the environment, which is why by 2020 we’re going to be 100% renewable–producing as much renewable energy as we consume using renewable sources, such as the wind and sun. We’re also making our buildings more efficient, so we need less energy to run them.”

The world-class Swedish retailer of well-designed, functional home furnishing products, at prices low enough for most customers to afford them, has been in business for over 60 years. Almost half (47%) of its managers are women, compared to 17% on the American Fortune 500‘s boards. In FY 13, the IKEA Group had 135,000 co-workers, 684 million visitors to the stores, and 1.3 billion website visitors.

“Our mission has always been to give people with thin wallets a chance to furnish their homes in a beautiful and functional way. We call it “democratic design,” the 2012 sustainability report says.

IKEA’s 2013 analysis reveals the company’s overall progress in working with sustainability. Steve Howard, chief sustainability officer, leads these sweeping efforts at IKEA. Some details from the report:

• Since FY 2010, the company’s energy efficiency efforts in stores and warehouses have saved $54 million.

• 90% of IKEA’s locations in the US now use photovoltaic power. IKEA has also committed to own 137 wind turbines and has begun installing geothermal power at several locations as well. It now owns wind farms in six countries, has committed to provide electric vehicle chargers at all its 18 locations in the United Kingdom by January 2014, and will roll out home solar PV systems for sale there during the first months of this year.

• Following the company’s commitment to sell and use only LED lights in its products, IKEA has sold 12.3 million LED light bulbs and 12.1 other products that use LED technology. With this development, IKEA has saved each customer $9.45 in electricity costs per bulb, per year, compared with incandescent bulbs. In aggregate, lighting customers will save a combined total of $116.1 million per year from the company’s LED bulbs.

• Because furniture is one of IKEA’s signature products, the company is one of the world’s largest buyers of wood in the world. However, leading environmental organizations criticized the company in 2012 for its wholly owned subsidiary Swedwood logging and clear-cutting old-growth Russian forests with high conservation value. These boreal forests bind huge amounts of carbon dioxide and shelter many thousands of unique animal and plant species. IKEA’s new report says that almost 1/3 of IKEA’s wood in last year was either Forest Stewardship Council-certified or recycled–a start, at least.

• The share of cotton from sustainable sources that IKEA used in products last year more than doubled, increasing from 34% (FY12) to 72% (FY13).

“Everyone, including IKEA, has a part to play in tackling the expected shortages of resources and the impacts of climate change while providing people with a good quality of life. With our vision of creating ‘a better everyday life for the many people,’ I am convinced there is no other way of doing business than in a sustainable way,” said Peter Agnefjäll, President and CEO, IKEA Group.

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This article, IKEA Reports Great 2013 Sustainability Progress, is syndicated from Clean Technica and is posted here with permission.

About the Author

Sandy Dechert Sandy Dechert covers environmental, health, renewable and conventional energy, and climate change news. She’s worked for groundbreaking environmental consultants and a Fortune 100 health care firm, writes two top-level blogs on Examiner.com, ranked #2 on ONPP’s 2011 Top 50 blogs on Women’s Health, and attributes her modest success to an “indelible habit of poking around to satisfy my own curiosity.”

IKEA Has A Solar Project Intended For Massachusetts

by Important Media Cross-Post

SolarWorld installation
The Los Angeles Department of Water and Power today commissioned an 11.4-megawatt DC solar installation featuring more than 46,000 solar panels from SolarWorld. (Photo: Business Wire)

Originally published on Green Building Elements
By Nicholas Brown.

IKEA now wants to install another rooftop solar power plant in Massachusetts.

IKEA has been on a roll recently, and has been installing solar systems for many stores across the United States, China, and the United Kingdom as part of its 100% clean energy initiative. They even intend to start selling solar panels in the U.K.

IKEA partnered with Gehrlicher Solar America Corp for this new project. Construction of the project will commence next spring, and should be completed by next summer. The solar panels will be installed on the roof of the 58,575 square foot store expansion. The solar system, which consists of 1,248 solar panels requires 51,516 square feet of space.

The electricity generation capacity of the project is to be 312 kW, with a projected annual generation of 383,200 kWh, bringing the combined clean energy capacity of that store branch to 1,078,200 kWh annually.

That is the equivalent of removing 761 tonnes of CO2 from the atmosphere. That is comparable to the emissions of 158 cars, or the emissions associated with 105 homes.

Source: Today’s Energy Solutions

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This article, IKEA Has A Solar Project Intended For Massachusetts, is syndicated from Clean Technica and is posted here with permission.

