IKEA is going solar
New and expanded tax credits can help individuals and big businesses alike get rooftop solar.
By Will Lake, Intern
Homeowners aren’t the only ones who can benefit from going solar: Many big-box stores are installing panels, including IKEA. The Swedish conglomerate has made climate action one of its top priorities, including setting a goal of cutting its U.S. greenhouse gas emissions by 50% by 2030, and 90% by 2050 (compared to 2016).
To reach these goals, the retail chain has inspected and evolved a number of its practices, including selling returned and damaged products, advocating for policies to help fight climate change, and adding solar panels at its stores.
IKEA’s clean energy plans
In September, IKEA U.S. announced two major sustainability initiatives: a set of solar installations at seven different locations and an overhaul of the heating and cooling systems at five other stores. The panels will be installed over parking lots and on roofs. IKEA is also adding improved battery storage systems.
“We are taking bold steps to reduce our climate footprint in the United States and become a climate positive business by 2030,” said Ditze. “The solar project aligns with our goal of being powered by 100% renewable energy, while the renewable heating and cooling project works toward increased energy efficiency and the goal of eliminating fossil fuels from our operations by 80% by 2030.”
IKEA already uses 100% renewable energy in all of its facilities in 25 markets, including the United Kingdom, Canada, and Denmark.
Solar tax credits now available
These goals have only become more achievable in recent years, as the Inflation Reduction Act of 2022 introduced new and expanded tax incentives for homeowners, businesses, nonprofits, and cities to switch to clean energy. The credits are helping Americans install panels on the roofs of their homes and businesses, get energy-efficient technologies like heat pumps to stay comfortable in the hot summers and cold winters and adopt other energy-saving measures. Tax incentives can cover 30% of the costs of installing solar panels.
The big box retailers with the most solar potential in the United States are Walmart, Target, and Home Depot. Warehouses are another great place to install panels. FedEx alone has at least 122 million square feet of rooftop space.
Solar panels: How federal tax credits can help you pay for them
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Authors
Lisa Frank
Executive Director, Washington Legislative Office, Environment America; Vice President and D.C. Director, The Public Interest Network
Lisa directs strategy and staff for Environment America's federal campaigns. She also oversees The Public Interest Network's Washington, D.C., office and operations. She has won millions of dollars in investments in walking, biking and transit, and has helped develop strategic campaigns to protect America's oceans, forests and public lands from drilling, logging and road-building. Lisa is an Oregonian transplant in Washington, D.C., where she loves hiking, running, biking, and cooking for friends and family.
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