Climate Change Data

Environmental Metrics

ESG Focus Areas

• Healthy and sustainable living
• Energy and resources
• People and communities

Environmental Achievements

• Generated renewable energy equivalent to 73% of the energy used in operations.
• 85 million LED bulbs sold.
• 54% of waste from stores recycled or incinerated for energy recovery.
• 77% of wood and 100% of cotton in IKEA products came from more sustainable sources.
• Over 200,000 kg of food saved in restaurants, reducing carbon emissions by over 865 tonnes.

Social Achievements

• Launched various initiatives to support refugees and provide them with work experience.
• 54% of co-workers are women, 49% of managers are women.
• Donated EUR 8 million to local communities.
• Paid EUR 96 million into the Tack! loyalty program.

Governance Achievements

• Implemented IWAY supplier code of conduct.
• Adjusted wages in Poland and Russia based on Fair Wage Network methodology.
• Launched IKEA Group Standard on Equality and IKEA Group LGBT+ Plan.

Climate Goals & Targets

Environmental Challenges

• Increased number of reported accidents.
• Low recycling rates at shopping centers.
• Increased water consumption due to business expansion.
• Challenges in securing fair wages and decent working conditions across the supply chain.

Mitigation Strategies

• Investigated accidents to prevent future occurrences.
• Implementing smart energy management information systems.
• Developing a water toolbox and IKEA Group Water Manual.
• Developing a risk rating tool to better understand and respond to supply chain challenges.
• Implementing IWAY requirements with suppliers.

Supply Chain Management

Supplier Audits: More than 480 IWAY audits undertaken.

Responsible Procurement

• IWAY supplier code of conduct.
• Circular procurement models.
• Increased share of renewable, recyclable, or recycled materials.

Climate-Related Risks & Opportunities

Opportunities

• Renewable energy generation
• Energy efficiency improvements

Reporting Standards

Frameworks Used: Greenhouse Gas Protocol

Certifications: BREEAM Excellent (for Kaarst store)

Third-party Assurance: Ernst & Young Accountants LLP (limited assurance on selected carbon emissions information)

UN Sustainable Development Goals

• Goal 1
• Goal 2
• Goal 3
• Goal 6
• Goal 7
• Goal 8
• Goal 10
• Goal 11
• Goal 12
• Goal 13

The report details how various initiatives contribute to these goals.

Sustainable Products & Innovation

• LED lightbulbs
• Ladda rechargeable batteries
• Sustainable life at home range
• SOLSTRÅLE home solar offer
• Tomat spray bottle (made from recycled plastic)

Awards & Recognition

• Gold Medal at the Nuit de l’Économie Collaborative & Circulaire award (for recycling shrink wrap project)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Diversity & Inclusion
• Governance
• Community Engagement
• Employee Well-being

Environmental Achievements

• Secured 159 million kWh of renewable energy (49.8% of purchased energy)
• Achieved a 7% reduction in energy intensity in buildings
• Diverted 76% of total waste from landfill
• Reduced carbon emissions by 7% compared to 2019

Social Achievements

• Launched GOAL 2.0 Accelerator Program to prepare Black and Latinx employees for leadership roles
• Established a diversity sourcing team to broaden the candidate pipeline
• 11,640 employees participated in volunteer programs
• Contributed 2.4 million meals to communities in need

Governance Achievements

• Embedded responsibility for sustainability into relevant business units
• Formed a Climate Workstream to increase internal collaboration on climate issues
• Disclosed climate-related governance in accordance with TCFD recommendations

Climate Goals & Targets

Environmental Challenges

• Procuring renewable energy outside the U.S.
• Maintaining data center energy efficiency while meeting growing demand
• Reducing Scope 3 emissions from business travel
• Addressing racial inequality and promoting social justice

Mitigation Strategies

• Exploring renewable energy opportunities in the UK and U.S.
• Setting a goal to achieve a 5% energy efficiency improvement in data centers
• Investing in global carbon-offset projects to offset travel emissions
• Launching initiatives to support Black communities and address systemic inequalities

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Supplier Code of Conduct
• Sustainability requirements in RFPs and master service agreements

Climate-Related Risks & Opportunities

Physical Risks

• Severe weather events (hurricanes, droughts, wildfires)
• Sea level rise
• Ecosystem disruption

Transition Risks

• Policy and legal changes
• Technological advancements
• Market shifts

Opportunities

• Resource efficiency and energy source
• Products and services
• Markets
• Resilience

Reporting Standards

Frameworks Used: GRI, SASB, TCFD, CDP, UN Global Compact, Principles for Responsible Investment (PRI)

Certifications: LEED, BREEAM, Fitwel

Third-party Assurance: Cventure LLC

UN Sustainable Development Goals

• SDG 4
• SDG 5
• SDG 7
• SDG 10
• SDG 12
• SDG 13
• SDG 17

Bloomberg's initiatives contribute to these goals through various programs and activities related to education, gender equality, energy, inequality reduction, sustainable consumption and production, climate action, and partnerships.

