IKEA has cancelled its domestic solar PV deal with Chinese manufacturer Hanergy. A spokesperson from the furniture giants had confirmed that the company have decided not to renew their contract with Hanergy, after previously agreeing a three-year deal.
The statement from IKEA said that the deal had ended on 1st November as IKEA now wish to pursue a “new business model”.
"Based on the successful roll out and to ensure IKEA Group has a growth plan in place for the future, we have evaluated our business model, starting in the UK. A new business model has been decided upon, which includes the decision not to renew the contract with Hanergy Solar UK when their current contract ends on 1st November 2015.
"IKEA group’s priority now is to work collaboratively with Hanergy Solar UK during the phase out, in order to ensure the best interests of customers and we are working with the local team at Hanergy Solar UK to agree a transition time plan to ensure a smooth transition for our visitors, their customers and store teams."
The two companies originally formed the agreement in September 2012, however after Hanergy’s share price collapsed and is now under investigation by Hong Kong’s Securities and Futures Commission, IKEA may perhaps look elsewhere.