About the Author

Important Media Cross-PostCleanTechnica is one of 18 blogs in the Important Media blog network. With a bit of overlap in coverage, we sometimes repost some of the great content published by our sister sites.

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Solar Means Business: Top 25 US Corporate Solar Energy Users

Solar Means Business: Top 25 US Corporate Solar Energy Users

by Silvio Marcacci

Walmart solar panels
Walmart solar panel image via CleanTechnica

Everyone knows solar energy equals environmental benefits, but did you know solar also adds up to a competitive business advantage for some of America’s largest corporations?

US businesses are installing solar panels at breakneck speed to cut energy costs and improve their bottom line, according to the Solar Means Business 2013” report from the Solar Energy Industries Association (SEIA) and Vote Solar.

From Big Box retailers to industrial manufacturers and commercial real estate developers, installing solar energy makes cents for America’s most well-known and efficiently run businesses.

A “Who’s Who” Of America’s Biggest Businesses

Since the inaugural Solar Means Business report in 2012, more than 1,000 megawatts (MW) of new solar photovoltaic (PV) panels have been installed on the rooftops of U.S. businesses, non-profits, and government buildings.

“The list of companies moving to clean, affordable solar energy reads like a ‘Who’s Who’ of the most successful corporations in America,” said Rhone Resch, SEIA President and CEO.

In fact, the 3,380MW of cumulative commercial solar PV deployment at 32,800 facilities across the US installed through the first two quarters of 2013 represent an increase of more than 40% compared to the same time last year.

While this solar boom for businesses has been wide, it’s also been deep. The 25 companies with the most total solar capacity have more than 445MW of generation installed at 950 different locations – enough to power 73,400 average homes and significantly more than 2012, when the top 25 companies only had 300MW at 730 facilities.

SEIA and Vote Solar contacted every company on the Fortune 100 list and collected data from public databases to compile the report, which only counts on-site PV systems directly supplying power to company facilities, not solar systems selling power to the wholesale electricity market.

Low Solar Energy Costs + Stable Power Prices = Big Business

So what’s driving this shift? As with most business decisions, it comes down to good economics – becoming more profitable through profitable projects with a quick return on investment.

Average Solar Energy PV System Price Decline
Average Solar Energy PV System Price Decline chart via SEIA

Electricity costs represent the single-largest operating expense for most companies, but solar panel prices have fallen 40% since 2010 and new financing models have reduced up-front investment costs, meaning companies can incorporate solar power below local retail utility rates and save money almost immediately.

Installing solar also empowers companies to hedge against volatile utility prices. Once their rooftop solar system is installed or they finalize a solar power purchase agreement (PPA), a portion of their energy bills are locked in, and the company can focus on other changing costs of doing business.

Walmart Dominates The List

But enough about why business are investing in solar, let’s take a look at which corporations are leading the charge. Unsurprisingly, Walmart dominates every major category in Solar Means Business, with 89.43MW of installed capacity (more than twice their closest competitor) across 215 total solar energy systems (60 more than the runner-up) in 12 states.

US Business Solar Energy Capacity
US Business Solar Energy Capacity via SEIA

The only category Walmart doesn’t dominate is overall percentage of facilities on company land. IKEA took home those honors, with a whopping 89% of solar-powered facilities, good for fifth place in installed capacity with 35MW and sixth place in total installed systems with 39 in 20 states.

A majority of the top companies are Big Box brands, but some notable exceptions stick out, including Apple and Johnson & Johnson ranking fourth and seventh on total capacity, while Walgreens and Safeway ranked second and eight respectively on total installations.

Even though the report is prioritizes on-site systems that supply power directly to company facilities, SEIA also tips its hat to commercial real estate developers building solar but not consuming the generated electricity themselves. Developers like Prologis, with 79MW across 34 installations, often focus on strip malls and retail outlets, helping tenants go green.

Solar-Powered Businesses, Right Around The Corner

Solar power is definitely adding up to bigger profits for US businesses, but the biggest benefit of this fast-expanding market may also be normalizing the technology for consumers – perhaps why 92% of American voters support developing more solar energy.

117 million people in 30 states now live within 20 miles of at least one of the installations analyzed by Solar Means Business, meaning one in three Americans can potentially interact with a green (and profitable) business every day.

“For years, the promise of solar was always ‘just around the corner” added Adam Browning of Vote Solar. “Well solar has turned the corner and found itself on Main Street, USA.”

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This article, Solar Means Business: Top 25 US Corporate Solar Energy Users, is syndicated from Clean Technica and is posted here with permission.

