IKEA distribution centre builds on zero emission deliveries

A new distribution centre in Rathcoole, Ireland has underscored IKEA’s drive towards zero emission domestic deliveries.

Alongside having an A2 Building Energy Rating (BER) with rainwater harvesting and roof-based solar panels, and being closer to customers, transport emissions will be lowered by 17 electric vans providing deliveries, with the number of zero emission vehicles doubling by August 2025.

Two zero emission vehicles will be based in Cork, two in Athlone, four at the Ballymun store, and nine at the new distribution centre. These zero emission vans will replace diesel delivery vehicles, resulting in an estimated annual saving of 283,000 litres of diesel, equivalent to reducing carbon dioxide (CO2) emissions by 750 tonnes per year.

To support the transition to zero emission deliveries, IKEA has established an extensive electric vehicle charging network at the distribution centre, comprising of three rapid charge points for quick top-ups and 20 overnight charging points for full recharges.

IKEA’s 8MW wind farm near Manorhamilton, Co. Leitrim, will also support the retailer’s transition to zero-emission deliveries and use of 100% renewable energy to power the distribution centre and IKEA’s flagship store in Ballymun, Dublin.

The retailer also expects the distribution centre to be making more than 300,000 deliveries in the first year of operation, with that figure almost doubling to nearly 600,000 within five years.

Jakob Bertilsson, Country Customer Fulfilment Manager, IKEA Ireland and UK, said:

“It marks a key step in our ambitious expansion plans across Ireland. We remain committed to – and are continually investing in – the future of our physical store in Dublin, but we want people to enjoy the IKEA experience no matter where they choose to engage with us, whether through our full-size store, plan and order points, or online. This new distribution centre will greatly enable this, by increasing availability of our products and reducing lead times.”

Minister of State for Business, Employment and Retail, Emer Higgins TD, said: 

“IKEA’s new distribution centre in Rathcoole will provide a boost for the local economy, creating 120 new jobs. It is also positive news for its customers, significantly reducing IKEA’s delivery times and enhancing accessibility for its Irish customers. This state-of-the-art facility is also a testament of IKEA’s unwavering commitment to sustainability. This building is one of the most energy efficient logistic facilities in Ireland and will support IKEA’s transition to 100% zero emission deliveries by August 2025. There is no doubt IKEA’s dedication to become climate positive sets a commendable standard for the entire retail industry.”

Marsha Smith, Deputy CEO of IKEA Ireland and UK, said:

“IKEA is committed to the Paris Agreement and to helping limit the global temperature rise to 1.5°C above pre-industrial levels. By transitioning to zero emission deliveries and having an energy efficient distribution centre, we are playing our part in protecting the planet, and taking another significant step in our journey to becoming a climate positive business.”

The launch of the logistics facility is operated by logistics firm and longstanding IKEA service provider, Wincanton.

James Wroath, CEO at Wincanton, said:

“Wincanton is excited to mark this key milestone in the expansion of IKEA in Ireland, who will benefit from our unrivalled expertise and proven operational excellence in eFulfilment. The opening of this new, state-of-the-art distribution centre just outside of Dublin further strengthens a partnership focused on our shared goals of meeting IKEA’s customers’ needs quicker than ever before.” 

Deliveries will be carried out by XPO Logistics, supporting IKEA on its journey to only deliver by zero-emission vehicles.

Dan Myers, Managing Director for UK and Ireland at XPO Logistics, said: 

“This is a huge milestone for IKEA in what is an important market for the business. The investment is a demonstration of IKEA’s confidence in Ireland. As a long term partner, we are committed to working together to create a better everyday life for many people which is also sustainable and aligned with our combined environmental commitments.”

Image courtesy of IKEA

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