The charitable arm of IKEA has released new research examining what investments can deliver the biggest emissions reductions across key sectors, and has pledged to invest €600m across various climate solutions.
The funding comes after the Foundation worked with Systemiq and RMI, founded as the Rocky Mountain Institute, on new research looking into what the highest impact opportunities global philanthropy can invest in and support to combat the climate crisis.
The analysis, unveiled at COP27, examines what consumption and production patterns need to change in order to deliver a 1.5C world across energy, food and land use, industry, transport and buildings.
Some of the high-impact opportunities identified are: providing target financial support to deliver an inclusive energy transition, minimising methane emissions, investing in peatland restoration globally, shifting to plant-based protein, strengthening value chains to reduce loss and leakage, investing in cooling technologies and supporting the market for electric two and three-wheeled vehicles.
The Ikea Foundation had already committed €500m to climate mitigation and adaptation by 2025. This was an increase on the €368m spent between 2014 and 2020. However, the organisation announced in 2021 that it would spend an additional €1bn on initiatives supporting the low-carbon transition within five years.
See related article: IKEA’s Home Deliveries To Be Made Fully By Electric Vehicles By 2025
Of this commitment, €400m has been earmarked for the Global Energy Alliance for People and Planet, which was launched at COP 26. Based on today’s research publication, the IKEA Foundation will funnel the remaining €600m across climate funding streams.
IKEA Foundation’s chief executive Per Heggenes said: “We know that a rapid and sustained decrease in global emissions is required if the world is to meet its pledge of keeping global warming at or below 1.5C. By sharing our research we hope to support and inspire other philanthropies, during this decisive decade for our planet, to step up their ambition to safeguard our environment.”
Since the €1bn announcement, the charitable arm has joined a global collaborative initiative aimed at reducing emissions and energy usage from cooling technologies like fridges and air conditioning, pledging to provide $25m in grants.
The Clean Cooling Collaborative unites corporates and organisations in a global effort to reduce emissions from cooling. The Collaborative announced earlier this year that the IKEA Foundation has joined and will provide $25m in grants over the next four years.
Cooling currently accounts for around 7% of global emissions and could double by 2040 unless solutions are decarbonised and made more efficient. Funding will be used to create more efficient, climate-friendly cooling technologies through redesigns and innovation.
Source: Edie.net