About the Author

Silvio Marcacci Silvio is Principal at Marcacci Communications, a full-service clean energy and climate-focused public relations company based in Washington, D.C.

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Renewable Energy Hits the Roof

by John Brian Shannon

Several major retailers with worldwide operations are busily installing solar panels on top of their ‘big-box’ retail stores and offices. Walmart, Walgreens, IKEA and others, are spending huge sums of money to cover their rooftop spaces with solar panels — and are installing wind turbines at, or near, their retail store locations.

Walmart is the world’s largest retailer and is fully committed to obtaining 100% of the energy it uses from renewable sources. As Walmart continues to add stores around the world and increase its car and truck fleets, it bases its calculations for CO2 emissions (from all sources) on the calculation of tonnes of CO2 used/emitted – per $1 million U.S. dollars of retail sales.

In 2005, Walmart operations emitted just over 60 tons of CO2 per $1 million (USD) it took in from retail sales. While adding more stores and adding capacity to existing stores, that ratio had decreased to just over 50 tons of CO2 per $1 million (USD) by 2009. This lowering of CO2 emissions occurred during a period of unprecedented growth for the chain, which means that Walmart got a lot more energy-efficient.

In addition to solar panels on its rooftops and wind turbines on its properties, Walmart is purchasing green energy from utility companies which operate solar and wind power plants, via power purchase agreements (PPA’s).

We are in the second year of a four-year agreement to purchase clean energy from a state-of-the-art Duke Energy wind farm in Notrees, Texas. The agreement supplies up to 15 percent of the energy needs in 350 of our Texas locations. It has reduced our carbon emissions by 139,000 metric tons per year, which is the equivalent of taking 25,000 cars off the road or eliminating the CO2 produced by 18,000 homes annually, raising environmental quality and quality of life in the communities we serve. — Walmart

And in Canada: The opening of the Balzac Fresh Food Distribution Centre on November 10, 2010, marked a major ­milestone. With hydrogen fuel cells used to power forklifts, as well as solar thermal and wind power, the 400,000-square-foot facility serves as a living lab for ­sustainability. It will boost energy efficiency by an estimated 60 percent over the company’s traditional refrigerated centres, while cutting costs by USD $4.83 million over the next five years. – Walmart

Walgreens, which owns and operates 8000 stores is building the first of many Net Zero Buildings – so designated for producing as much electricity as they use and often producing surplus electricity to sell to the local grid.

The first such store will be located at Evanston, Illinois, and according to Energy Manager Today, the store will include:

  • more than 800 roof-top solar panels,
  • two wind turbines,
  • geothermal energy obtained by drilling 550-feet into the ground below the store, where temperatures are more constant and can be tapped to heat or cool the store in winter and summer,
  • LED lighting and daylight harvesting,
  • carbon dioxide refrigerant for heating, cooling and refrigeration equipment,
  • and energy efficient building materials.

Engineering estimates, which can vary due to factors such as weather, store operations and systems performance, indicate the store will use 200,000 kWh per year while generating 256,000 kWh per year.

Walgreens will attempt to have the store achieve LEED Platinum status from the US Green Building Council, and plans to enter the store into the International Living Future Institute’s Living Building Challenge. The store will be Walgreens second showcase project in the Department of Energy Better Buildings Challenge. Through the Better Buildings Challenge, Walgreens has committed to a chain-wide 20 percent energy reduction by 2020.

The Better Buildings Challenge is gaining momentum. Recently, Sprint became the first telecommunications company to join the program. And more than 100 companies have joined the DOE’s Better Plants program. – Energy Manager Today

IKEA has a robust renewable energy program dedicated to 100% energy self-sufficiency by 2020 with plans to spend 1.5 billion euros by 2015 towards that goal.

IKEA Group’s chief sustainability officer, Steve Howard said “within three years, IKEA will receive 70% of its electricity from renewable energy [which] we own and operate” adding, “We’ll expand that from 2015 – 2020 to 100 per cent”.

In reference to utility-supplied electricity rate spikes anticipated by IKEA, Howard said, “We know we’re going to be using energy in 20 years’ time. If we can own our own renewable energy plants, it gives us complete price certainty.”

It appears that major users of electricity such as ‘big box’ stores and other large commercial spaces are predicting higher prices for utility-supplied electricity — and rather than pay those higher rates, are opting for their own solar and wind power plants. As polysilicon solar panel prices have fallen in price almost every month since September 2010 and continue to fall in price (bottoming-out in June or July of 2013) you may see solar panel installations appearing on large buildings featuring (largely empty) rooftop spaces, such as the rooftop of your favourite retail store.

