IKEA Australia announced recently that it will use electric trucks for all home deliveries by 2025, stating that the global transition to electric vehicles “inevitable.”
The company’s manager in Australia, Jan Gardberg, told the Australian Financial Review that Australia currently has less than 5000 private electric cars on the road, but said that would soon change.
“It’s inevitable that, in the end, it’s going to go electrical and it’s just a question about who would like to be there in the beginning and help that process,” Gardberg said.
He attributed the lack of electric vehicles in Australia to a lack of incentives, in contrast with certain Scandinavian and European countries.
“Look at countries like Norway and Sweden and Germany where it has been a collaboration very much with government and industry and the communities to paint out the direction.”
Going forward, IKEA will not sign new contracts with delivery companies unless they have plans to transition to the use of electric trucks.
Gardberg noted that, in switching over to electric, IKEA will reduce transport costs as well as carbon emissions.
On average, about 350 vehicles deliver furniture to homes throughout Australia each day. Currently, seven electric vehicles are used to deliver IKEA products in Sydney, Melbourne and Perth.
“We like to work with a five to 10 year business horizon … we can see the return on the investment,” Gardberg said.