Vanguard Renewables receives investment from Ikea affiliate

Ingka Investments, the investment arm of Sweden-based Ikea retail chain store operator Ingka Group, has announced making a minority investment in Vanguard Renewables, a Massachusetts-based operator of organics diversion programs and anaerobic digestion (AD) plants.

Ingka Group says its Ikea U.S. business unit is piloting Vanguard Renewables’ food waste diversion service at five retail locations in Wisconsin, Connecticut, Massachusetts and Illinois.

Food waste from in-store restaurants, bistros and grocery sections, including leftovers from customer meals and unsold packaged goods, are collected in dedicated containers and transported weekly to Vanguard AD facilities to be processed into renewable natural gas and fertilizer for regional farms.

“At Ikea, we see waste as a resource,” says Javier Quinones, CEO and chief sustainability officer of Ikea U.S. “With Vanguard Renewables, we’re turning our restaurant and Swedish Food Market’s food waste into renewable energy and fertilizer.”

He continues, “After reducing our pre-consumer waste by close to 50 percent over the last seven years, the equivalent of saving 83,000 meals, we are excited about the next step. This partnership will make every plate count while improving our operational efficiency,”

Following the pilot, Ikea U.S. says it plans to expand the program to additional stores and locations nationwide, which it calls part of an objective to reduce operational waste and strive to divert or recycle 100 percent of material generated in its operations by 2030.

“Vanguard Renewables is on a mission to divert unavoidable food waste from landfills and give it a second life as renewable energy,” says Michael O’Laughlin, CEO of the firm. “We’re proud to partner with Ingka to scale innovative food waste recycling solutions for retail supply partners like IKEA and deliver measurable progress toward a more sustainable future.”

“Addressing our food waste challenge is not just good business, it’s essential for a livable future,” says says Peter van den Poel, managing drector of Ingka Investments.

“This investment in Vanguard Renewables aligns with Ingka Group’s broader ambition to invest 1 billion euros ($1.18 billion) in scalable circular solutions across the value chain that address global challenges and build a sustainable infrastructure.”

Vanguard Renewables says it is rapidly scaling its national footprint, with operational sites in the Northeastern United States and new facilities under construction in the Midwest and South. It is a portfolio company of Global Infrastructure Partners (GIP), which is part of BlackRock.