Renewable Energy Solutions
Case Study

IKEA Marsden Park Distribution Centre

ikea solar and storage project
Project Size:

951kW Rooftop Solar
1.1MWh BESS

IKEA Australia continues to lead the way in corporate sustainability, expanding its market-leading investment in renewable energy at the Marsden Park Distribution Centre.

As a long-term partner, Smart Commercial Solar worked alongside the world’s largest home furnishing retailer to enhance onsite solar generation and integrate battery storage at this high-demand, 24/7 facility. The solution was designed to reduce grid reliance, lower emissions, and improve energy efficiency across operations—including powering electric delivery vehicles operated by IKEAs logistics partners. It's a smart move that delivers both environmental impact and long-term commercial value.
 

Key Project Stats

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Up to 70% on-site energy reduction

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Annual CO2 reduction of 35t

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Annual energy savings of ~$265,000

THE CHALLENGE

IKEA needed an integrated solar and storage approach to fully harness its onsite generation potential. With a 24/7 distribution centre consuming significant energy, the challenge was to make the facility as self-sufficient with on-site energy generation as possible, using a BESS to store excess solar power for night-time operations. The new equipment needed to seamlessly integrate into existing infrastructure and the installation disrupts the day-to-day functioning of the site as little as possible. 

Engineering Challenges: 

  • Limited cable routing options: Space constraints required an innovative approach to safely and effectively route DC cables. 
  • Battery placement considerations: The chosen location required structural modifications and regulatory approvals. 
  • Fast-tracking inverter station installation: A quick, cost-effective solution was necessary to meet project timelines. 
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THE SOLUTION

Smart Commercial Solar designed and implemented a 951kW rooftop solar expansion paired with a 1.1MWh battery storage system. The project involved: 

  • Boosting onsite generation from 26% to up to 70%, cutting IKEAs energy costs and emissions significantly. 
  • Rerouting cables over skylights with built-in safety for installation and upkeep. 
  • Housing the battery in a custom-built car park structure for safety and compliance. 
  • Deploying a modular Unistrut inverter station for fast, fabricator-free assembly.
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THE RESULTS

  • $265,000 in annual electricity savings, reinforcing the financial viability of renewable energy investments. 
  • A 35-tonne annual carbon reduction, advancing IKEA Australia's emissions targets. 
  • Increased energy independence, with up to 70% of operational energy now sourced from solar and battery storage. 
  • Enhanced site safety, with permanent skylight protection benefiting both installation teams and long-term facility maintenance. 

Renea Robson, Sustainability Manager at IKEA Australia, leads the company’s efforts to embed renewable energy into its operations in Australia. Here’s what she had to say.

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Over the last two years we've been working with Smart Commercial Solar... we've installed over 4000 panels, taking 9000 square metres of our rooftop and we've managed to achieve moving from 26% on-site generation to 70% on-site generation. 

Renea Robson

Sustainability Manager at IKEA Australia

A MODEL FOR THE FUTURE

IKEAs Marsden Park Distribution Centre is a testament to how large-scale global businesses can successfully integrate renewable energy. By combining solar and battery storage, IKEA has dramatically increased on-site clean energy generation: reducing costs and setting a new standard for sustainability in retail operations. 

Smart Commercial Solar remains a trusted energy partner for IKEA and we’re excited to be planning for the future with their dedicated team. Beyond installation, our Marketing team worked with their counterparts at IKEA to celebrate the system with a launch event and PR support, helping to inspire other businesses in the process. Smart’s Performance team will handle ongoing operations and maintenance (O&M) to ensure that the system continues to perform at its peak efficiency, maximising long-term value and reliability.  

Above all, this project showcases how strategic investment in renewables can deliver both immediate and lasting benefits for high demand commercial sites.

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