JOHN BRIAN SHANNON

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Clean Energy: How To Get There From Here!

by John Brian Shannon

Everyone knows more electricity is needed in developed nations and electrical needs in developing nations are skyrocketing. No problem there — everyone deserves to live a good lifestyle and enjoy our modern technology to the fullest.

The problem occurs in the means used to generate that electricity. Some kinds of electrical power generation cause huge billowing clouds of pollution 24-hours per day, every day of the year.

All of this adds up to astronomically high costs for electrical power producers and users, which can be measured in several different ways.

For instance, new conventional nuclear  power plants can cost up to $20 billion dollars each. Added to that cost, is the cost incurred to store thousands of tons of (so-called) spent nuclear fuel. Some spent fuels must be stored in air-conditioned bunkers for up to 20,000 years, with never more than 36 hours of A/C interruption. The costs of that are so high, they can’t even be calculated.

New coal plants cost about $250 million dollars/per hundred megawatts. A hundred megawatts isn’t much, by the way – enough to power 16,000 power-hungry A/C homes in the U.S. or about 29,000 homes in China. Some coal-fired power plants cost upwards of $1 billion dollars. The cost of the coal must be added to the equation from day one – the price of which rises and falls typically between $80.00 and $160.00 per ton, plus the significant transportation costs. It may interest you to know that China burned 3 billion tons of coal last year, emitting 7.2 billion tons of CO2 and other toxic gasses. Approximately 410,000 Chinese people die every year as a result of pollution-related deaths.

Natural gas power plants are clean, they cost a little more than comparable coal plants and the only real drawback is they emit huge volumes of CO2. Unlike coal, they emit little in the way of other toxic gasses or soot. Again, a costly and continuous and supply of natural gas must be available every day of the year.

No matter which choice is made, the construction of electrical generation power plants incurs high costs to nations — and the cheapest options come with the highest fuel and health-care costs.

In the United States, nuclear power receives significant subsidies on the order of $3.50 billion per year on average and oil and gas receive $4.86 billion subsidy dollars per year on average.

fossil-fuel-subsidies-490x407

We can see from the chart above that in the United States most forms of electrical power generation are heavily subsidized. Who could afford electricity otherwise?

If solar, wind and geothermal energy were subsidized at the same per kilowatt rate as Oil & Gas, Coal, or Nuclear — total U.S. emission levels would drop dramatically and Americans would be breathing much cleaner air.

National health-care costs would drop, acid rain damage would decrease to near zero, crop damage from power plants would become a thing of the past and meeting international agreements such as the Kyoto Protocol would become boringly simple.

To have the enjoyment of breathing clean air and the other benefits listed above, all governments should calculate the highest subsidy they pay per kilowatt hour and then begin paying ALL electricity providers that same per kilowatt hour subsidy.

Solar power, wind power and geothermal would then become ultra-competitive with coal, N-power and Oil & Gas. Every large rooftop area, such as big box retail outlets like IKEA stores for one good example, could assist national power production and air-quality goals by lowering demand on the grid and potentially adding power to it, while helping to enhance the health of citizens.

One nation has already begun such a program and is right on schedule. Denmark has decided that all energy, including transportation energy(!) will come from renewable sources by 2050 and they have made substantial progress in only a few short years.

Even with the patchwork and grossly unlevel subsidy regimes in place in the United States, this transition is already occurring. Organizations from the U.S. Navy, to IKEA and WalMart, some cities and towns, the Big Three auto manufacturers and many more businesses and organizations, are converting their unused rooftop spaces and vacant land into clean power stations — thereby tapering the need for behemoth, pollution-spewing power plants.

If governments standardized the subsidies they already pay for Oil & Gas, Coal and Nuclear power (instead of paying billions of dollars to some power providers — whilst paying pennies to others) we would all breathe a lot easier.

We need oil & gas, coal, natural gas and conventional nuclear power to feed our grids, what I’m  advocating for is directly comparable subsidies for all electricity providers, including green energy — and there are no real reasons why such subsidy levelization couldn’t soon happen in every country.

ABOUT JOHN BRIAN SHANNON

I write about green energy, sustainable development and economics. My blogs appear in the Arabian Gazette, EcoPoint, EnergyBoom, Huffington Post, United Nations Development Programme, WACSI — and other quality publications.

“It is important to assist all levels of government and the business community to find sustainable ways forward for industry and consumers.”

Green Energy blog: http://johnbrianshannon.com
Economics blog: https://jbsnews.wordpress.com
Twitter: @JBSCanada