Business

Italian Renewable Energy Projects For Ingka

Owner of Sweden’s IKEA Picks Up 49% Stake In Avapa Energy’s Solar PV Portfolio In Italy

Anu Bhambhani
  • Ingka Investments has purchased 49% stake in Avapa Energy's Italian solar portfolio
  • The 460 MW proposed capacity is expected to generate close to 780 GWh annually on completion
  • Projects in the portfolio are at an early-stage development in Veneto, Puglia, Molise, Sicily, and Sardinia regions

Ingka Investments, the investment arm of Ingka Group, the largest owner and operator of IKEA Retail, has expanded its renewable energy generation portfolio with a 49% acquisition of up to 460 MW solar energy capacity in Italy.

Avapa Energy has sold the share to Ingka in the project portfolio that has the potential to reach an installed capacity of 460 MW. Financial terms of the deal were not disclosed.

The projects are spread across Veneto, Puglia, Molise, Sicily, and Sardinia regions. Currently all of these are in the early-stage development phase while Avapa secured building permits. Once online, these can generate around 780 GWh renewable energy annually.

"We are delighted to be announcing this important initiative to partner with Avapa Energy in the development of solar PV projects in this first step towards renewable energy production in Italy," said Ingka Investments Managing Director Peter van der Poel. "With our own solar parks, we want to make renewable energy available throughout the IKEA value chain and beyond."

Ingka explained the Italian solar parks are part of IKEA's commitment to become climate positive by 2030. The company has so far invested more than €3.5 billion in renewable energy development, specifically solar and wind power, out of its €6.5 billion commitment to become 100% renewable energy powered across its value chain and beyond.

Recently, Meyer Burger announced Ingka as the offtaker of its US made modules under a long-term procurement agreement (see Meyer Burger Bags 4-Year Module Supply Contract).