Ingka Investments, the investment arm of Ingka Group, invests in offshore wind project portfolio in Ireland and UK and secures a 20 percent stake.
“This partnership is a further step to expand our investment activities to address climate footprint reduction well beyond our retail consumption, and into the IKEA value chain”
– Frederik de Jong, Head of Renewable Energy at Ingka Investments
The portfolio is managed by Source Galileo, a London and Dublin-based European renewable energy company, which is developing 10GW of offshore wind to electricity and hydrogen production off the northwestern coasts of Europe.
The latest investment is part of a EUR 6.5 billion initiative to support 100 percent renewable energy consumption across the IKEA value chain and beyond. Ingka Investments has invested and committed more than EUR 4 billion into renewable energy projects to date.
“This partnership is a further step to expand our investment activities to address climate footprint reduction well beyond our retail consumption, and into the IKEA value chain. We are looking forward to working closely with Source Galileo to make a significant contribution to the achievement of Ireland, the UK and Europe’s decarbonised energy goals,” said Frederik de Jong, Head of Renewable Energy at Ingka Investments.
The deal follows the announcement in August that Ingka Investments partnered with Source Galileo to develop offshore floating wind in Norway, alongside one of the largest Japanese utilities, the Kansai Electric Power Co., Inc and market leading Norwegian provider of floating offshore wind technologies, Odfjell Oceanwind. Joined together in the UtsiraVIND Consortium, the partners are currently finalising their bid for the upcoming Utsira Nord tender process to develop, build and operate a floating wind farm off the west coast of Utsira in Norway.
Speaking at the announcement today, Kevin Lynch, CEO of Source Galileo said: “The significance of the investment from Ingka is transformational for offshore wind in Britain and Ireland. The UK has committed to deploy 50GW of offshore wind by 2030, up from 14GW now. Ireland too is expected to develop at least 20GW of offshore wind by 2040, starting from pilot projects today, as a contribution to meet Europe’s climate goals. The commitment from Ingka Investments, in partnership with Source Galileo, to help deliver on these targets is enormous.”
Gina Cassidy, COO of Source Galileo confirmed: “With Ingka Investments on board, our offshore portfolio can generate substantial clean renewable energy direct to homes and businesses across Ireland and the UK, in addition to bringing economic benefits to local communities through job creation and support for clean energy infrastructure. We welcome the opportunity to work with government bodies in Ireland and the UK to expedite national policies and supply chains to allow the industry to reach its full potential.”
About Ingka Group
With IKEA retail operations on 31 markets, Ingka Group is the largest IKEA retailer and represents about 90% of IKEA retail sales. It is a strategic partner to develop and innovate the IKEA business and help define common IKEA strategies. Ingka Group owns and operates IKEA sales channels under franchise agreements with Inter IKEA Systems B.V. It has three business areas: IKEA Retail, Ingka Investments and Ingka Centres. Read more on www.Ingka.com.
About Source Galileo
Source Galileo ltd is a European renewable energy developer creating the opportunity for long-term ownership of renewable energy projects. The business has a major focus on floating offshore wind development and is also developing solar, battery, hydrogen, and grid projects. The Company is headquartered in London with offices in Dublin and Haugesund, Norway, and currently employs 30 people.