IKEA’s Net Zero Plan: Transitioning from Targets to Action
Ingka Group, the largest IKEA operator with 400 stores, has published its Net Zero Transition Plan.
The plan outlines a clear roadmap for achieving ambitious climate targets, aiming to reduce absolute greenhouse gas (GHG) emissions from its value chain by at least 50% by FY30 compared to the FY16 baseline and reach net zero emissions by FY50.
“As part of the IKEA vision of creating a better everyday life for the many people, sustainability has been an important part of the business for many years, with the first IKEA environmental policy introduced in 1991,” says Karen Pflug, Chief Sustainability Officer at Ingka Group.
“We have strong climate commitments, and the publication of our net zero transition plan means we have an even clearer roadmap for how to get there.
“Thanks to the dedication and work of many colleagues across the business, this plan has taken in many learnings and goes deeper than ever before into each of our climate emission categories for our business.
“We hope that by being transparent about our challenges, dependencies and innovation gaps we can inspire others and lead conversations that will support us in achieving the transition in our own business and broader society.”
How IKEA is aligning with global climate goals
The transition plan aligns with the Paris Agreement's goal to limit global temperature rises to 1.5°C above pre-industrial levels.
Ingka Group has demonstrated consistent progress in reducing emissions, having decreased its climate footprint by 30.1% compared to the FY16 baseline.
The company initially set science-based climate targets in 2018 and further strengthened these in 2023 as part of the IKEA Net Zero and Beyond climate ambition.
Ingka Group’s Net Zero Transition Plan solidifies the company’s goals and sets the groundwork to start achieving these targets.
What’s in the Net Zero Transition Plan?
The climate transition plan presents a detailed roadmap for decarbonisation across all aspects of the value chain.
The plan looks at:
- Actions with impact: The plan outlines emission categories where Ingka Group can have the most significant impact. Key actions include scaling up zero-emission deliveries and increasing renewable energy investment and adoption.
- Innovation and efficiency gaps: The plan identifies areas where Ingka Group can scale up existing solutions and ensure consistent adoption across markets. This includes expanding renewable heating and cooling systems and increasing the use of lower-emission materials and technologies.
- Governance integration: The plan emphasises the involvement of senior management in sustainability-related decision-making.
- Climate risk assessment: An updated assessment of climate risks and opportunities provides an overview of potential business impacts, following the Taskforce on Climate-related Financial Disclosures (TCFD) framework.
How IKEA plans to reach net zero
The company's planned actions towards net zero include:
- Striving for 100% renewable energy across the IKEA value chain by 2030
- Investing in asset classes with lower carbon footprints
- Developing circular services to extend product lifespans
- Retrofitting 150 units with renewable heating and cooling by 2030
- Achieving more than 90% zero-emission home deliveries by 2028
- Offering more plant-based options in restaurants
- Improving material choices in building refurbishment and renovation.
IKEA’s key policy asks
Simon Henzell-Thomas, Climate & Nature Manager at Ingka Group, explains: “Climate change is highly complex, and we don’t pretend to have all the answers, but as a multinational business we have a responsibility to be part of driving the transition to net zero in society.
“But we can’t do it alone. Climate change has no borders and together – across the public and private sector - we must collaborate across industries and with governments and customers to drive real change.
"2025 is a critical milestone for governments to deliver their own ambitious national climate plans ahead of COP30, so we invite policymakers, industry peers, and customers to collaborate in accelerating the transition to a sustainable future.
“We can only get there by working together.”
Alongside its report, Ingka Group outlined several key climate policy asks, including:
- Setting ambitious climate plans aligned with the 1.5°C target
- Phasing out fossil fuels whilst increasing energy efficiency
- Implementing policies to accelerate the transition to renewable energy and circularity.
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