15 - IKEA Sustainability Strategy - People & Planet Positive - © Inter IKEA Systems B.V. 2023 Circular & climate positive What we have done so far Our ambitions for 2030 We are committed to Our approach of making more from less has enabled By 2030, our ambition is to be a circular Transforming into a circular business 1. By FY50 at the latest, reduce the absolute Leading regenerative projects on degraded the IKEA business to reduce waste and become more business built on clean, renewable energy and greenhouse emissions from the IKEA land, deforested areas and agriculturally e昀케cient in all we do. regenerative resources, de-coupling material Prolonging the life of products and value chain by at least 90%, compared to cultivated areas. use from our growth. The aim is to end our materials, using resources in a smarter baseline year FY16. We have also come a long way in transforming how we dependency on virgin fossil materials and way and meeting customers in new ways. Becoming water positive by leading and source more sustainable materials. Since 2015, 100% fuels. We will contribute to limiting the global 2. Any remaining greenhouse gas emissions developing water stewardship programmes. of our cotton, 昀椀sh and seafood have come from more temperature increase to 1.5°C by the end of Turning waste into resources, sending zero are neutralised through removing and Leading regenerative projects to clean sustainable sources (BCI+, MSC, ASC). the century by reducing the greenhouse gas waste to land昀椀ll. storing carbon within the IKEA value chain polluted waters and protect biodiversity. emissions of the IKEA value chain in line with and without the use of carbon o昀昀sets. Speci昀椀cally focusing on leading projects to We are continuously working on our goal the 1.5°C target, while also contributing with Taking the lead in transforming secondary clean plastic pollutants from oceans. to source 100% of our wood and paper from more additional reductions in society. We will also materials (i.e. reused and recycled materials) Striving towards 100% renewable energy sustainable sources. And we have taken steps to begin contribute to a world of clean air and water into clean and safe resources. (electricity, heating, cooling and fuels) and Sourcing wood, cotton, food, and other raw to phase out virgin fossil plastic from the IKEA product and improved biodiversity. electri昀椀cation across the IKEA value chain. materials from more sustainable sources. range, a focus that will also continue towards 2030. Sourcing and producing renewable and recycled materials with a positive Promoting on-site renewable energy Providing and promoting services, solutions, We have been vocal in our support for a transition to environmental impact. generation and new installations to make inspiration and o昀昀ering easy access to a low carbon economy and limiting climate change to more renewable energy available to the knowledge to prolong the life of product and 1.5°C and have invested heavily in renewable energy Establishing and promoting systems and many. materials. Inviting and enabling customers and improved energy e昀케ciency. services to enable a circular economy. and other partners to be part of the solution Actively reducing air pollutants. by making it easy to buy, 昀椀x, sell, share and give away products. Becoming climate positive Continually improving e昀케ciency (energy, material, logistics, waste, etc.) to reduce Reducing more greenhouse gas emissions overall energy demand. than the IKEA value chain emits, while growing the IKEA business. This will be achieved without relying on carbon Regenerating resources, protecting o昀昀setting. ecosystems and improving biodiversity By FY30, reduce the absolute greenhouse Continuing to secure and develop gas emissions from the IKEA value chain by responsible sourcing standards that at least half, compared to the baseline year include environmental, social and animal 1 FY16. welfare criteria. By FY50 at the latest, reach net-zero Becoming forest positive, promoting greenhouse gas emissions from the IKEA sustainable forest management to eliminate value chain. To reach net-zero the following forest degradation and deforestation. two conditions must be met: Using innovative approaches to forest management, protection, restoration and 1 regeneration. The Greenhouse Gas Protocol (scope 1, 2 and 3 emissions)