Smart Commercial Solar assembles hybrid system for IKEA Australia
North Sydney-headquartered commercial solar and storage provider Smart Commercial Solar has partnered with IKEA Australia to install a rooftop solar and battery system, that is expected to generate up to 70% of a distribution centre’s total energy requirements.
North Sydney-headquartered clean energy solutions company Smart Commercial Solar (SCS) has partnered with IKEA Australia to install a rooftop solar and battery energy storage system (BESS) on a distribution centre facility.
Located 47 kilometres northwest of Sydney’s CBD at Marsden Park, the 2,034 kW system is expected to generate up to 70% of the centre’s energy needs, employing 4,126 solar panels, over an area of 8,992 metres squared.
The system will support a total onsite solar energy consumption of 2,217 MWh per year, with 491 MWh per year exported to the grid.
The 1 MWh battery energy storage system will support the facility’s total estimated energy usage (onsite plus retailer supply) of 2,970 MWh per year and contribute to an annual cost saving of $265,000 (USD 167,500).
One of the challenges for completion of the project was obtaining complying development certification (CDC).
SCS Senior Project Manager Frank Placko told pv magazine this delayed the battery installation but the company was able to support IKEA with the necessary documentation, and the certification has been received.
“Another challenge was the DC cable run. Initially, there wasn’t room along the traditional route, so an alternative path was suggested that would have been 100 metres longer—right at the cable’s capacity limit,” Placko said.
“In the end, we successfully convinced them to keep the cable tray on the preferred side of the building by running it across the skylights. To do this safely, we installed permanent skylight protection, ensuring both a safe installation and long-term safety for IKEA’s maintenance team.”
Smart Commercial Solar Chief Technology Officer Kealy Day added that the battery storage had to be placed in the car park, far from the inverter station.
“This required council approval and the construction of a protective structure to ensure longevity. We worked through these challenges in collaboration with IKEA and GHD to deliver a successful outcome,” Day said.
Placko said that in the commercial industry space however, batteries are still considered relatively new technology.
Image: IKEA Australia
“IKEA has embraced them to store power for their night shift operations. Their goal is to reach close to 75% self-sufficiency in their operations,” Placko said.
It was not the first time SCS had tendered battery solutions to IKEA.
“With advancements in battery technology and market developments, costs have come down to the point where it made financial sense for IKEA to move ahead. We were fortunate to be selected as their partner for this project,” explained Day.
“This project delivers several key benefits for IKEA by firstly significantly reducing their onsite energy consumption through a combination of solar and battery storage. Second, it provides a visible demonstration of their commitment to reducing their carbon footprint, which is important for both their business and their customers.”
Additionally, the system provides clean electricity to support service partners in charging their electric vehicles, enabling emissions-free home deliveries and further advancing IKEA’s zero-emissions ambition.
The company says it has achieved an 89% reduction in operational emissions since FY16, while simultaneously growing revenue by 68% underscoring, it says, significant emissions being achievable without compromising business growth.
Smart Commercial Solar are hosting a site tour on 24 March 2025 at the Marsden Park site.
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