Sustainable Products & Innovation

• Bloomberg Climate Transition Scores
• Bloomberg ES Scores
• GHG Estimates dataset
• ESG data and tools

Awards & Recognition

• Best Place to Work for LGBTQ Equality
• Gold in Japan’s LGBT Corporate Evaluation Index

Environmental Metrics

ESG Focus Areas

• Climate Change
• Water Stewardship
• Circular Economy
• Nature and Biodiversity

Environmental Achievements

• Maintained 64% carbon-free energy across data centers and offices despite increased electricity use.
• Contracted approximately 4 GW of clean energy generation capacity.
• Replenished an estimated 1 billion gallons of water (18% of 2023 freshwater consumption).
• Achieved at least 99% plastic-free packaging for new Google products launched in 2023; Pixel 8 and 8 Pro packaging was 100% plastic-free.
• Created or restored approximately 67 acres of habitat and planted roughly 4,500 native trees.

Social Achievements

• Provided information to over 1 billion users annually to help them make more sustainable choices.
• Launched extreme heat alerts on Search in over 100 countries.
• Expanded Tree Canopy data in EIE to over 2,000 cities globally.

Governance Achievements

• Implemented a Google Renewable Energy Addendum asking largest hardware manufacturing suppliers to commit to 100% renewable energy match by 2029.
• Shared water risk framework for responsible water use in Google-owned data centers.
• Completed first carbon removal credit offtake deals through Frontier.

Climate Goals & Targets

Environmental Challenges

• Total GHG emissions increased 13% year-over-year due to increased data center energy consumption and supply chain emissions.
• Hard-to-decarbonize regions like Asia Pacific where CFE isn’t readily available.
• Long lead times between initial investments in clean energy and construction of projects.
• Data gaps and uncertainties in accessing reliable local climate projections.
• Limited composting infrastructure in certain regions impacting food waste diversion.
• Changes in product mix reducing opportunities to use recycled content in plastic.

Mitigation Strategies

• Introduced a clean transition rate to drive new clean energy projects in the United States.
• Unveiled an investment to enable 1 gigawatt of new solar capacity in Taiwan.
• Implemented a water risk framework to identify climate-conscious cooling solutions.
• Developed and deployed cooling solutions with natural, low-GWP refrigerants.
• Strengthened efforts in food waste reduction through sourcing, kitchen operations, and excess food management.
• Launched Single-Use Plastics Challenge to find plastic-free alternatives.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Supplier Code of Conduct
• Google Renewable Energy Addendum
• Decarbonization roadmaps

Climate-Related Risks & Opportunities

Physical Risks

• Heat stress
• Water stress
• Extreme weather events

Transition Risks

• Energy costs
• Future regulations
• Technology changes

Opportunities

• Developing low-carbon products and services
• Improving energy efficiency
• Advancing energy technologies

Reporting Standards

Frameworks Used: Greenhouse Gas Protocol, GRI, TCFD

Certifications: ISO 50001, ISO 14001, LEED, TRUE Zero Waste

Third-party Assurance: Ernst & Young LLP

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 6 (Clean Water and Sanitation)
• Goal 13 (Climate Action)
• Goal 15 (Life on Land)

Initiatives contribute to these goals through clean energy procurement, water replenishment, emissions reduction, and biodiversity conservation.

Sustainable Products & Innovation

• Nest Learning Thermostats
• Fuel-efficient routing in Google Maps
• Green Light AI tool for traffic optimization
• Cool Roofs tool
• Flood Hub
• MethaneSAT partnership

Awards & Recognition

• CDP Climate Change A List
• CDP Supplier Engagement Leader
• Dow Jones Sustainability Indices
• EPA Green Power Partnership Top 100
• Sustainability Magazine Top 10 Sustainable Data Centre Companies
• Technology Magazine Top 10 Big Tech Companies
• TIME World’s Best Companies

Environmental Metrics

ESG Focus Areas

• Climate Change
• Energy Security
• Sustainable Development

Environmental Achievements

• Global renewable capacity additions increased more than 60% to almost 565 GW in 2023, the fastest growth ever recorded.
• Global renewable capacity is expected to grow by 2.7 times by 2030, surpassing countries’ current ambitions by nearly 25%.

Social Achievements

• Not disclosed

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Grid integration challenges in China due to rapid renewable energy growth.
• Supply chain and macroeconomic challenges impacting wind sector recovery.
• High financing costs reducing the economic attractiveness of renewables in emerging and developing economies.
• Weak grid infrastructure and lack of visibility over auction volumes in emerging and developing economies.
• Lengthy permitting timelines and inadequate grid infrastructure investments in Europe and the United States.
• Land procurement barriers and weak financial health of power distribution companies in India.
• High costs of renewable fuels compared to fossil fuels.
• Insufficient demand creation for renewable hydrogen.
• Feedstock supply obstacles for liquid biofuels.
• Sustainability challenges for bioenergy use.
• Slow innovation in bioenergy technologies.

Mitigation Strategies

• Policy changes concerning auction design, permitting and grid connection in Europe, the United States, India and other emerging and developing economies.
• Measures to reduce risks, including by creating stable policy environments with clear long-term targets.
• Renegotiating inflexible power and fuel contracts and accelerating the phasedown of fossil fuel plants.
• Increasing investment in grid infrastructure and system integration of renewables.
• Enacting policies to close the cost gap with fossil fuels, promote innovation, build resilient supply chains, implement sustainability requirements and remove fossil fuel subsidies.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products

Reporting Standards

Frameworks Used: Null

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 13 (Climate Action)

The report's findings and projections directly contribute to achieving these SDGs by promoting renewable energy adoption and mitigating climate change.

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed