LG Electronics joins RE100
![LG Electronics plays a video raising awareness on the environment at the Piccadilly Circus, left, in London and at Times Square in New York, to mark World Environment Day. The videos will play until the end of this month. [LG ELECTRONICS]](https://koreajoongangdaily.joins.com/data/photo/2023/06/05/5b8be901-e3b8-4e8d-86ae-0aaf5769de69.jpg)
LG Electronics plays a video raising awareness on the environment at the Piccadilly Circus, left, in London and at Times Square in New York, to mark World Environment Day. The videos will play until the end of this month. [LG ELECTRONICS]
The announcement comes two years after its board objected to joining the campaign, considering the possible impact it would have on the company's business.
The board approved the agenda last year.
LG Electronics said Monday it would replace 60 percent of its electricity consumption at its operations with renewables by 2030 and 90 percent by 2040.
By 2050, the electronics company said it would run its entire operations on sustainable energy.
LG Electronics is focusing on solar power to achieve this goal.
It has joined forces with local energy developer GS EPS to build solar power stations at LG Smart Park in Changwon, South Gyeongsang where the company's factory is located. It aims to complete construction by 2025.
Some of the company buildings and factories located at home and overseas have also installed solar panels on their rooftops to replace fossil fuels.
LG’s home appliances factories in India and Thailand are using renewable electricity generated from the solar stations installed on their rooftops.
LG Electronics also said it would expand purchases of Renewable Energy Certificates (RECs) and Power Purchase Agreements for electricity consumption that cannot be covered by self-produced sustainable energy.
The company expects the latest commitment will also contribute to its net zero emission initiative it pledged to achieve by 2030.
“LG Electronics will try various methods to achieve a 100 percent switch to renewable energy and zero carbon emissions,” said Lee Sam-soo, vice president and chief strategy officer at the electronics company on Monday.
LG Electronics is one of the latecomers in Korea to join the global initiative as the company's board was deliberate about assessing the possible impact the commitment would have on its business.
Since Korea does not produce enough green energy, companies have to rely on other options such as purchasing RECs to meet the global standard. Renewables accounted for 8.6 percent of the total energy mix in Korea last year, according to data analysis by Enerdata.
The price of RECs, therefore, has been on a steep rise, doubling to 73,100 won ($55.90) per 1 megawatt-hour as of Thursday compared to an average price of 34,667 won last year, according to Korea Power Exchange.
SK Group was the first conglomerate in Korea to join the RE100 initiative in 2020. Samsung Electronics joined the campaign last year in September.
BY JIN EUN-SOO [jin.eunsoo@joongang.co.kr]
with the Korea JoongAng Daily
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